Inside the Small and Medium Enterprises technological roadmap

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1 Wing Ho, Executive, General Business, IBM Hong Kong Presentation at World SME Expo, Dec 4, 2009 World SME Expo 2009 Seminar on Growth and Cost Saving Through Technology for SME Inside the Small and Medium Enterprises technological roadmap 2009 IBM Corporation

2 Introduction Technology has transformed our world Our world has become Smaller & Flatter Pervasive connections and communications Emerging markets Open trade Riskier Systems-level complexity Viral spread of information Widening gap between information available, and information effectively managed. Smarter Instrumented Interconnected Intelligent And tomorrow's leaders will capitalize on the new opportunities created IBM Corporation

3 Inside the MidMarket 2009 SMEs around the world have told us that their most critical business issues are Improved Business Performance and Efficiency 80% 83% Improving efficiency Reducing costs Increasing employee productivity Improving Efficiency 74% 74% Improving customer service Managing customer relationships Providing better service Prospecting or going after new customers Customer Relationships 72% Better predicting market trends Finding new opportunities Managing risk in decision making New Intelligence 72% Collaborating across employees, partners and/or suppliers Working Smarter n= IBM Corporation Source: Inside the MidMarket, May 2009

4 Inside the MidMarket 2009 SMEs reported top IT priorities are Information Management, Securing IT Infrastructure and Managing Financial Operations Top 10 Most Critical IT Areas WW 75% Information Management 72% 72% 70% 68% 66% 62% 62% 60% 60% Security Management IT Infrastructure Improvements to Reliability & Availability Top 3 WW Regulatory Compliance Financial Management/Finance Operations Disaster recovery/business continuity Knowledge Management/Human Capital Management Customer Dynamics Business Process Management (BPM) Collaboration n= How critical are each of the following IT areas with regards to improving your business performance and efficiency? Please rate them on a scale of 1 to 5, where 1 is Not critical at all and 5 is Extremely Critical IBM Corporation

5 Inside the MidMarket 2009 Three most frequently asked questions by almost every organization of any size 1.Are we PRODUCTIVE? Compared with companies in the same industries and companies in other industries. 2.Are we FLEXIBLE? 3.Are we using information SMART? IBM Corporation

6 SME Technological Roadmap Introducing three solutions that can help SMEs gain efficiency and intelligence to innovate their business for growth SaaS / Cloud application Managed IT service COST REDUCTION, PRODUCTIVITY IMPROVEMENT & RISK REDUCTION Business Intelligence Software SMART IBM Corporation

7 SaaS / Cloud application COST REDUCTION The prevalence of cloud Software as a Service is the delivery of application functionality via a subscription model over the Internet. The customer does not take ownership of the software but rather rents a total solution that is delivered remotely. SaaS adoption is being driven by businesses pursuit of cost savings and quicker implementations, as well as wider availability of high- speed Internet connections initial concerns regarding the SaaS applications security and reliability have faded somewhat as the model has matured, Gartner added Gartner Sees Great SAAS Enterprise App Growth Despite Downturn eweek 10/24/08 Arrow Electronics Looks At SaaS, Networking Offerings ChannelWeb 02/26/09 SaaS Revenue Growing, Market Set To Double By 2012 InformationWeek 10/23/08 SaaS still on the rise, despite IT spending slowdown ComputerWorld 02/09/09 McAfee builds SaaS arm - Security vendor establishes a business unit to house hosted offerings InfoWeek 02/02/09 Half of developers plan to work on SaaS in '09 ITWorld 01/12/09 Hong Kong is the most SaaS ready country in Asia Pacific (ComputerWorld, 2009) Gartner PCWorld 10/22/08 Gartner estimates SaaS market to grow 24% reaching $15B by 2012 of which collaboration is valued at $5B Gartner, Market Trends: Software as a Service, Worldwide, , 8/08 SaaS market will trump economic woes, the harsh economic climate will actually accelerate the growth prospects for the SaaS model as vendors position offerings as right-sized, zero-capex alternatives to on-premise applications IDG - Silicon Republic 01/27/ IBM Corporation

8 SaaS / Cloud application COST REDUCTION Solutions that can help you. Web Conferencing Collaboration LotusLive Meetings Full-featured Web conferencing service includes polling, hand raising, record & playback. LotusLive Events Internet-based event capabilities. Provides tools to create & manage webinars. LotusLive Engage An integrated suite of Web collaboration and business networking solutions including:- On line Meetings Files Instant Messaging Activities LotusLive Connections An integrated suite of Web collaboration and business networking solutions including:- Files Activities Survey Forms Charts Profiles and Contacts Profiles and Contacts Instant Messaging LotusLive Notes Full-featured, dedicated hosted service. LotusLive inotes Web-based service with group calendar & shared contacts. IBM can be trusted to deliver secure and reliable solutions IBM Corporation

9 SaaS / Cloud application COST REDUCTION Robert R. Taylor Network ( RRTN ) at MIT leverages LotusLive to facilitate economic empowerment Non-Profit Organization The Company RRTN is a SME 15 to 20, with a growing network of global partners Solution IBM LotusLive a SaaS suite of collaboration capabilities that can help bring people and information together quickly and easily across boundaries. Benefits SaaS negates need for new hardware and IT support staff, saves time, and puts more focus on delivery of products and solutions and less on the infrastructure for building a global organization Standards-based access with browsers and mobile devices via the Web eliminates connectivity barriers especially important in underdeveloped parts of the world Ease and speed of setup enables fast mobilization Cost advantages accrue from savings on hardware, IT staffing, telephony and travel, plus reduced cost and footprint for the communities world-wide Proven IBM Lotus security and reliability help win sponsor confidence while demonstrating to students what it means to build business-grade solutions Where we are creating something that has to be creditable from day one and withstand the test of time, I was committed to building on a platform I could rely on, from a brand of excellence. IBM was a simple choice. Darian Hendricks, CEO, Robert R. Taylor Network at MIT IBM Corporation

10 Managed IT service Reduce INNOVATION RISK Managed IT services is one way you can do more with less and deliver higher business value How to improve asset utilization & operating efficiency while cutting costs Reduce Costs: Operational Effectiveness How to maintain operational continuity & security that customers demand Manage Risk: Security & Resiliency Improve Service: Meet Changing Business Demands How to economically support and enable changing business demands with high service quality IBM Corporation

11 Managed IT service Reduce INNOVATION RISK IBM managed IT service has been designed to help our clients reduce costs, achieve greater IT value and improve productivity Savings impact A portfolio view highlights the services that have high savings with rapid payback 50% 40% 30% High savings, Rapid payback Storage Optimization 30% or more, 3-12 mo Security Services Up to 55%,, First year savings Managed Technical Support Up to 40%, 6-12 mo Information Protection Services Up to 40%, 1-12 mo Server consolidation and virtualization 30-70%, 8-24 mo IP telephony 20-40%, 12 mo Telepresence 30%, 12 mo Data Center Design and Consolidation 50%, mo Smart Desktop Cloud 15-40%, 8-18 mo Business of IT Workshop 15-30%, 12 mo 20% IT Lifecycle Mgmt and Governance 15-30%, 3-18mo TEM 15%, 3-9 mo Network Optimization 10-30%, 4-12 mo IT Optimization Strategy and Planning 20-40%, 3-18 mo Remote Managed Infrastructure Services 20%, mo 10% Low savings, longer payback Payback Period (months) IBM Corporation

12 Managed IT service Reduce INNOVATION RISK A financial services company enables security and peace of mind with Proventia to further collaboration and integration A Financial Company Challenge Enhance the company s Internet security Deploy a next-generation network, including network security devices Solution IBM Integrated Technology Services provided an IBM Internet Security Systems solution consisting of IBM Proventia Network Intrusion Prevention System IBM and Proventia Server software on critical hosts Benefit Enables the customer to prevent security threats from entering its network Allows the customer to focus on strategic initiatives rather than reacting to virus and hacker issues IBM Corporation

13 Managed IT service Reduce INNOVATION RISK Financial company improves work productivity and positions for more integrated collaboration and communication A Financial Company Client Challenge Due to the distance between the company and its regional clients, Face-to Face meetings are costly and provided inconvenience to the business. Fast response and efficient way of communication for collaboration was also critical issue. Solution Unlike traditional video meeting systems, IBM provides a total Telepresence solution for more efficient collaboration. The solution includes Face-to Face video system, meeting room environment development, and network assessment between each sites. Benefits The client is able to increase work productivity through Telepresence which provides live and realistic face-to-face meeting conditions Telepresence also prepares a foundation for further innovation in business and internal communication IBM Corporation

14 Software express SMART First and only integrated reporting, analysis and planning solution purpose-built to meet the needs of midsize companies IBM Cognos Express Easy to Install Pre-configured solution includes everything required for simple deployment and management Easy to Use Self-service access empowers business users and removes the burden from IT Easy to Buy Packaged and priced right Start small, start anywhere, deliver immediate value, and grow IBM Corporation

15 Software express SMART A food and beverage retail outlet - Woodranch BBQ and Grill Key Business Requirement Due to growth and a bleak economy needed better visibility into business Eliminate the time consuming and manual process of collecting store level data from multiple spreadsheets, improve business and planning process efficiencies Challenge Data Solution Results Results Import and analyze data across 13 restaurants from a multiplicity of systems Update inflexible, slow budgeting and performance management software Expedite budgetary planning process Improve ease of maintenance for a thinly stretched IT staff POS IBM Cognos Express Eliminated the data silos and spreadsheet chaos Improved the planning process No additional IT resource required Aligned operational and business decisions IBM Corporation

16 Software express SMART Take action today to enjoy a 30-day free trial Download a IBM Corporation

17 Contact us today for more information Wing Ho (Sai-Wing Ho 何世榮 ) Executive, General Business IBM China/Hong Kong Limited IBM Visit our website: ibm.com/hk/express Tel: , hosw@hk1.ibm.com Web: Blog: IBM Gracie Ng ( 吳子慧 ) Marketing Manager, General Business IBM China/Hong Kong Limited Blog with SME experts and Associations: hksmeblog.com Tel: , ngzf@hk1.ibm.com Web: Blog: IBM Corporation