1. © Development Dimensions Int’l, Inc., MMI. All rights reserved. Cashing in with the Kevin Cook University of South Florida HR-ROI Conference January 17, 2003 Note. This presentation has been edited from its original version to protect client proprietary data.

2. 2 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Agenda  Web Trends  ROI intro  ROI case study  Business drivers  Challenges  Hiring solution  Benefits, outcomes  Dollar return

3. 3 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Web Trends – Everyone is doing it  Web is becoming ubiquitous in HR solutions, especially hiring  Increased screening and assessment  Increasing demand for ESS and portals…  …but also aligning with outsourcing for  Access to expertise  Improved service  Leveraging technology without buying

4. 4 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Web Trends – Cheap and easy  Plug ‘n’ play at a low cost  Seamless integration – ASP and client  Demand for demonstrable ROI  XML standardization

5. 5 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Web Trends – Fortune 500  89% have a Career section  75% post jobs on their Career site  74% accept applications via the Web  34% do not offer offline applications  Significant increases in:  Online pre-screening  Job agents  Email to a friend  Reusing candidate data Source: Trends in F500 Career Web Site Recruiting, iLogos, 2001

6. 6 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. ROI for ASP implementations n=49 Source: IDC’s The Financial Impact of ASPs multiclient study, 2001

7. 7 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. DDI Web History/Options  Corporate career site  branding  sourcing and attracting  Screening and testing sites/portals  Interviewer training and support tools  skills training  interview guide management, generation  In-baskets and simulations  Candidate management  Integration with partners

8. 8 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Why the Web?  High volume selection  Speed; immediate decision-making  Decreased time and cost  Applicant data access and management  Consistent tools and process  Impression management; differentiation  Complex scoring  Integratability

9. 9 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Sanofi-Synthelabo ROI Case Study

10. 10 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Sanofi Profile  Created in 1973 as a division of Elf-Aquitaine  Growth in the 70’s-90’s through acquisitions  Merger with Synthelabo to create Sanofi- Synthelabo  30,000 employees in 100 countries  2000 sales of 7.5 billion Euros  2001 U.S. sales of $2.8 billion

11. 11 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Business imperatives overview  Expanding product portfolio  Joint ventures  Revenue targets  Transition from contract sales organization to in-house team  Raise the Bar for a high caliber workforce  Hiring and training needs in 120 days  1000 sales reps  100 district managers  14 regional business directors

12. 12 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. The Challenge  Double the size of the trained sales force in 120 days  Any change in hiring process must not cause delays  Current process could not meet requirements  Management intensive; 1 day per week on recruiting  Any change in process must reduce costs  Reduce time of sales management in screening  Reduced use of outside recruiters and agencies  Raise caliber of workforce  Ensure high quality AND cultural fit of workforce  Reduce turnover through better initial screening

13. 13 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. The Hiring Solution – Sales Reps  Complete DDI Web Based Solution  Facilitated sourcing partnerships  Instant evaluation of qualifications and experience  Automated scheduling of top candidates  DDI phone assessment  Sanofi behavioral interviews  Conditional job offer  Automated background check  Data transfer to HRIS  Ad to Offer possible in 1 Week!

14. 14 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. The Hiring Solution – Sales Reps  Web Based Candidate Management  Instant secure worldwide access Regional Mgrs, Hiring Mgrs, Agencies, HR  Improved candidate processing All candidate information and results for entire process Integration with: –Background Checks, Medical screens, HRIS  Complete reporting e.g. EEO, Territory, Source

15. 15 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. The Hiring Solution – DM’s, RBDs  “High Touch” Leadership Selection  Web qualification and work experience  Phone interview  Face-to-face interview  Behavioral assessment  DDI Selection Support  Process development and management  Robust Sales Leadership/Executive Assessment “Day in the Life” Assessment Interviews and Assessments with Sanofi Competencies Tailored Executive Processes Data Integration  Facilitated sourcing partnerships

16. 16 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Benefits and Outcomes  Reduced administrative overhead  Automated assessment data entry  Automated scoring and progression  Automated new hire data entry  Increased management productivity  Significant reduction in screening time  Focus on high potential candidates  Reduced agency reliance and costs  Reduced turnover

17. 17 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Results overview  All timelines met  Sourced, screened and assessed over 31,000 candidates in less than 100 days  Hired more than 1,100 sales professionals  Initial savings of more than $3 million  Estimated annual savings of more than $1 million

18. 18 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. ROI evaluation model  Present/future benefits and costs  3-year financial analysis  Calculate direct and indirect benefits  Identify all expensed costs  Calculate net values and cumulative ROI  Include discount rate (DR) and taxes  DR adjusts for inflation, risk of no return and lost interest opportunities

19. 19 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Sanofi ROI Summary  Annual ROI more than 300%  Payback period was 3 months  Net present value (NPV) more than $6M  Average annual benefits much greater than average yearly cost of ownership

20. 20 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Calculations: Benefits  Direct benefits  Reduction in personnel management and administration  Commissions to agencies and headhunters significantly reduced

21. 21 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Calculations: Benefits  Indirect benefits  Reduction in turnover costs  Reduction in time to hire

22. 22 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Calculations: Costs  Software  Configuration  Hosting and maintenance  Consulting  Selection system design and implementation  Assessments

23. 23 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Qualifications and Experiences

24. 24 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Candidate Feedback

25. 25 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Hiring Management - Summary

26. 26 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Staffing Manager Tools

27. 27 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. Staffing Manager Tools

28. 28 © Development Dimensions Int’l, Inc., MMIII. All rights reserved. www.sanofi-star.com Thanks!