Presentation on Sam Palmisano -IBM

1. Change Maestro
Samuel J Palmisano
(C.E.O.)
International Business Machine(IBM)
• Ranjeet Kumar Singh

2. Communicating Strategies
Restructuring IBM from a simple hardware and
software company to an integrated enterprise
solutions company focussed on emerging high value
technologies using its strengths in R & D.
 Shifted from pure technology to outsourcing and
other service model.
Creating a compelling change story and
communicating objectives to the organisation.
Lead, communicate, and engage— includes
stakeholder alignment, communications, and
leadership alignment
Integrated communications services: Combine IT and
business solutions expertise

3. Communicating Strategies…(contd)
IBM invests in creating its own social media tools:
i. Lotus connection: software for business that empowers
innovativeness and networking of co-workers, partners and
customers
ii. SocialBlue: 53,000 employees stay connected with former
colleagues and get to know new ones including sharing photos and
status updates.
Result: Crowd-sourcing identified 10 best incubator
businesses with increase in revenue and profit.
IBM Digital Media emerging business opportunity (EBO):
The incorporation of images, video and audio in
traditional IT applications.

4. Communicating change
Sam Palmisano an efficient listener, took over the ailing
personal in the computing division of IBM, North
Carolina
 Efficient in pushing the ideas of change down the
hierarchy in a phased manner.
Invited participation and effectively confirmed the
interpretations of the decision makers.
 Created a standardized process for disseminating the
common business language throughout the enterprise.
 Envisioned setting up a cross functional group as an
effective step towards crisis management.

5. Consolidating the Change
Redesigning Roles : Invested $6 Billion in creating
R & D roles across divisions.
Remodeling the Reward System : Created the
“Growth Driven Profit Sharing Program”.
Remodeling the Reward System : Created “Top
Contributor Awards”.
Acting consistently with the Guiding Philosophy :
Dispensed with the entire commodity business.

6. Consolidating the Change …(contd)
Encouraging “Voluntary acts of Initiative” : Creating
region specific initiatives viz. Asia, the Middle East and
Africa.
Measuring Progress and Fine Tuning Strategies: Used
learning to build upon existing capabilities- programs like
“A Smarter Planet” leveraging strengths in Analytics with
enterprise wide integration.
Celebrate “En Route” : IBM has reiterated the positive
impact of the organizational change by highlighting the
growth in profitability thereafter.

7. THANK YOU !!!