IBM SWG Acquisitions Channel Strategy

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IBM SWG Acquisitions Channel Strategy

David Griffith

SWG Channels, Acquisitions Europe IOT

4

th

August 2014

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AGENDA

1/ Rationale for IBM SWG Acquisitions Strategy

2/ The Story So Far

3/ The Channel Strategy for Acquisitions

4/ What’s In It For The Partners

5/ Example Collateral Available Today

6/ Call To Action

(3)

Acquisitions complement our organic growth strategy

+

Complementary

technology buys

Gain time to

market

Leverage IBM

channels

Complementary

Point Products

Complementary

Point Products

Market leaders in

growth segments

Strong ecosystems

Large customer

install bases

Command premium

valuations

Market

Leadership

Market

Leadership

Significant

revenue

streams

Leverage

install base

Achieve cost

and expense

synergies

Opportunistic

Consolidations

Opportunistic

Consolidations

Building a Smarter Planet

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In the right markets

To enhance the

portfolio

With clear

synergies

Cultural fit

Consistent global processes

Consistent worldwide delivery

Leverage IBM

Full-time Integration teams

Best practices and tools

GM sponsorship and accountability

IBM’s Acquisition Process

Disciplined acquisition process Attractive valuations Focused incremental investments Adds to shareholder value

Integrate quickly and

efficiently

Integrate quickly and

efficiently

Apply financial

responsibility

Apply financial

responsibility

Select the

right companies

Select the

right companies

Best of Breed

Global Development

Best of Breed

Global Development

Globally Integrated Support Functions

Global Sales / Support / Channel

Structure

Global Sales / Support / Channel

Structure

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Over the past 5 years, acquisition revenue has trebled to be

nearly 30% of Europe SWG and the SWG integration team

has also evolved a Go To Market focus to support this

5

Averaging 3

acquisitions per year, exclusively focused on operational integration ‘back office’

Currently managing 11 SWG acquisitions with active pipeline, driving Go To Market and maintained Operational excellence Added Sales Operations Integration Introduced Go To Market Integration PMs to co-ordinate the customer facing actions and ‘cue in’ brand team

John Teltsch appoints

Acquisition Sales Leader for Europe Some IMT’s

also invest dedicated x-acq. headcount

Consolidate Sales Admin roles into Customer Fulfilment to support Sellers in FCT license

transactions

Split Quote to Cash team into Set Up and Delivery, pilot Deal Desk for Algo through Delivery team and CF

Sales Transaction Support (incl CF) agree to expand mission to all Saas and appliances and support Europe Saas CoC

IMT Geo Growth plans for each acquisition in place. Actively

involved on all new deals in Due Diligence and Geo Growth plan development

Shift performance driver from achieving target to ambition, to capitalise on growth opportunities from acquisitions Successfully pilot voluntary new HR transfer approach allowing accelerated timeline to reduce employee uncertainty and change impact Increasing Go To

Market focus – drive early engagement, activate RTM; initiate sales plays (cross sell, up sell, leverage of IBM sales channels)

Remove operational barriers, minimise adverse impact of change

2013

2012

2011 2010

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Acquisitions Complement

IBM’s Organic Growth Strategy

Objective: Growth

•

Revenue Acceleration

•

Develop Talent and Expertise

•

Leverage IBM, Exploit Synergies

•

Continued attractiveness to existing

and potential partners

Acquisition Performance

•

Exceeding Financial Targets

•

Accelerating IBM’s Strategic Intent

•

Increasing Customer Success

•

Increasing value to a wider range

of partnerships

Trusteer Daeja Xtify The Now Factory Fiberlink Aspera Cloudant Silverpop

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IBM Software One Solutions aimed at buyer-aligned solutions

Acquisitions are

taking IBM to the

new breed of

buyer

CMO

CxO

Line of Business

VP eCommerce

Our new partner

programs are

aimed at helping

BPs reach the new

breed of buyer:

7

• Data Warehouse Augmentation • Big Data Exploration

• Financial & Operational Performance Management

• Predictive Customer Intelligence • Narrative Reporting & Disclosure Mgmt. Big Data & Analytics

• Virtualization Cost & Complexity Reduction • Simple, Scalable, Efficient Data Protection • Unified Endpoint Management

Cloud

• Cross-platform Mobile Applications • Mobile Application Testing

• Bring-Your-Own-Device (BYOD) Mobile

• Platform for Social Business • Customer Digital Experience • Employee Digital Experience Social Business

• Collaborative Development • Continuous Testing

• Continuous Release & Deploy • SW and System Engineering

DevOps & Product Development Security

• Security Intelligence • Advanced Threat Protection • Database & Application Protection

• Integrated Law Enforcement • Smarter City Platform Smarter Cities

• Improving Effectiveness of Business Operations

Smarter Process

Smarter Commerce

• Digital Marketing Optimization

• Governance, Risk, and Compliance for Critical Corporate Data

• Multi-Enterprise Process Collaboration • Supply Chain Optimization

• eCommerce • Campaign

• Customer Experience Management • Price and Promotion Optimization

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Financial governance | 2010 Governance, compliance, risk

management | 2010

Web analytics | 2010 Financial risk management| 2011

Master data management | 2010 Data warehouse appliances |

2010

Procurement & contract mgt | 2011 Enterprise marketing

mgt | 2010

Pricing, promotion and product mix optimization |

2012

Growth Initiatives

Recent Acquisitions (since 2010)

Analytics

Cloud

Social

Smarter

Commerce

Mobile

Acquisitions complement and enhance the portfolio supporting our Growth Initiatives

Customer experience mgt | 2012

Data navigation & exploration| 2012 Talent Management | 2012 Mobile computing platform | 2012 Mobile mgt | 2010

Mobile customer experience management | 2012 Cloud integration | 2010

Automated BI | 2013

Compensation & sales performance mgt | 2012

Web fraud detection | 2013

Customer & network analytics | 2013 Mobile Customer Engagement | 2013 Network automation | 2010 Automated data migration | 2012

Hosted, multilingual e-mail service | 2009 Small business server

solutions | 2008

FIBERLINK Mobile Device Mgt Database As A Service | 2013

eXtreme File Transfer | 2014

Security

_{Security Intelligence | 2011} Fraud protection and advanced security | 2013

B2B integration | 2010

Mobile Customer Engagement | 2013 Cloud computing infrastructure | 2013

Email Marketing & Marketing Automation 2014

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Financial governance | 2010 Governance, compliance, risk

management | 2010

Web analytics | 2010 Financial risk management| 2011

Master data management | 2010 Data warehouse appliances |

2010 Procurement & contract mgt 2011 Enterprise marketing mgt | 2010

Pricing, promotion and product mix optimization |

2012

Growth Initiatives

Recent Acquisitions (since 2010)

Analytics

Cloud

Social

Smarter

Commerce

Acquisitions Circled in Red include a SAAS Capabiliy

Customer experience mgt | 2012

Data navigation & exploration| 2012 Talent Management | 2012 Mobile computing platform | 2012 Mobile mgt | 2010

Mobile customer experience management | 2012 Cloud integration | 2010

Automated BI | 2013

Compensation & sales performance mgt | 2012

solutions | 2008 FIBERLINK Mobile Device Mgt Database As A Service | 2013 eXtreme File Transfer | 2014

Security

_{Security Intelligence | 2011} Fraud protection and advanced security | 2013

B2B integration | 2010

Mobile Customer Engagement | 2013

Cloud computing infrastructure | 2013

IBM Software Group

Email Marketing & Marketing Automation 2014

Mobility

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IBM’s full breadth of cloud offerings supported by IBM

Acquisitions

Public. Private. Dynamic Hybrid.

Think it. Build it. Tap into it.

Business Process as a Service Software as a Service Platform as a Service Infrastructure as a Service Smarter Commerce Smarter Analytics Smarter Cities Smarter Workforce Watson solutions Software solutions Middleware solutions SOFTLAYER IBM SmartCloud Enterprise + Infrastructure solutions

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Optimize everything

Marketing Optimization SoftLayer

Cloudant

Aspera

Innovation & Collaboration

IBM Connections

SmartCloud Engage SmartCloud Meetings

Sametime Family

IBM BlueWorks Live

Compete on Analytics

SmartCloud Analytics

Social Media Analytics Digital Analytics

Cognos Express Cognos Insight

IBM Cognos TM1 on Cloud

Superior Customer Insight

Customer awareness & analytics

Predictive Capabilities

SPSS statistics

SPSS data collection

IBM predictive insight

Security & Fraud

QRadar

AppScan

Trusteer

Fiberlink

Ultimate Customer Experience

IBM Digital Marketing Campaign Customer Experience Mgmt LIVEmail

Tealeaf CX

eMessage

Silverpop

Cost Efficiency

Service Engage SoftLayer

Cloudant

Business Agility

SoftLayer BlueMix IBM BlueWorks Live

Service Improvement

SmartCloud Provisioning SmartCloud Monitoring SmartCloud Orchestrator SmartCloud Control Desk

Aspera

Service Engage

Everywhere Connectivity

Worklight

CastIron

Fiberlink

Notes Traveler–iNotes

Aspera

Social Everything

SmartCloud Notes SmartCloud Connections SmartCloud Engage SmartCloud Meetings Sametime Family Websphere Portal Express

Commerce on Cloud

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Partner Enablement & Channel Readiness

Governance & Stakeholder Review GTM Activity and Launch

Establish Required Channel Strategy Assess Existing Acquired Channel

Partner Engagement

Channel Plan on a Page per Acquisition ASSESSMENT PHASE Announcement to Close PREPARATION PHASE Close to Close plus 3 mths GOVERNANCE PHASE Close Thru TOB + Ongoing EXECUTION PHASE Close Thru TOB + Ongoing

• Input from WW and acquired company • Establish Required Partner Profile/Type • Identify appropriate existing IBM BPs

• Positioning and Value Proposition • Solutioning, Competitive Landscape • Market Opportunity

• Enablement

• Marketing – Demand Creation and Communication • Existing Customers and Active Partners

• Capability and value statement – Brand, Portfolio Pull-Through

• Partner Map by IMT, by SaaS/Cloud, by Buyer • Sales Engagement Plan – Sector, Accounts, Partners • Lead Generation, Enablement, Communications plans

• Hold Reviews against agreed KPIs and Success Metrics with key stakeholders • Establish cadence process with the

partner for pipeline and sales execution review

Acquisition Channel Strategy - Step by Step Process

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•

Monthly conference call for Business Partners and VADs with

‘Acquisitions Update’ by IMT (local speakers where required)

•

Distribute ‘Partner-Ready’ summary packs per acquisition –

showing positioning, value proposition and market

opportunity

•

Identified Partner Profile per Acquisition – Is right for your

business ?

•

Rapid deployment of ‘Partner-Ready’ demonstration

capability per acquisition – Open Tec.

•

Presentation slots at annual or 6mthly IMT Partner Summits

•

VAD roadshows for Business Partners where applicable

Communications & Channel Activation Plan

Channel

Execution

&

Success

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•

Per Acquisition:

•

Solution Area, Growth Play

•

Competitive Landscape

•

Business Issue Addressed – rationale for the acquisition

•

Revenue Opportunity

•

Portfolio Pull Through

•

Existing Sales GTM

•

Partner Type

•

Brand

•

Partner Readiness Requirements

This is now available for the majority of

acquisitions

Partner Engagement

“Gap”

Channel

Capability

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15

Partner Profile per Acquisition

Xtify Domain Expertise Mobile Marketing Existing Worklght and EMM Partners

Agencies, Mobile Marketing and Brand, sub-contractors developing mobile apps Existing EMM partners

Existing Smarter Commerce Partners Global SIs

Aspera Existiing Commerce Partners

File Transfer Infrastructure Domain Expertise Existing B2B/ MFT domain expertise

Data Analytics

Managed Service Providers

FS/Pharmaceutical/Telco Industry Focus Global Sis

Fiberlink Existing mobility and Mobile First partners Smarter Infrastructure capability

Domain Expertise in Mobile Device Management

Trusteer Security focus

SAAS SSP Program partners Mobile services provider

Financial Services Industry for corporate web fraud Existing Security Brand BPs

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16

Partner Profile per Acquisition

Kenexa Domain expertise in HR/Talent Management/Recruitment HR Change Consulting Organisations

Recruitment Specialists

Capabilities - Workforce analytics, workforce experience and Social learning , SAAS

Tealeaf Ability to sell to or has existing relationships with CMO, VP eCommerce, web areas within client community Digital Marketing Agencies

Global Sis

Customer Experience domain expertise.

Worklight Mobile Marketing domain expertise eCommerce

Daeja Existing ECM Partners

OEM/Technology Organisations

Document Management Domain Expertise

Cloudant Domain Expertise in Application Development

Existing Worklght, Websphere, Mobile First and Rational Partners Complementary Mobile ISVs

Mobile Application Developers Managed Service Providers Xaas Solution Providers

Cross industry - gaming is a focus Global SIs

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AGENDA

Example Collateral Available Today

Fiberlink

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Strategic Rationale

•

Customers are struggling with the complexity of managing mobile

devices

• Multiple devices and operating systems, company owned and employee

Bring-Your-Own-Device (BYOD)

• Enterprise application and data management/security

• Changing business models – on-premise versus SaaS, perpetual versus

subscription

•

MDM segment is growing 22% CAGR from 2012-17 WW.

•

Fiberlink would accelerate organic plans to address the Mobile

Device Management (MDM) opportunity

• MobileFirst focused user experience and design

• Proven SaaS business and go-to-market model

• Container and application wrapping capabilities, doc sync and app

management capabilities

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Fiberlink fits with IBM’s MobileFirst initiative

Industry Solutions

IBM & Partner Applications

Banking Insurance Retail Transport Telecom Government Healthcare Automotive

Application & Data Platform

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Cloud & Managed Services

Devices Network Servers

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n

S

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rv

ic

e

s

Management

Security

Analytics

Fiberlink

• Mobile Device Management • Mobile Security

• Mobile Application Management • Mobile Content Management • SaaS Business Model

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IBM MobileFirst Offerings

Transform

Mobile Consulting Services (GBS) Mobile Enterprise Strategy

Mobile and Digital Design (IBM Interactive)

Industry Process Transformation / Front Office Transformation IBM MobileFirst Industry Solutions*

Mobile Maturity Model & Target Operating Model* M2M2P Strategy*

Mobile Infrastructure Consulting* (GTS)

*New addition to portfolio in 2014

Protect

Enterprise Mobility Management Fiberlink – MaaS360 (SWG)

IBM MobileFirst Device Procurement & Deployment Services* (GTS)

MobileFirst Managed Mobility Services (GTS)

Security (SWG)

Secure Transactions - Trusteer Mobile

IBM Security Access Manager for Mobile Mobile Infrastructure Management

Mobile Virtualization Services (GTS) IBM MobileFirst Network Services (GTS) Mobile Infrastructure Analytics Services* (GTS)

Mobile Consulting Services (GBS) Mobile IT Strategy and Plan

Mobile Platform Design & Implementation Mobile Integration Services

Mobile Application Management Services

Build

Mobile Consulting Services (GBS) Mobile App Design and Development Mobile Factory (Global Delivery)

Mobile Test Strategy & Testing Services

IBM MobileFirst Platform

Worklight (SWG)

Mobile Quality Assurance (SWG)

IBM MobileFirst Application Platform Services* (GTS) IBM MobileFirst Cloud Servicess in BlueMix (SWG)

Engage

Mobile Customer Engagement Xtify (SWG)

Presence Zones (SWG)

MobileFirst Collaboration Services (GTS) Mobile and Digital Design (GBS/IBMi) Omni-Channel Experience Assessment and Strategy (GBS)

Mobile Employee Engagement – Smarter Workforce Mobile Accelerator (GBS)

Mobile Analytics

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Competitor Landscape

21 21

Gartner Comments on Fiberlink: Pro

• Excellent client reference feedback: • Strong presales & post

sales support including technical assistance during installs

• Smooth & uneventful implementations

• Competitive pricing & offerings Con

• Lacks on premise option

• Limited local presence outside the US

• Mobile content management lacks support for corporate file servers and network drive access, file sharing, PC file synchronization

Perceived as MDM leader, $60M in rev with majority from perpetual. Offerings include mobile application management (appstore, policy

management and newly announced application wrapping and container) MDM is core to company, SaaS is relatively new. No Blackberry 10 support.

Claiming fastest growth with aggressive sales force. Just announced application wrapping offering. Claims largest enterprise deployments. Ranks highest in analyst product evaluations. Recently announced container capabilities

Not an MDM company. PIM and Container are at the core of company. MDM comes from partnership with BoxTone. Large base, but customers dislike Good (due to dated user experience and rigid pricing practices). Company is litigious and has gone through several ownership/leadership changes.

Smaller, SaaS company that offers both MDM and traditional laptop/server mgmt as a service. Laptop offering built on IBM BigFix technology, therefore, integrating into IBM architecture is easiest. Strong growth and competitive offering, recently announced container capabilities.

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Gartner Magic Quadrant for Mobile Device Management,

May 2013

•

Around 125 vendors claim to

offer MDM WW. Gartner has 18

vendors in the 2013 Magic

Quadrant (down from 20 in

2012).

•

Capabilities are tight within the

leaders in the space – basic

MDM is easily commoditised

•

Airwatch is the primary

competitor based on their SaaS

capabilities

•

Differentiation is based on:

• Delivery method (SaaS)

• Ease of use

• Advance

management/security

capabilities

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Offering

Description

Device Management DTM MDM Expense Management

Visibility, control, software, and compliance management of PCs and Macs Over-to-air configuration, reporting, and security of mobile devices Monitoring, alerts, and roaming controls for mobile data usage

App Management

MAM App Cloud

Collaboration Portal App Security

Enterprise app catalog, app inventory reporting, public app policy mgmt, & app push/wipe Secure, globally optimized distribution and storage of enterprise apps

Mobile and PC browser-based application lists, ratings, reviews, and requests

App containerization, AAA, compliance checking, and DLP enforcement (aka wrapping)

Doc Management

Secure Doc Sharing Doc Cloud

Policy-controlled document distribution (push) and user access to Sharepoint Secure, globally optimized distribution and storage of enterprise documents

Other Services Offered

Security & Privacy

Web Security Work Persona

Policy-based, content security (URL filtering) of mobile web browsing

Dual-persona business environment for PIM, Doc management, browsing, and enterprise apps

Mobile Integration

Identity & Certs Email Access Cntrl

Network Access Cntrl

AD/LDAP integration, including certificate authority integration for identity certificates On-premise & cloud email integration for device discovery, policy mgmt, and access controls

Off-the-shelf, 3rd_{party integrations for network discovery, interrogation and access} controls

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Call To Action – offer from us to help !

Assess the priority acquisitions for your business – use us to help !

Engage with your local channel teams/VADs to assist on detailed

SME support.

Define GTM strategies for client engagement.

Useful Links:

https://www-304.ibm.com/partnerworld/wps/servlet/ContentHandler/swg_com_sfw_acquisitions_index

https://w3-connections.ibm.com/wikis/home?lang=en_GB#!/wiki/W2b8e8ab090bd_48f1_97f0_4072f4a77a72/page/

Acquisitions%20Corner

Primary Contact:

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'Expand your Mobility and Security Capabilities with IBM Software

Group Acquisitions'

Q4 Half day event – venue and date tbc

If you are interested in finding out more about this event please contact

[email protected]

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