Santander UK Graduate Recruitment Working in partnership with Careers Advisory Services

1. Santander UK Graduate RecruitmentWorking in partnership with Careers Advisory Services Customer Service : Customer Loyalty : Efficiency : Meritocracy : Teamwork

2. Agenda • Welcome – Richard Freeborn • Graduate Recruitment, our achievements to date– Jayne Houlihan, Head of Resourcing • Our achievements in graduate recruitment over the past couple of years, and our new direction • Real Stories • Some of our 2009 intake graduates give an overview and a Q&A • Santander UK – Simon Lloyd, HR Director • Santander’s UK strategy and about the company • Santander Universities – John Hedges, Co-ordination Director • A global overview of the Santander Universities initiative LUNCH • Graduate Recruitment, The Future– Richard Freeborn • Our new opportunities • What we look for • Working with University Careers Advisory Services • Wrap up & Q&A

3. Graduate Recruitment-Our achievements so far!Jayne Houlihan Head of Resourcing Customer Service : Customer Loyalty : Efficiency : Meritocracy : Teamwork

4. The numbers • 2009 graduate intake recently started joining on a 3 year programme that concludes September 2012. This consists of: • 49 Retail Branch • 4 Finance • 5 Internal Audit • 5 TD • 2 HR • 2 Complaints Division • There are currently another set of graduates who started a 2 year programme in September 2008. From these the breakdown of business areas joined are: • 38 Retail Branch • 4 Finance • 6 Internal Audit • 4 TD • There are currently graduates on a 18 month programme from A&L who joined September 2008. This concludes in March: • 14 trainees across various business streams • New back in to the graduate recruitment market 2008

5. 2009 intake, where they came from… • 73 candidates successfully passed our assessment centres and achieved offer status for our 2009 graduate schemes • Of these 73, 67 started with us in Sept. • Just 8% candidates actually declined (just 6 graduates).

6. Their experience Planning Cross Divisional Projects Back to Uni (Santander Branch) Division Organise And Fund Induction: Welcome To Your Division Confirm Placement / Branch Details Cross Brand Branch Visit Half Yearly Reunion Academies / Professional Exams Commence Offer / Acceptance Start Date 6 - 9 months After start Graduate Team Organise and Fund GradClub Magazine & Intranet Article ExCo Member Meetings Ongoing Comms From Graduate Mgr Grad Club Meeting New Joiner Forums Mentor Allocation Induction: Welcome to Santander Group Buddy Allocation Induction: Welcome To Santander UK Congratulations Comms

7. 2009 Graduate Induction : 16th to 18th September The scores The feedback “I found the "Managing your development" session very inspirational and left me with a positive vision in regard my future career” “Really enjoyed the Global Perspective and the Transformation of Santander.” “Talent session - gave a real sense of how career progression can be achieved and the tools available to facilitate it.” “Very useful and inspiring induction. I feel it is very important that we have learnt about Santander” “My first impression of Santander is that is a impressive, confident organisation that is moving forward in difficult times.” “The whole event has been fantastic and has given me a real drive to be a success and to reflect well on the efforts you have all out into us” “Loved it, Loved it, Loved it” 4.1

8. The successes • Very low unforced attrition • 3 people from the entire 2008 and 2009 intakes • Great Progression internally • 3 in 4 have been promoted to managerial positions • 1 in 3 of the 2008 Retail Branch intake are already appointed Branch Managers • Real Business Impact • You’ll hear more about this later… but the feedback from the business areas has been great! HOWEVER…

9. With success, comes challenges… • Huge appetite for more graduates in the business • More business streams to work with • More graduates to come from ‘Santander Universities’ – you guys! So today is all about cementing our relationships with you, to offer your graduates outstanding opportunities with one of the most exciting brands to work for today!

10. Graduates – Real Stories Tales from the 2009 intakeDan Richardson / Sam GroomPlus special guests for the Q&A Customer Service : Customer Loyalty : Efficiency : Meritocracy : Teamwork

11. Introduction to the HR Grads Samantha: Aged 23 Dan: Aged 21 • BA in Business Management from University of Newcastle Upon Tyne • Graduated in August • Applied to the Scheme in June • Received job offer at the end of June • Have moved into central London • Now working to the Southeast retail HRBP team • Law and French Law (LLB), Maitrise en Droit des Affaires (LLM equivalent), Legal Practice Course. • Graduated in July 2009 • Applied to scheme in June • Accepted offer June 2009 • Currently working on the restructure of the contact and advice centre.

12. Plan of attack: • So.. you have just met us • Run through the recruitment process from our point of view • Our transition to Santander and what it has really been like • Future aspirations and the opportunities we have had so far • Questions?

13. The Assessment Process

14. Recruitment Timeline • From start to finish process took 19 days for us (obviously took Richard a bit longer to get everything planned) 4.6% of applicants reached the assessment centre stage 6.48% were regretted at TI stage 23.1% of applicants regretted at initial online stage 65.7% of applicants regretted at Online test stage Applied online by the Fri 19th 12th June Newcastle careers fair and 18th June Manchester Careers fair 23rd-26th Telephone interviews Telephone interviews on 23rd and 26th Offers made on the 30th and 31st June Assessment center on Mon 29th

15. Transition from University to Santander Thorough induction • Corporate induction with 67 Grads in Milton Keynes for 3 days Also had an HR induction • Lasted 1-2 weeks • Met lots of people in the HR department • Familiarised ourselves with how the HR function actually works

16. Expectations What we expected: • To be closely managed in our first role • To be part of a large team working on part of a large project What actually happened: • Given our own project to manage and deliver • Expected to meet senior management almost from day one • Provided with lots of support: Mentors and Grad Buddies

17. Life at Santander Good • Fairly fixed working day 9-5, but lots of offices to work from • Fast paced environment • Lots of different stakeholders to manage • Very busy department • Very strict cost controls • Lots of opportunities within HR • Lots of influence from Madrid • Exciting time to be at Santander Not Quite so Good • Very corporate environment • Hierarchical structure • Very strict cost controls

18. Challenges • Had to commute every day! • Managing a busy inbox • Far more need to plan and structure the day • Lots of autonomy to get on with work • No long holidays at Christmas and during the summer! • IT? • Having no budget

19. Future Aspirations Dan • Looking forward to experiencing the breadth of the scheme before finding a permanent role • Think I might prefer a generalist role • Excited by the idea of secondments into different business areas outside HR to get a more rounded view • Just looking forward to seeing how far I can go – I am a complete anglophile so looking to stay in the UK Samantha • I want to take advantage of all the opportunities on the Grad scheme before making an informed career choice in 18-24months time • Also leaning towards a generalist role • I am enthused by the international opportunities at Santander as I am a linguist • Really looking forward to the Madrid trip

20. Interesting things we have been up to.. • A day in the community in Leicester • Santander HR conference • Attended Graduate recruiters meeting • A day in a branch • Been to a CIPD conference • Santa Fun Run • Coming Up.. • Helping to run a graduate assessment centre • Trip to Santander Madrid HQ – Boadilla • We are both hoping to study to become CIPD qualified Guess who number 82 is?

21. Any Questions?

22. Santander UKSimon Lloyd, HR Director Customer Service : Customer Loyalty : Efficiency : Meritocracy : Teamwork

23. SANTANDER – SIZE & POSITIONING The fourth largest international bank in the world by profit: • €8.9 billion attributable profit • €53.9 million market capitalisation. • €1,163,355 million managed funds. • Over 80% of PBT fromretail banking. • More than 80 million customers, over 14,000 branches, more than 170,000 employees and c.3 million shareholders. • Presence in more than 10 major markets

24. SANTANDER’S VISIONS & VALUES • Santander aims to consolidate itself as a large international financial group which provides increasingly high returns to its shareholders and satisfies all the financial needs of its customers. • To achieve this, it has a strong presence in local markets combined with corporate policies and global reach. • Our corporate values: • Dynamism • Strength • Innovation • Commercial drive • Leadership • Business ethics

25. SANTANDER MODEL TheSantander Modelhas proved to be successful and exportable. It is based on five core elements:

26. One of the largest mortgage and savings providers in UK Almost 1,300branches (Abbey, A&L and B&B) More than 40 regional sites Main offices: Belfast Bingley Bootle Bradford Glasgow Leicester London Milton Keynes FACTS & FIGURES

27. Teamwork Meritocracy FIVE KEY THEMES More EFFICIENCY in theway we work More CUSTOMER LOYALTY The best commercialbank in the UK Better SERVICE and higherperceived value for customers

28. The Importance of our Graduate Intake • AS you will have noticed this week, we started re-branding to Santander… • We are moving extremely fast • Our graduate intake will fuel the pipeline of senior management driving this change forward

29. Santander UniversitiesJohn HedgesCo-ordination Director Customer Service : Customer Loyalty : Efficiency : Meritocracy : Teamwork

30. Graduate Recruitment – The Future Richard Freeborn Customer Service : Customer Loyalty : Efficiency : Meritocracy : Teamwork

31. My Challenges • Increase our annual intake from 67 • Target at least 235 in 2010 • Aim for circa 500 in 2011 • Diversify business functions we take graduates into • Move to rolling recruitment for some business areas • Maintain high quality • Very little resource (budget and human resource) • Increase proportion from Santander assigned universities • Ever changing organisation with changing needs in terms of talent pipelines

32. My solution • Accelerated Entry • Mainly in to PBA roles, but also other business areas including TD, manufacturing maybe • Business Area Specific Graduate Programmes • 3 year programmes on business headcount, in to Corporate, Internal Audit, Finance, HR • Rotation Programme • Sitting on a central headcount. • Penultimate Year Summer Internships / placement year opportunities • 7 week summer internships in retail. Used to fuel mainly generalist graduate programme • Substantially increased graduate numbers overall • All year round recruitment with 10/11 intakes of graduates annually, primarily in accelerated entry roles • Emphasis on targeted marketing towards Santander Universities

33. Programmes – PBA Accelerated Entry, Open Now • Personal Banking Advisor Accelerated Entry Route • Sales Orientated Role in Branch Network • NOT a development programme, but an entry point to the organisation / retail banking • Development driven by the individual • Starts with 5 week residential training course • After the PBA role their career could lead to FPA / MA/ SCM / BM / Head Office • Move on at their own pace • Can start any time in the year • Only limitation is their notice period and current vacancies • Locations Nationwide • Flexibility is preferred • Salary £18 – 21k • Potential to earn significant bonuses • Potential to grow salary with career progression – it is achievable for the very best to get to BM in 1-2 years

34. PBA Accelerated Entry… criteria and process • Apply online; www.santanderukgraduates.com • Pre-screening basic criteria • Any degree subject and grade • We do accept 2.2. and 3. results if demonstrable work experience • E.g. teamwork, either at uni or in work environment • E.g. holding an elected position at university • E.g. customer facing work experience • E.g. experience in a sales / targeted environment • Multiple choice scenario based questionnaire • Simple scenario branch based questions • Telephone competency based interview • Only limitation is their notice period and current vacancies • Half Day Assessment Centre • Competency based interview • In-Tray style Group Exercise

35. PBA Accelerated Entry… competencies • Personal Leadership • Client and customer orientation • This is a massive focus for the company and essential • Sales Management • Innovation Change Management • Communicating & Influence • Working as a team and team management • Results Orientation • After assessment centre, candidates will usually get their outcome and feedback within one week

36. Finance Programme… open next week • September Start Programme • Kicks off with a residential induction – last years was 3 days In MK • Supports candidate’s choice in CIMA or ACCA • Location; London, MK, Leicester • 3 years worth of rotations, usually 6 monthly • Cost Analysis • Income Reporting • Accounting Support • Group Reporting • Treasury Reporting • Regulatory Reporting • Financial MI Team • Start Salary, £25k • £2k joining bonus • Increases for each exam module passed

37. Finance… criteria and process • Apply online; www.santanderukgraduates.com • Pre-screening basic criteria • 2.1. degree obtained or predicted • Business, Finance / Accounting or IT related degrees required – or significant proportion • Numerate related degrees encouraged, but will have to show high levels of commercial acumen • Numerical and verbal reasoning online tests • Telephone competency based interview • Full Day Assessment Centre • Competency based interview • Pre-prepared presentation • Group Exercise

38. Finance… competencies • Flexibility and managing change • Working as a team and team management • Personal Leadership • Client and customer orientation • Results orientation • Communicating & Influencing • Business and commercial capability • Additional look at ethical value and understanding of finance function

39. IA Programme… open next week • September Start Programme • Kicks off with a residential induction – last years was 3 days In MK • Supports candidate in ACCA . ACA or CISA • London based but requires frequent UK travel • 3 years • Start as a trainee auditor • Progress to Junior auditor level during the programme • Includes short shadow placements • In retail branch and customer contact areas • Start Salary, £25k • £2k joining bonus • Excellent salary increases

40. IA… criteria and process • Apply online; www.santanderukgraduates.com • Pre-screening basic criteria • 2.1. degree obtained or predicted • Business, Finance / Accounting or IT related degrees required – or significant proportion • Numerate related degrees encouraged, but will have to show high levels of commercial acumen • Numerical and verbal reasoning online tests • Telephone competency based interview • Full Day Assessment Centre • Competency Interview • Written Exercise • Group Exercise • Presentation

41. IA… competencies • Personal Leadership • Working as a team and team management • Communicating and influencing • Results Orientation • Client and customer orientation • Auditing • Plans and delivers audits, which meet the Santander Internal Audit methodology and the Company’s objectives. Manages various elements of an audit progressing activity to meet timescales, assessing risk, managing resources, and communicating with all Stakeholders, internal and external.

42. Corporate Programme… open next week • September Start Programme • Kicks off with a residential induction – last years was 3 days In MK • Support Professional Qualification • Location; London, with one rotation likely elsewhere • 3 years worth of rotation • four 6 month rotations • One 12 month rotation • Aim is to become a relationship manager or commercial role by end programme • Start Salary, circa £27k tbc

43. Corporate… criteria and process • Apply online; www.santanderukgraduates.com • Pre-screening basic criteria • 2.1. degree obtained or predicted • Business, Finance / Accounting or IT related degrees required – or significant proportion • Numerate related degrees encouraged, but will have to show high levels of commercial acumen • Numerical and verbal reasoning online tests • Telephone competency based interview • Full Day Assessment Centre, details tbc, but likely • Competency Interview • Group Exercise • In-Tray • Pre-prepared presentation

44. HR Programme… open towards the summer tbc • September Start Programme • Kicks off with a residential induction – last years was 3 days In MK • Supports candidate in CIPD • London based but requires frequent UK travel • 3 years of rotations • Generalist and AOE rotations • Primarily to fuel HRBP roles • Includes short shadow placements • In retail branch and customer contact areas • Start Salary, £23k • £2k mobility allowance

45. HR… criteria and process • Apply online; www.santanderukgraduates.com • Pre-screening basic criteria • 2.1. degree obtained or predicted • Business related degrees preferred • Numerical and verbal reasoning online tests • Telephone competency based interview • Full Day Assessment Centre, details tbc, but likely • Competency Interview • Group Exercise • In-Tray • Pre-prepared presentation

46. Other graduate opportunities… coming soon! • Accelerated Entry opportunities • TD • Manufacturing TBC • Business Specific Programmes • IT / Operations • Central Headcount Programme • Risk • Marketing • Investment Bank • Generalist? (with a retail banking angle)

47. Placements / Internships … coming soon! • Structure / look / feel tbc • Likely to be very specific opportunities • Probable to market these direct to Santander Uni Business Schools only • Business degrees and on target 2.1. will be required

48. Working with you… • We have several challenges • Budget • Human Resource • Timescales • Behind typical ‘milkround’ already • Changing Goal-posts But we have many things working for us also… • Santander Uni initiative • So many opportunities for graduates • Appealing brand at the moment • Appetite in the business

49. Over to you… Your ideas and Q&A

50. Thankyou for travelling in the snow! www.santanderuklgraduates.com Customer Service : Customer Loyalty : Efficiency : Meritocracy : Teamwork