There is a very real danger that once you have set up your shared services, you and your team can keep delivering what was originally agreed. People change. Business needs change. So getting that two-way dialogue between how your business units interact with your shared services team is crucial to meeting current business requirements. So what governance structures can ensure your customers’ experience and quality of service delivery doesn’t slip up?

1. Creating a Multi-Functional Shared
Services Model to Enable Rapid Response
to Ever-Changing Business Needs
An Overview of Kelly’s
Operations Shared Services Center
March 2012

2. Agenda
• Kelly Services Overview
• Kelly’s Journey – Development of a Multi-Functional Shared Services Model
– The Case for Change
– Shared Services’ Value Drivers
– The New Operating Model
– Implementation Approach
• OSSC Business Model
– Mission
– People
– Process/Components
– Technology
• Value to Business – Case Studies/Success Stories
• Challenges/Lessons Learned
• Questions
Proprietary and Confidential to Kelly Services, Inc. • 2

3. Kelly Services Overview
Kelly Services, Inc.
• Founder of the temporary staffing industry
– Strong financial position in the industry 530,000 Temps | 7,900 FTEs
• $5.6B in Revenue (2011) AMERICAS EMEA APAC
– Company-owned and -operated offices 40+ Countries | 1,500 Branches
worldwide with fully networked operating system
Commercial, Professional, Technical
• Kelly offers a comprehensive array of
outsourcing and consulting services as well as OUTSOURCING & CONSULTING GROUP
world class staffing on a temporary, temporary-
• Contingent Workforce Outsourcing
to-hire and direct-hire basis • HR Consulting
• Business Process Outsourcing (BPO)
• Recruitment Process Outsourcing (RPO)
• Industry-leading quality management system – • Independent Contractor Services
• Executive Outplacement
Kelly Quality Management System (KQMS)
– Compliance of all Kelly locations
– Best-in-class programs TECHNOLOGY PARTNERS
– Fully integrated total quality management system
Fieldglass | Peoplefluent | Provade| IQN

4. Kelly’s Journey
Development of a Multi-Functional
Shared Service Center

5. The Case for Change at Kelly
3.5 FTEs The Trend (Past 10-15 years)
• Reduced Branch Headcount
 • Increased Complexity
Performance Gap
•Less time to focus on core,
revenue-generating activities
•“Filling and billing”
•Candidate and customer care
•Compliance challenges
Increased complexity
• Range of tasks required
• Customer servicing requirements
• Number and variety of technologies/systems 1.7 FTEs
• Regulatory requirements (e.g., work eligibility verification)
• Processes (e.g., background screening) 

6. Shared Service Value Drivers
• Key Kelly Value Drivers
– Facilitate business growth
– Improve customer/candidate experience
– Reduce costs
– Improved compliance to customer and regulatory
requirements
• Additional Benefits
– Standardize roles, processes, policies
– Decreased organizational complexity/eliminate redundancy
– Transforming/re-engineering processes
Proprietary and Confidential to Kelly Services, Inc. • 6

7. The Vision – A New Operating Model
• Division of tasks between operating tiers
• Focus/concentration on tasks leading to:
– Improved quality Product CoEs
– Flexibility Strategy/Branding/
– Efficiencies Business Development
– Economies of scale
– Compliance
Staffing/OCG
Operations/Service Delivery
Operations Shared
Sourcing Center
Services Center
Contact Center
Servicing Employees, Candidates, Customers, and Suppliers
Transaction Center
High volume, high transaction, administrative tasks from operating divisions
Proprietary and Confidential to Kelly Services, Inc. • 7

8. Implementation Approach
• In 2008, a project team prioritized a list of branch tasks to centralize
– Criteria:
• Frequency/Volume/Amount of time spent by Branch
• Financial Impact – Cost Savings/Revenue Generation
• Impact on Candidate/Customer Experience
• Impact on Compliance
• A bit of a haphazard implementation approach from 2009 - 2011
– OCG and Staffing initially worked independently building centralized
teams to execute prioritized tasks from Headquarters
– Simultaneously, “Lift and Shifts” of existing functions considered “red-
headed step-children” of other departments, i.e., Switchboard, Global
Mobility, eCenter
– Reactive builds of programs in response to new government
regulations and compliance gaps
• An intentional roadmap developed in December 2011
Proprietary and Confidential to Kelly Services, Inc. • 8

9. Evolution of Kelly’s Operations Shared Services Center
2008 2009 2010 2011 2012
Fragmented 1Q - OSSC Proven
OSSC business
READY, SET , management “officially”
model evolves
Model
GO!!! of centralized established Adding Value
and matures
services as an entity to Business
• 4Q - First Level •First Level Payroll •Candidate •Global Mobility •Centralized Sourcing
Canada Payroll Support – US Document Services •Customer
Support Program •Billing of Screenings Processing •Screening Requests Requirements
•Kelly Switchboard •First Level Technical Documentation
•Order Entry Support (IT Help Support
Desk) •Healthcare
•Adverse Action Credentialing
OSSC
Letters delivers
• NY Wage Theft
•Third Party Order Notification
almost $1
Transactions •CA Screening
million in
•Data Integrity (Audit Notification
savings to
Function) •Screening Requests
Business
•PPO “Admin” Tasks
•CWO “Admin” Tasks
Proprietary and Confidential to Kelly Services, Inc. • 9

10. OSSC Business Model
People. Process. Technology.

11. OSSC Mission Statement
Proprietary and Confidential to Kelly Services, Inc. • 11

12. OSSC Business Model – People
• Flexible Staffing Model
– 40% Full-Time Employees
– 60% Temporary Employees; many part-time
• Floater Pool
– Skilled group of specialists trained
on multiple programs
• Competency Profile
– Customer Service Experience/Orientation
– Continuous Improvement Focus/Mindset
– Technology-Adept
– Quality/Metrics Driven
– Flexibility and Adaptability
• Business Owner Role
– Represent the (internal) “customer”
for OSSC program(s)
Proprietary and Confidential to Kelly Services, Inc. • 12

13. Operations Shared Services Center (OSSC) - Functional Structure
Shared Services Transaction Center
“Captive” SSC executing Kelly-specific transactional processes for Kelly Divisions
• Third Party Order Transactions • Candidate Document Processing • Billing of Screenings
• Order Entry/Compliance • I-9 Processing • Adverse Action Letters
• Healthcare Credentialing • Screening Requests • Data Integrity
• ESPM/CAD Maintenance • PPO Admin • NY Wage Theft Program
• CWO Admin
Shared Services Knowledge Center
“Captive” SSC executing Kelly-specific knowledge-based processes for Kelly Divisions
Global Mobility Services
• FTE International Assignment/Travel • KTE International Travel • Global Mobility Consulting Services
Shared Services Sourcing Center
“Captive” SSC executing Kelly-specific sourcing services for Kelly Divisions
Sourcing Services
OSSC Vendor Management Office
(for Operations Supply Chain Providers)
Shared Services Contact Center
Outsourced Contact Center Solution – Services provided by KellyConnect
Employee Service Center Field Service Center IT Service Desk Supplier Service Center HQ Switchboard
Proprietary and Confidential to Kelly Services, Inc. • 13

14. OSSC Business Model – Process/Components
• Clearly Defined Scope/Transactions
• Transaction-Based Pricing
• Detailed Statements of Work for each program
• Forecasting Process/Tool
• Weekly/Monthly Operations Review Meetings with
Business Owners
• Visibility into Performance via Monthly Dashboards and
Quarterly Meetings /Business Reviews
• Voice of the Customer Engagement Methodology
• Proactive Focus on Continuous Improvement/Innovation
Proprietary and Confidential to Kelly Services, Inc. • 14

15. Sample Performance Dashboard
Order Processing Time Submittal Processing Time
40 34 35 8000 40 4000
OP Time (minutes)
31 31
Transaction Volume
29 29 27 28 29 29 28
26 26
SP Time (minutes)
30 6000 30 25 24 3000
22 20 21 21
17
20 4000 20 2000
10 2000 10 1000
0 0 0 0
Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11
OP Transaction Volume Order Processing Time Goal Submittal Transaction Volume Submittal Processing Time Goal
PO Changes Processing Time Interview Processing Time
60 2000 150
50
IP Time (minutes)
1500
PO Time (hours)
40 100 81
62 68
30 1000 59 55
46 41
20 9.09 9.45 12.04 50 23
7.73 6.30 5.67 5.91 500 20 21
3.72 2.21 3.93
10
0 0 0
Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11
PO Changes Transaction Vol PO Changes Proc Time Goal Interview Processing Time Goal
Kfirst Processing Time Order Entry
5.0 2000 120% 8000
110%
Order Entry %
4.0
Kfirst Time (hours)
1500 100% 6000
2.30 2.54
3.0 2.07 90%
1.70 1.83 1.77 1.61 1000 4000
1.53 80%
2.0 1.17
0.79 70%
1.0 500 2000
60%
0.0 0 50% 0
Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11
Kfirst Transaction Volume Kfirst Process Time Goal Order Entry - Transaction Volume Order Entry %
The goal for Order Entry is 100%, which we've been hitting each month of the year (this is represented by the
black line in the chart above).
Proprietary and Confidential to Kelly Services, Inc. • 15

16. OSSC Business Model – Technology
OSSC Brings Technology to the Table AND Adapts to/Uses Our Customer’s Technology
• Salesforce
– Activity Tracking Tool
– Automatically generates performance dashboards and charge-backs Enables
escalation to “n”-level support groups
– Enables OSSC to provide critical data analytics to Business to drive process
improvements
• Emerald Software
– Candidate document processing tool
• Bullhorn (Applicant Tracking System)
• Kelly StaffNet (Front Office System)
• SharePoint
• KellyWeb (Company Intranet)
• HDI Survey Tool (Contact Center Survey Tool)
• Docusign (Electronic Signature Tool)
Proprietary and Confidential to Kelly Services, Inc. • 16

17. OSSC Value to Business – Case Studies/Success Stories
• Business Objective: Increased Profitability
– Situation: Payroll calls from employees ranked highest on Branch Task List -
significant time NOT being spent on revenue-generating activities
– Solution: Developed Employee Service Center to provide focused first-level
payroll support to employees and remove burden from branch
– Results: Significant branch time savings – 18 FTE across field organization
– BONUS! Improved employee experience - Payroll support previously ranked
lowest on sat survey – ranked highest post deployment
• Business Objective: Improved Compliance
– Situation: Customer audit revealed gaps in compliance to screening
requirements; immediate fix required to maintain customer relationship
– Solution: Centralized initiation of background screens into OSSC; Program built
and launched in 3 weeks
– Results: 100% compliance to screening requirements
– BONUS! Significant branch time savings (i.e., enable revenue
growth via increased focus on revenue-generating activities)
Proprietary and Confidential to Kelly Services, Inc. • 17

18. Challenges/Lessons Learned
• Challenges
– Lack of awareness of the Business about Shared Services and
the OSSC operating model
– Fragmented approach to Program Management by Business
– Business typically does not have visibility into current state
costs/performance before moving a function into OSSC
• Lessons Learned
– Strong executive sponsorship and governance is critical to
advancing a shared services strategy
– Do not underestimate the importance of change
management practices
– Don’t “blur” the lines – be clear on roles and
responsibilities between the Business and the
SSC – maintain the integrity of the model
Proprietary and Confidential to Kelly Services, Inc. • 18

19. Questions?