the ibm software story (2)

© 2011 IBM Corporation

The IBM Software Story

George Mattathil -

8/22/2011

© 2011 IBM Corporation 2

On a smarter planet,

software is changing

the way people live.


They do more with less.

The City of Cambridge, Ontario, is using IBM software for asset management running on IBM System X hardware to gain insight and transform the way road maintenance is done. It now manages every aspect of infrastructure operations, maintenance and repair from end to end. As a result, it expects to eliminate over CAN$71M in repair backlog while saving a potential CAN$6M annually. In addition, it has increased the number of roads rated ―good‖ by 50 percent.


They extend their reach.

Globe Telecom – the #2 mobile operator in the Philippines – is using IBM software and BladeCenter hardware to integrate customer intelligence, behavior segmentation, profit simulation, and execution of hundreds of targeted promotions. As a result, they have cut the cost and time to deliver service promotions by 95% while increasing promotion related sales by 112%.


They expand to new markets.

VCC, a US-based construction company, is using IBM software to gain a foothold in new sectors. The solution allows a project manager to use a mobile device to send new job info into a CRM solution, which may launch a job scheduling app, attach a workflow, and distribute it to IBM Lotus Notes and mobile device calendars. This saves ~400 employee-hours per month, shortens sales cycles, contributes to 40% YTY increase in new business in high growth industries, and reduces customer service processing time by 30 to 50 percent .


Precedence Health Care, an Australian company, was aiming to transform the management of chronic disease and wellness. It uses IBM software to power the Chronic Disease Management Network (CDM-Net), allowing all caregivers to track and share information. This helps to ensure the effective delivery of a collaborative treatment plan and, more importantly, a better quality of life for patients. The result is a 100% increase of evidence-based care and best practice treatment of patients with chronic diseases and a 140% increase in team collaboration to help deliver better outcomes for patients.

They find new paths to health.


They respond faster to demand.

German retailer Karstadt enjoys a 38 percent share in the German warehouse business and has a turnover of €4 billion. To help manage its growth, the retailer improved its merchandise management information system using IBM InfoSphere and DB2 software running on System p hardware. The result is three times faster response times and savings of about €3 million per year.


EWE AG Corporation, Germany’s leading developer for the energy and utilities industries, is used IBM software for design and development to provide consumers with full, web-based visualization of energy usage in real time. This enables them to easily understand the impact of their habits and leverage off-peak hours to save money and reduce peak loads. The result is reduced energy costs for consumers by 10 percent and a lower carbon footprint.

They better utilize resources.


Behind every one of these

examples is a business,

government or an industry

that has used software in

new ways.


Today, more than ever, organizations use software to enable every facet of their business.

Business Software


Software

Data everywhere As the world becomes more

instrumented, the challenge is

to get more out of the wealth

of new information—from managing

data to developing insights.

Differentiation through

people As always, it’s the capabilities and

ingenuity of the people in business

that deliver results. But today, it’s

about more than just those on your

payroll—the greater opportunity

is how well you can engage a

worldwide ecosystem of employees,

partners, suppliers, and customers

to help create new value.

New expectations

for value Customer expectations have

never been higher: Personalized

service, delivered flawlessly.

Global integration and

connectivity As the world becomesmore

interconnected and as the

paradigm of the organization shifts

from multinational corporation

to globally integrated enterprise,

businesses can no longer afford to

operate as islands. More than ever,

they need to find ways to connect

both internally and externally.

Security risks Technology has allowed work

to move beyond physical locations

and brand offices.

It now exists on virtual platforms,

across dispersed teams and

players. But the more data and

information organizations make

available to their internal audience,

the greater the risk.

But with new models and ways of working come new challenges...

Business


Software Business

Turn information into

insights

Drive business

integration and

optimization

Connect &

collaborate

Enable business

service & product

innovation

Optimize the impact

of business

infrastructures and

services

Manage risk,

security &

compliance

And as a result, a new set of needs has emerged.


Turn information into

insights

Drive business

integration and

optimization

Connect &

collaborate

Enable business

service & product

innovation

Optimize the impact

of business

infrastructures and

services

Manage risk,

security &

compliance

― I need to make better use of my company’s

information. That means my company has

to do a better job managing data and content.

With timely access to clean data, we could

devise new ways to serve our customers.‖

― I need better ways to connect my team to

improve their productivity and ability to make

timely decisions. By connecting key processes

and enhancing collaboration, we can be more

responsive to our customers and partners.‖

― I need to create the processes and flexible

infrastructure our organization needs to react

more quickly to changing market conditions.‖

― I need to deliver smarter products, services and

capabilities more efficiently and reduce cost and

risk across the product and application lifecycle,

while also providing better service experiences to

my end customers.‖

― I need to ensure that my organization is pro-actively

identifying all the different types of risks to our

business, and that we have security and resiliency

plans in place to address any threat or disruption.‖

― I need to create more efficiency within our

existing infrastructure. That starts with greater

visibility and control across all of our operations—

both IT and enterprise—and better management

of our overall resources.‖

Business solutions

Technology advantage

These needs range from building technology advantage to developing new strategic business solutions.


Addressing these needs

requires smarter software.


Turn information into insights

Belgian Red Cross-Flanders supplies 99 percent of the blood required by Flemish hospitals. Using

IBM software, Business Partner Numius automated reporting to enhance inventory

management, identify blood-type needs, improve stock management, and learn how to attract new

donors while significantly reducing costs.

Smarter software

knows & acts.


Drive business integration and optimization

Smarter software

adapts.

The city of Madrid needed to radically improve its emergency response capability. With IBM software

and Business Partner Indra, it now integrates incident data into a unified view, coordinates resources end-to-end, connects wirelessly to

responders, and has cut response time by 25%.


Connect & collaborate

Smarter software

connects.

Hearst Direct, a US media company, turned to IBM Business Partner Ixion LLC for a self-

service web portal based on IBM software. With easy access to info and fewer errors, the portal

enables a high-touch relationship with customers and a potential 10 to 15% gain in productivity.


Enable business service and product innovation

Smarter software

monitors & controls.

Brockwell Technologies provides systems management solutions to the US Department of Defense and other clients. With IBM software, it

uses predictive modeling and simulations to identify design flaws early, before mass

production. Result: time-to-market cut by 40%.


Optimize the impact of business infrastructures and services

Smarter software

optimizes.

In order to reduce its carbon footprint, Bryant University used IBM Tivoli software and

BladeCenter hardware to consolidate four server rooms into one data center. As a result, it

reduced operational expenses by 21% and capital expenditures by 26% while improving

service delivery by 15%.


Manage risk, security, and compliance

Smarter software

protects.

IBM Business Partner Companhia de Sistemas used IBM software to enable Banco Mercantil to

manage a single point of employee access to eight different platforms. As a result, employees are more productive, systems are more secure,

and password service calls are down 30%, saving $450k annually.


At IBM, we believe software

can make the world better,

one client at a time.


A lot of other companies

claim to do the same thing.

But they don’t. They can’t.

Their software doesn’t work

like our software.


We know what it takes to solve our clients’ biggest

challenges, and we’ve spent the last 50 years delivering software that is fueled by

expertise, built for change, and ready for work.


We know software. But more importantly, because we’re IBM, we know how software connects to hardware connects to services—and what it takes to make technology infrastructure run. But we also know how to apply software for real results. We know industries, the world of business, and how work gets done. We know systems, both natural and man-made. We know how the world really works, and what it takes to make the world work better.

Proof points

40 innovation centers worldwide,

focused on solutions for dozens of

industries

65,000 software employees

35,000 software developers

80 R&D labs

30,000 partners

Largest middleware company in

the world

Fueled by expertise


Our software is open. Easily integrated. Flexible. Built with a systems POV. Old, new. Ours, theirs. IBM software works with what clients have today, and what they will need tomorrow. But we’re not just capable of change. We believe it’s not enough to simply be ready for change when it happens. We have forward-looking labs and researchers whose sole purpose is to help our clients be prepared for the future. Whether built here or bought elsewhere, our software helps clients anticipate the needs of their business.

Proof points

100+ acquisitions

300 SOA patents

IBM contributes to over 150 open

source projects—more than any

other company.

IBM has invested over $1B in

Linux and open source, and

continues to invest several

hundred million dollars annually.

Built for change


We build software that’s robust. Industrial-strength. Proven. Ready to scale. Whether for start-ups, Fortune 50 companies, or entire governments, our clients can always count on our software to deliver the impact. But it isn’t just the code of our software that ensures our clients’ success. It’s also about the ongoing service we provide. We’ve always been dedicated to our clients’ every success—big and small—and our teams work tirelessly alongside clients to apply software to solve their greatest challenges and create new value.

Proof points

Middleware market share leader,

with nearly twice the share of our

closest competitor

Heavy investment in software, now

representing 44% of IBM net income

25,000 sales & support staff

dedicated to client success

Major acquisitions in such key areas

as business analytics, BPM, mobile

and cloud computing

Ready for work


Fueled by

expertise

Built for

change

Ready for

work

Business – Deep industry knowledge

– Applying our deep understanding

of client needs, how business

works and how the world works to

the software we deliver

Prepared – Designed to help predict and

embrace change

– Solves short term challenges and

take advantages of future

opportunities

Dedicated – More than the code, IBM delivers

the personal service to apply

software to clients’ biggest

challenges

– Working with clients to anticipate

the needs of their business

& & & Technology – Deep knowledge of software

– Heritage of integrating hardware,

software and systems

Open – Flexible

– Easily integrated with current and

future infrastructure, inside and

outside clients’ organizations

Proven – Robust

– Industrial strength

– Ready to scale

– Efficient

– Secure


We deliver software that

provides clients the capabilities

required to transform their

industries.

Energy and Utilities

Transportation

Banking

Financial Markets

Electronics

Industrial Products

Aerospace and Defense

Consumer Products

Healthcare

Telecommunications

Government

Insurance

Retail

Education

Life Sciences

Media and Entertainment

Automotive

Chemical & Petroleum

Application

Infrastructure

Application Lifecycle

Management

Asset Management

Business Analytics

Business Planning and

Alignment

Business Process

Management

Business Service

Management

Cloud and

Virtualization

Management

Commerce

Complex and

Embedded Systems

Connectivity and

Integration

Data Management

Data Warehousing

Design, Development,

and Deployment

Enterprise Content

Management

Enterprise Marketing

Management

Enterprise

Modernization

Information

Governance

Information Integration

and Federation

Network and Service

Assurance

Security

Social Business

Application

Development

Social Collaboration

Storage Management

Systems Management

Unified

Communications

Web Experience


What’s your vision for your

organization?

What’s your

biggest challenge?

Let's talk.

© 2011 IBM Corporation

Trademarks and notes

IBM Corporation 2011

§ IBM, the IBM logo and ibm.com are registered trademarks, and other company, product or service names

may be trademarks or service marks of International Business Machines Corporation in the United States,

other countries, or both. A current list of IBM trademarks is available on the Web at ―Copyright and

trademark information‖ at www.ibm.com/legal/copytrade.shtml

§ Adobe, the Adobe logo, PostScript, the PostScript logo, Cell Broadband Engine, Intel, the Intel logo, Intel

Inside, the Intel Inside logo, Intel Centrino, the Intel Centrino logo, Celeron, Intel Xeon, Intel SpeedStep,

Itanium, IT Infrastructure Library, ITIL, Java and all Java-based trademarks, Linux, Microsoft, Windows,

Windows NT, the Windows logo, and UNIX are trademarks or service marks of others as described under

―Special attributions‖ at: http://www.ibm.com/legal/copytrade.shtml#section-special

§ Other company, product and service names may be trademarks or service marks of others.

§ References in this publication to IBM products or services do not imply that IBM intends to make them

available in all countries in which IBM operates.

http://www.ibm.com/legal/copytrade.shtml






The bottom line is still top priority

Although the global economy is on the road to recovery,

many organizations may still be:

Concerned about the high cost of acquiring and

maintaining technology

Keeping a close watch on their IT investments

Demanding that every investment provide a quick

return

Conserving capital wherever possible

Favoring short-term over long-term initiatives

“The economic downturn has rewritten the rules of IT investment, and IT organizations will need

more-rigorous investment management practices in order to adapt. Only then can IT organizations

meet the business requirement to continue to improve IT efficiency, while increasing the value

delivered to the enterprise.”

—Gartner Research, New Realities of IT Investment, September 27, 2010


IBM Global Financing can help

IBM Global Financing helps companies

acquire the IT solutions they need, more

easily and cost-effectively, so they can:

– Preserve cash for strategic business

needs

– Obtain the solutions they need—

potentially without cutting back

We are the world’s largest technology

financier, providing services in more than

55 countries

We work with more than 125,000 clients,

from small businesses to large enterprises,

including roughly 80% of the Fortune 100

Our decades of IT expertise give us an

exceptional understanding of a company’s

technology and financial needs

55+ countries

125,000+ clients


Support for your vision

IBM Global Financing delivers the IT financial expertise and capabilities you need today to support your vision for tomorrow

We are well positioned to assist you with not only financing but also IT life-cycle management challenges

We can help accelerate the implementation of innovative solutions or projects such as cloud computing or business analytics