Blackstone is a global investment firm that manages over $350 billion in assets. It invests in over 100 portfolio companies across industries with the goal of improving performance and creating value. Blackstone launched a global purchasing initiative leveraging its scale to create strategic partnerships. It partnered with ADP to provide centralized payroll management for its portfolio companies, replacing over 14 payroll systems with a single global solution to increase efficiency, compliance and data visibility. Implementing ADP's system helped standardize processes and reduce costs while ensuring legal and tax compliance across countries.

2. Blackstone and ADP
The Art of Creating Global Value
Greg Beutler,
Operating Partner, Blackstone
Davida Lara,
SVP and Head of Global Payroll, Blackstone

3. Paris
Mumbai
Hong Kong
Madrid
Germany
Beijing
Tokyo
Istanbul
New York
San Francisco
Houston
Atlanta
Boston
Los Angeles
Menlo Park
Dallas
Switzerland
Shanghai
Chicago
Seoul
Singapore
Sydney
Dublin
São Paulo
London
Who is Blackstone?
Global Alternative Asset Investment Business
• Invest in businesses
through equity
acquisitions & debt
financing
• Over $350B in AUM
• Private equity, real
estate, GSO Capital
and hedge fund
solutions
Business Model Portfolio
• 100+ portfolio
companies with
combined revenue
over $100B
• Companies with
$500M to $10B in
revenue
• Average investment
time: over 5 years
Objectives
• Create value by
improving portfolio
company
performance
– Growth
– Productivity
– Earnings
– Cash flow

4. Value Creation Program
Leverage the Buying Power Across the Portfolio Companies Through Strategic Partner Relationships
• Launched cross-portfolio
purchasing initiative in 2005
• 100+ portfolio companies
engaged
• Visibility to $30B in
spend globally
• 700k+ employees
Overall Program Scope
• 75 vendors globally
including services across
finance, HR, IT, marketing,
operations
• About $5B in spend
Strategic Partnerships
• Established relationship
in 2011
• 97 portfolio companies
• 330k employees
ADP Partnership
Example Portfolio Companies

5. Value Creation Imperatives
Key Drivers of Value That Strategic Partners Like ADP are Accountable to Deliver
Globalization
Integrate disparate
platforms effectively
Governance/Compliance
Integrity
Protect our brand
Efficiency and
Productivity
Concrete business
case/economics
Speed of
Execution
Mobilized for success
with internal and
partner resources and
predictable project
timing
Integrated
Engagement
A seamless, cohesive
end-to-end
relationship from sales
to implementation to
support/service
Service/Quality
A differentiated model
(resources, process)
and integrated
across products and
geography

6. Firm’s Global Payroll Management Footprint
Paris
Mumbai Hong Kong
Madrid
Germany
Beijing
Tokyo
Istanbul
New York
San Francisco
Houston
Atlanta
Boston
Los Angeles
Menlo Park
Dallas
Switzerland
Shanghai
Chicago
Seoul
Singapore
Sydney
Dublin
São Paulo
London

7. Challenges
No centralized master data source
for people, organizational and base
headcount data
14+ payroll systems globally:
some countries with multiple solutions
in one country
Costly and inefficient fragmented multiple
systems or in many cases no systems at all
Global headcount/compensation data:
difficult to pull together globally, by division,
by region, by country or by function

8. Risks
• Understanding common global payroll compliance risks and
exposure for non-compliance
• U.S. based programs (i.e. Equity, Mobility, Compensation)
creating complicated tax triggers on local payrolls
• Compliance issues related to data management,
cost/productivity, SOX compliance, and data accuracy

9. Blackstone Solution
• 1 global system of record
• 1 global partner
• Solution is audit ready, compliant and cost effective
• Multi-country, multi-currency, and multi-lingual
• Defined global payroll essentials and implemented standard
operating procedures
• Fully integrated with global general ledger

10. Blackstone Global Payroll
• Vendor and in country experts ensure payroll/tax law compliance in all regions
• Integration with other enterprise systems increases legal/fiscal compliance and
audit readiness
• Timely/accurate employee global payroll data for strategic decision making
• Self-service technologies reduce administration costs and improve data quality

11. • IXOM separates from Orica as
a stand-alone company in
2015
• Tasked with setting up their
own payroll capabilities in 13
countries
Worldwide leader in water treatment and chemical distribution in Australia and New Zealand, with a
growing presence in Asia and Latin America.
• Evaluated options and ADP offered best operational
footprint and ability to execute in the regions with IXOM
locations
• Optimized capabilities/spend based upon country
specific needs (GlobalView and Streamline deployed)
• Gained insight and confidence from Blackstone
Corporate and its portfolio companies experience

12. • Needed increased visibility for analytical, budgeting,
and forecasting purposes
• Increase audit and controls
• Global governance by reducing payroll experts across
the globe – significant cost savings/staff reductions
• Conviction based on support from Blackstone
Corporate, other portfolio companies experience
Worldwide leader in drug development, delivery and supply partner for drugs, biologics and consumer
health products.
• 10,000 employees across
30 global locations
• Historically a regional
structure with independent
process and systems
• Global growth via
acquisitions

13. • Provides head start in vendor vetting process
• Assists in business case & calculating ROI
• Highlights local payroll legal requirements
• Point of reference for global payroll processes and interfaces
• Risk assessment and issues are managed and tracked
Document current payroll landscape – create a global payroll “blueprint”:
Where To Start

14. Forward-Looking Statements
Certain information contained in this Presentation constitutes “forward-looking statements,” which can be identified by the use of forward-looking terminology such as
“may,” “will,” “should,” “expect,” “anticipate,” “target,” “intend,” “continue” or “believe,” or the negatives thereof, other variations thereon or comparable terminology. Due to
various risks and uncertainties, actual events or results or the actual performance of the Fund described herein may differ materially from the events, results or
performance reflected or contemplated in such forward-looking statements. Any projections, targets, forecasts and estimates contained herein are based upon certain
assumptions that Blackstone considers reasonable. Projections, targets, forecasts and estimates are necessarily speculative in nature, and it can be expected that some or
all of the assumptions underlying the projections, targets, forecasts and estimates will not materialize and/or that actual events and consequences thereof will vary
significantly from the assumptions upon which projections contained herein have been based. The inclusion of projections, targets, forecasts and/or estimates herein
should not be regarded as a representation or guarantee regarding the reliability, accuracy or completeness of the information contained herein, and the Fund is under no
obligation to update or keep current such information. Unless otherwise indicated, the information provided herein is based on matters as they exist as of the date of
preparation of this Presentation and not as of any future date. Recipients of this Presentation are encouraged to contact Fund representatives to discuss the procedures
and methodologies used to make the projections, targets, forecasts and estimates and other information provided herein.

15. Very Confidential
This presentation (the “Presentation”) is being furnished to you at your specific request on a confidential basis to provide summary information regarding the private equity business managed by Blackstone and its
affiliates (“Blackstone”), and may not be reproduced or used for any other purpose. Your acceptance of this document from Blackstone constitutes your agreement to (i) keep confidential all the information
contained in this document, as well as any information derived by you from the information contained in this document (collectively, “Confidential Information”) and not disclose any such Confidential Information to
any other person, (ii) not use the Confidential Information for purposes of trading any security, including securities of the Blackstone Group L.P. (the parent company of Blackstone) or its or Blackstone’s portfolio
companies, (iii) promptly return this document and any copies hereof to Blackstone, or destroy any electronic copies hereof, in each case upon Blackstone’s request and subject to the confidentiality provisions
more fully set forth in the underlying fund partnership agreement and in any other written agreement between the recipient and Blackstone. This document is for informational purposes only and does not constitute
an offer to sell, or a solicitation of an offer to buy, any security or instrument in or to participate in any trading strategy with any fund.
Please be advised that certain information contained herein might constitute material non-public information and therefore, potentially could impose certain trading restrictions on the recipient.
The examples referred to or discussed in this presentation are for illustrative purposes only, were not selected on performance-based criteria and reflect some, but not
all, of Blackstone’s portfolio companies.
Opinions expressed reflect the current opinions of Blackstone’s as of the date appearing in this presentation only and are based on Blackstone’s opinions of the current
market environment, which is subject to change.
Certain information contained in this presentation has been obtained from sources outside Blackstone. While such information is believed to be reliable for purposes
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