IBM Industry Solutions Strategy

Creating client value through industry solutions based on SOA

Fiona McMasterVP Industry Solutions, IBM Software Group, Asia Pacific

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Agenda Market dynamics

What CEO's are telling us

How IBM can provide unique industry value

India best practice

Next steps in the transformation journey

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0%

25%

50%

Microsoft HP Oracle Others IBM

Leading SOA Vendors in Asia Pacific

“ .. IBM is currently the clear leader in the region in terms of both mind and market share."

Source : Springboard Research: Service-Oriented Architecture in Asia Pacific: Poised for Take-off; Nov. 12th, 2007

65% of SOA adopters are increasing their investment

28%

15%

22%

32%

1% 1% 1%

40%

30%

20%

10%

0%

Don’t Know

Decrease5-10%

Decrease1-5%

Hold0%

Increase1-5%

Increase 5-10%

Increase>10%

SOA Market in Asia Pacific is huge and growing at 40%

42%

41%

40%

39%

38%

37%

36%

35%

2000

1500

1000

500

0

2500

Revenue US$M

Growth Rate %

2006 2007 2008 2009 2010

SOA is maturing in AP and IBM leads the market

Which vendor do you consider to be best suited to help you migrate to SOA?

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“The Service Oriented Architecture market in India is expected to grow at a compound annual growth rate of 49% from 2006-2009, making it the fastest growing market in the region.

"Indian companies have one of the highest awareness levels of SOA and its benefits in the region.”

Springboard Research .

India Leads Asia Pacific in SOA adoptionSource : Springboard Research: Service-Oriented Architecture in Asia Pacific: Poised for Take-off; Nov. 12th, 2007

“Although the Indian market is still in the nascent stage, large organisations in banking, manufacturing and telecommunications are beginning to plan enterprise-wide SOA deployments.

A majority of the market-leading companies and those with global ambitions are more actively considering SOA than their less ambitious counterparts. The government sector is also showing keen interest in deploying SOA."

Springboard Research .

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IBM Global CEO Study : May 2008The Enterprise of the Future

Key Messages

The Enterprise of the Future is Hungry for Change

More CEOs than ever before – 8 in 10 – anticipate turbulent change, and plan bold moves in response

The Enterprise of the Future is Innovative Beyond Customer Imagination

Three-quarters of CEOs view increasingly demanding customers not as a threat, but as opportunity to differentiate

The Enterprise of the Future is Globally Integrated

The vast majority of CEOs aggressively move toward global integration – and radically reconfigure business designs

The Enterprise of the Future is Disruptive by Nature

More than two-thirds of CEOs strongly focused on the most sustainable form of innovation – business model transformation

The Enterprise of the Future is Genuine, Not Just Generous

Faced with rising customer expectations of corporate social responsibility, more than two-thirds take a positive view, and plan to innovate

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Different Perspectives On SOA

Buy Package and Adapt

Build From Scratch

Assemble Choice of Proven Components to suit business need

Middleware-based approach leads the way

Fit Cost ?Time X

Fit Cost XXTime XX

Fit CostTimeIndustry Standard Components,

Connections, & Adapters

Blueprint

The Application-led Perspective

The SI/Services-led Perspective

The Middleware Perspective

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Knows Client’s

Business

Client Tested Assets

Delivery Excellence

Business and IT

Expertise

IBM Services and Partners

Business Strategy

SOA Expertise

Solutions

Industry Expertise

Global Delivery

IBM Software Group

Broad and deep product portfolio

Global install base

SOA Foundation

Industry Frameworks

IBM is bringing the pieces together to deliver integrated SOA-based “industry solutions”

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Through an integrated Industry solutions portfolio

An Industry SolutionSolves a client's business problem through:

Industry and subject matter expertise Defined IP, apps, tools and methodologies Partner Content Global Delivery Model

An Industry FrameworkSoftware Platform based on business-area usage patterns and includes Industry-specific extensions

Implements relevant industry-specific standards

Based on service-oriented architecture Supports an ecosystem of business partnersGovernance

Strategic Business Drivers

Industry Solutions

Industry Framework

SOA Foundation & Infrastructure

Driving differentiation by linking business with IT

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SolutionsFrame work

Key IBM SW Products

FinanceBanking/Ins -360 Degree View of Cust CCI •Information on Demand

•Cognos, Models•Enterprise Content Mgr•Branch Transformation Toolkit•Portal•Process Server•Message Broker

Banking - Front Office Multi-Chn CCIBanking - Core Systems CBRFBanking – Payments PFFSInsurance - Core SolutionInsurance - Front Office SolnInsurance - Business PerformanceCross-Finance Risk&ComplianceFin Mkts - Low Latency Mkt Data WFO •WebSphere Front Office

TelecommunicationsNext Gen Service Creation SPDE •WebSphere Telco Server

•Integration Server•Rational Composer, UP for IMS, ClearCase/Quest•Rational Portfolio Mgr•Tivoli Maximo, Netcool, •Tivoli Security

Next Gen Service Delivery SPDEService Management SPDEBSS/OSS Integration SPDEWeb 2.0 / Innovation FactorySingle View of Customer & Product

Energy &Utilities Customer Ops xFormation SAFE

•Common Store•Integration Server•Intelligent Minder

Intelligent Utility Network SAFEUtilities Network Revitalization SAFEEnterprise Asset Management SAFE

Public – Government / HealthDefence : Network centric ops NCO •Tivoli Maximo

•Identity Manager•Access Manager•Information Integrator•Content Manager•Portal

Customs, ports and border mgt CPBMPublic Safety and Security TIFe-GovernmentSocial Services & SecurityGovernment Shared Service CtrHealthcare Payer xFormation HIF •WS Health, Tivoli, Lotus

Portal, WEAHealthcare Provider xFormation HIF

SolutionsFrame work

Key IBM SW Products

Distribution – CPG & RetailMerchandising & supply chain RIF

•Content Manager•Product Center•Filenet, Cognos•Commerce Server•Integration Server

Retail - Multi-channel retailing RIFRetail -Total Store RIFRetail - Business Intelligence RIFCPG Integrated Market MgtConsumer Driven Supply Chn

Distribution - Travel & TransportAirlines and GDS •Integration Server

•Partner Gateway•Tivoli Maximo•Information Warehouse•Master Data Mgt

AirportsRail ServicesFreight and LogisticsTravel-related services

Industrial – Aerospace & Defence, Automotive, Chemicals & Petroleum, Electronics A&D - Product Lifecycle Mgt PDIF

•Portal•Pervasive / Mobile SW•Process Server•Integration Server•Product Center•DataStage•Tivoli Maximo•Presence Server

A&D - Supply chain after mkt PDIFAuto - Product Lifecycle mgt PDIFAuto - Manufacture productivity MIFAuto - Marketing, sales & svcsC&P - iPlant(intelligent Plant IIFC&P - iField Intelligent Oil Field IIFC&P – Ent. Asset Mgt / RFID IIFElect - Valu chain – RosettaNet MIFxInd - Product Devt Integration PDIF-MIFElect - Enterprise/Supplier Integ PDIFElect - Value chain mgt visibilityElect - Sales Service Chan. Mgt

MediaProduction and Distribution MH

IBM has built a portfolio of 52 industry solutions

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CommunicationsCommunications Distribution Distribution Financial Financial Industrial Industrial Public Public

TelecomsConsumer

ProductsBanking Automotive Government

Energy and Utilities

RetailFinancial

MarketsElectronics Education

Media and Entertainment

Travel & Transport

InsuranceAerospace&

DefenseHealthcare

Chemical &

PetroleumLife Science &

Pharmaceutics

SPDE : Service Provider Development Environment

RIF : Retail Integration Framework

PFFS : Payments for Financial Services

MIF : Manufacturing Integration Framework

NCO : Network Centric Operations Framework

SAFE :Solution Architect- ure Framework for Energy

CCI : Customer Care & Insight Framework

PDIF : Product Development Integration

CPBM : Customs, Ports and Borders Framework

MHUB : Media Hub WFO : Low Latency Market Data Distribution

IIF : Information Integration Framework

TIF : Trusted Identity Framework

CBRF : Core Banking Renovation Framework

HIF : Health Integration

Framework

IPAF : Insurance Product Acceleration Framework

Framework in market today

IBM has a number of frameworks in market today to support the Industry Solutions

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Industry Frameworks

Front Office Optimization

Risk & Compliance

Strategic Drivers Respond to Changing Respond to Changing

Regulatory Requirements To Regulatory Requirements To Ensure Capital Adequacy Ensure Capital Adequacy

Improve Risk Management to Improve Risk Management to Ensure Regulatory Compliance Ensure Regulatory Compliance

& Operational Controls& Operational Controls

Drive Organic Drive Organic Growth to Deliver Growth to Deliver

Increased Top Increased Top Line RevenueLine Revenue

Payments Framework for

Financial Services (PFFS)

Back Office Operations

Modernize & Standardize Legacy Systems For Modernize & Standardize Legacy Systems For Cost Containment & Increased EfficiencyCost Containment & Increased Efficiency

• Customer Care and Insight

• Multi-channel Transformation

•Branch•Self Service•Contact Center•Channel Integration

Workforce Effectiveness

• Core Systems Transformation

• Lending•Cedit Risk•Collections•Back Office Integration

• Payments

Financial Risk Management

Operational Risk Management

Governance and Compliance

Financial Management

• Business Performance Mgt

• Finance Transformation

• Business Risk Management

• Enterprise Risk Management

Enable Enable organization to organization to

manage talent & manage talent & maximize maximize

performanceperformance

Industry Solutions

Solution Offerings

Customer Care and Insight

Framework (CCI)

• Workforce Performance

• Workforce Development

• Workforce Collaboration & Knowledge Mgt

• HR Strategy & Transformation

SOA Foundation

Positioning within an overall solution portfolio

Infrastructure: servers, storage, communication networks & associated servicesInfrastructure

Sample Solution : Customer Care and Insight

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Industry Framework

Solution Offerings

Industry Extensions

•Know Your Customer •Up Sell/Cross Sell •Preferences•Event Based Decisioning•Disputes

• Mapping and integration of InfoSphere MDM Server to IFW models• Cognos risk adjusted profitability blueprint• Extension of logical BDW models, physical models and mapping

customer domain and data integration to BDW

• Customer Information Optimization• Insight Optimization• Customer Marketing Optimization

•Householding •Dynamic Product Bundling•Marketing Communications•Case Management •Campaign Management

• Customer Sales Optimization• Customer Service Optimization• Customer Compliance & Fraud Optimization

• InfoSphere Warehouse, InfoSphere MDM Server, Enterprise Content Mgmt., Information Server, Cognos

Information Management.

• Business Services Fabric, Process Server, Business Monitor, Application Server, Enterprise Service Bus,

WebSphere

• Data Modeler• Software Architect

Rational

• Access Manager• Identity Manager

Tivoli

• Forms

Lotus

Target ISV EcosystemTarget ISV Ecosystem

IBM Services Assets

Customer Care and Insight

Infrastructure: servers, storage, communication networks & associated servicesInfrastructure

Key Components from SOA Foundation

Customer Care & Insight Framework

Customer Care & Insight Solution

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One of leading Life Insurance providers in India

Fastest growing provider for 2005-20065th in terms of new premium revenue

Late market entryChannel development beyond traditional branch

Create internal culture based on P&L and facts

Implementation of “Lifeline” for customers, advisors and employees

Solutions at work with Reliance Life virtual office

Business ChallengeBusiness Challenge

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Front Office solution based on SOA & CCI Single View across all customersOnline facilities for customers, agents and employees

Faster time to marketReduced agent attrition and churnAgent & Policy admin costs down 8% year-year

1st in industry to allow customized self service

Improved sales culture and productivity

Implementation of “Lifeline” for customers, advisors and employees

Solutions at work with Reliance Life virtual office

BenefitsBenefits

SolutionSolution

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IBM India Industry Solutions Team

Pankaj SinhaProgram Director

Lab Services&Solutions

Pankaj SinhaProgram Director

Lab Services&Solutions

Priyansh Dixit Deepak K Koshy

Naval Khosla S Raiguru S. G. Senthilvel

Rajavel Sekaran

KumarBalagopalinWebSphere

KumarBalagopalinWebSphere

Saif IslamRational

Saif IslamRational

Mahesh ParadkarLotus/WPLC

Mahesh ParadkarLotus/WPLC

Aryender SharmaInfo Mgnt

Aryender SharmaInfo Mgnt

Anand Krishnamoorthy

Tivoli

Anand Krishnamoorthy

Tivoli

GovernmentPublic Sector

BankingInsurance

Financial Mkts

TelecommsDigital Media

HealthcareSolution

IntegrationFramework

Communication Sector

Government Sector

Financial Sector

Healthcare Sector

Cross Industry SOA

Distribution & Industrial Sector

ManufacturingRetail / CPTransport

Software Services

Industry Solutions

IBM India Industry Software Lab

IBM India Industry Software Sales

Subrata DasguptaExecutive, SW Industry Sales

Subrata DasguptaExecutive, SW Industry Sales

Rajesh K IyerAsia Pacific

Strategy & Enablement

Rajesh K IyerAsia Pacific

Strategy & Enablement

Sanjeev DhindaAsia Pacific

Industrial Sector Manager

Sanjeev DhindaAsia Pacific

Industrial Sector Manager

Contactssubrata.dasgupta@in.ibm.com: Tel:91 99675 37654jaybarve@in.ibm.com; Tel:91 98672 58860ananbose@in.ibm.com; Tel:91 98676 98305anand.raisinghani@in.ibm.com; Tel:91 98200 66824vikrant_c@in.ibm.com; Tel:91 98672 10367gkurumel@in.ibm.com; Tel:91 98457 83007

Jayant Barve Ananda Bose Anand Raisinghani

Goutam Kurumella TBH

CommunicationsSector

Finance Sector

Finance Sector

IBVA Consulting

Industrial & Distribution

Sectors

Raj Durvasula

CommsBPTE

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Next Steps

Exploration

Understand Business Value and Impact

Understand needs of the IT Architecture

On Site Briefings, IBM Events Demonstrations, Case Study Visits,

Lab or Briefing Center Visits

Business Value Assessment - Process Analysis - Business Problem Analysis

Client Specific Solution ArchitectureIT Foundation to Support Business

Needs and Objectives

Client Executive

IBM Client Team

IBM Software Sales Industry Solutions Specialists Industry Consultants IBM Laboratory Technical Sales SOA Specialists

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Industry Business Value Assessment (IBVA)

Specialists with industry, consulting, & software background

how to apply technology to solve your business problems

determine value of solutions relative to the current environment

help visualize recommended solution and its business impact

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Be bold, fast and innovate - The time is now!

"The country is now universally recognised as a nation on the move and takes its place amongst the successful economies in the region. The future potential is enormous but the country's destiny is in our hands. The time has come to move from small increments to bold, large initiatives.

… Ratan Tata, Tata Group Chairman

“I think that our fundamental belief is that for us growth is a way of life and we have to grow at all times.”“We call it infectious impatience … and we are trying to inculcate it in the entire organization. Infectious impatience. So that things not only get done but

get done in double quick time.” … Mukesh Ambani, Chairman and Managing Director of Reliance Industries

Always think outside the box and embrace opportunities that appear, wherever they might be.

… Lakshmi Mittal, Chairman & CEO of Arcelor Mittal

Fiona McMasterVP Industry Solutions, IBM Software Group, Asia Pacific

Thank You

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