IBM and Dana Corporation Announce Agreement on HR Administrative Services

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ARMONK, NY - 01 Apr 2005: IBM and Dana Corporation, one of the world's largest suppliers of automotive, commercial off-highway products and technologies, today announced the signing of an agreement for IBM to provide human resource administrative services. The agreement covers approximately 70,000 current and retired employees of Dana and certain of its subsidiaries in North and South America and Europe, with the ability to add other subsidiaries in the future. Under the agreement, IBM Business Consulting Services will provide administrative services for payroll and benefits, compensation, service recognition, recruitment and training, relocation, and expatriate processing. IBM will also operate service call centers for the covered employees and retirees.

IBM will provide customized, self-service tools to Dana people. These HR services will be delivered in a real-time, flexible, and on-demand manner that reduces cost, while providing consistent, accurate and standardized information.

This 10-year agreement is the latest in a series of IBM client agreements that provide industry-leading consulting methodologies, advanced technologies and analytical tools to standardize, streamline and improve processes along with global scale in expertise and delivery.

"Dana will partner with IBM to drive strategic value in HR services, allowing us to become more flexible in managing key business processes," said Dana's Vice President, Human Resources, Rich Spriggle. "IBM's combination of advanced technologies, best practices and accountability for business process performance, will provide Dana people with an improved level of on-demand HR services."

"Companies such as Dana Corporation are increasingly looking for a new kind of relationship with IBM that enables them to optimize business process performance and deliver bottom line business value," said Monty Baker, Partner, Business Transformation Outsourcing, and IBM Business Consulting Services. "IBM has developed the assets, consulting methodologies and analytical tools that are critical to this kind of transformation, and uniquely position IBM to meet this growing demand."

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