CEO Statement: Automatic Data Processing, Inc. (NASDAQ: ADP), with about $10 billion in revenues and approximately 570,000 clients, is one of the world's largest providers of business outsourcing

solutions. Leveraging over 60 years of experience, ADP offers a wide range of human resource, payroll, tax and benefits administration solutions from a single source. ADP India (ADPI) is engaged in providing IT and BPO services to ADP’s business divisions worldwide. ADPI was established in 1999, with offices in Hyderabad and Pune. ADPI provides the opportunity of working on multiple processes, domains and technologies to over 6600+associates.

ADPI has won innumerable awards in various spheres of excellence. Latest among these are:

Ranked among India’s Top 50 Best Companies To Work For & the 2nd in the ITeS Industry in 2012 by “The Great Place to Work Institute” (2012)

NHRD Inspire Awards for best practices in Talent Acquisition, Employer Branding & On Boarding (2012)

Our particular story of creating emotional wealth started in 2008, when we at ADPI decided to start our own CSR program Tarang, Tarang means a wave. The aim of Tarang is to create a wave of awareness and activity to work together for a better tomorrow in the areas of Education, Health, Environment, Relief, Livelihoods and Citizen Initiatives. Over the last few years, we have been able to touch lives and make a difference with our programs such as

MIDAS (Making an Impacting Difference at Schools), a learning improvement, whole school development and school health program which touches over 1800 children and their families in 10 primary schools in the Chandrayangutta Mandal of Hyderabad

DESIRE, through which we support and engage children in an Orphanage for HIV +ve children in IDA Bolaurum

HelpLife, a livelihoods program for differently-abled rural young women

I & Eye, a program to support visually challenged children

Environmental initiatives for waste reduction, e-Waste management and Carpooling

The success of our programs is owed much to the fact that they are completely conceptualized, designed and implemented by our associates. I am proud to say that these programs now touch all aspects of our lives at ADP.

About ADP Inc

Automatic Data Processing, Inc. (NASDAQ: ADP), with about $10 billion in revenues and approximately

570,000 clients, is one of the world's largest providers of business outsourcing solutions. Leveraging

over 60 years of experience, ADP offers a wide range of human resource, payroll, tax and benefits

administration solutions from a single source. ADP's easy-to-use solutions for employers provide

superior value to companies of all types and sizes. ADP is also a leading provider of integrated

computing solutions to auto, truck, motorcycle, marine, recreational vehicle, and heavy equipment

dealers throughout the world.

ADP has been ranked No. 1 among ‘World’s Most Admired Companies’ (Financial Data Services

category) and has a strong leadership position in every core business segment it operates in. ADP is the

only IT services company and one of the top 4 global companies with a ‘AAA’ rating from both

Standard & Poor’s and Moody’s.

About ADP India

ADP India is engaged in providing IT and BPO services to ADP’s business divisions worldwide.

Established in 1999, with offices in Hyderabad and Pune. ADP India provides the opportunity of

working on multiple processes, domains and technologies to over 6600+associates.The India

operations provides complete range of software development and technical support services. We also

provide solution center services that involve back office operations covering both voice and no-voice

processes. The operations can be classified into four areas:

1. Software Development (R&D) 2. Solution Center Services (BPO) 3. Remote Infrastructure Management (RIM) 4. Global Security Organization (GSO)

Recognitions

Ranked among India’s Top 50 Best Companies To Work For in 2012 by “The Great Place to Work Institute” & 2nd in the ITeS Industry (2012)

NHRD Inspire Awards for best practices in Talent Acquisition, Employer Branding & On Boarding (2012)

REMMY Award for the Best Recruitment based advertising in the IT/Telecom sector (2012)

Multiple Awards at the World HRD Congress (2012) o HT Shine.com HR Leadership Awards (2012)

Leading HR practices in “Learning & Human capital development” Leading HR practices in quality work-life, physical & mental well being award Leading HR practices in corporate social responsibility award Best HR practices award in Rewards & Recognition strategies HR team of the year

o Star News Talent Leadership & HR Awards (2012) HR excellence awards for innovation Best evaluation technique for recruitment or talent management metrics Most innovative recruiting or talent management program/initiative

o Global HR Excellence Awards (2012) HR excellence awards for innovation Best evaluation technique for recruitment or talent management metrics

o Employer Branding Awards (2012) Award for innovative retention strategy

Ranked 14th in the DQ-CMR “Top 20 Best Employers” in the IT Industry (2011)

Award for Innovative Retention Strategy at the 4th Employer Branding Awards (2010 )

Ranked among India’s Top 100 Best Companies To Work For in 2010 by “The Great Places to Work Institute” (2010)

National Award for excellence for Gender Inclusivity – Nasscom (2008)

Best Established MNC by HYSEA (2006)

Best Implemented Security Systems in an IT/ITES organization by HYSEA (2007)

Best Information Technology Company by FAPCCI (2006)

Best Start-Up MNC award by HYSEA (2001) CSR Initiatives at ADP

Our CSR journey started in 2008. Our program is called Tarang. Tarang means a wave. The aim of Tarang is to create a wave of awareness and activity to work together for a better tomorrow in the areas of Education, Health, Environment, Relief, Livelihoods and Citizen Initiatives. Vision Work for a better, fair and just world Mission Contribute to society through active involvement of Associates, their families and the organization; work with all stakeholders for the Improvement of the disadvantaged Scope

• Education • Health • Environment • Relief • Livelihood • Citizen Initiatives

Our initiatives are categorized into

Externally focused long term initiatives like education, health, livelihoods & citizen initiatives

Externally focused one-off & short term initiatives like collection and distribution of aid and relief to people affected by natural calamities, etc.

Internally focused long term initiatives like Environment / Ecology / Go Green e.t.c

The Tarang organization is completely voluntary. Its main distinguishing feature is enthusiastic employee participation. All execution & planning is overseen by a senior manager of the organization.

A voluntary core group interfaces with the NGOs and manages direct & indirect interventions with help from HR, Finance & Marketing teams. Volunteer groups specific to each intervention take part in activities of that intervention.

Over the last few years, we have been able to touch lives and make a difference with our programs such as

MIDAS (Making an Impacting Difference At Schools) , a Whole School Development, Learning Improvement and School Health Program which touches over 1800 children and their families in 10 primary schools in the Chandrayangutta Mandal of Hyderabad

DESIRE, through which we support and engage HIV+ve children in an Orphanage HIV +ve which is located in IDA Bolarum, Hyderabad

o Support 50 HIV positive children in premises o Organize Summer camps o Regular ADP Associates’ visits to teach and counsel the kids

Help Life, a livelihoods program for differently abled rural young women in Pune

o They are aligned to our livelihood initiative. o Organize several Jewelry, Paper bags and cards

exhibitions in ADP made by the Help Life girls o Continuous training programs from ADP associates to

Enhance the knowledge levels of Help Life girls on Excel skills, Accounts and Spoken English over the weekends

o 1 Help Life young woman planned to be employed with ADP as a Librarian

I & Eye, a program to support visually challenged children in Hyderabad

o Incorporated formally in 2009 - one of the promoters is an ADP associate

o Primarily working among poor visually challenged children

o Provide all-round help to students – recording equipment, medical assistance, writers etc.

o Run medical & awareness camps o Support eye surgeries to restore vision o Conduct Eye Awareness Camps

Help Life Exhibitions @ADP Pune

Environmental initiatives for Waste Reduction, e-Waste management and Go- Green Drive like Sapling Distribution

o Last Friday of every month is E-waste Management Day where associates bring defunct electronics from home

o Scientific disposal by Earth sense o Raise global awareness on the need to take

positive o Environmental action through regular initiatives

like Sapling Distribution, Planting Drive

o Saving and Efficient utilization of resources (power, water, etc.) and reduction of wastage disposables including cups, plates, paper.

Blood Donation Drives which is a Quarterly Drive with Red Cross, Aarohi Blood Bank

o Around 300 associates donate blood each time o Supports thalassemia affected kids, with our

Blood donation camps

Flood Relief Activities

Eye Donation

MAITRI

Vasthradan The success of our programs is owed much to the fact that they are completely conceptualized, designed and implemented by our associates. We are proud to say that these programs now touch all aspects of our lives at ADP. Tarang Success Story MIDAS – Making an Impacting Difference at Schools - In the realm of the externally focused long term initiatives we have taken up school education & health covering cover socially disadvantaged children as our focus area. Our interventions presently cover children in 10 government primary schools (MIDAS). Mission To enhance the academic status of disadvantaged children by improving their learning levels, improving infrastructure at schools, motivating and incentivizing parents, teachers and students for success, providing health care and social inclusivity. Vision To see some of the children work for us one day! The MIDAS program was started in 2008-09 by adopting 5 Government Primary Schools. It presently covers about 1800 children in 10 Government Primary Schools.

Blood Donation Drive

What Do We Do?

Our program touches all the children in all the above schools – not just the bright children.

We designed the program & execute some parts of it ourselves, but involve well-known NGOs with proven competence & dedication in the main aspects of the program. Thus we work with

Naandi Foundation (naandi.org), well-known all over the country for their work with Government Schools

NICE Foundation (www.nicefoundation.in), again well-known all over the country for health initiatives, for our school health program

Highlights of the Program

Educational

After-hours coaching for all subjects

Engaging & fun: Cooperative Reflexive Methodology

Full Pedagogy developed by Naandi

Baseline & End line tests

Significant improvement YOY (~ 35% in Language & ~20% in Math)

School Kits School

School Day

Children’s Day at Schools & at ADP

SMC Participation

Recognitions to Children, Teachers, Parents Infrastructure

School Building Repairs, Maintenance & Enhancements

Painting & Concepts

Running Water

Toilets & Cleaning Engagement/Inclusivity

SMC Meetings & Interaction

Participation in ADP India Family & Company Days School Healthcare Program

“If you are sick, come to school”

Working with NICE Foundation

School visit by doctor twice weekly

Medical van funded by ADP

On-spot treatment for simple ailments

Hospital Admission when necessary Extra-curricular

Summer Camps

Outings

Computers & Library (from this year)

Sports Day

MIDAS Day

Social Inclusivity

Social Inclusivity is very important as it gives disadvantaged children an idea of how it feels to be successful, and gives them the confidence to try. Thus we exploit every opportunity to throw the children and our associates together. We bring the children periodically to our office, where they see the work environment & interact with associates. The children participate with our associates in various events of ADP like Company Day, Family Day, Independence Day & Republic Day. Various aspects of our life are touched by the children – we decorate the office with pictures drawn by them, and our desk calendars are designed from the pictures. Our senior leaders in India and US frequently visit the schools and interact with the children.

What Did We Achieve?

Improvement in learning levels as measured by third party (Educational Initiatives) & attendance

o About 5% overall in 2008-09 o About 15% overall in 2009-10 o About 30% between baseline & end line in 2009-10 o About 38% between baseline & end line in 2010-11 and 2011-12

Constant increase in enrollment with a huge jump of Rs 40% (from 1300 to 1800) in year 2010-11

Big improvement in the infrastructure, appearance & functioning of the schools after we took over. Now all the schools look neat & bright, and have running water, drinking water & functioning toilets.

ADP funded and installed a special type of Sulabh toilet in Bandlaguda School in 2010, and a solar pump in Gnanodaya Sangham school in 2011.

Parvathinagar school has been upgraded to a high school last year.

One of our schools (Gnanodaya Sangham) won the Design for Giving Award in 2009 for their initiative in improving their environment by involving government agencies & the community.

The MIDAS program received much attention in our US locations. This has led to our US counterparts starting a similar program for inner city schools in New York.

Having noticed their success in MIDAS schools, Government adopted the techniques & workbooks of the Cooperative Reflexive Methodology in the entire Hyderabad educational region last year.

Adopted Schools

No.of Children

FY09 5 628

FY10 10 1308

FY11 10 1800

FY12 10 1839

FY09 Adopted Schools

FY10 Adopted Schools

GPS Bandlaguda GPS Ghouse Nagar

GPS Falaknuma GPS Ismail Nagar

GPS Gnanodaya Sangham

GPS Sultanshahi

GPS Parvathinagar GPS Beroon Gowlipura

GPS Phool Bagh GPS Dargah Barhana Shah