...MARQUIS ROSABETH MOSS KANTER IBM: The Corporate Service Corps In February of 2009, Kevin Thompson, program manager for the IBM Corporate Services Corps sat down with Stanley Litow, Vice President of Corporate Citizenship and Corporate Affairs, and Robin Willner, Vice President of Global Community Initiatives at IBM. They had recently received the results of an independent evaluation of the first 100 participants in IBM’s new employee leadership development program called the Corporate Service Corps (CSC). The CSC was an international community service assignment for high-potential IBM employees and 2008 was its pilot year. 11 teams of IBM’s best global employees had been deployed to work for local partners, frequently non-governmental organizations (NGOs), in locations such as Ghana, Tanzania, Romania, Philippines and Vietnam. Each team had worked for a month on projects as diverse as digitizing the supply chain of the Ghanaian handicraft sector to establishing a strategic plan for the Davao City Chamber of Commerce in the Philippines that would maximize job creation among locally owned small businesses. IBM had high hopes for this program, both as a way to deliver social value to emerging markets, but also as an important strategic business initiative. As globalization had proceeded, IBM CEO Samuel J. Palmisano had focused extensively on making global integration successful and how the new business environment would require globalizing IBM from the “bottom-up.” The CSC was...
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...Abstract IBM is a company that is innovative and strategic; it has had superior success in the computer and electronic industry. The company offers an array of services and products ranging from the sale of computers to business consulting services. Their success over the years can be attributed to their core values and vision. IBM recognized that to remain successful and profitable they would have to make changes and the biggest change would be to add value by having the employees contribute to the changing the values of the company. When employees share the same values, as the company, they are more dedicated to the company. What kept IBM from falling behind is the fact that they developed changed. The purpose of this case analysis is to describe the changes that IBM has made and to discuss the effectiveness of those changes. First we will explain why IBM wanted to make changes and to whom the changes would affect. We will also discuss how the goals has been developed and disseminated within the company, whether it is an effective way to set the stage for external social projects, and lastly, we will make recommendations. IBM Case Study International Business Machines Corporation (IBM) is a technological company from America that deals with manufacturing and marketing of computers, both hardware and software’s. It also involves itself with other services such as, hosting, consulting services and not forgetting the infrastructure. Having been founded over one hundred years...
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...| | * Introduction This report is a case study on IBM from 1993 to the present. The reporters’ objectives were to define the problems within IBM in 1993; management tools used to remedy these problems; if these solutions will lead to a sustainable competitive advantage; and what kind of innovators IBM is and what streams of innovation IBM is involved with today. This report is from a managerial science perspective, with a focus on innovation. * * (Executive Summary This case involves IBM, an international computer hardware, software and services company. The head of this organization in 1993, since 1985, was John Akers. Akers was replaced that year by Louis V. Gerstner, Jr. During Akers’ reign, the company had gone from a workforce of 407, 000 in 1986 to 300, 000 in 1992 ; the stock had dropped from a peak in 1987 of $1757/8 to $25 (split adjusted) in 1993 ; and a loss of $2.8 billion in 1991 to be followed by a loss of $8 billion in 1993 . Akers’ effect on the structure of the company resulted in, among other things, two outcomes; 13 highly defined divisions that were theoretically autonomous from one another and many job losses. Gerstner was brought in to remedy IBM’s fiscal situation and bring IBM back into the black and back on top of their industry. Problems within IBM in 1993 Focus One of the most notable problems within IBM was their focus. It seemed that inter-politics within the organization overshadowed what should have been their prime directive: the customer...
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...IBM Case Study 1. What factors led to IBM’s success during the 1960s and 1970s and its problems during the late 1980s and early 1990s? Watson Jr. hit a home run when he invested $5 billion to develop the System/360 computer family, which utilized an integrated semiconductor chip and modular components. Taking full advantage of this innovative momentum, IBM debuted other products during that time which enabled the company to rise to the top of the IT industry. These products included hard and floppy disks, a new computer language and the company’s first personal computer. In the mid 1980s, IBM started to run into trouble when its returns and market share began to slide. Customer needs were changing and emerging technologies led to the demise of IBM’s main product focus—the mainframe. Customers were looking for interconnected mainframes and mobile personal computers with distributed data sources and applications. Instead of devising a strategy to satisfy customer demands and set itself apart from competitors, IBM chose to transition from a lease oriented business to a sales oriented business. This lack of customer focus was coupled with an inefficiently designed workforce that would rather fight with each other than work together. Additionally, the company was so successful in the past that no attempt was made to cut costs/expenses and identify/correct inefficiencies. Adding more salt to the wound was the fact that top level executives were so far removed from daily operations...
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...Charles Flint, creates the Computing-Tabulating-Recording Company (CTR) on June 16, 1911. CTR is the precursor to IBM. Of the companies merged to form CTR, the most technologically significant was the Tabulating Machine Company, founded by Herman Hollerith, and specialized in the development of punched card data processing equipment. The Tabulating Machine Company originally sold some machines to a railway company. In 1911, Hollerith, sold the business to Flint, who then created CTR. When the diversified businesses of CTR proved difficult to manage, Flint turned for help to the former No. 2 executive at the National Cash Register Company, Thomas J. Watson Sr.. Watson became General Manager of CTR in 1914 and President in 1915. On February 14, 1924, the CTR name was formally changed to International Business Machines Corporation, later to be abbreviated IBM. IBM employs almost 400,000 employees called "IBMers" by IBM in over 170 countries, with occupations including scientists, engineers, consultants, and sales professionals. Its distinctive culture and product branding has given it the nickname Big Blue. Its employees have garnered five Nobel Prizes, four Turing Awards, nine National Medals of Technology, and five National Medals of Science. IBM has often been described as having a sales-centric or sales-oriented business culture. Traditionally, many IBM executives and general...
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...have paid attention on for their strategic reshape? I think the most important change to lead the IBM to success is that IBM changed their business model from low margin business like PCs and hard drivers to upmarket to services and software. Because the low margin hardware market has the very competitive market with many players based on China and Taiwan. 2. If you check the stock performances of the two companies since 2005 when IBM sold off its PC division to Lenovo, the thin-margin PC business appears to have worked differently for two companies. The same asset (i.e., the PC division) wasn't beneficial to IBM but the opposite was true to Lenovo. How would you explain this? IBM has maintained strong position in IT industry. The stock price say this to me. IBM read the trend of industry very well. At 2005, IBM can’t generate profit from PC division. So if IBM did not sold out PC division and then continue operation PC division. They may be failing to come present position. IBM sold PC division at the appropriate time, and they also got reasonable money that can be used to improve IBM’s software skills and other division’s abilities I think that in the economy, each economic unit who is the company has the competitive advantage. So same assets can be playing other role in other company. Lenovo has the competitive advantage in low margin PC and hardware industry. and IBM has the competitive advantage in advanced software and IT related service. So the selling IBM’s PC...
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...Taleo Case Study IBM Taps Taleo to Provide Recruiting Technology for Global Outsourcing Clients In today’s challenging economy, now more than ever, strategic recruiting must adapt to the business cycle. There are fewer requisitions and more candidates clamoring to fill them. And in large global organizations, there are competing challenges as well – multiple ERP systems; regional applicant tracking systems; organizational complexity driven by M&A, divestures and legal compliance. In times like these, many companies simply trim headcount and hope to wait out the storm. IBM sees this as a time to transform talent management for business, clients, and the world. IBM sees a vision of a smarter planet, one that is instrumented, interconnected and intelligent. It is putting this vision into action with solutions such as smarter energy grids, smarter traffic management and a smarter healthcare infrastructure. IBM believes that now— when the going is the toughest— is the time to invest in the future. Why? Because the companies that focus on value, exploit opportunities and act with speed will come out of these tough times the strongest and the most capable of competing and winning in the marketplace. This is precisely why IBM turned to Taleo when it decided to invest in Recruitment Process Outsourcing (RPO) in 2008. In 2004, IBM launched its Human Resource Outsourcing (HRO) practice to enable Fortune 500 clients to make the most of globally integrated workforces and drive better...
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...Capitalizing on Complexity Insights from the Global Chief Executive Officer Study This study is based on face-to-face conversations with more than 1,500 chief executive officers worldwide. Samuel J. Palmisano Chairman, President and Chief Executive Officer IBM Corporation Letter from the Chairman 3 A note to fellow CEOs In the first chapter of this report on dealing with complexity, the CEO of an industrial products company calls the economic environment of 2009 “a wake-up call.” I agree. I’d only add that it was just the latest in a series of alerts that sounded during the first decade of this new century. In a very short time, we’ve become aware of global climate change; of the geopolitical issues surrounding energy and water supplies; of the vulnerabilities of supply chains for food, medicine and even talent; and of sobering threats to global security. The common denominator? The realities — and challenges — of global integration. We occupy a world that is connected on multiple dimensions, and at a deep level — a global system of systems. That means, among other things, that it is subject to systems-level failures, which require systems-level thinking about the effectiveness of its physical and digital infrastructures. It is this unprecedented level of interconnection and interdependency that underpins the most important findings contained in this report. Inside this revealing view into the agendas of global business and public sector leaders, three widely...
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...IBM Global Business Services Human Capital Management Achieving success in a globally integrated world: Enabling an adaptable workforce 2 You’ve remodeled your supply chain. Optimized your IT infrastructure. Overhauled your financials. But you’re still not getting the results you expect. So what’s missing? Like many companies, you may be overlooking your most valuable asset: your people. While human capital is an organization’s single largest resource, many companies don’t utilize their workforce to its fullest — even when they’ve been successful in maximizing other strategic business areas — leaving a huge opportunity untapped. By looking to the workforce to improve enterprise adaptability, innovation and productivity, corporate leaders can differentiate their businesses and stay ahead of the competition. Yet, to achieve true differentiation, companies must develop a more responsive, flexible and resilient workforce by finding better ways to source talent, allocate resources across competing initiatives, measure performance and build vital capabilities and skills. This requires developing programs that focus on workforce performance, identifying and employing talent globally, working collaboratively to accelerate change, generating innovation and producing measurable business results — now and into the future. 3 Providing solutions based on solid research IBM’s Global Human Capital Study 2008, which reflects the insights of over 400 senior executives...
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...IBM REINVENTING EDUCATION: Research Summary and Perspective Introduction People all over the world are obsessed with improving public education. During the last US election, Americans split historically over who would be the next president. But they were passionately united on the highest priority of the new administration: Fix education. In poll after poll, people listed poor student performance as the nation's greatest liability and its most critical need. Despite years of debate and scrutiny, worldwide comparisons like the Third International Mathematics and Science Study revealed the true extent of failing schools in the US. And while fixing public education tops our national agenda and many public and private institutions have attempted to address the challenge success stories are few and far between. Compounding the problem is a changing world with growing emphasis on highly-skilled individuals. Today's expectations for schools - that ALL children will achieve at a level much higher than required in previous eras - demands much more than a quick fix or a cosmetic approach. Poorly trained teachers, unfocused curriculum, and the inefficient use of resources inevitably result in poor student performance and the inability to compete globally. For the US, the stakes have gone up dramatically. People have also reached consensus on what public school reform looks like. It involves a radical shift from the status quo, with a new foundation built on standards, accountability, and...
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... Introduction: 4 1.1. Organization (IBM) brief: 4 1.2. Services provided by the organization: 5 2. Employee management in the organization: 5 2.1. Technologies invented and business: 5 2.2. Various collaborations: 7 2.3. Implementation of knowledge management strategy: 7 2.4. Post implementation analysis: 8 3. Potential application: 8 3.1. Communities of practices within the company: 9 3.2. Organizational influences: 10 3.3. Community evolution in IBM Global Services: 10 3.4. Patterns followed: 11 4. Conclusion: 12 References: 13 1. Introduction: Knowledge management (KM) is group of processes that concerns the creation, distribution and consumption of knowledge. It’s a broad topic and is not only a technological strategy. It mainly governs the whole process of discovery and formation of knowledge. KM balances and increases other managerial initiatives such as total quality management (TQM), business process re engineer (BPR) and organizational learning providing a latest and urgent focus to continue competitive spot (Abrahamson, 2003). In order to serve the customers well and remain in the business knowledge management should be applied. But none of it would be possible without a continuous focus on formation, updating, accessibility, quality and the use of knowledge by all the staff and teams at work. 1.1. Organization (IBM) brief: The International Business Machines Corporation, commonly known as IBM is a multinational company and consulting...
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...Student MGT/431 February 1, 2010 (BOLDING – red print done to highlight APA issues) The Performance Appraisal Process: Three Key Aspects and Company Examples In most organizations, periodic performance appraisals are a formal method of evaluating employee work and determining merit increases. Noe, Hollenbeck, Gerhart and Wright (2003) suggest there are three key aspects of the performance appraisal process: (1) establishing mutual goals and objectives, (2) using a valid and objective measurement method, and (3) linking employee performance to compensation. This case study will define the performance appraisal process, these three aspects of performance appraisals, discuss their importance, and illustrate their general impact upon the organization. Finally, specific company examples will be offered to demonstrate how these appraisal steps are practiced at Hewlett-Packard, New York Life Insurance, and IBM. Establishing Mutual Goals and Objectives at Hewlett-Packard According to Noe et al. (2003), many companies establish goals and objectives as a means of communicating desired employee performance targets. The authors suggest that company interests can only be achieved when those interests are aligned with the skills and energies of the individual employee. A process of negotiation and compromise must occur between management and the employee in order to define specific standards of performance that match both corporate goals and individual abilities and interests. Noe...
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...Let’s build a smarter planet Kraft Australia explores a new frontier of customer understanding through advanced analytics. Overview ■ The Need With Australian demographics changing, Kraft Australia saw the need to change its longtime branding campaign for its much loved Vegemite product. To get it right, Kraft needed a deeper and more insightful view of how consumers viewed—and used— Vegemite that it could rely on to tailor its branding message. ■ The Solution Kraft engaged IBM to provide Kraft Foods Australia is a subsidiary of Kraft Foods, the second largest branded food and beverage company in the world. Established in 1926, Kraft Australia is headquartered in Melbourne and has sales revenue of over A$650 million. The company’s flagship brand—Vegemite—has long been considered an Australian national icon. its leading edge tool for corporate brand and reputation analysis (COBRA) to conduct a pioneer study of its customer base. The solution reaches out to millions of sources of usergenerated content to paint a fresh picture of what its customers are thinking and saying. ■ Key Benefits — Ability to identify market opportunities at a very early stage — Ability to detect—and respond to—threats to Kraft’s brands and corporate reputation — Ability to increase sales and customer loyalty through more targeted brand advertising campaigns For all the diversity in the worldwide consumer products market, the most successful companies...
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...International Business Machines, abbreviated IBM and nicknamed "Big Blue" (for its official corporate color) was incorporated in the State of New York on June 16, 1911, is a multinational computer technology and IT consulting corporation headquartered in Armonk, New York, United States. Now, the chairman and CEO of IBM Company is Samuel J Palmisano. IBM manufactures and sells computer hardware and software, and offers infrastructure services, hosting services, and consulting services in areas ranging from mainframe computers to nanotechnology. IBM has been well known as one of the world's largest computer companies and systems integrators. With over 388,000 employees worldwide, IBM is one of the largest and most profitable information technology employers in the world. IBM holds more patents than any other U.S. based Technology Company and has eight research laboratories worldwide. The company has scientists, engineers, consultants, and sales professionals in over 170 countries. IBM employees have earned Five Nobel Prizes, four Turing Awards, five National Medals of Technology, and five National Medals of Science. IBM competitors IBM's main competitors are Hewlett-Packard Company (HPQ) and Dell (DELL) but each of these companies has a different focus area. Dell makes most of its money on PC and server hardware, while Hewlett-Packard is more diversified as the leader in PCs and Imaging & Printing as well as offering IT services. Since IBM relies heavily on its Software and Services...
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...worst year in its history. A lot of people chalk that up to the recession and the “dot-com bubble.” They seem to believe that when the economies of the world recover, life in the information technology industry will get back to normal. In my view, nothing could be further from the truth. Lou Gerstner, IBM Annual Report, 2001 In 1990, IBM was the second-most-profitable company in the world, with net income of $6 billion on revenues of $69 billion, and it was completing a transformation designed to position it for success in the next decade. For the world leader in an industry that expected to keep growing spectacularly, the future looked promising. But all was not well within IBM, and its senior executives realized it. “In 1990, we were feeling pretty good because things seemed to be getting better,” one executive remarked. “But we weren’t feeling great because we knew there were deep structural problems.” Those structural problems revealed themselves sooner than anyone expected and more terribly than anyone feared. Beginning in the first quarter of 1991, IBM began posting substantial losses. Between 1991 and 1993, IBM lost a staggering $16 billion. In April 1992, John Akers, IBM CEO from 1985 to 1993, vented his frustrations during a company training program. His comment, “People don’t realize how much trouble we’re in,” made its...
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