Capgemini : Integrated Report

INTEGRATED REPORT 2019

People matter, results count.

Statement

3

Group profile

4-5

Conversation

6-7

AGroupdesignedtocreate

long-termvalue

8-21

Teamsmobilizedtoshape

apositivefuture

22-31

Arenewedgovernance

32-37

The artist

38-39

Collection and credits

40-41

3	Statement -

Preparing the

futureAs a leader in digital transformation, our mission has become all the more important today, as we aim to help our clients seize all the opportunities offered

by technology in order to keep their employees safe in these times of crisis, all while ensuring their business continuity, as well as boosting their agility and competitiveness to prepare for the future.

	In addition, the social and environmental challenges facing
	the world call for swift and strong action by companies and
	institutions. Our Group has long advocated for digital
	inclusion and the fight against climate change, notably by
	reducing our carbon emissions and developing service
	offerings to reduce our clients' emissions.
Paul Hermelin,	Backed by the continuously growing expertise and skills of
Chairman	our talented people, our entrepreneurial culture and the
	values that guide us on a daily basis, we are working to
Aiman Ezzat,	ensure that digital, technology and innovation serve as
CEO	drivers of sustainable development.
Shobha Meera,	Our multicultural organization, resolutely anchored in all
communities where we operate, is now more resilient,
Corporate Social
Responsibility	committed, united and agile than ever before. Following a
	well-managed internal process of managerial transition,
Olivier Lepick,	Capgemini also benefits from a governance with broad
expertise adapted to the Group's challenges.
Human Resources
(interim) and Secretary
General	For the third year in a row, we are publishing an Integrated
	Report based on the Reference Framework published by
Rosemary Stark,	the International Integrated Reporting Council (IIRC) to
present how the Group creates and shares value.
Sales
		Feel free to share your comments by sending us a message
		at the following address:
		[e-mail]

CAPGEMINI - INTEGRATED REPORT 2019

- Group profile

A Leader for Leaders

4

5

A Leader for Leaders

Group profile -

CAPGEMINI

A GLOBAL LEADER IN CONSULTING, DIGITAL

WHAT WE DO

Innovative and high-added-value services:

Strategy & Transformation

Applications & Technology Operations & Engineering

WHO

WE ARE

219,300

employees drawn from over 120 nationalitiesin more than 40 countries

TRANSFORMATION, TECHNOLOGY AND ENGINEERING SERVICES

	EUROPE, MIDDLE EAST
AMERICAS	AND AFRICA	ASIA-PACIFIC
26,120 people	75,740 people	117,440 people

With Altran,

we have created a global leader in Intelligent Industry. To learn more, visit: reports.capgemini.com/2019/files/altran/Capgemini_Altran_2019_VA.pdf

OUR PRIORITY OFFERS

HOW WE OPERATE

Customer Experience

Cloud

Cybersecurity

Artificial Intelligence

& Analytics

Digital Engineering & Manufacturing

Digital Core with SAP S/4HANA©

ADMnext

Seven core values: Honesty

Boldness

Trust

Freedom

Team Spirit

Modesty Fun

WHO WE WORK WITH

WHAT WE ACHIEVED IN 2019

76%

of the 200 largest public companies on

the Forbes Global 2000 List are our clients

96%

of our revenues come from existing clients

€14.1bn

revenue

+7%since 2018

12.3%

operating margin

€1.3bn

free cash flow

27,300+beneficiaries supported by our digital literacy programs

Recognized once again in

2019 as one of the World's

Most Ethical

Companies

Named onCDP's*'A List'

Figures at December 31, 2019

* Carbon Disclosure Project

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

- Group leadership

Conversation

6

7

Conversation

Group leadership -

		After the Shareholders' Meeting in May 2020,
		Paul Hermelin, you will remain Chairman of the
		Board and Aiman Ezzat will succeed you as
		Chief Executive Officer. How are you approaching
PAUL HERMELIN -		this new phase?
	Paul Hermelin- In 2017, I proposed to adopt a
CHAIRMAN*
CONVERSATION		governance structure separating the functions of Chairman
	principle at that time. I was convinced that we could find an
		and Chief Executive Officer, which the Board accepted in
AIMAN EZZAT -		internal solution: a rapidly growing group must certainly
CEO*		generate talent. Today, I am delighted that the Board has
		chosen Aiman Ezzat as Chief Executive Officer. Aiman has
		more than 20 years of experience within the Group and has
		worked alongside me since 2005. This choice sends a strong
		message to all of Capgemini's talents.
		Aiman Ezzat- I would like to thank the Board of Directors
		for the confidence it has shown in me. Paul has left his mark
		on more than half of our Group's history. I am very proud to
		succeed him and I will do my utmost to continue the success
		of the last few years. I fully appreciate my responsibility in
Since it was founded in 1967 by		leading this tremendous Group, to which I am deeply
	attached. We are fortunate that our profession fulfills a role
Serge Kampf, the Capgemini		of particular importance today. Technology is key to ensuring
	the resilience of our economy and, beyond that, the
group has always distinguished
	resilience of our society.
itself by its audacity and its		Since you mentioned the current health crisis, how
determination to build, grow and
	have you organized the Group's response?
develop its talents and its clients.		A. E.- We have set up a crisis unit primarily to manage the
	health and protection of our employees. Our second priority
During this very turbulent spring
	was to ensure business continuity for all our clients across
of 2020, the entire company has		50 countries. During this unprecedented period, the Group
mobilized to take on new
challenges together and continue
its development.

Watch the video on

reports.capgemini.com/2019/en/annual-report.html

has demonstrated its remarkable agility and responsiveness. In geographies such as India, we switched to over 90% remote working in just a few days. The credit for this achievement goes first and foremost to our colleagues. They have shown an unfailing commitment at all times, as well as an enormous generosity that has led to numerous initiatives, particularly in the field of public health. I would like to express my sincere thanks to them and my hope that we will come out of this experience even stronger, as an industry, as a company and as a society at large.

P. H.- This crisis calls on us to rethink the way we work. Remote work on such a massive scale is changing us. I am convinced that it can become an essential element in redefining how we work together at a distance. It will also shape the methods employed by a new generation of leaders.

At the beginning of April, Altran became part of the Capgemini group. What new prospects does this acquisition open up?

P. H.- We are thrilled to welcome Altran's 50,000 employees. With them, Capgemini is expanding and will now cover not only digital technologies but also industrial

technologies. We had the intuition that, after digital marketing, Intelligent Industry would be the next wave of innovation, driven by connected objects and 5G. Altran brings us technological skills and valuable R&D expertise in many sectors. The integration will be facilitated through the proximity of our cultures and business models. With Altran, we are embarking on a new chapter in the history of our Group. Essentially, we were engineers in consulting, and IT and digital technologies. With Altran, we are broadening our range to include all technologies. Capgemini has become a leader in technology services, now capable of defining and implementing new objects and services for its clients.

A. E.- This is a strategic operation. It is a powerful accelerator for developing our relationships with all of the company's decision-makers. At the same time, together with Altran, we are creating the world leader in Intelligent Industry. Combining the expertise of Capgemini and Altran will enable us to propose a unique offer to the market. Let's take the example of autonomous cars: Altran works on the connected vehicle and Capgemini manages digital systems to process the data generated and required by the vehicle. This unprecedented combination will position us as the strategic partner for the digital transformation of industrial and technology companies.

It is now more difficult than ever to anticipate the future, but can you tell us the principles that will shape your efforts?

A. E.- "These are the values that will retain their meaning in our common adventure when the challenges of the times call everything into question," as Serge Kampf, the founder of Capgemini, once said. Our fundamentals are very solid. Technology will be more than ever a part of our lives and of all chains, whether logistical, industrial, relational or solidarity- based. The massive adoption of digital technology that we have seen since the start of the health crisis is leading to a paradigm shift that will have a lasting impact on expectations in terms of customer experience and the digitalization of business processes. We will also have to be attentive - as I will be - to the ethical use of these technologies and the digital inclusion of the greatest number of people. Finally, I will ensure that the fight against climate change remains a priority. We must work together to reinvent the way we live and work. This is our responsibility as a leader in our industry. J

*Aiman Ezzat succeeded Paul Hermelin as Chief Executive Officer

of the Group at the Shareholders' Meeting on May 20, 2020. Paul Hermelin continues as Chairman of the Board of Directors.

"WITH ALTRAN, WE ARE CREATING THE WORLD LEADER IN INTELLIGENT INDUSTRY."

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

9

Part I -

We strive to address all the challenges of our ecosystem in order to transform shifts in our markets and technological innovations into levers for creating long-term value for our clients. Our growth strategy is based on our solid performance, our cutting-edge expertise and our agile portfolio of services. Following the acquisition of Altran, we benefit from a unique ability to support the digital transformation of industrial and technology companies.

S'ÉVADER (ESCAPE), 2017

MIRYAM HADDAD Oil on canvas, 22x16cm

Photo: Claire Dorn

Courtesy of the artist and Art: Concept, Paris

PART I

-

AGroup

designedto

create long-term value

CAPGEMINI - INTEGRATED REPORT 2019

- Creating long-term value

2019 Key figures

10

A SOLID PERFORMANCE, THE FOUNDATION OF OUR FUTURE GROWTH

11

2019 Key figures

Creating long-term value -

Our strong financial performance in 2019 reflects our sound business model and rigorous approach to management. Combined with our extra-financial performance, these results will enable us to pursue our long-term growth strategy.

REVENUE BY REGION	REVENUE BY SECTOR	REVENUE BY BUSINESS
in percentage	in percentage	in percentage

TOTAL HEADCOUNT	PERCENTAGE OF WOMEN IN
in thousands	THE HEADCOUNT
	33%

PERCENTAGE OF NEW

VICE-PRESIDENTS WHO ARE

WOMEN

219	32%
211	31%
200

24%

18%

29%

32%	NORTH AMERICA	26%	FINANCIAL SERVICES	71%	APPLICATIONS & TECHNOLOGY
27%	REST OF EUROPE	20%	MANUFACTURING	22%	OPERATIONS & ENGINEERING
21%	FRANCE	14%	PUBLIC SECTOR	7%	STRATEGY & TRANSFORMATION
12%	UNITED KINGDOM AND IRELAND	14%	CONSUMER GOODS & RETAIL
8%	ASIA-PACIFIC AND LATIN	12%	ENERGY & UTILITIES
	AMERICA	8%	TELECOMMUNICATIONS, MEDIA &
			TECHNOLOGY
		6%	SERVICES

2017

2018

2019

2017

2018

2019

WORKFORCE

BY GEOGRAPHY

in percentage

39 hours

of training on average per employee

2017 2018 2019

DIGITAL INCLUSION

74%

of our social projects focus on digital inclusion

REVENUES

in millions of euros

f	+5.3%
	year-on-year at constant
	exchange rates

	OPERATING MARGIN
	in millions of euros
	f	+7%	f	+9%
+4%

2.75 million

shares applied for under the sixth employee shareholding plan carried

out in 2019

13

Digital Academies*

in 7countries with more than

12,525

13,197

14,125

f	1,741
1,597
1,493

57%ASIA-PACIFIC AND LATIN AMERICA

18%REST OF EUROPE

13%FRANCE AND MOROCCO

8%NORTH AMERICA

4%UNITED KINGDOM AND IRELAND

1,560graduates

• Global network of learning institutions helping disadvantaged groups and those excluded from the job market to acquire digital skills

2017	2018	2019	2017	2018	2019
ORGANIC FREE CASH FLOW		DIVIDEND PER SHARE
	in millions of euros			in euros
	1,160	1,288	1.70	1.70	1.90
1,080				1.35*

2017

2018

2019

2017

2018

2019

	*In view of the global coronavirus pandemic, the Board of Directors on April 27,
	2020, decided, in a show of solidarity between the various stakeholders, to
	reduce by 29% the dividend proposed for approval at the Shareholders' Meeting
CAPGEMINI - INTEGRATED REPORT 2019	on May 20, from €1.90 initially planned to €1.35 per share.

GREENHOUSE GAS EMISSIONS

in tCO2eq

	GROUP EMISSIONS			EMISSIONS PER EMPLOYEE
552,373			3.10
506,785	2.44	-29%
474,321	2.20
						compared to 2015, the benchmark
						for our targets for reducing our carbon

footprint

2015	(...)	2018	2019	2015 (...) 2018	2019

CAPGEMINI - INTEGRATED REPORT 2019

- Creating long-term value

Trends

12

TACKLING THE CHALLENGES

OF TOMORROW

13

Trends

Creating long-term value -

In addition to analyzing the disruptions linked to the current crisis, we are constantly striving to identify the trends that structure our markets and the expectations of our clients' customers. By anticipating future opportunities and managing medium-term risks, we are able to harness all the levers of tomorrow's value creation.

TECHNOLOGY

Data and artificial intelligence, cloud and digital, edge computing, automation, Internet of Things

50+%

of European manufacturing corporations utilize AI

(Source: Capgemini)

175

zettabytes of data - or a stack of DVDs extending 23 times the distance between the Earth and the Moon - will be generated worldwide in 2025, compared with 33 zettabytes in 2018

(Source: IDC)

Cybersecurity

2,244

cyberattacks a day worldwide, or one every 39 seconds

(Source: University of Maryland)

Large-scale development of 5G

2 bn

people will be covered by 5G by 2030

(Source: McKinsey)

We are strengthening our expertise in data platform technologies and developing new offers, particularly in AI. Capgemini makes every effort to attract and train numerous cybersecurity experts to provide our clients with comprehensive consulting, monitoring and protection services.

WORK

The race for talent

756,000

job openings in information and communication technologies in Europe in 2020

(Source: World Economic Forum)

Importance of sharing the company's values and personalization of employee pathways

83%

of thriving employees are more likely

to work for a company they trust to train them in the skills tomorrow.

(Source: Mercer)

Multiple ways of working

69%

of American organizations authorize their employees to work remotely some of the time and…

27%

of these organizations have implemented full-timeremote-work terms

(Source: Society for Human Resources Management)

Capgemini employs more than 219,000 people sharing a common goal: to guarantee our clients receive innovative and optimal services.

The Group strives to attract and retain the best talent by taking into account their expectations (search for meaning, real-time feedback, etc.) and new ways of working together (remote work, flexibility, personalized career paths, etc.).

ECONOMY

Rise of regional economic hubs

2nd

biggest economy worldwide in 2050: India

(Source: PwC)

Disrupting business models and the rise of new players

Less than 20 years

the average age of S&P 500 companies, compared with 60 years in the 1950s

(Source: Crédit Suisse)

8 out of 10

companies with the largest market capitalization are digital and tech giants, compared with two out of 10 in 2010

(Source: FXSSI - January 2020)

Present in more than 40 countries around the world, including India, our Group endeavors to develop its activities in a balanced

way throughout each of its geographic areas.

THE ENVIRONMENT

AND SOCIETY

Climate change and natural resource depletion

43.1 Gt

of CO2released into the atmosphere in 2019 (an increase), compared with a target of zero net emissions in 2050

(Source: Global Carbon Budget)

Demographic shifts and urbanization

60%

of people will live in cities by 2030, among a total population estimated at 8.5 bn

(Source: United Nations)

Digital divide

Nearly 60%

of humanity is connected to the web -

but the internet is 50 times faster in Singapore than Algiers

(Source: WeAreSocial)

The rise of ESG criteria

US$32,000 bn

in managed assets including ethics and ESG (environmental, social and governance) criteria

(Source: Financial Times)

Together with its clients and partners, Capgemini develops solutions to meet the targets outlined by the Paris Climate Agreement, while conducting its CSR program - Architects of Positive Futures.

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

STRENGTHEN OUR IMPACT AS A RESPONSIBLE COMPANY

- Creating long-term value

Strategy

14

Strengthened by the acquisition of Altran, our Group is built on five strategic pillars, which have now become more relevant than ever before.

A CONFIRMED STRATEGIC

INTENTION

BE THE PREFERRED PARTNER
FOR OUR CLIENTS'	INVEST IN OUR EMPLOYEES,
TRANSFORMATION AND	WHO ARE OUR MOST
1GROWTH CHALLENGES	2VALUABLE ASSET

15

Strategy

Creating long-term value -

3	4
ROLL OUT A BALANCED PORTFOLIO		INNOVATE BY MOBILIZING
	AN ECOSYSTEM OF STRATEGIC
OF INNOVATIVE OFFERINGS		PARTNERS
	n order to offer our clients innovative and high value-			he synergies offered	Exchanges (AIEs) enables
	added services, we have set up an agile management			by our ecosystem of	us to consolidate and
	of our portfolio of offers. For example, using targeted			preferred partners*	strengthen our positioning
Iacquisitions, we are developing our offerings in digital		Tare essential to	in applied innovation, by
and cloud environments, which drive our clients' technological	meeting our clients' most	bringing together our clients,
and business evolution. All the while, we continue to invest in		complex challenges,	innovation players and our
cybersecurity. Building on our new Perform AI solutions and our	whether that means	internal technology and
community of AI and automation experts, we work to maintain	creating new business	engineering resources. Not
our competitive edge by deploying AI solutions that deliver		models, implementing new	only does this approach help
significant and measurable performance gains for our clients.		technological solutions or	to create disruptive models,
Finally, through the acquisition of Altran, we have expanded our	expanding internationally.	it also enables our clients to
presence in the field of Intelligent Industry, dedicated to the		We continue to broaden our	set themselves apart in their
digital transformation of industrial capacities. J		ecosystem of new partners	markets. J

We support our clients with their digital and technological

transformation plans to enable them to achieve their growth, innovation and efficiency targets. We place our clients at the center of all our efforts and provide them with our expertise,

while offering comprehensive solutions. As a strategic global partner to industry-leading companies, we continue

to earn our clients' trust by investing to strengthen our expertise in our clients' sectors or industries. J

As specialists recognized in their field of expertise, our employees are essential to our success. They work on the frontlines of business transformation, embodying our entrepreneurial culture and delivering leading-edge

services. With their help, we offer a high level of support to our clients. To achieve our ambitious growth objectives, we invest in our teams, attract and retain the top talents in our industry and offer our people motivating development opportunities, including international career paths. We also ensure that we offer them a dynamic environment that fosters performance, where dialogue and a spirit of conquest are encouraged and rewarded. J

focused on innovation in a flexible and future-oriented manner. Our network

of Applied Innovation

5Architects of Positive Futures, our corporate social responsibility program, is one of the essential components of our strategy to become a leading responsible company whose expertise contributes positively to society. Our commitment is to provide a diverse and inclusive work environment for our employees, to help make the digital revolution

an opportunity for all by building bridges between technology and society, and to ensure the ethical use of technology. We are also committed to developing solutions to reduce our environmental impacts and those of our customers by helping them build more responsible and sustainable models. J

	* For a comprehensive view of all our technology partners, visit:
CAPGEMINI - INTEGRATED REPORT 2019	www.capgemini.com/partners	CAPGEMINI - INTEGRATED REPORT 2019

- Creating long-term value

Business model

16

OUR VALUE CREATION

TRENDS	Technology:	Work:
Intelligent Industry, data and	the talent race, the importance of being aligned with the
	artificial intelligence, cloud, edge	company's values, personalization of employee career
	computing, automation,	paths and multiplicity of the way we work
	cybersecurity, Internet of Things,
	5G development

17

Business model

Creating long-term value -

Using our operational excellence, innovative assets, and added-value partnerships, we link technology, business and society to deliver sustainable value to all stakeholders.

Economy:	The environment and society:
the emergence of regional economic hubs	climate change, resource scarcity, demographic
and disruption to business models	shifts, urbanization, the digital divide and increase of
	CSR criteria

OUR

RESOURCES

• Human

219,300talented employees, seasoned specialists and young graduates, in 40+countries

An average age of 33within the Group

A broad diversity of profiles and expertise

• Industrial

451offices

25data centers

10Security Operations Centers

• Intellectual(partnerships and co-innovation)

Strategic partnerships with technology and business leaders

Alliances with universities, schools, research centers, startups and recognized experts

The multi-award-winning Capgemini Research Institute

• Financial

A strong balance sheet, with a net equity of €8.4bn

€1,288mfree cash flow generation

Figures at December 31, 2019

OUR

DRIVERS

• Passionate and committed talents

Seven core values

A continuous entrepreneurial spirit

Ethical conduct at all times

CSR stakes at the heart of our decisions

• Motivating development paths

The recruitment of the best talents

Recognized know-how in particular in the design

and management of complex technological programs addressing business challenges

The development of tomorrow's skills

Regular training courses adapted to each employee

• A global ecosystem of research and innovation

A global technology and innovation network, including 15Applied Innovation Exchanges (AIE) to co-innovate with our clients

18studies published by the Capgemini Research Institute in 2019

€160mcash invested in digital and innovation acquisitions

• An agile organization

Global delivery model

Proven expertise in the allocation of talents and skillsets Global Quality Management System

A hub of more than 110,000employees in India

OUR

OFFER

Client solutions tailored

to the challenges of each sector

Consumer Goods & Retail / Energy & Utilities / Financial Services / Manufacturing / Public Sector / Telecoms, Media & Technology / Services

A portfolio of

offers integrating the best of

technologies

Customer Experience / Cloud / Cybersecurity /

AI & Analytics / Digital Engineering & Manufacturing /

Digital Core / ADMnext

Our business lines

Strategy & Transformation

Applications & Technology

Operations & Engineering

Innovation at

our core

€14.1bn revenue

FOR

SUSTAINABLE GROWTH

• Clients

4.1/5:client satisfaction level through regular assessment of our clients' expectations defined by contractual deliverables

A target of 10million tons of CO2saved by 2030 by our clients thanks to our solutions

• Talents

€8,833mpaid in gross wages and salaries, payroll taxes and benefits

29%- percentage of new Vice-Presidents who are women (internal promotions and external hires)

39hours of training per employee

7.1/10:employee engagement score, as measured in monthly internal surveys

• Business and technology partners

€2,299min purchase of goods and services with our suppliers

More than 50%of our sales are made alongside our partners

• Society and public authorities

€502mincome tax expense 191social impact projects

74%of our social development projects are related to digital inclusion

• Shareholders and investors

An earnings per share of €5.15(up 18% on 2018)

€432mreturned to shareholders

(€282mdividend, €150mshare buyback)

12.3%operating margin

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

- Creating long-term value

Business lines			Business lines
and expertise	18	19	and expertise

Creating long-term value -

O

p

e

											g
										n
									i
									r
								e
							e
							n
							i
							g
						n
						E
						&
					s
				n
			o
		i
	t
r	a

Strategy&T r a n s fo r m

a t i o

n

We have structured a cohesive and unified organization to foster long term collaboration. Our businesses and areas of expertise address the entire breadth of clients' needs and opportunities, and also serve our communities.

WE LEVERAGE TECHNOLOGY TO SERVE OUR CLIENTS AND SOCIETY

Areas of expertise

Cloud		Business strategy
Engineering	& Transformation
infrastructure
	management
Architecture	Software	Creative
engineering	design

STRATEGY &

TRANSFORMATION

With the creation of Capgemini Invent in 2018, Capgemini builds on its expertise in the fields of strategy, technology, data science, and creative design to support clients within the digital economy.

	Applications
Cybersecurity	development,	Data
integration &	management
	maintenance

Business	Digital assurance
& Quality
Services
engineering
	ADAPTED TO DIGITAL

A	p										y
	pli								g
		c						lo
			a				o
				ti		n
					ch
						ons& Te

			n	t	s
		e
	i			&
l
C

S	y
	ociet

APPLICATIONS &

TECHNOLOGY

Capgemini helps clients to evolve, modernize, expand, and secure their digital and IT environments thanks to the latest technologies. Our teams design and develop technological solutions and help our clients optimize and maintain their applications to gain operational agility.

OPERATIONS &

ENGINEERING

Our Digital Engineering and Manufacturing (DEMS) services are grouped in this category, which benefits from the acceleration of our Digital Manufacturing activity. It also includes our infrastructure services - the installation and maintenance of client IT infrastructures in data centers or in the cloud - and our Business Services, which provide Operational Management Services.

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

- Creating long-term value

Customer

Experience (CX)

With our Customer Experience services, we help our clients strengthen their relationships with their own customers, through rigorous analysis and cutting-edge technologies that enable them to better understand their tendencies, intuitions and personalities.

Priority offers

Cloud

By applying a cloud-first approach, we help our clients define the most suitable cloud strategy for their business. We also help them manage their hybrid environments, while securing all their data.

VALUE-

20

Cybersecurity

Our comprehensive portfolio of consulting, compliance, protection and monitoring services is designed to secure traditional IT, as well as cloud, Internet of Things and digital systems.

ADMnext

We offer a unique

21

Acquisitions

Creating long-term value -

Continuing our acquisition strategy

initiated more than 50 years ago, Capgemini's bid to acquire Altran successfully closed

in 2020, creating the world leader in Intelligent Industry.

A SERIES OF

TARGETED AND STRATEGIC

ACQUISITIONS

GENERATING

OFFERS

approach to Application Development and Maintenance (ADM). Our services are powerful growth accelerators, bringing together the best of technology, processes and knowledge to enhance business agility in the face of automation, big data and other technological developments.

In April 2020, Capgemini's acquisition ofAltrancreatedaglobalplayerinthe digital transformation of industrial and technology companies, with 270,000 employees in nearly 50 countries and combined revenues of more than

17 billion euros in 2019.

The groundbreaking combination of Capgemini and Altran's expertise enables

us to offer a unique set of services to the market. As pioneers of Intelligent Industry, we use digital technologies to connect the entire industrial value chain, from design, engineering, production and support functions to operations.

This major transaction aligns with the acquisition strategy we have pursued since Sogeti's creation in 1967. It further

expands and consolidates the scope of our expertise, making Capgemini the global leader in consulting, digital transformation, technology and engineering services. J

Our cloud and digital offers have grown from 18% in 2014 to over 50% of the Group's activity in 2019.

HALF A CENTURY	SMega-acquisition
of the Ernst &
OF GROWTH	SAcquisition of
Young consulting
		CPM Braxis, the

Artificial

Intelligence (AI) &

Analytics

We provide our clients with AI solutions and services to develop their operational excellence, growth, performance and innovation through an ethical and responsible approach to AI.

Digital Manufacturing & Engineering

Driven by data, our offer accelerates and secures the convergence of our clients' physical and digital worlds. Our expertise ranges from PLM (Product Lifecycle Management) to factories 4.0.

Digital Core

with SAP S/4HANA©

The Digital Core platform with SAP S/4HANA©is the backbone supporting the digital transformation of our clients. We combine technology, processes and operating models to accelerate innovation, while protecting business-critical SAP applications.

		SAcquisition of SESA,		division
				the largest IT
		French IT company			services company
							in Brazil
	1974	1987				2007
							2010
		1990		SAcquisition of	2000
		SFirst		the English
		acquisitions of		company Hoskyns,			2015
		two competitors:		European leader in
				SAcquisition of
		CAP (France) and		outsourcing
				Kanbay International,
1967		Gemini Computer		services
			an American service
		Systems (United
					manager with a
		States)
					strong presence in
						India, specialized in
		SCreation of				financial services
		Sogeti	1992
				SAcquisitions of the Dutch IT services
				company Volmac and of Programmator,
				a Swedish IT services company

SAcquisition of Altran, the world leader in engineering and R&D services

2020

SAcquisition of the American company IGATE, present in the United States and India

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

23

Part II -

As a leader in digital transformation, our goal is to help all our stakeholders harness the opportunities offered by technology. The crisis we are going through has highlighted the interdependence of all our geographic regions, while the challenges facing the world provide a daily reminder of the need to integrate social, societal and environmental factors into each of our decisions. All over the world, our teams are mobilized to work together to create a positive future.

ÉPOUVANTAILS (SCARECROWS), 2018

MIRYAM HADDAD

Oil on canvas, quadriptych 21.8x14cm

Photo: Fabrice Gousset

Courtesy of the artist and Art: Concept, Paris

Private collection

PART II

-

Teams

mobilizedto positivesha a

future

CAPGEMINI - INTEGRATED REPORT 2019

- Shaping a positive future

Talents

24

Our committed and passionate people ensure a sustainable transformation for our clients. It is only through the daily commitment of all our employees that we can have a positive impact on our ecosystem.

INSPIRING VALUES

AND MISSIONS WITH

A POSITIVE IMPACT

25

Talents

Shaping a positive future -

"We are working with our	"Digital Inclusion is our way of
clients to help them reduce	contributing, through technology,
their carbon footprint by	to generate opportunities of
10 million tonnes by 2030. Our	inclusion for those people that do
ability to demonstrate	not have access to them. This
excellent working from home	digital inclusion promotes diversity
capability while delivering well	in our teams and generates better
for clients in the recent crisis	and more innovative solutions for
may also help us with this.''	our clients."
Eileen Sweeney, Executive Vice President	Nieves Pacheco
and Director for Manufacturing,	CSR Lead, Spain
Automotive and Life Sciences (MALS),
North America
POSITIVE IMPACT
ENABLING THE	leaders in the healthcare sector for the
TRANSFORMATION OF	benefit of all to improve services, care

"We embrace learning together and solving problems collaboratively. The team spirit is real."

Mary Ensabella,

Lead Consultant - People & Organisation, Capgemini Invent, Australia

"Boldness and entrepreneurial spirit are in Capgemini's DNA. If you have a proposition, an idea, or even a dream, you can bring it to life. You are even encouraged to do so!''

Pascal Espinouse,

Lead Architect, France

	OUR CLIENTS' BUSINESS	models and information.
	MODELS	More broadly, we help our clients optimize
			their use of available data and explore new
	e believe technology is one of	sustainable models, combining artificial
	intelligence, economic performance and
	the key levers to address the	ethics.
	challenges posed by climate	Similarly, our solutions enable
Wchange. We bring all our	governments and administrations to
	expertise in innovation and technology	offer efficient and reliable digital public
	to the service of our customers, in order	services, tailored to users' needs. J

VALUES

OUR CORPORATE CULTURE DRIVING PERFORMANCE

to develop solutions that meet these challenges.

We are also innovating together with

	ur seven values empower our	Our values have shaped who we are
	people to grow in their careers,	today: a responsible leader committed to
	build constructive and trusted	making a positive impact on society. Our
Orelationships with co-workers	people-centric business approach is the
	and clients, and become architects of a	driving force behind our commitment to
	positive future.	performance. J

"I am working with my client

to make his websites accessible, understandable, and usable for people with disabilities. I see a lot of purpose in my work, especially in such topics as accessibility."

Faye Rutowicz

"We use AI to enhance the healthcare system, identify better cures and treatments, and innovate with startups and technology to provide better health outcomes for patients, and to relieve health professionals."

Yolande Chavane,

Senior Consultant, Citizen Services,

"Culture - that's what I love about the way of working at Capgemini. It's a culture of personal development and growth; a culture of responsibility and empowerment, trust and fun; a culture of distributed locations and One Team.''

Dhwanit Shah,

Delivery Executive, FS Insurance SBU, India

"Capgemini is a company that values self-starters and people with an entrepreneurial spirit and it is my personal experience that you are always given a lot of freedom and responsibility early on, while working as a team.''

Marc-Olivier Hilgers,

Director Travel & Transport,

Capgemini Invent, United Kingdom

Associate Architect, Germany

Capgemini Invent, France

''We are helping companies stay secure.

With IOT and cloud becoming ever more prevalent in business, digital security skills will only become more necessary in the future and to be at the forefront of that is really exciting.''

Nick Shimmen,

Consultant, Capgemini Invent, United Kingdom

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

- Shaping a positive future

Ethics

26

Capgemini's success has always stemmed from our ability to build trusted relationships with all our stakeholders, in accordance with our values and a high standard of ethics and performance.

27

Ethics

Shaping a positive future -

LONG-TERM RELATIONSHIPS / STRONG RECIPROCAL INFLUENCE

OCCASIONAL INTERACTIONS

ETHICS AT THE CENTER

OF OUR RELATIONSHIPS WITH STAKEHOLDERS

People

Employees, local

and international works councils

Talent pool, families, alumni

FOCUS

Financial community

Shareholders

Banks, financial analysts, ratings agency, ESG indexes

Drivenby our seven historical values, which have taken on an even greater significance in the current context, our goal is always to adopt an ethical

mindset and behavior in our activities and within our ecosystem.

policies for better decision-making, in line with our values.

In 2019, we published our Code of Business Ethics* to explain our values, our principles of action and our rules of conduct and behavior, particularly with

CAPGEMINI RECOGNIZED AS ONE OF THE MOST ETHICAL COMPANIES IN THE WORLD

In 2020, for the eighth

In 2019, we rolled out Pulse, an innovative tool for continuously listening to our teams by collecting their opinions through quick, regular surveys. By analyzing this data, we carry out targeted actions to promote employee engagement. We have supplemented this system with our annual survey on the ethical culture within the Group.

Clients

Existing clients

Potential clients, our clients' ecosystems

FOCUS

Through our new Perform AI solutions, we are helping our clients to develop an artificial intelligence that is intrinsically ethical. In 2019, we also published the study Why addressing ethical questions in AI will benefit organizations.

Although we now operate in nearly 50 countries, we still share a common culture based on honesty, trust and mutual respect. Our strong values have guided our behavior through all the changes we have experienced, giving us the freedom to adapt to transformations in our markets and the boldness to become a leader.

For more than 10 years, we have worked to strengthen our ethical culture through a dedicated Ethics and Compliance program, which is essential to the success of a diverse and decentralized group like ours. This program aims to educate our teams on our ethical principles and

regard to competition.

In 2018, we also launched SpeakUp, the Group's ethics helpline, which is available to employees and external stakeholders, either online or by phone, on a voluntary and confidential basis. J

consecutive year, Capgemini was recognized by the

Ethisphere®Institute as one of the most ethical companies in the world. This distinction is awarded to companies that adopt responsible long-term strategies and play a leading role in the positive transformation of practices in the business world and civil society on an international level.

Business partners

Alliances, suppliers, other partners

Market leaders, professional or industry organizations, standardization bodies

FOCUS

Through the application of our Supplier Code of Conduct, we are committed to working only with professionals who meet our requirements in terms of human rights, ethics, social responsibility, regulatory compliance and corruption

Civil society and public authorities

Local communities, academics, thought leaders, think tanks, local authorities, regulators, legislators,

EU

Citizens, NGOs, media, international organizations (OECD, etc.)

* Discover our Code of Business Ethics at: www.capgemini.com/our-company/values-ethics/our-code-of-business-ethics

prevention.

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

- Shaping a positive future

Architects of Positive Futures

28

29

Architects of Positive Futures

Shaping a positive future -

As a socially committed company, we unleash energies to turn technology and innovation into a driving force of social and sustainable development for the greatest number of people.

Diversity

Wecreateaninclusiveenvironmentthatfostersdiversitytoencourage

innovationanddrivethegrowthanddevelopmentofourteams.

OUR SOCIAL

AND ENVIRONMENTAL ROADMAP

Diversity is an essential component of our Group's identity and corporate culture. We understand diversity in the broadest sense, including cultural identities, ethnic and social origins, sexual orientation and disabilities. We therefore regularly review our local practices and policies and share best practices across the Group to ensure that we maintain an inclusive environment

where everyone can make their voice heard.

We have notably set specific targets in favor of parity between men and women. On this front, we have already made significant progress and achieved one of our targets a year ahead of schedule, in particular by strengthening parity in our management teams. As part of this commitment, we have launched specific programs to support high-potential women, while also taking part in events that highlight the role and place of women in digital and innovation. J

Our commitment to our employees, clients and partners is based on the three main pillars of our social responsibility program, Architects of Positive Futures: diversity, digital inclusion and

environmental responsibility.

Our actions are built on the principle of a diverse and inclusive work environment where our people can thrive and bring their best to our customers; help make the digital revolution an opportunity for all while creating bridges between technology

and society; reduce our environmental impact; and offer solutions that enable our customers to reduce their impact.

Our social and environmental responsibility is reflected in our commitments taken at the national, regional or global level, such as the signing of the United Nations Global Compact. As such, the pillars of our CSR program enable us to contribute to five Sustainable Development Goals (SDGs). J

				TARGETS
KEY PERFORMANCE INDICATORS	2018	2019	2020
	PERCENTAGE OF WOMEN HOLDING
IMPROVING PARITY IN	EXECUTIVE ROLES	14%	17%	20%
MANAGEMENT TEAMS
	PERCENTAGE OF NEW VICE-PRESIDENTS
	WHO ARE WOMEN (INTERNAL PROMOTIONS
	AND EXTERNAL HIRES)	24%	29%	29%
IMPROVING PARITY	PERCENTAGE OF STAFF WHO
THROUGHOUT THE GROUP	ARE WOMEN	31.9%	33.0%	33.5%

CONT

5GENDER EQUALITY

HIGHLIGHT

RIBUT

I

O

N

T

O

T

H

E

S

Inclusion in the	Achieved "Prime" status	Global EDGE certification
prestigious CDP* "A-list"of	in the ISS ESG Corporate	distinguishing our
the world's most active	Performance Index, placing us	commitment to professional
companies in the fight against	in the top 2% of companies in	equality between women and
climate change	our sector.	men - the countries where we
		have obtained this certification
		cover 80% of our workforce

• Carbon Disclosure Project, anot-for-profit charity that runs the global disclosure system for investors, companies, and other organizations to manage their environmental impacts.

Capgemini America is proud to be named a "Best Place to Work for LGBTQ Equality" and received an excellent score on the 2019 Corporate Equality Index (CEI) developed by the Human Rights Campaign Foundation (HRC). The annual, national benchmarking survey and report rates companies on corporate policies and practices related to lesbian, gay, bisexual, transgender and queer (LGBTQ) workplace equality.

D G s

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

- Shaping a positive future

Architects of Positive Futures

30

Digital inclusion

Wewanttoenableasmanypeopleaspossibletoseizealltheopportunities

offered by digital.

31

Architects of Positive Futures

Shaping a positive future -

Environmental responsibility

To combat climate change, we are significantly reducing our

environmental impact and offering new products and services to help

ourclientsmeetthesechallenges.

We believe that we can be a bridge between technology, business and society, while working hand in hand with our clients, NGO partners and public and academic

organizations.

Our digital inclusion strategy is adapted on a daily basis through our strong internal network of local leaders. As part of our efforts to close the digital divide, we are implementing multiple digital literacy initiatives and expanding our Digital Academies program, a global network of learning institutions

that help disadvantaged groups and those excluded from the job market to acquire digital skills. Through our Technology for Positive Futures strategy, we also encourage our employees to get involved in developing technological solutions to address major social issues such as health, poverty alleviation and environmental protection. J

Committed for many years to the fight against climate change, we have strengthened our expertise and developed a range of services enabling our clients to reduce their carbon footprint. By integrating environmental solutions into our portfolio of offers, we actively contribute to the development of responsible and sustainable

business models.

At Capgemini, we have pledged to reduce our total carbon footprint per employee by 30% by 2030 (compared to 2015), primarily by targeting our main

emissions sources: energy costs and business travel. Every year, we collect and analyze approximately 10 million data points covering 99.5% of our business. This vast pool of data gives us a clear view of our greenhouse gas emissions and allows us to identify the proper resources for reducing these emissions. The enthusiasm, commitment and expertise of our teams play a key role in meeting this challenge together. J

				TARGETS
KEY PERFORMANCE INDICATORS	2018	2019	2020
DIGITAL INCLUSION	PERCENTAGE OF SOCIAL IMPACT	64%	74%	80%
	PROJECTS DEDICATED TO DIGITAL
	INCLUSION EFFORTS

				TARGETS
KEY PERFORMANCE INDICATORS	2018	2019	2020
CLIMATE CHANGE	RATE OF GREENHOUSE GAS EMISSIONS	20%	29%	20%
	REDUCTION PER EMPLOYEE SINCE 2015			and 30%
				by 2030

DIGITAL ACADEMIES	NUMBER OF DIGITAL ACADEMY	150	1,562	3,000
	GRADUATES
DIGITAL LITERACY	NUMBER OF DIGITAL LITERACY	-	27,300	100,000
	PROGRAM BENEFICIARIES

ENVIRONMENTAL MANAGEMENT

SHARE OF ACTIVITIES, IN TERMS	87%	92%	100%*
OF STAFF, COVERED BY ISO 14001
CERTIFICATION
EMISSIONS TIED TO PROFESSIONAL	1.56	1.37	-
TRAVEL (IN TCO₂eq/PERSON)

*All Capgemini entities with more than 1,000 employees will be ISO 14001 certified by the end of 2020.

HIGHLIGHT

Capgemini India launched two Digital Academies in June 2019, in Mumbai and Pune, to train people who who were excluded from the job market, offering them skills in the latest technologies and innovations. We have already trained 100 graduates at these Digital Academies and are now working to integrate them into Capgemini and partner companies.

C
O
	N
		T
		RI
		B
		U
		T
		I
QUALITY		O
	N
	T
4EDUCATION	O
T
		H
		E
		S
		D
		G
		s

8DECENT WORK AND ECONOMIC GROWTH

HIGHLIGHT

We reduced our travel emissions by 20% since 2015 by engaging our people to make more sustainable travel choices. In the Netherlands, our mobility program brings together a number of incentives to encourage employees to make sustainable travel choices. In the UK, nine branded physical "hub" spaces have been created, which enable geographically dispersed teams to collaborate on documents and digital whiteboards across multiple locations in real time while on video calls.

C
O
N
T
RI
	B
	U
	T
		I
		O
		N
RESPONSIBLE		T
	O
12CONSUMPTION	S
		T
AND PRODUCTION	H
E
		D
		G
		s

13CLIMATE CHANGE

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

33	Part III -

In keeping with its history and corporate values, Capgemini recently completed a well-managed internal process of managerial transition, thereby continuing the dynamic of sustainable and responsible growth that has characterized the Group for over 50 years. The Board of Directors, which reflects strict gender parity, is composed of members from diverse backgrounds with complementary skills. Therefore, while respecting best practices, our Groups governance is able to address Capgemini's specific requirements, as well as the changes our company is undergoing in all areas where we operate.

LE SAUVEUR I

(THE SAVIOR I), 2018

MIRYAM HADDAD Oil on canvas, 20x20cm

Photo: Fabrice Gousset

Courtesy of the artist and Art: Concept, Paris

Private collection

PART III

-

governanceArenewed

CAPGEMINI - INTEGRATED REPORT 2019

- Governance

Managerial transition

34

CAPGEMINI AND ITS SHAREHOLDERS

35

Board of Directors

Governance -

AN INDEPENDENT AND BALANCED BOARD OF DIRECTORS

At December 31, 2019, the Capgemini SE share capital was €1,354,763,992, divided into 169,345,499 shares. Capgemini SE is listed on the Euronext Paris market (compartment A). The shares are included in the CAC 40 and the Euronext 100 indexes, and the EURO STOXX, STOXX Europe 600, STOXX Europe 600 Technology and EURO STOXX ESG Leaders 50 indexes.

The Board wishes to make the share capital accessible to a large number of employees: at the end of 2019, employees held 5.2% of our share capital.

0.1%

Treasury shares

6.6%
Individual
shareholders		87.9%
5.4%		Institutional
	investors
Board members
and Group
employees		69.3%
	18.6%	International
	French

The Capgemini"Board of Directors

possesses a wide range of expertise, adapted to the current and future

Paul Hermelin	challenges facing	Pierre Pringuet
Chairman & Chief Executive Officer	the Group.	Lead Independent Director & Chairman
	"	of the Ethics & Governance Committee

A WELL-MANAGED MANAGERIAL TRANSITION

BOARD OF DIRECTORS

The Board of Directors sets the strategic direction of the Company and the Capgemini Group. It appoints the executive corporate officer(s) responsible for implementing this strategy, approves the financial statements, convenes the Shareholders' Meetings and proposes the annual dividend. It takes decisions on the major issues concerning the day-to-day operation and future

of Capgemini, to promote sustainable value creation for its shareholders and all stakeholders.

							BOARD OF
ETHICS & GOVERNANCE COMMITTEE	DIRECTORS	STRATEGY & CSR COMMITTEE2
Attendance		Members		Independence		Meetings	Attendance		Members	Attendance			Members		Independence			Meetings
100%		4		75%		5		97%			6		60%			5
			98%		14
							Independence1		Meetings
COMPENSATION COMMITTEE	82%		10		AUDIT & RISK COMMITTEE
Attendance		Members		Independence		Meetings	Executive Sessions	Attendance			Members		Independence			Meetings
100%		4		100%		6	97%			5		100%			8
			3

NB:Information at December 31, 2019. 1.The directors representing employees and employee shareholders are not taken into account in calculating the independence rate, in accordance with the provisions of the AFEP-MEDEF Code. 2.The Strategy & Investment Committee was renamed the Strategy & CSR Committee in March 2019.

MANAGEMENT OF THE GROUP

Since January 1, 20201, Capgemini SE Group Management is led by Mr. Paul Hermelin, Chairman and Chief Executive Officer,

assisted by Mr. Aiman Ezzat, Chief Operating Officer since January 1, 2018. Aiman Ezzat will succeed Paul Hermelin as Chief Executive Officer, following the May 20, 2020 Shareholders' Meeting. Group Management is assisted by two bodies, comprising the Group's key operating and functional managers:

GROUP EXECUTIVE BOARD			EXECUTIVE COMMITTEE
It prepares the broad strategies submitted to the Executive Committee			It assists Group management to define broad strategies and make
for approval and facilitates the carrying out of the Group's operations.			decisions regarding the Group's operating structure, the choice
It also takes the necessary measures with regards to the appointment,			of priority offerings, production rules and organization, and the
setting of quantitative objectives and performance appraisal of execu-			methods of implementing human resources management.
tives with a wide range of responsibilities.
	FOUR SPECIAL-PURPOSE COMMITTEES ASSIST GROUP MANAGEMENT:
FThe Group Review			FThe Mergers & Acquisitions			FThe Investment			FThe Risk
Board			Committee			Committee			Committee

1.As part of the internal managerial transition process initiated in 2017 and in line with the new planned governance structure following the upcoming Shareholders'

Meeting in May 2020, the Board of Directors' meeting of December 4, 2019 decided to terminate Mr. Thierry Delaporte's term of office as Chief Operating Officer with effect from December 31, 2019.

The Board of Directors seeks to implement a balanced governance structure tailored to Capgemini and able to adapt to the

circumstances and challenges specific to the Group. True to its history and the Group's values, its action seeks to achieve the goal

of sustainable and responsible growth, which has defined Capgemini for over 50 years.

Board of Directors1

Independent Directors2

Gender balance3

Average age

Internationalization

12 + 2

82%

W: 50%/ M: 50%

60 years

29%

Average length of office

Director representing employee shareholders

Directors representing employees

6 years

1

2

NB:Information at December 31, 2019. 1.Twelve directors were elected by shareholders; the two directors representing employees were appointed in accordance with the employee representation system. 2.The directors representing employees and employee shareholders are not taken into account in calculating the independence rate, in accordance with the provisions of the AFEP-MEDEF Code. 3.The directors representing employees and employee shareholders are not taken into account in calculating this percentage, in accordance with the provisions of the French Commercial Code currently in force.

A GOOD MATCH BETWEEN DIRECTORS AND

THE GROUP'S STRATEGIC FOCUS

In accordance with its diversity policy, the Board of Directors ensures the balance and plurality of expertise on the Board

with regard to the challenges facing the Group. It maintains a range of experience and nationalities and respects gender balance,

while ensuring the commitment of all directors to the Group's fundamental values.

			Seniority	JExecutive and
Technology & Digital F				operational positions in
			leading groups
Finance & Strategy F
Industry expertise F	Diverse
Governance F
expertise
Executive compensation F
		Variety of	JPrivate sector
CSR F
		backgrounds	JPublic sector
Ethics F
			JCapgemini employees

The Board of Directors therefore decided to adopt the following objectivesfor its composition for the period2018-2022:

01.International diversification to reflect changes in Capgemini's geographical spread and businesses. 02.Diversification of profiles and expertise. 03.Staggered renewal of terms of office. 04.Maintenance of a measured number of directors, enabling

coherence and collective decision-making.

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

- Governance	Board of Directors	36
	ACTIVITIES OF THE BOARD IN 2019
Active and diligent, the Board of Directors met 10 times in	(iii) risk monitoring, (iv) reviewing the financial statements,
2019, with an average attendance rate of 98%. It focused the	(v) talent, diversity and CSR strategy management, as well as
majority of its work on (i) Group strategy, performance and orga-	(iv) executive corporate officer compensation.
nization, (ii) corporate governance and management transition,

37

Compensation and diversity

Governance -

COMPENSATION OF EXECUTIVE CORPORATE OFFICERS

The compensation policies for the Chairman and Chief Executive Officer, the Chief Operating Officer, then from the Shareholders' Meeting of May 20, 2020, for the Chairman of the Board and the Chief Executive Officer, were approved by the Board of Directors on March 11, 2020 on the recommendation of the Compensation Committee. The Chairman of the Board of Directors' compensation policy solely includes fixed compensation, the continuation of the supplementary collective defined benefit pension plan and the coverage provided by the collective health and welfare plans applicable within the Company.

GROUP STRATEGY, ORGANIZATION AND CSR

• Review of the Group's strategic priorities
• External growth opportunities including acquisition of Altran by public tender offer
• Review of the main market trends and changes in the Group's competitive environment
• Follow up of the implementation of the Group's new operating model
• Monitoring of the CSR strategy

GROUP PERFORMANCE

GOVERNANCE

• Changes in the composition
  of the Board and its Committees
• Preparation of the Shareholders' Meeting
• External triennial assessment of the Board of Directors
• Monitoring of dialogue with shareholders and proxy advisors

AUDIT & RISK

F2018 company financial statements

F2018 annual and 2019 half-year

consolidated financial statements

FRisk monitoring (including

mapping)

MANAGEMENT TRANSITION

• Follow-upof management transition with the choice of Mr. Aiman Ezzat to succeed Mr. Paul Hermelin as future
  Chief Executive Officer
• Initial discussions on the allocation of powers between the Chairman of the Board of Directors and the Chief
  Executive Officer as part of the separation of these functions at the end of the Shareholders' Meeting expected to take place in May 2020.

TALENT MANAGEMENT AND COMPENSATION

FMonitoring of Group talent

management

FCompensation of the Chairman

2020 ANNUAL COMPENSATION TARGET STRUCTURE*

*At the end of the Shareholders' Meeting of May 20, 2020

Chief Executive Officer

ANNUAL LONG-TERM

25.0%

Fixed compensation

	75.0%
	Performance
	based compen-
	sation
25.0%	50.0%*
Variable	Performance
compensation	shares

2020 ANNUAL VARIABLE COMPENSATION CRITERIA

Indicators adopted for the variable compensation:

• Financial objectives for 60% of the variable compensation, based on the level of:01.Revenue, 02.The operating margin rate, 03.Pre-tax net profit and 04.Free cash flow generation.
• Quantifiable personal objectives for 20% of the variable compensa- tion, divided equally between the deployement of the CSR strategy and the portfolio development.
• Qualitative objectives for 20% of the variable compensation, divided between01.Taking office, 02.Altran and 03.Client satisfaction.

In accordance with say on pay rules, the compensation policy and executive corporate officer compensation due or awarded in respect of the past fiscal year, are presented to the Shareholders' Meeting each year for vote.

• Group performance and activities
• Active management of the Group's balance sheet and liquidity (including financing operations related to the planned acquisition of Altran)

FInternal control and internal audit

FFollow-up of the Group's various

actions in terms of ethics and

compliance

and Chief Executive Officer, and the

Chief Operating Officers

FPerformance share and free share

grants

FNew employee share ownership plan

*Cap to 100% of the theoretical yearly cash

compensation

EXECUTIVE MANAGEMENT COMPENSATION POLICY

2019 ASSESSMENT: CONCLUSIONS AND PRIORITIES FOR 2020

Through its compensation policy, the Group seeks to promote	vate and retain talent and, more particularly, Group executive
the sustainable and responsible growth of the company and re-	management. Executive management compensation there-

A formal assessment of the activities of the Board of Directors and its committees was performed at the end of 2019 with the assistance of an external service provider and under the responsibility of the Lead Independent Director.

Following this assessment, the Board set the following priorities for 2020:

FMonitoring of the managerial transition process and set - up

of a separated governance at the end of the May 20, 2020

Shareholders' Meeting;

Continuation of the 2018-2022 objectives: international diver-

sification, diversification of profiles, staggered renewal of terms of office, maintenance of a measured number of directors enabling coherence and collective decision-making;

• Greater involvement by the Ethics & Governance Committee and Board of Directors in talent management and the moni- toring of the Group's succession plans for management;
• Enhanced monitoring ofnon-financial performance indicators in line with the Group's CSR strategy and consideration of so- cial and environmental issues.

cognize individual and collective performance in line with the	fore comprises a fixed component equal to 60% of the target
Group's results.	theoretical compensation and a variable component equal to
Capgemini ensures the roll-out of a competitive and inclusive	40% of this amount.
compensation and benefits policy, in order to attract, moti-

DIVERSITY POLICY FOR MANAGEMENT BODIES

F

As part of its CSR strategy, the Group decided to set quantified objectives to achieve the same percentage of women in the Executive Committee as in the Group's headcount by 2025. The

diversified and non-discriminatory global representation at all levels of the organization. The Board of Directors has also set Executive Corporate Officers objectives to increase female re-

ONGOING TRAINING FOR DIRECTORS

The Board organized training sessions throughout 2019 to	The Board members also meet regularly with the members of
enable directors to increase their knowledge of the Group	the Group Executive Board during Board meetings and Commit-
(through presentations of its ecosystem, challenges, business lines	tees. Each year a Board meeting dedicated to strategy is held
or some of its regions), of its competitive environment, as well as	"off-premises" in the form of a seminar and invites key managers
recent market disruption trends and technological developments.	of the Group to contribute to Board discussions.

Group also seeks to increase female representation in the 10% of positions with the greatest responsibility within Group executive leaders and more widely in the Vice-President community. These objectives will be combined with the strengthening of the Group's internal policies to ensure the implementation of regular and fair practices supporting this strategic direction, enabling

presentation in the Group in the variable part of their annual compensation. Since 2018, the Board of Directors includes a criterion applicable to performance shares granted to Executive Corporate Officers and Group managers, which targets an increase in the number of women becoming Vice-President.

CAPGEMINI - INTEGRATED REPORT 2019

CAPGEMINI - INTEGRATED REPORT 2019

- Portrait

The artist

38

Miryam Haddad

The artist Miryam Haddad has lived and worked in Paris since 2012 andisagraduate of Paris' School of Fine Arts (L'école des Beaux-Arts de Paris). In 2019, she was the laureate of the Jean Francois Prat Prize, had

asoloshowattheCollectionLambertinAvignon,and wasselectedtocreatetheposterforthe73rdFestival d'Avignon. Her work has recently featured in group exhibitions such as Métamorphoses, Fondation Cartier, Paris; Globe as a Palette, Hokkaido Obihiro Museum of Art, Japan.

"A canvas must assert itself in a strong way," she says. "In this sense, color is obviously one of the essential elements; the painting cannot be seen without it. Ever since my first painting experiences, I wanted many intense colors. I love to exaggerate colors. I do not appreciate the in-between. Taking this inspiration to extremes allows the invention of scenes that may seem joyful or illustrate the atmosphere of a party. However, by pushing this

act to its limits, ambiguities appear. Extremes come together and the experience of the viewer is amplified: the colorful forms of this theater demand attention; they seem to testify to a positive energy...

"Thegazeisneverthelesstroubled:thesepaintings ultimatelyshowmixedfeelings.Theydonotcalmthe mind; violence is felt... Tears are as much a product of joy as they are of sadness. It is important, then, to play on formats, large on one hand, very small on the other. To offer the same journey, there's the same attentive pause. I also rely on the thickness of the material or in other places I choose to use a very transparent medium. Then, the choices of titles confirm my reading, my orientation, leaving the spectator free to begin making their own interpretation." J

Extract from an interview with the artist for the 73rdeditionof

the Avignon Festival. By Marc Blanchet

TRÊVE D'AMITIÉ

(CEASE FRIENDSHIP), 2019 MIRYAM HADDAD

Oil on canvas, 20x20x2cm

A canvas must assert itself in a strong way, in this sense, color is obviously one of the essential elements; the painting cannot be seen without it."

www.miryamhaddad.com

Photo: Fabrice Gousset

Courtesy of the artist and Art: Concept, Paris

Private collection

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• 21.8x14cm • Photo: Fabrice Gousset. • Courtesy of the artist and Art: Concept, Paris • Private collection

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