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IBM Recognized By IDC As Top Solutions Services Organization


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SOMERS, NY - 05 Dec 2001: In a newly released report by market intelligence firm IDC,IBM is ranked as the company that has best aligned its offerings with customer needs in the rapidly growing solutions services area.

In research conducted among 10 services organizations, all of which have revenues greater than $1 billion, IBM is also singled out as the market share leader, while being positioned among the top services organizations in terms of ability to gain additional market share, according to IDC.

The solutions services market includes the categories of customer relationship management (CRM), supply chain management (SCM), enterprise resource planning (ERP), e-commerce and knowledge management (KM).

The IDC report, #25777, entitled "Managing the Solutions Services Portfolio: A Competitive Analysis," concludes: "IBM Global Services is well positioned to capture market share based on its strong brand recognition and its depth and breadth of services, both within the Business Innovation Services (BIS) unit and its other lines of business."

Several dynamics are converging within the solutions services market. IDC found that end-users are increasingly demanding an integrated approach aimed at getting an enterprise-wide solution, rather that a "piece part" approach.

"It matters less and less where the entry point may be with a customer; what matters is the overriding goal of the engagement," according to the IDC report. This has placed challenges on systems integrators to reorient their service offerings, service delivery methods, marketing strategies and partnerships to effectively deliver integrated solutions to clients.

Stephanie Torto, IDC lead analyst said, "IBM Global Services recognized the areas in which it needed to bolster its capabilities and has taken steps to do just that, as evidenced by its recent acquisition last spring of Mainspring Consulting, a strategy boutique. At the same time, IBM's heritage in systems integration and outsourcing will bode well for the company as clients increasingly look for vendors to complete the services continuum."

"We've watched the market evolve over the years and IBM continuously adapts its services to meet customer demands," said Tom Hawk, IBM general manager, Business Innovation Services, Americas. "One example is our recently announced safety and security initiative, which is in response to growing market needs. This initiative harnesses the expertise of 3,000 people worldwide and expands our existing information security and privacy services for a comprehensive offering to clients."

IBM's solutions consulting business is built around the client principal. The primary charter of the client principal is to define a client's information technology services needs, so that the necessary functional and technical skills from across IBM can be applied quickly to a business issue. The success of client principal is measured primarily on customer satisfaction.

According to IBM, the role of the client principal has been instrumental in increasing responsiveness, IBM's brand image, and an overall awareness of the company's business expertise in a variety of industries.

IBM Global Services
IBM Global Services is the world's largest information technology services provider, with nearly 150,000 professionals serving customers in 160 countries and annual revenue of more than $33 billion (2000). IBM Global Services integrates IBM's broad range of capabilities -- services, hardware, software and research -- to help companies of all sizes realize the full value of information technology. For more information, visit: www.ibm.com/services.

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