Not Peer Reviewed HEALTH WEALTH CAREER 2018 US

Not Peer Reviewed HEALTH WEALTH CAREER 2018 US MERCER BENCHMARK DATABASE (MBD) PARTICIPATION WEBINAR FEBRUARY 13, 2018 Keolani Bradley, Principal Louisville Ashley Kircher, Principal Louisville

TODAY’S WEBINAR SPEAKERS Keolan i Brad ley Principal Career Workforce Products Ashley Kircher Principal Career Workforce Products • US Mercer Benchmark Database Lead and Mercer Job Library Champion • Global Account Management Team Leader and Mercer Job Library Regional Champion • 17 years of experience with compensation surveys, focusing on analysis and insights, custom surveys, and client support/training • 10+ years of compensation, benefits and client relationship experience spanning several key industries including life sciences, consumer goods, and high-tech • Her work focuses on some of Mercer’s largest general industry surveys, and across a number of industries, including hospitality, for -profit education, and containerized shipping • Her role focuses on relationship management of global membership, IPE and Comptryx clients • Based in Louisville, Kentucky • Based in Louisville, KY keolani. bradley@mercer. com ashley. kircher@mercer. com Copyright © 2018 Mercer (US) Inc. All rights reserved. 2

TODAY’S WEBINAR AGENDA 1 2 US MBD OVERVIEW • • 2017 Fast Facts 2018 Update 2018 Enhancements 2018 Important Dates 3 MERCER JOB LIBRARY OVERVIEW • Key Benefits • Framework • Summary of Changes 4 5 BENEFITS OF Q&A PARTICIPATING IN US MBD • Survey Methodology • Resources • Mercer WIN® • Results Insights • Supplemental Reports Copyright © 2018 Mercer (US) Inc. All rights reserved. US MBD PROCESS • • • Access Your Data Collection Kit Match Your Jobs Complete Your Survey Submit Your Survey Review & Verify Your Data Analyze & Publish Results 6 APPENDIX • Executive Level Matching Examples & FAQs • New Ways to Analyze Your Labor Market 3

TODAY’S WEBINAR OBJECTIVES Highlight the overall survey process and your involvement. Copyright © 2018 Mercer (US) Inc. All rights reserved. Share tips and best practices for completing the questionnaire and ensure quality job matching. Provide insight into the data review and verification process. 4

US MBD OVERVIEW Copyright © 2018 Mercer (US) Inc. All rights reserved. 5

US MBD OVERVIEW • Created in 2002 from integrating eight functional surveys into a single product to facilitate a single data submission process and easier results access for clients. • Results are reported by survey module, giving clients the option to participate in and purchase individual survey modules or the full survey suite. • US MBD has grown to include nine survey modules, focusing on functions or levels: 1. 2. 3. 4. 5. Corporate Services and Human Resources Engineering and Design Executive Finance, Accounting, and Legal Mercer/Gartner Information Technology 6. 7. 8. 9. Logistics and Supply Chain Manufacturing and Operations Metropolitan Benchmark (by region)* Sales, Marketing and Communications • US MBD is our largest incumbent database for total direct compensation data, and continues to grow! *Covers professional and para-professional career streams across all specializations surveyed. Copyright © 2018 Mercer (US) Inc. All rights reserved. 6

US MBD OVERVIEW 2017 FAST FACTS* PARTICIPATING COMPANIES ORGANIZATION TYPE 35% 3, 131 Parent/ Independent INCUMBENTS REPRESENTED 49% Division 25% 22% Publicly Not-for-Profit Privately Traded on a Owned Stock Exchange POSITIONS SURVEYED LOCATION COVERAGE Subsidiary OWNERSHIP TYPE 2, 596 m 1, 500 28% 24% PARENT TYPE 67% US 29% 4% FOREIGN CANADA 394 50 Cities States 5 1, 518 MEDIAN FULLTIME EQUIVALENTS INDUSTRY COVERAGE SERVICES NON-FINANCIAL 35% OTHER MANUFACTURING 13% CONSUMER GOODS 8% MEDIAN $ SIZE OTHER $18. 5 b ASSETS $3. 0 b GROSS PREMIUMS $1. 0 b Regions REVENUE/SALES NON-MANUFACTURING 7% INSURANCE/ RE-INSURANCE 6% RETAIL & WHOLESALE 6% ENERGY 5% HIGH-TECH 5% BANKING/FINANCIAL SERVICES 4% TRANSPORTATION EQUIPMENT 4% CHEMICALS 3% LOGISTICS 2% MINING & METALS 1% *Based on 2017 survey results. Copyright © 2018 Mercer (US) Inc. All rights reserved. 7

US MBD OVERVIEW 2018 UPDATE • To ensure US MBD continues to be the premier source for evaluating and creating competitive compensation offerings, we are enhancing the way in which you submit your data and access market results. • We heard your feedback, requesting a single consistent job catalog and structure for simpler job matching and market comparisons, and are excited that US MBD is implementing Mercer Job Library. − This next-generation approach to survey job design and benchmarking provides you with new insights into the labor market by looking beyond traditional jobs. • We have even developed new technology that takes advantage of what Mercer Job Library offers and makes it easier for you to work with Mercer, and will use Mercer Data Connector beginning in 2019. − Mercer Data Connector is an innovative, flexible technology that will allow for simplified data collection, automated data validation and job matching, and realtime submission tracking. Copyright © 2018 Mercer (US) Inc. All rights reserved. 8

US MBD OVERVIEW 2018 ENHANCEMENTS Position Coverage • Implemented Mercer Job Library to the full extent possible: − Added cross-industry roles and a limited number of industry-specific roles, and assigned them to a US MBD module. − Retained only critical roles classified as industry-specific. − Removed some roles due to market relevance. − Resulted in US MBD covering 743 specializations/roles for 7, 709 jobs. • US MBD survey modules, and the position coverage within each module, were modified for clearer distinction across modules and closer alignment with the Canada Mercer Benchmark Database. − Corporate Services and HR module name changed to reflect the additional roles covered that are typically in a corporate services environment. − Executive module will cover exclusively all five levels within the executive career stream across specializations surveyed in MBD. − Metropolitan Benchmark regional modules will cover all levels within the professional and para-professional career streams across specializations surveyed in US MBD. − Roles focused on customer service or typically found in a contact center environment were carved out and made available in the US Contact Center & Customer Service Compensation Survey. Copyright © 2018 Mercer (US) Inc. All rights reserved. 9

US MBD OVERVIEW 2018 ENHANCEMENTS Participation Materials • The US MBD questionnaire was expanded to collect data for the US Contact Center & Customer Service Compensation Survey, and still collects data for US Total Remuneration Survey and Mercer/Gartner IT Jobs and Skills Survey. • The Job Matching Tool has replaced the Job Matching Booklet (more information is described in the US MBD Process section). Data Elements • Added number of direct reports and number of indirect reports. Results Output • Reports will be standardized for easier comparisons across US MBD modules and other products using Mercer Job Library. • Results will be produced for a traditional “job” plus additional data roll-ups that bring together data from related specializations to create consistency when there is variation in job design. • You’ll also get a broader look at the market with aggregated data in “combined jobs” that can be used as a proxy for hybrid roles. Copyright © 2018 Mercer (US) Inc. All rights reserved. 10

US MBD OVERVIEW 2018 ENHANCEMENTS US MBD covers a broad selection of cross-industry jobs and some industry-specific jobs, from executive to para-professional level, in the following Job Families. • Administration, Facilities & Secretarial • Human Resources • Communications & Corporate Affairs • Insurance • Construction • IT, Telecom & Internet • Creative & Design • Legal, Compliance & Audit • Data Analytics/Warehousing, & Business Intelligence • Production & Skilled Trades • Engineering & Science • Quality Management • Finance • General Management • Real Estate Management, Property Development & Investment • Healthcare/Pharmacy Services • Sales, Marketing & Product Management • Hospitality (Food Service & Lodging) • Supply Chain Copyright © 2018 Mercer (US) Inc. All rights reserved. • Project/Program Management 11

US MBD OVERVIEW 2018 IMPORTANT DATES Survey Activity Questionnaire available Jan Feb Mar Apr May Jun Jul Aug 25 Participation webinar 13 IT Survey job matching webinar 22 Data effective 1 Submit your data 30 Review and verify data Analyze results Publish results Results webinar Copyright © 2018 Mercer (US) Inc. All rights reserved. IMPORTANT INFORMATION • For a copy of a webinar presentation, visit imercer. com/mbd. • Registration information for results webinars will be on imercer. com/events. Week 1 Week 4 12

MERCER JOB LIBRARY OVERVIEW Copyright © 2018 Mercer (US) Inc. All rights reserved. 13

MERCER JOB LIBRARY Improved Client Experience Enhanced Job Content Consistent Data Collection Intuitive Results Analysis More data available with new roll-up functionality Improved job descriptions and job coding Simplified data submission, global IPE consistency More intuitive results analysis in Mercer WIN Copyright © 2018 Mercer (US) Inc. All rights reserved. 14

MERCER JOB LIBRARY KEY BENEFITS SINGLE CATALOG AND JOB STRUCTURE CLEAR RELATIONSHIPS BETWEEN JOBS ONE TRS JOB LIST ACROSS ALL COUNTRIES ADAPT QUICKLY TO MARKET TRENDS AND CLIENT DEMANDS TECHNOLOGYDRIVEN, CLIENT EXPERIENCE IMPROVEMENTS Based on “nature of work” across Mercer’s thousands of surveys; supports emerging and mature markets, large and small companies, and different industries. Allows Mercer to provide appropriate alternatives, through the data roll-ups, when insufficient data exists. Simplifies and standardizes our global and regional surveys and the market data for our multi-national clients. Adding new jobs into the global catalog structure to deliver data to the market, faster. Data collection and product delivery processes enabled by the Library’s standard job architecture. Copyright © 2018 Mercer (US) Inc. All rights reserved. 15

MERCER JOB LIBRARY FRAMEWORK • Recognizable Job Codes • Improved Job Descriptions • Better Cross. Market Comparisons • Career Levels Aligned with Consulting Frameworks • No More Executive Tiers 28 186 JOB FAMILIES JOB SUB-FAMILIES ACROSS ALL INDUSTRIES 2, 000 SPECIALIZATIONS Copyright © 2018 Mercer (US) Inc. All rights reserved. 4 CAREER STREAMS covering 20 LEVELS 16

MERCER JOB LIBRARY FRAMEWORK: NATURE OF WORK JOB FAMILIES • • • • Administration, Facilities & Secretarial Asset/Investment Management Capital Markets/Investment Banking Communications & Corporate Affairs Construction Consumer & Commercial Banking Creative & Design Customer Service & Contact Center Operations Data Analytics/Warehousing & Business Intelligence • • • Hospitality (Food Service & Lodging) • • Retail Education Engineering & Science Finance General Management Healthcare Human Resources Insurance IT, Telecom & Internet Legal, Compliance & Audit Media Production & Skilled Trades Project/Program Management Quality Management Real Estate Management, Property Development & Investment Sales, Marketing & Product Management Supply Chain Trading & Dealing Note: Across the Library, jobs where nature of work is not specific to a particular industry are classified as “Cross Industry” covered in MBD. In Library, you will also find industry-specific jobs relevant to your organization, available in our Industry products. Copyright © 2018 Mercer (US) Inc. All rights reserved. 17

MERCER JOB LIBRARY FRAMEWORK: NATURE OF WORK SUB-FAMILIES Sub-Families within the Administration, Facilities & Secretarial and Engineering & Sciences Job Families are shown below for illustrative purposes. * Administration, Facilities & Secretarial Engineering & Science • Administration & Secretarial • Facilities Management & Planning • Facilities Refurbishment, Repair & Maintenance • Facilities/Grounds, Custodial, Cleaning & Laundry • Library Services • Property, Facilities & Asset Security • Transportation & Messenger Services • • Engineering Design Services Engineering Technicians Engineering Technologists/Technical Professionals • Joint Engineering & Science Technical Leadership • Science Research & Quality Laboratory Services • Science Technical Research • Technical Product Development/Research Operations *This is not an exhaustive list of Sub-Families covered in Mercer Job Library. Copyright © 2018 Mercer (US) Inc. All rights reserved. 18

MERCER JOB LIBRARY FRAMEWORK: NATURE OF WORK CONCEPT JOB FAMILY Engineering & Science SUB-FAMILY UNIVERSAL NAVIGATION GROUP Engineering Design Services Product/System Design Services Engineering Design Engineering Process Engineering Copyright © 2018 Mercer (US) Inc. All rights reserved. SPECIALIZATION Computer Aided Design & Drafting (CAD/CAM/CAE) Manufacturing Industrial Model Making Support Manufacturing Product/System Design Services Multiple Engineering Design Services Specializations Electronics Product Design Engineering General Integrated Circuit (IC) Design Engineering (High Tech) Manufacturing Packaging Design Engineering Mechanical Product Design Engineering Radio Frequency (RF) Engineering Robotics Engineering Commissioning & Start-Up Engineering Human Factors Engineering Manufacturing Industrial Optimization Engineering Project Controls Engineering Project Planning/Scheduling Engineering 19

MERCER JOB LIBRARY FRAMEWORK: NATURE OF WORK STRUCTURE Nature of Work JOB FAMILY Engineering & Science SUB-FAMILY Engineering Design Services UNIVERSAL NAVIGATION GROUP Product/System Design Services SPECIALIZATION Computer Aided Design & Drafting (CAD/CAM/CAE) Manufacturing Industrial Model Making Support Manufacturing Product/System Design Services Multiple Engineering Design Services Specializations + Hierarchy of Work CAREER STREAM & LEVEL Job matching to Library Job Senior Professional Copyright © 2018 Mercer (US) Inc. All rights reserved. JOBS (SPECIALIZATION + CAREER LEVEL): • Computer Aided Design & Drafting (CAD/CAM/CAE) Senior • • • Professional Manufacturing Industrial Model Making Support Senior Professional Manufacturing Product/System Design Services Senior Professional Multiple Engineering Design Services Specializations Senior Professional 20

MERCER JOB LIBRARY FRAMEWORK: NEW CAREER STREAMS AND LEVELS CAREER STREAMS EXECUTIVES PARA-PROFESSIONAL MANAGEMENT PROFESSIONAL Senior Manager II M 5 Pre-eminent P 6 Senior Manager M 4 Expert P 5 Manager M 3 Specialist P 4 Team Leader M 2 Senior P 3 Team Leader M 1 Experienced P 2 Specialist S 4 Entry P 1 Senior S 3 HEAD OF ORGANIZATION CAREER LEVELS HEAD OF FUNCTION HEAD OF SUB-FUNCTION Experienced S 2 Entry S 1 Copyright © 2018 Mercer (US) Inc. All rights reserved. 21

MERCER JOB LIBRARY FRAMEWORK: INTUITIVE CODING STRUCTURE Computer Aided Design & Drafting (CAD/CAM/CAE) - Senior Professional (P 3) ENS. 06. 002. P 30 FAMILY SUB-FAMILY SPECIALIZATION 3 -DIGIT ALPHA 2 -DIGIT NUMERIC 3 -DIGIT NUMERIC Copyright © 2018 Mercer (US) Inc. All rights reserved. CAREER STREAM CAREER LEVEL 1 -DIGIT ALPHA 2 -DIGIT NUMERIC 22

MERCER JOB LIBRARY FRAMEWORK: IMPROVED JOB DESCRIPTIONS ENS. 06. 002. P 30 COMPUTER AIDED DESIGN & DRAFTING (CAD/CAM/CAE) - SENIOR PROFESSIONAL Computer Aided Design & Drafting (CAD/CAM/CAE) work focuses on the documentation, illustration, and digital modelling of engineering designs and processes including: • Assessing engineering requirements and translating into technical blueprints, drawings, layouts, and simulation models using CAD/CAM/CAE software or applying standard CAD/CAM/CAE techniques to digitize, edit, and revise engineering drawings of components, parts, and assemblies • Customizing CAD/CAM/CAE software to model complex or unusual designs • Creating digital proto-types and conducting design simulations for purposes of verifying reliability/safety and optimizing engineering processes • Collaborating with product/manufacturing process engineers by recommending changes to component designs based on outcomes of digital proto-typing and design simulations • May provide materials lists and cost estimates A Senior Professional (P 3) applies advanced knowledge of job area typically obtained through advanced education and work experience. • May manage projects / processes, working independently with limited supervision • Coaches and reviews the work of lower level professionals • Problems faced are difficult and sometimes complex Typical Titles: CAD/CAM/CAE Drafter, CAD/CAM/CAE Designer, Drafter Designer Match Note: Para-Professional incumbents typically work on less complex engineering designs and processes than Individual Professionals and modify draft layouts/models created by engineers and CAD/CAM/CAE designers. Copyright © 2018 Mercer (US) Inc. All rights reserved. 23

MERCER JOB LIBRARY SUMMARY OF CHANGES • “Nature of Work” Job Family Structure • Career Streams and Levels – Allow matches and data publication at all career levels, with limitations in cases where certain levels do not make sense (“allowable levels”) – Reversed the order of career level numbering so higher numbers correspond with higher career levels; more intuitive for clients and aligns with ordering for IPE PC – Revised the career stream and level descriptions to align with recent Talent Consulting careers work; language will be used in job descriptions consistently – Added two new Executive and one new Management career levels: - 5 Executive career levels instead of 3 - 5 Management career levels instead of 4 – Removed of Executive Tiers (Tier 0, Tier 1, Tier 2, Tier 3) - Collect data using individual jobs for each Org Type / Geo Scope combination Copyright © 2018 Mercer (US) Inc. All rights reserved. 24

US MBD PROCESS Copyright © 2018 Mercer (US) Inc. All rights reserved. 25

US MBD PROCESS OVERVIEW 1 2 3 4 5 6 Access Your Data Collection Kit Match Your Jobs Complete Your Survey Questionnaire Submit Your Survey Questionnaire Review and Verify Your Data Analyze and Publish Results PARTICIPANT & MERCER’S RESPONSIBILITY PARTICIPANT’S RESPONSIBILITY Copyright © 2018 Mercer (US) Inc. All rights reserved. 26

US MBD PROCESS 1. ACCESS YOUR DATA COLLECTION KIT 1 2 3 4 5 6 Access Your Data Collection Kit Match Your Jobs Complete Your Survey Questionnaire Submit Your Survey Questionnaire Review and Verify Your Data Analyze and Publish Results PARTICIPANT & MERCER’S RESPONSIBILITY PARTICIPANT’S RESPONSIBILITY Copyright © 2018 Mercer (US) Inc. All rights reserved. 27

1. ACCESS YOUR DATA COLLECTION KIT (DCK) NEW PARTICIPANT 1. Go to the Participation Station on imercer. com. 2. Download the blank submission form. Your Data Collection Kit (DCK) Includes: Questionnaire (Blank Excel file) Copyright © 2018 Mercer (US) Inc. All rights reserved. Job Matching Tool • Job catalogue including redesigned job matrix tab • Brand new Mercer Job Library coding and Executive level career stream matrix Quick Reference Guide 28

1. ACCESS YOUR DATA COLLECTION KIT (DCK) RETURNING PARTICIPANT 1. Enter your user ID and password on imercer. com. 2. Select My Account. 3. Download your pre -populated submission file from My Participation table. IMPORTANT INFORMATION Your Data Collection Kit (DCK) Includes: Questionnaire (Pre-populated Excel file) Copyright © 2018 Mercer (US) Inc. All rights reserved. Job Matching Tool • Job catalogue including redesigned job matrix tab • Brand new Mercer Job Library coding and Executive level career stream matrix If you do not have access to your organization’s prepopulated questionnaire, email surveys@mercer. com. Quick Reference Guide 29

US MBD PROCESS 2. MATCH YOUR JOBS 1 2 3 4 5 6 Access Your Data Collection Kit Match Your Jobs Complete Your Survey Questionnaire Submit Your Survey Questionnaire Review and Verify Your Data Analyze and Publish Results PARTICIPANT & MERCER’S RESPONSIBILITY PARTICIPANT’S RESPONSIBILITY Copyright © 2018 Mercer (US) Inc. All rights reserved. 30

2. MATCH YOUR JOBS GUIDELINES Gather information about your organization’s positions and review them against the new Job Matching Tool to identify which jobs you will match to Library jobs. Matching Your Positions Confirm your understanding of your organization’s jobs. • Discuss matches with line managers, peers, and Mercer. Match each incumbent to only one Library Job. Match on content, not: • Job title • Individual in the job Copyright © 2018 Mercer (US) Inc. All rights reserved. A Good Match Hybrid Jobs Incumbent may not perform all functions in description. Some jobs are too unique to match (e. g. , incumbent spends 50% in marketing and 50% in IT). Good match represents 80%120% of Library job. Contains 60% or more job content, otherwise exclude. If one or more main responsibilities in survey description are not in your position, another match may be more appropriate. 31

2. MATCH YOUR JOBS IT’S AS EASY AS 1, 2, 3 1 2 3 Select Relevant Industry(ies) A. Select Cross Industry jobs B. Filter by industry(ies) to determine industry-specific matches Determine Relevant Specialization A. Filter by Job Family/Sub-Family B. Search for key words and typical titles C. Use Match Notes and select specific Specialization Determine Relevant Career Stream & Level A. Executive B. Management C. Professional D. Para-Professional/Support Copyright © 2018 Mercer (US) Inc. All rights reserved. 32

2. MATCH YOUR JOBS IT’S AS EASY AS 1, 2, 3 Step 1 Select Relevant Industry(ies) SEARCH for cross-industry or industry-specific jobs from the full Mercer Job Library! US MBD covers a broad selection of cross-industry jobs and some industry-specific jobs, as shown in the list. Copyright © 2018 Mercer (US) Inc. All rights reserved. Agriculture Automotive Construction Cross Industry Education Financial Services Healthcare High Tech Hospitality Insurance Life Sciences Logistics Media & Entertainment Real Estate Retail 33

2. MATCH YOUR JOBS IT’S AS EASY AS 1, 2, 3 Step 2 Determine Relevant Specialization Job Family: Specialization: Human Resources (HRM) Compensation & Benefits (001) Compensation (002) Executive Compensation (003) Benefits (004) Total Rewards (005) Work/Life & Wellness(006) Health & Welfare Benefits (007) Sub-Family: Human Resource Leadership (01) Human Resources Generalists (02) Mobility (03) Compensation & Benefits (04) Human Resources Operations (05) Payroll (06) Employee/Labor Relations & Diversity (07) Talent Acquisition (08) Talent Management & Organization Development (09) Training & Development Internal (10) Compensation & Benefits Senior Professional HRM. 04. 001. P 30 FAMILY SUB-FAMILY Copyright © 2018 Mercer (US) Inc. All rights reserved. SPECIALIZATION CAREER STREAM CAREER LEVEL 34

2. MATCH YOUR JOBS IT’S AS EASY AS 1, 2, 3 Step 2 Determine Relevant Specialization SPECIALIZATION DESCRIPTION TITLE and CODE IMPORTANT INFORMATION Compensation & Benefits (001) Compensation & Benefits is accountable for all processes and team Consistent Specialization associated with work across both compensation and benefits including: descriptions apply to multiple • Compensation design and management Career Levels. • Benefits design and management • Executive rewards design and management • Reward plan evaluation and analysis • Reward plan communication • Vendor management May also develop total rewards strategies and designs that encompass work/lifestyle and development/career rewards. May also be accountable for mobility program strategy and design. Compensation (002) Compensation is a specialized area of Rewards focusing on compensation design, management, and analysis including: • Compensation program design (e. g. , salary and incentive structures, pay policy, etc. ) • Compensation plan management (e. g. , changes to base pay, short-term and long-term incentives, allowances, deferred compensation, sales compensation, etc. ) • Compensation evaluation and analysis (e. g. , job analysis, evaluation and classification, survey participation, policy, and benefits benchmark and review) • Communication (e. g. , guidance and compensation program features, plans, and options) • Vendor management (e. g. , consultants for program design advice for the organization's compensation plan) Executive Compensation (003) Executive Compensation work is a specialized area of Rewards focusing on executive compensation design, management, and analysis including: • Executive compensation program design (e. g. , salary and incentive structures, pay policy, etc. ) Copyright © 2018 Mercer (US) Inc. All rights reserved. 35

2. MATCH YOUR JOBS IT’S AS EASY AS 1, 2, 3 Step 3 Determine Relevant Career Stream and Level Career Stream: Career Level: Professional Entry Professional (P 10) Experienced Professional (P 20) Senior Professional (P 30) Specialist Professional (P 40) Expert Professional (P 50) Pre-eminent Professional (P 60) IMPORTANT INFORMATION All relevant career streams are now available for job matching. Compensation & Benefits Senior Professional HRM. 04. 001. P 30 FAMILY SUB-FAMILY Copyright © 2018 Mercer (US) Inc. All rights reserved. SPECIALIZATION CAREER STREAM CAREER LEVEL 36

2. MATCH YOUR JOBS IT’S AS EASY AS 1, 2, 3 Step 3 Determine Relevant Career Stream and Level CAREER LEVEL NAME and CODE CAREER LEVEL DESCRIPTION Expert Professional (P 5) An Expert Professional (P 5) is a recognized master in professional discipline Career Stream and Level typically obtained through advanced education and work experience. descriptions are consistent Typically responsible for: across Mercer Job Library. • Establishing operational plans for job area. • Developing and implementing new products, processes, standards or operational plans that will have impact on the achievement of functional results. • Requires communication with leadership. Specialist Professional (P 4) A Specialist Professional (P 4) is a recognized subject matter expert in job area typically obtained through advanced education and work experience. Responsibilities typically include: • Managing large projects or processes with limited oversight from manager. • Coaching, reviewing and delegating work to lower level professionals. • Problems faced are difficult and often complex. Senior Professional (P 3) A Senior Professional (P 3) applies advanced knowledge of job area typically obtained through advanced education and work experience. Responsibilities may include: • Managing projects / processes, working independently with limited supervision. • Coaching and reviewing the work of lower level professionals. • Problems faced are difficult and sometimes complex. Copyright © 2018 Mercer (US) Inc. All rights reserved. IMPORTANT INFORMATION 37

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES 1 Select Career Level A. Organization Head B. Function Head C. Sub-function Head 2 Determine relevant Organization Type A. Parent B. Subsidiary C. Multi-Profit Center (MPC) D. Division 3 Determine Job’s Geographic responsibility A. Global B. Regional C. Country Copyright © 2018 Mercer (US) Inc. All rights reserved. Not directly tied to a geographic scope or organization type 38

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 1 Select Career Level CAREER STREAMS Step 1 Select Career Level EXECUTIVES PARA-PROFESSIONAL MANAGEMENT PROFESSIONAL Senior Manager II M 5 Pre-eminent P 6 Senior Manager M 4 Expert P 5 Manager M 3 Specialist P 4 Team Leader M 2 Senior P 3 Team Leader M 1 Experienced P 2 Specialist S 4 Entry P 1 Senior S 3 HEAD OF ORGANIZATION CAREER LEVELS HEAD OF FUNCTION HEAD OF SUB-FUNCTION Experienced S 2 Entry S 1 Copyright © 2018 Mercer (US) Inc. All rights reserved. 39

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 1 Select Career Level: Head of Organization GEOGRAPHIC RESPONSIBILITY OF ROLE TYPE OF ORGANIZATION MULTI PROFIT CENTER/GROUP PARENT SUBSIDIARY GLOBAL Executive Level 5 Executive Level 4 REGIONAL Executive Level 4 Executive Level 3 COUNTRY Executive Head Level 3 Executive Level 2 Copyright © 2018 Mercer (US) Inc. All rights reserved. DIVISION 40

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 1 Select Career Level: Head of Function GEOGRAPHIC RESPONSIBILITY OF ROLE TYPE OF ORGANIZATION MULTI PROFIT CENTER/GROUP PARENT SUBSIDIARY GLOBAL Executive Level 4 REGIONAL Executive Level 3 Executive Level 2 COUNTRY Executive Head Level 2 Executive Level 2 Copyright © 2018 Mercer (US) Inc. All rights reserved. DIVISION 41

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 1 Select Career Level: Head of Sub-Function Example: Head of Compensation & Benefits Level E 3 Level E 2 Mid to long-term impact (3 -5 years) Head of C&B with global scope, within Parent company Head of C&B with global scope, in Subsidiary organization Copyright © 2018 Mercer (US) Inc. All rights reserved. Level M 5 Level E 1 Short to mid-term Impact (1 -3 years) Head of C&B with regional scope, in Subsidiary organization In country Head of C&B, in Subsidiary organization 42

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 2 Determine Relevant Organization Type Parent/ Independent Subsidiary The highest reporting entity without any organization above it. Typically, management is responsible to either, the board of directors and shareholders or to the owners for overall organization performance. Organizations which are structured as joint ventures should report themselves as parent/independent. The subsidiary is a legally chartered independent entity with majority interest held by a corporate entity and does have its own board of directors. It often has multiple business units and is responsible for all organization functions. Although a subsidiary may ultimately roll up into a corporate entity, management performs all functions of a stand-alone organization and is accountable to the corporate organization for operations and financial performance. Note: Hospitals who are majority owned by a college or university and organizations whose parent is structured as a holding company should report themselves as a subsidiary. Multi-Profit Centre (Group) An independent business unit consisting of multiple profit centers or divisions. The group is held accountable to a corporate entity similar to a subsidiary. The difference between the multi-profit center (group) organization type and subsidiary organization type is the group is not legally chartered and does not have a board of directors. Division An independent entity accountable for all organization functions typically for a select group of organization product lines. Generally, a division consists of a single profit center or operating unit that is fully accountable to the corporate, subsidiary, or group organization types. Copyright © 2018 Mercer (US) Inc. All rights reserved. 43

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 2 Determine Relevant Organization Type: General Example PARENT SUBSIDIARY DIVISION AND/OR DIVISION A AND/OR GROUP DIVISION A GROUP AND/OR DIVISION B Note: This diagram is general and for demonstrative purposes to show the relationship between the parent, subsidiary, group, and division organization types. An organization may have multiple subsidiaries, groups, and divisions. Copyright © 2018 Mercer (US) Inc. All rights reserved. 44

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 2 Determine Relevant Organization Type: Mercer Example PARENT / INDEPENDENT MARSH GUY CARPENTER SUBSIDIARY MERCER OLIVER WYMAN NERA Economic Consulting LIPPINCOTT SUBSIDIARY OLIVER WYMAN GROUP MULTI-PROFIT CENTER (GROUP) HEALTH WEALTH CAREER DIVISION Copyright © 2018 Mercer (US) Inc. All rights reserved. 45

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 2 Determine Relevant Organization Type: Decision Tree START Does the organization report into another organization above? Yes No Is it legally chartered with own Board of Directors? Yes Subsidiary No Parent / Independent Does it comprise of a single or multiple profit centers / divisions? Multiple Multi-Profit Center Single Note: “Organization” refers to the participating entity Copyright © 2018 Mercer (US) Inc. All rights reserved. Division 46

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 2 Determine Relevant Organization Type: Differentiation Table Parent/ Independent Subsidiary Multi-Profit Centre (Group) Division Is it the highest reporting entity without any organization above it? Yes No No No Is it legally chartered (i. e. is a separate legal entity)? Yes No No Does it have its own Board of Directors? Yes No No Can it perform entirely different operation than its parent company? N/A Yes No Number of profit centers or operating units it generally has: Multiple Single Copyright © 2018 Mercer (US) Inc. All rights reserved. 47

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 3 Determine Executive Job’s Geographic Responsibility GLOBAL i. e. , worldwide (includes multi regional) Regional i. e. , Asia, Europe, North America (includes sub-regional and multiple markets) In-Country i. e. , United States (includes district and complex domestic) Copyright © 2018 Mercer (US) Inc. All rights reserved. Further refinements available at the job level in Mercer WIN • Global • Multi Country • Multi Regional • Country • Regional • District 48

2. MATCH YOUR JOBS TIP: SELECTING EXECUTIVE LEVEL MATCHES Step 3 Determine Executive Job’s Geographic Responsibility Geographic Scope of Role (Report on the Incumbents tab of the questionnaire for executive positions only ) Global Multi-regional Regional Multi-country In-country District Worldwide Operations Two or more regions (North America, Europe, Asia) One region, i. e. Asia, Europe (inc. sub-regional and multiple markets) 2 -7 other countries United State Significant area of a country (e. g. , Western US) IMPORTANT INFORMATION If your organization only operates in one location, choose “In Country”. Copyright © 2018 Mercer (US) Inc. All rights reserved. 49

2. MATCH YOUR JOBS TIP: USING SPECIALTY FLAGS Speciality Flag: A field used to "flag" additional areas of specialization; applicable for some industry-specific jobs only. The consistent reporting of these flags will help to ensure the availability of more granular compensation data. Example Job: CON. 025. M 40 Construction Operations (Real Estate & Construction) - Senior Manager (M 4) Associated Specialty Flags: • Industrial • Commercial/Office • Retail • Residential • Community/Senior Living • Diversified Copyright © 2018 Mercer (US) Inc. All rights reserved. IMPORTANT INFORMATION The Library Jobs for which specialty flags are applicable can be found in the Job Catalogue tab of the Job Matching Tool. 50

2. MATCH YOUR JOBS JOB MATCHING TOOL DEMO Use industry filter to search for industry specific Specializations Click headers for Career Level descriptions Remember: a Job is based on Specialization and Career Level Auto filtering helps you to search quickly Scroll over the code to see the Job Title. Click the Job Code to switch to the Job Catalogue… Copyright © 2018 Mercer (US) Inc. All rights reserved. 51

US MBD PROCESS 3. COMPLETE YOUR SURVEY QUESTIONNAIRE 1 2 3 4 5 6 Access Your Data Collection Kit Match Your Jobs Complete Your Survey Questionnaire Submit Your Survey Questionnaire Review and Verify Your Data Analyze and Publish Results PARTICIPANT & MERCER’S RESPONSIBILITY PARTICIPANT’S RESPONSIBILITY Copyright © 2018 Mercer (US) Inc. All rights reserved. 52

3. COMPLETE YOUR SURVEY QUESTIONNAIRE PARTICIPATION CRITERIA Mercer reserves the right to determine whether a submission qualifies as survey participation for US MBD. • Report an annual dollar volume and full-time equivalents value (not headcount) which are critical for analyses. • Match survey jobs across each career stream. • Reference the MJL Specializations & Levels tab within the questionnaire or the Job Catalogue tab within the Job Matching Tool for an understanding of job coverage within each career stream. • Report incumbent compensation data for a reasonable proportion of your FTE population: Your Company’s FTE Population Minimum Number of Job Matches Less than 500 15 500 < 1, 000 40 1, 000 or More 50 Copyright © 2018 Mercer (US) Inc. All rights reserved. 53

3. COMPLETE YOUR SURVEY QUESTIONNAIRE NON-STANDARD EXCEL FUNCTIONALITY • It is possible to insert and remove rows; however, columns cannot be added or deleted. • If copying and pasting data from a personal file, make sure none of the cells are locked for editing. • When pasting figures make sure to paste them ’as values’ otherwise the cells might get locked. • What if cells will get locked anyway? Please contact surveys@mercer. com. IMPORTANT INFORMATION If you click on a specific column header, it will direct you to the description in the Guide Tab. Copyright © 2018 Mercer (US) Inc. All rights reserved. 54

3. COMPLETE YOUR SURVEY QUESTIONNAIRE INTRODUCTION TAB IMPORTANT INFORMATION The Introduction tab identifies the questionnaire tabs relevant for participation in each survey covered in the file. Copyright © 2018 Mercer (US) Inc. All rights reserved. 55

3. COMPLETE YOUR SURVEY QUESTIONNAIRE GUIDE TAB IMPORTANT INFORMATION The Guide tab provides instructions for completing the questionnaire, definitions, and reporting tips. . Copyright © 2018 Mercer (US) Inc. All rights reserved. 56

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 1 -CONTACT TAB IMPORTANT INFORMATION The 1 -Contact tab collects information crucial for processing your submission. You can also enter feedback about your data. Copyright © 2018 Mercer (US) Inc. All rights reserved. 57

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 2 -SURVEY ORDER TAB IMPORTANT INFORMATION Use the 2 -Survey Order tab to place your results purchase order. The Contact, User and Billing personnel can all be different people in your organization! Copyright © 2018 Mercer (US) Inc. All rights reserved. 58

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 3 -COMPANY DATA TAB* IMPORTANT INFORMATION The 3 -Company Data tab collects data for each entity in which you report incumbent compensation data in your submission. Do not create “fake” entities, and be sure your submission is based on an entire entity (not just an MBD module). *Marsh & Mc. Lennan Companies, and its associated entities, are shown on this slide for illustrative purposes only. Copyright © 2018 Mercer (US) Inc. All rights reserved. 59

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 3 -COMPANY DATA TAB* ENTITY TYPE Benchmark against your peers by type of organization, ownership, and industry. • Organization: corporate, subsidiary, group, division. IMPORTANT INFORMATION CORPORATE AND/OR SUBSIDIARY DIVISION AND/OR GROUP DIVISION A AND/OR DIVISION B Note: This diagram is an example to show the relationship between the corporate, subsidiary, group, DIVISION B and division organization types. An organization may have multiple subsidiaries, groups, and divisions. Entities should not include: − Shared service centers − Corporate functions (i. e. , Finance) − Individual plant locations − Geographic locations • Ownership: publicly traded, privately held, not-for-profit, etc. • Industry: super sector, and subsector. ENTITY SIZE Benchmark against your peers of similar size. • Annual Dollar Volume: assets, net sales/revenue, gross premiums, operating expenses/budget, net revenue. Report the annual dollar volume amount specific to each entity’s industry. − All organizations should report a net sales/revenue amount. − All not-for-profit organizations should report an operating expenses/budget amount. − Only healthcare organizations should report net revenue. • Total Full-Time Equivalents. Report the number of full-time equivalents, not headcount, and exclude seasonal employees. *Mercer will validate this data based on information available in the public domain. Copyright © 2018 Mercer (US) Inc. All rights reserved. 60

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 3 -COMPANY DATA TAB* IMPORTANT INFORMATION You do not need to tell Mercer that the non-parent entity you are reporting for is not separately listed on a stock exchange; simply report the parent stock information. *Marsh & Mc. Lennan Companies, and its associated entities, are shown on this slide for illustrative purposes only. Copyright © 2018 Mercer (US) Inc. All rights reserved. 61

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 3 -COMPANY DATA TAB & 5 -INCUMBENTS TAB* IMPORTANT INFORMATION Entity codes entered on 3 Company Data tab must be entered for at least one incumbent on 5 -Incumbents tab; the entity codes must match on both tabs. *Marsh & Mc. Lennan Companies, and its associated entities, are shown on this slide for illustrative purposes only. Copyright © 2018 Mercer (US) Inc. All rights reserved. 62

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 5 -INCUMBENTS TAB: PRE-POPULATED FILE If this message is shown for your previously matched executive job, select the right match based on career level, organization type, and geographic scope of role. Example of two roles that have the same nature of work, and map to a single specialization in MJL. Example of a previously submitted job that is not mapped to MJL and requires re-matching. Example of a previously matched job that does not have a direct mapping to MJL (e. g. , there might be more specialization options) and requires re-matching. Copyright © 2018 Mercer (US) Inc. All rights reserved. 63

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 5 -INCUMBENTS TAB Zip Code • • Enter the five-digit zip code for the city in which the incumbent works. This information is key for geographical analysis. IMPORTANT INFORMATION Some data fields are applicable to a respective survey; carefully read each data field header and instructions on the Guide tab so you report all necessary data. Copyright © 2018 Mercer (US) Inc. All rights reserved. FLSA Status • Indicate whether each incumbent is exempt or nonexempt under the Fair Labor Standards Act. Overtime Pay Eligibility • • Only complete this field for incumbents that are exempt. Indicate whether each incumbent is compensated for overtime worked, either in payment or compensatory time off. 64

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 5 -INCUMBENTS TAB Number of Direct Reports • Report the number of employees directly managed by the incumbent. Number of Indirect Reports • Report the number of employees directly managed by the incumbent. For both fields, if the incumbent does not have any employee management responsibility, enter zero. Copyright © 2018 Mercer (US) Inc. All rights reserved. Standard Work Week Base Salary • Report the number of hours in a standard work week for each position. • Do not submit average data; submit one row of data for each incumbent in a position. • May vary depending on whether based in a corporate office, plant, or regional office. • Provide either annual base salary or hourly rate. • Do not include part-time employees. • Exclude overtime. 65

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 5 -INCUMBENTS TAB Short-term Incentive (STI) % Threshold/Target/Maximum values are collected as a percentage of base salary; if the amount is 5%, please enter 5 and not 0. 05. Enter whole numbers. Short-term Incentive (Actual) • • Copyright © 2018 Mercer (US) Inc. All rights reserved. Enter the amount of incentive earned (but not necessarily paid out) in dollars, for the most recently completed performance period. Exclude non-performance based incentives such as: holiday bonuses, sign-on bonuses, retention bonuses, mandatory deferred compensation payments. STI Status for Non-Receivers For incumbents who are eligible for a shortterm incentive award, but did not receive a payout, indicate the reason why. 66

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 5 -INCUMBENTS TAB Profit Sharing (Actual) Enter the total amount of profit-sharing payments made to the incumbent in the most recently completed fiscal year in whole numbers (e. g. , $650). Sales Incentives • • Enter whole numbers for percentages (i. e. , 5% is 5). Enter the amount of sales incentives earned in the most recent fiscal year (sales bonuses or commissions). Copyright © 2018 Mercer (US) Inc. All rights reserved. Sales Status for Non-Receivers For incumbents who are eligible for a sales incentive award, but did not receive a payout, indicate the reason why. Profit Sharing Eligibility • • Indicate if the incumbent is eligible for a profitsharing plan, either cash payouts or deferred. Profit-sharing plans should be based on corporate performance with a predetermined payout formula (not adjusted for individual performance) for all eligible employees. 67

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 5 -INCUMBENTS TAB & 6 -LTI PLANS TAB IMPORTANT INFORMATION LTI Plan Award on the 5 -Incumbents tab must match an LTI Plan Identifier on the 6 -LTI Plans tab. Copyright © 2018 Mercer (US) Inc. All rights reserved. 68

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 6 -LTI PLANS TAB IMPORTANT INFORMATION LTI awards occurring before January 1, 2016 should not be reported. LTI Plan Information Sources Parent company/ head office. Proxy statements or other communication to shareholders. Copyright © 2018 Mercer (US) Inc. All rights reserved. Third-party vendor who manages LTI programs. Employee benefit handbook. 69

3. COMPLETE YOUR SURVEY QUESTIONNAIRE 7 -IT JOBS & SKILLS SURVEY TAB IMPORTANT INFORMATION Report data on the IT Jobs & Skills tab to receive these survey results at a discounted rate. Results include case studies, analysis of key HR issues and expert commentary from Gartner. 2017 Results Reflect • • Copyright © 2018 Mercer (US) Inc. All rights reserved. More than 630 US participating organizations. All 14 industry super sectors were represented by participants across a variety of organization types, ownerships and sizes. 70

US MBD PROCESS 4. SUBMIT YOUR SURVEY QUESTIONNAIRE 1 2 3 4 5 6 Access Your Data Collection Kit Match Your Jobs Complete Your Survey Questionnaire Submit Your Survey Questionnaire Review and Verify Your Data Analyze and Publish Results PARTICIPANT & MERCER’S RESPONSIBILITY PARTICIPANT’S RESPONSIBILITY Copyright © 2018 Mercer (US) Inc. All rights reserved. 71

4. SUBMIT YOUR SURVEY QUESTIONNAIRE OPTION 1: VIA UPLOAD LINK IMPORTANT INFORMATION If you password protect your file, email the password to us at surveys@mercer. com; and be sure to save a copy of the file for your records. Copyright © 2018 Mercer (US) Inc. All rights reserved. Upload your completed questionnaire via the secure file upload link on the Introduction tab. 72

4. SUBMIT YOUR SURVEY QUESTIONNAIRE OPTION 2: VIA IMERCER. COM IMPORTANT INFORMATION If you upload your questionnaire via imercer. com, select “United States” to ensure your submission is properly processed. Copyright © 2018 Mercer (US) Inc. All rights reserved. 73

US MBD PROCESS 5. REVIEW AND VERIFY YOUR DATA 1 2 3 4 5 6 Access Your Data Collection Kit Match Your Jobs Complete Your Survey Questionnaire Submit Your Survey Questionnaire Review and Verify Your Data Analyze and Publish Results PARTICIPANT & MERCER’S RESPONSIBILITY PARTICIPANT’S RESPONSIBILITY Copyright © 2018 Mercer (US) Inc. All rights reserved. 74

5. REVIEW AND VERIFY YOUR DATA PROCESS 1. Mercer performs stringent data validation checks on each submission for completeness and accuracy. 4. Mercer might call you to discuss specific questions. 2. Mercer prepares questions for each submission on a Data Validation File (DVF) and sends it for your review. 3. You review our questions, update your DVF and return to Mercer within five days. Participant’s Responsibility Copyright © 2018 Mercer (US) Inc. All rights reserved. Shared Responsibility 5. Mercer conducts a thorough review and analysis of the aggregated market data. 6. Mercer approves and finalizes the database to publish the results. Mercer’s Responsibility 75

5. REVIEW AND VERIFY YOUR DATA VALIDATION FILE Once your submission is reviewed a Data Validation File is prepared When ready on your imercer account, you will receive an email notification The DVF file is available on your imercer. com account in the My Data Validation section Copyright © 2018 Mercer (US) Inc. All rights reserved. 76

5. REVIEW AND VERIFY YOUR DATA VALIDATION FILE: AUDIT SUMMARY The Data Validation File is your completed questionnaire, with the addition of the Audit Summary and Additional Data Analysis tabs. IMPORTANT INFORMATION Tabs requiring your review of data issues are highlighted in orange. The Severity Level Flags identify critical data needed from you. Copyright © 2018 Mercer (US) Inc. All rights reserved. 77

5. REVIEW AND VERIFY YOUR DATA VALIDATION FILE: ADDITIONAL DATA ANALYSIS Use this tab in the Data Validation File to quickly compare your data and then make necessary changes to the applicable tabs in the workbook. IMPORTANT INFORMATION If you notice any changes that need to be made based on the analysis on this tab, make your changes directly on the 5 -Incumbents tab. Copyright © 2018 Mercer (US) Inc. All rights reserved. 78

5. REVIEW AND VERIFY YOUR DATA VALIDATION FILE: 5 -INCUMBENTS Cells requiring action are color-coded according to the severity or impact to your data submission. IMPORTANT INFORMATION Make corrections to highlighted cells; other changes to data might result in more issues. Never delete data rows from the Data Validation File – use the “Exclude Row from Survey” column. Copyright © 2018 Mercer (US) Inc. All rights reserved. 79

US MBD PROCESS 6. ANALYZE AND PUBLISH RESULTS 1 2 3 4 5 6 Access Your Data Collection Kit Match Your Jobs Complete Your Survey Questionnaire Submit Your Survey Questionnaire Review and Verify Your Data Analyze and Publish Results PARTICIPANT & MERCER’S RESPONSIBILITY PARTICIPANT’S RESPONSIBILITY Copyright © 2018 Mercer (US) Inc. All rights reserved. 80

6. ANALYZE AND PUBLISH RESULTS PROCESS 1. Mercer performs stringent data validation checks on each submission for completeness and accuracy. 4. Mercer may call you to discuss specific questions. 2. Mercer prepares questions for each submission on a Data Validation File (DVF) and sends it for your review. 3. You review our questions, update your DVF and return to us within five days. Participant’s Responsibility Copyright © 2018 Mercer (US) Inc. All rights reserved. Shared Responsibility 5. Mercer conducts thorough review and analysis of the aggregated market data. 6. Mercer approves and finalizes the database to publish the results. Mercer’s Responsibility 81

6. ANALYZE AND PUBLISH RESULTS DATA CONFIDENTIALITY To ensure the confidentiality of all data, a minimum number of observations is required for statistics to display. Mercer uses reporting criteria to ensure the protection of participants’ data. # Organizations # Observations # Distinct Organizations 5 5 5 10 th Percentile 7/10* 10 7 25 th Percentile 7 7 7 50 th Percentile (Median) 5 5 5 75 th Percentile 7 7 7 90 th Percentile 7/10* 10 7 Statistic Average (Mean) *7 organizations if the statistics are incumbent-weighted; 10 if they are organization-weighted Copyright © 2018 Mercer (US) Inc. All rights reserved. 82

6. ANALYZE AND PUBLISH RESULTS WHAT YOU RECEIVE Online access The survey results are delivered through Mercer WIN® which allows you to create custom views, analyze data across markets simultaneously, create unlimited peer groups, refine the market, compare your data vs. the market, combine jobs, export to Excel, and much more! Survey overview An aggregated profile of the participating organizations for the entire MBD suite and by survey module, as well as an overview of the survey methodology, and definitions of the data elements. Actual market data Market analysis by job, helping you determine which jobs are more competitive within the market. Market regression for select MBD modules: Corporate Services & HR; Executive; Finance, Accounting, & Legal. Copyright © 2018 Mercer (US) Inc. All rights reserved. Custom analysis Custom statistics tailored to your needs, based on peer groups, revenue size, total employees, and more, using Mercer WIN®. Even more relevant data With new aggregated rollups, relationships between jobs becomes clearer – with data that best reflects your jobs and labor markets. From deeply specialized industry roles to combinations of related jobs within the broader talent pool, analyze competitive compensation industry levels, across related industries, or across an entire labor market. 83

BENEFITS OF PARTICIPATING IN US MBD Copyright © 2018 Mercer (US) Inc. All rights reserved. 84

BENEFITS OF PARTICIPATING IN US MBD SURVEY METHODOLOGY • Salary surveys are designed using the most accurate and up-to-date HR metrics and market data practices. • Data is collected from HR professionals at participating organizations and is never employee self-reported. • Data is analyzed for validity, thoroughness, and market representation based on the organization's size, structure, geographic region, or any combination of these factors. • Data elements are only reported when a minimum number of incumbents, organizations, and distinct organizations are met. • Data is suppressed if minimums are not met ensuring the highest level of data confidentiality. Copyright © 2018 Mercer (US) Inc. All rights reserved. 85

BENEFITS OF PARTICIPATING IN US MBD MERCER WIN • An interactive search and analysis tool producing customised results on the fly 1. DEFINE JOB • Offering unlimited refinements including Peer Groups • Instantaneously compares your data to your chosen market • New predefined data roll-ups with Mercer Job Library Copyright © 2018 Mercer (US) Inc. All rights reserved. 2. RESULT 3. REFINEMENT 86

BENEFITS OF PARTICIPATING IN US MBD RESULTS INSIGHTS Synopsis of key trends and findings related to the data and market. Expert commentary and observations from Mercer. Snapshot of 2017 compensation based on year-over-year analyses. Market perspective and additional analysis from other Mercer reports. Copyright © 2018 Mercer (US) Inc. All rights reserved. 87

BENEFITS OF PARTICIPATING IN US MBD SUPPLEMENTAL REPORTS ACCESS Supply short- and long-term incentive data to US MBD and you are eligible to purchase supplemental MBD reports at a discounted rate. Copyright © 2018 Mercer (US) Inc. All rights reserved. 88

Q&A Copyright © 2018 Mercer (US) Inc. All rights reserved. 89

QUESTIONS? INFORMATION SOLUTIONS Find all the information you need on our products, services, upcoming training courses, and more: • www. imercer. com • www. imercer. ca Copyright © 2018 Mercer (US) Inc. All rights reserved. CUSTOMER SERVICE For help with accessing the survey results, product questions, and more: • 800 333 3070 • surveys@mercer. com 90

APPENDIX Copyright © 2018 Mercer (US) Inc. All rights reserved. 91

MERCER JOB LIBRARY EXECUTIVE LEVEL MATCHING: EXAMPLE 1 HQ (US) APAC Head of HR Singapore Subsidiary ABC Subsidiary APAC Other Function Head APAC Other Function Country A Head of HR Country B Head of HR Country C Head of HR Head of C&B XYZ Subsidiary Head MERCER JOB LIBRARY MATCHING: - Head of Organization (Singapore) – Head of Organization Subsidiary/Country (E 2 S) - Head of HR (APAC) – Head of Function Parent/Regional (E 31) - Head of HR (Singapore) – Head of Function Subsidiary/Country (E 14) - Head of Sub-function Compensation & Benefits (Singapore) – Level M 50 Copyright © 2018 Mercer (US) Inc. All rights reserved. 92

MERCER JOB LIBRARY EXECUTIVE LEVEL MATCHING: EXAMPLE 2 Determine relevant Organization Type – PARENT ORGANIZATION Determine Job’s Geographic Responsibility Library Level Library Code Library Job Executive Level 5 GMA. 01. 003. E 5 A Head of Organization (CEO) Global Parent/Independent Executive Level 4 GMA. 01. 003. E 4 A Head of Organization (CEO) Regional Parent/Independent Executive Level 3 GMA. 01. 003. E 3 A Head of Organization (CEO) Country Parent/Independent Copyright © 2018 Mercer (US) Inc. All rights reserved. COUNTRY GEOGRAPHIC RESPONSIBILITY OF ROLE REGIONAL Select Specialization – ORGANIZATION HEAD (CEO) GLOBAL 1 2 3 93

MERCER JOB LIBRARY EXECUTIVE LEVEL MATCHING: EXAMPLE 2 Determine Job’s Geographic Responsibility Library Level Library Code Library Job Executive Level 4 GMA. 01. 003. E 4 S Head of Organization (CEO) Global Subsidiary Executive Level 3 GMA. 01. 003. E 3 S Head of Organization (CEO) Regional Subsidiary Executive Level 2 GMA. 01. 003. E 2 S Head of Organization (CEO) Country Subsidiary Copyright © 2018 Mercer (US) Inc. All rights reserved. COUNTRY Determine relevant Organization Type – SUBSIDIARY GEOGRAPHIC RESPONSIBILITY OF ROLE REGIONAL Select Career Level – ORGANIZATION HEAD (CEO) GLOBAL 1 2 3 94

MERCER JOB LIBRARY EXECUTIVE LEVEL MATCHING: PART MAPPING No direct mapping results in part mapping Head of Human Resources Library Specializations Head of Human Resources - Global Parent/Independent Head of Human Resources - Global Multi-Profit Center/Group Head of Human Resources - Global Subsidiary Head of Human Resources - Global Division Head of Human Resources - Regional Parent/Independent Head of Human Resources - Regional Multi-Profit Center/Group Head of Human Resources - Regional Subsidiary Head of Human Resources - Regional Division Head of Human Resources - Country Parent/Independent Head of Human Resources - Country Multi-Profit Center/Group Head of Human Resources - Country Subsidiary Head of Human Resources - Country Division Simply: 1 2 Determine relevant Organization Type Determine job’s geographic responsibility Part mapping HRM. 01. 001. EXX in pre-completed DCK e. g. , HRM. 01. 001. E 14 Head of Human Resources - Country Subsidiary Copyright © 2018 Mercer (US) Inc. All rights reserved. 95

MERCER JOB LIBRARY EXECUTIVE LEVEL MATCHING: FAQs HOW TO MAP HEAD OF ORGANIZATION POSITION? HOW TO MAP HEAD OF FUNCTION POSITIONS? HOW TO DECIDE THE CAREER LEVEL FOR SUB-FUNCTION HEADS? Determine the relevant Head of Organization specialization Determine the relevant Head of Function specialization Map the corresponding Head of Function first Determine the organization type (Parent, Subsidiary, Multi Profit Center, or Division) Careel level for Sub-function Head would be one level below the corresponding Head of Function And the job’s geographic scope of responsibility (Global, Regional, or Country) And the job’s geographic scope of responsibility(Global, Regional, or Country) And choose job code accordingly Copyright © 2018 Mercer (US) Inc. All rights reserved. 96

MERCER JOB LIBRARY EXECUTIVE LEVEL MATCHING: FAQs HOW TO DETERMINE THE MATCH FOR HEAD OF ORGANIZATION/HEAD OF FUNCTION IF THE GEOGRAPHIC SCOPE OF RESPONSIBILITIES IS MORE THAN ONE COUNTRY BUT LESS THAN A TYPICAL REGION HOW TO DEFINE ‘REGION’ FOR GEOGRAPHIC SCOPE OF RESPONSIBILITIES? WHAT IS MEANT BY IF AN ORGANIZATION IS ‘LEGALLY CHARTERED’? It is more of a judgement call depending on what you think would be the right comparators for the role i. e. Head of Organization/Head of Function for Country or Region ‘Region’ is defined as commonly accepted Geo-political area or substantial number of countries, e. g. Europe, Latin America, North America, APAC, Africa, Middle East It means that the organization is a separate corporate legal entity as per law of the country where it is operating e. g. if the geographic scope of responsibilities is for two countries then it is closer to Country responsibilities instead of Regional Copyright © 2018 Mercer (US) Inc. All rights reserved. 97

MERCER JOB LIBRARY NEW WAYS TO ANALYZE YOUR LABOR MARKET Traditional job data doesn’t show the complete competitive marketplace. . . • • Job responsibilities change Markets are smaller Recruiting gets more complicated Insufficient data in a survey Copyright © 2018 Mercer (US) Inc. All rights reserved. Mercer Job Library produces results beyond the traditional… • • • Enhanced content for new data blends Intuitive results analysis to understand your labour market Standard results for established jobs 98

MERCER JOB LIBRARY NEW WAYS TO ANALYZE YOUR LABOR MARKET PRODUCES RESULTS FOR A TRADITIONAL JOB PLUS ADDITIONAL DATA ROLL-UPS MERCER JOB LIBRARY Job matching to Library Job Predefined data roll-ups in Mercer WIN NEW JOB COMBINED JOB CORE JOB Represents a specific type of work at a specific career level. Similar to “Combine Jobs” in Mercer WIN; however, Mercer has completed combinations and aggregated data on your behalf. Represents an aggregate of underlying “Jobs” within a subfamily at a specific Career level. You match to “Jobs” during the data submission process. Providing you a broader look at the market, including serving as a proxy for hybrid roles. Copyright © 2018 Mercer (US) Inc. All rights reserved. Use “Core Jobs” to roll up related specializations for consistency across markets when its challenging to find data for the same jobs across the globe due to local variations in job design. 99

MERCER JOB LIBRARY NEW WAYS TO ANALYZE YOUR LABOR MARKET NEW CORE JOB NEW COMBINED JOB ENGINEERING - SENIOR PROFESSIONAL • Mechanical Engineering Senior Professional • Chemical Engineering Senior Professional • Electronics Engineering Senior Professional • Facilities Engineering Senior Professional • Plant Construction & Maintenance Eng Senior Professional • Electronics Product Design Engineering Senior Professional DESIGN ENGINEERING - SENIOR PROFESSIONAL • Product Design Engineering Senior Professional • Mechanical Product Design Engineering Senior Professional • Electronics Product Design Engineering Senior Professional • Manufacturing Packaging Design Engineering Senior Professional JOB ELECTRONICS PRODUCT DESIGN ENGINEERING SENIOR PROFESSIONAL • Electronics Product Design Engineering Senior Professional Copyright © 2018 Mercer (US) Inc. All rights reserved. 100

MERCER JOB LIBRARY NEW WAYS TO ANALYZE YOUR LABOR MARKET NEW CORE JOB NEW COMBINED JOB HEAD OF • Head of • Head of • Head of HUMAN RESOURCES – ALL DATA Human Resources - Global Parent/Independent Human Resources - Global Multi-Profit Center Human Resources - Global Subsidiary Human Resources - Global Division Human Resources - Regional Parent/Independent Human Resources - Regional Multi-Profit Center Human Resources - Regional Subsidiary Human Resources - Regional Division Human Resources - Country Parent/Independent Human Resources - Country Multi-Profit Center Human Resources - Country Subsidiary Human Resources - Country Division HEAD OF HUMAN RESOURCES – BASED ON ORG TYPE • Head of Human Resources - Global Parent/Independent • Head of Human Resources - Regional Parent/Independent • Head of Human Resources - Country Parent/Independent JOB Copyright © 2018 Mercer (US) Inc. All rights reserved. HEAD OF • Head of HUMAN RESOURCES – BASED ON GEO SCOPE Human Resources - Country Parent/Independent Human Resources - Country Subsidiary Human Resources - Country Multi-Profit Center Human Resources - Country Division 101

MERCER JOB LIBRARY NEW WAYS TO ANALYZE YOUR LABOR MARKET NEW CORE JOB NEW COMBINED JOB Copyright © 2018 Mercer (US) Inc. All rights reserved. HEAD OF HUMAN RESOURCES – EXECUTIVE LEVEL 3 • Head of Human Resources - Global Subsidiary (E 3) • Head of Human Resources - Global Multi-Profit Center/Group (E 3) • Head of Human Resources - Global Division (E 3) • Head of Human Resources - Regional Parent/Independent (E 3) INDIVIDUAL JOB LEVEL DATA • • • Job Head of Human Resources - Global Parent/Independent Head of Human Resources - Global Multi-Profit Center Head of Human Resources - Global Subsidiary Head of Human Resources - Global Division Head of Human Resources - Regional Parent/Independent Head of Human Resources - Regional Multi-Profit Center Head of Human Resources - Regional Subsidiary Head of Human Resources - Regional Division Head of Human Resources - Country Parent/Independent Head of Human Resources - Country Multi-Profit Center Head of Human Resources - Country Subsidiary Head of Human Resources - Country Division 102

MERCER JOB LIBRARY NEW WAYS TO ANALYZE YOUR LABOR MARKET Core Job Combined Job Other Jobs within the same Subfamily Include new roll-ups in your initial search or review Mercer recommendati ons within a new fly-out in the Market Data Results screen. 1. Click on a “Job” within your results set. 2. Consider potential alternatives to add to your results set from Mercer’s recommendations. Copyright © 2018 Mercer (US) Inc. All rights reserved. 103

Copyright © 2018 Mercer (US) Inc. All rights reserved. 104