D2D Operations

1. D2D Operations

2. National D2D Operations Structure Bryan Grzeck Michael Shaffner Regional Installation Manager Camilo Ayala Regional Installation Manager Sean Rooney Regional Installation Manager Bristol VA Branch 4Technicians W Palm Beach FL Branch 2Technicians Brooklyn NY Branch 4 Technicians Johnson City TN Branch 4Technicians Ft. Lauderdale FL Branch 1Technicians Queens NY Branch 5Technicians Chattanooga TN 3 Technicians Miami FL Branch 4Technicians Long Island NY Branch 2 Technicians Fayetteville NC Branch 4 Technicians Tampa FL Branch 5 Technicians Travel Technicians 3 Technicians Raleigh NC Branch 3Technicians North Atlanta Branch 6Technicians Burgeoning Branches TBD Technicians Knoxville TN Branch 4 Technicians South Atlanta Branch 2Technicians

4. Numbers analyzed on a daily basis

5. 90.0% 89.5% 88.6% 74.2% 71.2% 73.6% 82.8% 84.4% 84.6%

6. Bryan Grzeck took over D2D operations on 12/3/2012

7. Bryan Grzeck took over D2D operations on 12/3/2012 Reasons for decrease: More organization, structure and accountability since 12/3/2012. Since the beginning of April even further decrease due to implementation of more strict D2D business practices: • Criteria for $99 to be waived; must • be a 650 credit score or higher. • Must be approved by a Regional • Sales manager or above even • if they are 650+. • NO “collecting the draft/$99 • information at a later time” • NO invoicing if below 700, no • exceptions. • NO Buyouts • Actively working to weed out • renters • NO post-dating further than 10 • business days

8. Leadership Structure and Head Count • Travis Stephens – Central Support Manager • Eric Randolph- Call Center Manager • Central Support Agents • 19 agents • (866)774-7635 • Sales Support Agents • 4 agents • (919)661-3245 • Rodney Jones – Performance Manager • Irene Hedgepeth – Performance Manger • Nisa Bunn – Quality Assurance Manager

9. Work Flow

10. The Call In From The Sales Consultant ISA Call in #1 ISA Call in #2

11. Average Sales Call Length (minutes)

12. Total Call Time

13. The Credit Authorization • Verbal authorization script : “My name is SafeStreets agent and I am on a recorded line with Mr. Smith. Mr. Smith to confirm your identity, please state your full name and address. <<Allow customer to state name and address.>> OK, thank you. Mr. Smith , do we have permission to perform a routine credit check for purposes of qualifying you for an ADT home security system. <<Allow customer to answer.>> Thank you for your time. Would you hand the phone back to your Sales Representative?” good Bad : First minute and 29 seconds

14. Call Volume

15. % of Sales Calls Going to CSG Line

16. June’s top #’s that call Central

18. How Many Calls Does It Take?

19. Calls per Account/Install • Over a 12 week period an average account required 2.9 calls to produce. (21:57 minutes) • Over a 12 week period an average install required 8.77calls to produce (66:17 minutes) Based on the average # of installs per week of 189, Sales calls are responsible for 209 hours of call time or 7 40 hour employees with 30% idle time.

20. Travis/Eric Wish List • Utilize the Sales Line : In order to accurately forecast our staffing needs and make reporting easier and more consistent. These calls roll over to CSG in 10 seconds, by hanging up and calling central the agents are moving backwards in the queue. Also a sales agent might be free and a call to CSG will not get to them. • Follow the Sales Sheet : To be more prepared for the call in to reduce call length in order to reduce hold times and abandoned calls.

21. Disaster Recovery Plan • CSG currently has 4 laptops and 4 prepaid cell phones should the building lose power or internet. This is a fast and temporary solution until either generators/ power are online or we move to the training facility should it have power. We also have a few employees that have the ability to work from home. • Please be patient and rely on Bryan for any updates concerning outages and the restoral of power.

22. Emergency Phone Numbers • 919-744-6345 Tunji Renner • 919-649-6793 James Shelton Mike Burkett • 919-720-2367 Francisco Saldana • 919-274-1512 Bryan Lunsford Miguel Delgado

23. Approach technicians take at door • Get sales sheet from customer and verify information on customer’s sheet vs. information on technician’s work order • Go ahead and determine location of equipment and start the installation by mounting the panel and running wires. Fill out and prepare paperwork while waiting for radio to register/on-hold with ADT to save time and eliminate doing it in front of the customer later. • Do not get in to the details with the customer until after the installation is done. • Explain to customer how to use the system, get them interacting with it, SELL the system (continue to build value), get the customer EXCITED. • Lastly, ask for signatures and be done.

24. New Costing Efforts Purpose and goal to get commission correct as quickly as possible Initiatives and procedures put in place for technicians: • If there is a free piece of equipment that has been given away, the tech will list who gave it away as the “sold by” person and will enter an amount of $0.01 for the sales price. • If there are any other special circumstances that would affect the commission of the sales rep, the tech will make Trax Notes from their mobile phone before closing out the job. • Waiving the $99 and who approved • Waiving the permit fee and who approved • Rebate and who authorized • If authorized to do invoicing with a beacon below 700 and who authorized. • If the payment was post-dated notate as such

25. Discussion