179 Life Is On | Schneider Electric www.se.com Chapter 2 – Sustainable development Strategic Report 2. Schneider Electric have several career development programs in place for groups of talent, supporting employees at all stages of their career and ensuring a strong pipeline of talent for the future. To harness the power of all generations, in addition to career programs for early talent, pilot programs for talent in the later stages of their professional career started in four countries in 2021. The intention is to support talent in the later stages of their professional career to have meaningful and fulfilling development and recognize and leverage their unique expertise and experience to boost learning and innovation across generations. The plan is to expand the pilot programs to more countries in 2022. This ambition is reflected in SSE #23. Access to meaningful career development programs for >90% employees during later stages of their career Schneider Electric want to recognize and support talent who are near the later stages of their professional career to strengthen key skills, leverage expertise and ensure knowledge exchange. The strategy and approach has been defined in 2021 and ‘personas’ based on employee motivations have been established. Ten entities have been identified to pilot the program in 2022 including France, Germany, Japan, Denmark, UK & Ireland, China, India and Australia. Programs will be anchored by a robust career plan and development options that may include flexible work, upskilling, career pivots, personal planning, or workplace adjustments. Generations SSE #23 90% -- Baseline 2025 target 2021 Progress 0 100 In progress An annual talent review process operates across the Company to discuss employee performance and potential, and their development. This process also ensures that high potential individuals are identified and supported with an accelerated development path to realize their full career potential. High potential individuals are identified by managers as demonstrating high levels of performance and career growth potential over time, with the ability to deliver transformational impact with others in a VUCA (volatile, uncertain, complex, ambiguous) world. Structured succession planning for leadership and critical roles helps to accelerate individual career development while maintaining continuity for the organization. In selecting and developing talent, an important consideration is also to foster diversity such as gender and nationalities (new economies as well as mature economies), as well as building the pipeline for leadership roles and technical expertise. Towards the end of the talent review process across the entities, there is an aggregated review with the Executive Committee to discuss the overall health of the leadership pipeline and succession strength for top positions. The Group has an expert program to recognize individual employees who have demonstrated outstanding achievement, expertise, and leadership throughout the Company. Schneider Electric strongly believes that its position as a global technology and innovation company is driven by the innovative contributions of its creative employees. The expert program offers them a chance to continue to extend their contribution and increase their impact and exposure to the Group’s strategy. Employees in this program are identified as Level 1 – Expert, Level 2 – Senior Expert, or Level 3 – Master Expert. The Group actively promotes a learning and teaching culture by developing its internal trainer capability. There has been a strong focus on equipping internal trainers to develop and facilitate virtual classroom training, including using tools such as Klaxoon and BlendedX for additional interaction and engagement. A Global Virtual Internal Trainer Conference was organized in September with the purpose to recognize, develop, and connect internal trainers. It was a day-long conference providing sessions on facilitation skills, creating impactful presentations, and how to create impact virtually, with a Keynote speaker from MIT-Sloan. There are currently over 5,500 identified internal trainers who collectively delivered over 20,000 sessions in 2021, accounting for 71% of formal training. Additionally, the Company currently has over 250 communities of practice as part of the Communities@Work program. These communities promote a new way of working, with employees coming together to share activities on a specific professional topic, solving problems, innovating, and learning together. 2.5.3.7 Upskilling for today and tomorrow The Group recognizes skills are rapidly becoming outdated, especially vital technical and digital skills required to accelerate our business growth. Roles requiring digital and human skills are growing due to the rise of AI, automation, and digitization. Purposeful renewal of skills is necessary to ensure sustainable careers and a resilient, future-ready business. To support this ambition, business, and function academies are in place to partner with the business in identifying learning needs and spotting gaps in core and future skills for relevant employee populations. They develop and promote learning and development opportunities based on the 3E model (education, exposure, and experience). Key programs include: Consultative Selling: The Commercial Excellence Academy has created a blended and fully digital learning curriculum to enable sales teams to build trusted advisor relationships with business decision makers. This consistent, repeatable & consultative approach drives sustainable & profitable growth, champions digitization and enables customer success. As such, this program is a key pillar in the overall customer-centric commercial transformation at Schneider Electric. At the heart of the Consultative Selling approach is understanding customers’ undiscovered pain points by conducting strategic sales dialogues through effective questioning strategy and then articulating outcome-based results and benefits to those customer challenges. This sales culture transformation is a paradigm shift in the way sales teams engage with customers and requires a robust learning intervention on skillset, toolset, and mindset, all of which are stitched together in the learning journey. Additionally, the program is complemented by a robust module for sales managers, named Coaching for Consultative Selling Approach, which ensures that the managers are able to coach and develop the team members constantly as they navigate this transformation, developing best-in class consultative mindset.