Partnering to Generate Strategic Value: Partnering to Generate Strategic Value Elly Keinan Vice President, Northeast Europe


Agenda: Agenda IBM’s Transformation Northeast Europe Marketplace Teaming to Win


Slide3: IBM’s Transformation: An Ongoing Journey 1984 1992 2004 2005 2006 A new computing model for business New client needs generated by these new possibilities The rising tide of globalisation


We Have Remixed our Business: We Have Remixed our Business Segment Pretax Income Mix 2004 2005 2006 *Excluding non-reocurring events Systems & Financing Software Services


IBM Share Position: 2002 - 2006 : IBM Share Position: 2002 - 2006 Source: IBM Market Intelligence, January 2007


Slide6: IBM’s Transformation: An Ongoing Journey


Slide7: IBM Northeast Europe ~100 countries ~1.6 billion population 130 different languages in Europe alone 2007 IT market = $154B, 5.4% yty 2007 real GDP growth = 3.7% 20% IBM worldwide revenue 60,000 IBM employees of which 15,000 Global resources HQ: Zurich, Switzerland


Slide8: Our Clients


We Leverage Our Entire Organization to Deliver Valuable Business and Technology Solutions: We Leverage Our Entire Organization to Deliver Valuable Business and Technology Solutions IBM Global Financing IBM Global Business Services IBM Research Software Group Systems & Technology Group Communications Distribution Financial Services Industrial Public Small & Medium Business (SMB) Telecommunications Media & Entertainment Energy & Utilities Retail Consumer Products Travel & Transportation Banking Financial Markets Insurance Automotive Aerospace Chemicals & Petroleum Electronics Government Education Healthcare & Life Sciences Direct Face to Face Teleweb ibm.com Indirect Business Partners Alliances Communications, Legal, IT Human Resources, Finance Marketing / Strategy / Sales Operations Business Lines Sectors Industries Market Channels Geographies Americas NE Europe SW Europe Japan Asia Pacific IBM Global Technology Services


Shift to Solutions is Changing the Industry Landscape: 2000 72% % Solutions Opportunity Shift to Solutions is Changing the Industry Landscape Source: IBM Market Intelligence Needs Identification Information Gathering Product / Vendor Evaluation Post Sales Support 92% 75% 67% 70% % Clients Using Influencers Solutions spend continues to gain momentum and is over 70% of total IT market in 2007 2001 2002 2003 2004 2005 2006 2007 69% 67% 64% 61% 59% 57% 55%


Ten Fastest Growing Solution Areas: Ten Fastest Growing Solution Areas Source: IBM Market Intelligence, 2007


Northeast Europe IT Marketplace by Industry: Northeast Europe IT Marketplace by Industry Source: IBM Market Intelligence, 2007 Size: Incremental growth Green: Accellerating growth Yellow: Stable growth Red: Decreasing growth


Slide13: Northeast Europe IT Marketplace by Country Source: IBM Market Intelligence, 2007 Size: Incremental growth Green: Accellerating growth Yellow: Stable growth Red: Decreasing growth


IBM Adds Value at All Levels of the Banking Industry: IBM Institute for Business Value Among top 3 Business analyst in the world 170 reports a year IBM Point of View Strategic Alignment Industry framework This SOA will facilitate the co-existence and migration of Legacy Systems while providing workflow efficiency Product Brands Technique to model an enterprise as non-overlapping components to identify improvements Models provide an information architecture blueprint with detailed banking business content Global Business Service Global Outsourcing Global Tech. Service IBM Software Group IBM Hardware Group IBM Adds Value at All Levels of the Banking Industry Data Model SOA Architecture


Media Hub is a Significant Differentiator for IBM: Media Hub is a Significant Differentiator for IBM


There is Mutual Benefit For Us to Work Together: There is Mutual Benefit For Us to Work Together Improve market access Accelerate win rates while reducing selling time Enhance value propositions via complete solutions Reduce risk Build deeper client relationships Grow revenue and profit / Gain market share Strategic Value Creation S U C C E S S


Israeli ISV Success – Winning Together: Israeli ISV Success – Winning Together


Action: Invest in fast growth areas Continue to work with the GTU Partner with IBM R&D labs in order to shorten development cycles Take advantage of IBM enablement Build a strong joint value proposition Transform offerings into a replicable asset Get some joint wins! Action