Xerox Asset Acquisition When traditional outsourcing isn’t enough, Xerox offers more. Remaining competitive in today’s economy may require more than traditional outsourcing. Why consider asset acquisition? Rather than outsourcing pure functionality such as contact center or transaction processing, more and more companies are realizing the benefits of transitioning entire facilities and operations to Xerox. Xerox acquires the assets, assumes the debt, and delivers exceptional service using the client’s knowledgeable employees and our best practices. It just makes sense. When does asset acquisition make sense? When departments within an organization—including employees, technology and facilities—are not directly attributable to core business functions, it can present a monumental financial drain for a company. Through asset acquisition, Xerox immediately lifts that burden and allows companies to focus on their core business strategy. Certain scenarios present optimal asset acquisition conditions, including: Client Benefits • Stand alone sites or departments • Security – Mitigates risk • Accelerate cost savings or transition of services • Focus – Concentrate on strategic initiatives • Recent merger • Cost Savings – Avoid severance, immediate reduction in overall cost of operations • Excess capacity (stranded assets) due to restructuring • Refresh assets Xerox looks to on-board employees to maximize the knowledge and experience that the client’s employees already possess. This greatly enhances a seamless transition - transparent to the end customer. Additionally, acquiring and managing services in the client’s existing facilities mitigates risk and aids in the transparency. Xerox asset acquisition is a customizable solution that makes sense Xerox’s Asset Acquisition strategy is customized to each client enabling them to manage global demands without disruption in service. Solutions are developed based on the client’s need, whether it is to drive out costs, reduce staff, improve customer service or streamline capital, the solution will fill that need. • Cost Control – Transaction based model, no up front fees, no stranded assets • Positive Financial Engineering – Capital inducement, forward pricing • CapEx Avoidance – Transfer burden to Xerox for technology, process, refresh, etc. • Flexibility – Provides a global/evolving footprint on Day 1 • Business Continuity – Enhanced access to allshore integration Asset Acquisitions are intricate endeavors. Xerox approaches each with careful consideration and engages a team of experts from both sides to ensure a smooth transition. This team of experts will be fully engaged in due diligence and will remain onboard throughout the acquisition, implementation, and until the mutual satisfaction sign off between Xerox and our client. Representatives from the following areas comprise the team of acquisition experts: • Business Owners • Finance • Sales • Legal • Operations • Software Compliance • Human Resources • Real Estate and Facility Management Case Study – Major Communications Provider Challenge • Needed to focus on core competencies Asset acquisition assumes inscope work which may include: • Reduce and control operating costs • Acquiring Assets • Bring best practices to the commercial market • On-boarding Employees • Make capital funds available for other areas • Assuming Third Party Contracts • Maintain or enhance levels of quality and delivery of these HR services Xerox is recognized • Provide long-term career path for HR employees • #1 on Best Performing BPO Providers (Global Services 100) • “Perfect Storm” industry downturn Solution • 10 year global strategic alliance • Acquired assets and 650 HR employees worldwide • Ongoing operating cost reductions • Capitol investments funded by Xerox • Direct-cost structure • Leveraged Xerox BPO expertise and off-shore capability • Service level guarantee • Provide service to 16,500 employees in 32 countries www.xerox.com/businessservices ©2012 Xerox Corporation. All rights reserved. XEROX® and XEROX and Design® are trademarks of Xerox Corporation in the United States and/or other countries. • #1 on Gartner’s Top BPO Vendors – Multiple Processes • #2 on Gartner’s Top 10 HR BPO Venders Worldwide • #3 on InformationWeek 500 List of Leading Business Technology Innovators • Leader on Gartner’s Data Center Outsourcing Magic Quadrant • Leaders Quadrant of Gartner, Inc.’s Contact Center BPO ratings