Introduction Executive Summary Vision & alignment High-level design Operational improvement CS Transformation KPIs People & culture

CS Transformation KPIs People & culture Next Steps Appendix

ENTITY have opportunities to prioritize additional investment in

Channels customer channels to advance channel capabilities

+ interactions span across multiple

Integrates with me
• Integration across 3rd party devices
devices and platforms, becoming a

Self-sufficient / automated
• Workflow operates across multiple disparate hardware
core part of a customer’s lifestyle
regardless of the product • Interacts with 3rd party channels

Builds around me
Cultural and • Innovation capability that allows them to experiment and be
Cost to develop

first to market in emerging areas e.g. AI, Voice Interface

governance transformation
to enables investment in • Experimental culture where they are allowed to fail fast and
bring new technologies to market
experimentation and
acceptance of failure • Early investors in emerging technology

+ Advanced • 360 degree of customer at point of contact

Knows me

Self-serve
analytics, • Machine learning integration to anticipate and solve queries at
machine learning point of contact
integration • Cross-platform predictive capabilities
Responds to me

• Multiple channels offered

We serve
• Channel experiences are distinct
• Popular web channel for contact
• Mobile application is being enhanced

Difficulty to deliver
Source: ENTITY Xfinity, Ally Financial, and ENTITY

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 Introduction Executive Summary Vision & alignment High-level design Operational improvement CS Transformation KPIs People & culture Next Steps Appendix

Customer contact and transaction volume continues to rise year-

Channels over-year, while customer growth remains flat
Historical and forecast customer contacts and transactions Contact Center Energy Service Specialists (ESS):
through existing channels: (2015 – 2018 YTD)* Historical and YTD call types answered by agents

3% 2%
+6% ASO Billing and credit
4.5M Contact / transaction CAGR 4.2M calls, as well as calls
Billing 13% 14% 15%
Customer contacts and transactions

3.9M related to high-bills,

Percent out of total transactions for year indicated

4.0M
3.6M 3.6M (YTD)
continue to make
3.5M 1.5M up an increasingly
3.2M
larger portion of all
1.6M ESS Calls
3.0M ESS calls
1.6M 1.5M Credit 30% 30% 29%
1.1M IVR
2.5M
0.8M Web & Mobile
2.0M 0.8M
0.6M Email
0.8M 0.8M
1.5M Chat
Default 15% 16% 17%
1.0M 1.8M Customers***
1.4M 1.4M The proportion of
1.1M 1.2M Emergency
0.5M 7% 6% move calls, while
6%
High Bill decreasing thanks
0.0M 3%
to an increase in
2015 2016 2017 2018 EY 2018 YTD digital requests, still
Forecast** Move
23% 21% make up almost a
Other 22% quarter of all ESS
Total number of customers are to increase on average, about 1% each year. Despite flat
Outage calls
customer growth, overall transactions by are expected to grow 6% (CAGR) through 2018
Solar / EV 6% 6% 4% 2%
*Excludes payments; includes ESS calls, chat, and email inquiries handled; select VR, web & mobile self-service transactions
**Indicative forecast based on 2018 YTD and historical averages for each channel
2016 2017 2018 YTD
***Customers forecasted based on ratio of customer base to active electric meters, agriculture and lighting count based
on active meters; 2018 customer contact forecasted by an actual YTD and historical averages Source: ENTITY Customer Care, Public Testimony, ENTITY Customer Forecasts, EY Analysis

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 Introduction Executive Summary Vision & alignment High-level design Operational improvement CS Transformation KPIs People & culture Next Steps Appendix
Average speed of answer has declined over the last year across
Channels contact channels
Call Center (ESS): Average handling time (AHT), seconds: 2016 – 2018 YTD Call Center (ESS): Average speed of answer (ASA), seconds: 2016 – 2018 YTD
ENTITY AHT target Top quartile ENTITY ASA target Top quartile
AHT in seconds AHT increase , compounded Bottom quartile ASA in seconds Bottom quartile
500 1,200
+3% 413 ASA decline, compounded
400 1,000
390
AHT in seconds

-37%

ASA in seconds
352 800
300
600
200
214 400 329
100 200 200
43
0 0 12
Jan-16 Apr-16 Jul-16 Oct-16 Jan-17 Apr-17 Jul-17 Oct-17 Jan-18 Apr-18 Jul-18 Jan-16 Apr-16 Jul-16 Oct-16 Jan-17 Apr-17 Jul-17 Oct-17 Jan-18 Apr-18 Jul-18 Oct-18

Chat: volume & average speed of answer (ASA), seconds: 2016 – 2018 YTD Email : volume & average speed of answer (ASA), hours : 2016 – 2018 YTD
ASA in seconds ASA decline, compounded ASA in hours
ASA decline, compounded
1,000 -3% 5K 150 10K
-90%
4K 8K
ASA in seconds

800

ASA in hours
100
600 3K 6K

Volume

Volume
400 2K 4K
50
200 1K 2K

0 0K 0 0K

Note: 25th and 75th percentiles derived from a sample set of various U.S. utilities; ENTITY has no internal target for call abandonment rates Source: ENTITY Customer Care, Public Testimony, ENTITY Customer Forecasts, EY Analysis

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 Introduction Executive Summary Vision & alignment High-level design Operational improvement CS Transformation KPIs People & culture Next Steps Appendix
MyAccount and paperless adoption continue to grow and outpace
Channels peers, although adoption lags other industries
Self-service rate, all channels: Jan 2017 – August 20181 Paperless adoption: Jan 2017 – August 2018
100%
Cross-sector leading practice3 100%
90% 100%
% of transactions

80% Cross-sector leading Practice2 75% 95%

70% Utility leading practice3 90%
Actual 64% 90%
60% 85%
Target 60%
50% 80%
40%
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug 75%

Adoption rate (%)

2017 2018
70%
My Account Adoption: Jan 2017 – August 2018 65%
100%
Cross sector Leading Practice3 60%
90% 100% Paperless target % 56%
55%
80%
Adoption rate %

Paperless adoption % 54%

Target:63% My Account 50%
70% (Residential) 65%
(Residential)
45%
60% 63% Utility average3 40%
40%
50% My Account 54%
(Commercial) 35%
40%
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug
2017 2018 2017 2018
1
Self-service rate includes key transactions through non-digital channels, excludes payments
2
Based on 75th percentile of web self-service rates for utilities in the U.S
3 Source: Contact Babel, ENTITY Customer Services KPI Report, EY analysis
Based on leading practice of industry and cross industry peers

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 Introduction Executive Summary
Channels
Case studies
Investments limited to
proven, mature
technologies that
support existing
customer service
capabilities
Direct-to-consumer
mattress companies
efficiently push content occurs in its own, separate
through as many
channels as possible
Subscription-based
clothing services provide
concierge-like support
Offers alternatives (e.g.
Non-digital channels are
physical stores, no IVR)
to traditional digital-
channels to support
customer requests
Vision & alignment High-level design Operational improvement CS Transformation KPIs People & culture Next Steps Appendix
Current-state
Where are we today?
Interim-state (2021)
Where will ENTITY get us?
Ambition (2025+)
Where do we want to be? Channels
Example Design choice Example Case studies
What kinds of channel innovations are we willing to
Uses advanced A.I. and
We will invest in proven, invest in? We will invest in the latest, natural language
mature technologies in cutting edge technologies processing to provide
customer support through
our channels in our channels chatbot-like functionality
Mature Emerging
How integrated do we want our channels to be?
Each customer interaction Customer interactions and Customers can pick up
right where they left off
usage are integrated regardless of the channel
channel Multi-channel Omni-channel across all channels they choose
How many channels can we be successful at offering?
We offer exceptional Dominos has provided the
Our customers can reach us on options to place an order in
service and support on any and every channel nearly every possible
select channels Few Many channel
To what extent will contact through our channels be
digital? All customer support is
Almost all customer handled through customer-
encouraged some customer
requests
contact will be digital driven forums to help
50% 100% service queries
160