IBM PASSPORT ADVANTAGE SOFTWARE END OF QUARTER KEYS TO SUCCESS 2Q 2017

Transcription

1 IBM PASSPORT ADVANTAGE SOFTWARE END OF QUARTER KEYS TO SUCCESS 2Q 2017 IBM s ordering deadlines have just become available; and the Arrow ECS Software Business Unit wants to be as proactive as possible for our partners to ensure a successful quarter end. In order to maximize partner revenue and rebate attainment, the following guidelines regarding order deadlines and placement protocol will be implemented. Due to the extremely high volume of orders that take place at the end of the quarter, Arrow is asking for as many orders as possible to be placed on or before Wednesday, June 28. Many will be required prior to Friday, June 23. This document is prepared in order to provide our partners with the best information to get their orders booked successfully within the period for revenue recognition. See Page 2 for specific requirements for quarter-end revenue recognition, which is tied to order type/deliverable. Large Order PO Requirements Purchase orders over $400k must also be accompanied by an end-user purchase order number. Order Prioritization Orders will be prioritized for placement to IBM in order to facilitate the maximum attainment for our partners. This will include, but not be limited to order criteria such as PAX, Price Holds and Revenue Opportunity. Canadian Partners Please copy the SWCAN@arrow.com mailbox when submitting your POs. Hotline Availability The Passport Advantage Hotline is available at from 9 a.m. 6 p.m. ET. You may also reach them via SameTime at pahotlin@us.ibm.com

2 IBM s Quarter End Revenue Recognition Guidelines If you need your Proof of Entitlement (POE) to be dated June 30 or prior, it is highly suggested that partners submit their POs to your Arrow Inside Sales Representative by June 28. Due to such high order volume, this gives Arrow the time needed to process and submit a clean order packet over to IBM for their process and billing to occur. Orders can continue to be placed after that time; however, the POE may contain a July 2017 date. PA On-Premises Software Licenses PA customers MUST have access to program code by 10 p.m. ET (11 p.m. Brazil time zone) on June 30. PA Temp Sites required for ALL orders with ANY amount of NEW LICENSE that total over 500K (excluding reinstatement, SaaS, Appliances). Setting up a Temp Site is an IBM-driven Process; Engage Channel Operations to confirm existence of a Temp Site. Passport Advantage Express orders Must be received by 1 p.m. ET June 23 in order to ensure it will qualify for Q1 business. Both Temp Sites and accrual period are NOT available for PA Express orders. PA Appliance Hardware Appliance hardware must SHIP in quarter in order to recognize revenue. SaaS SaaS orders must be PROVISIONED in quarter to recognize revenue. General Notices If there are no problems with the order and it can be billed by 10 p.m. ET on June 30, the revenue will be recognized for Q1 business pending Accounting review. This deadline is to ensure code delivery (imaging to PA Online for electronic download). Customers with a new agreement must have Passport Advantage enrollment and initial order invoiced by 8 p.m. ET June 30 to ensure code delivery and term acceptance within quarter. All contractual paperwork and associated documents must be time stamped by midnight June 30.

3 Request Deadlines Aligned to Q2 Recognition Order Type Date Time Submitted To Contracts/PA Enrollments 22-Jun Noon ET CF Temp Site Table Requests -PA 22-Jun Noon ET Arrow Order Deadlines Aligned to Q2 Revenue Recognition Order Type Date Time Submitted To Purchase Orders - PA Express 22-Jun Noon ET Arrow Purchase Orders - PA Enterprise 28-Jun 5 p.m. ET Arrow Support Provider Orders 21-Jun Noon ET Arrow VAP Orders 21-Jun Noon ET Arrow Purchase Orders - New Agmt 22-Jun Noon ET Arrow Appliance Deadlines Aligned to Q2 Revenue Recognition Appliance Type Date Time Submitted To Guardium 20-Jun Noon ET Arrow Netezza 20-Jun Noon ET Arrow Threat Management/ISS/IAM 14-Jun Noon ET Arrow Q2 20-Jun Noon ET Arrow Datapower 20-Jun Noon ET Arrow NOTE: The above deadlines are suggestions from IBM for Q1 revenue recognition. The date and time for the respective order type indicates when the order should be IN HOUSE at Arrow. Arrow works with the IBM team in effort to get every order placed and recognized within the quarter. Please share these cutoffs with your sales and operations staff in order to affect the results you are driving.

4 New Enrollments Anticipate a min of a 48-hour turnaround with NEW PA Enrollments! ** Be sure that if you are working with an IBM rep on an end-user PA enrollment that it is clear on WHO is submitting and following up on completion of the enrollment. If an IBM rep creates a new customer in SQO along with a special bid, the IBM rep receives an outlining next steps and they are required to follow up with the customer with a temporary passcode for acceptance of PA Ts&Cs. Temp Sites When do I need a Temp Site? PA Temp Sites are required for all existing customers ordering any amount of NEW license with a value of $500K and above. NOT required for brand new Agreements (non-ela); PA Express orders (those MUST bill in quarter); PA less than $500K; Renewal or Reinstatement only orders; OEM orders; SaaS or Appliance Provisioning Hold SaaS Billing Orders SaaS Invoice SaaS Terms All SaaS Charge Agreements go on Provisioning Hold until the brand confirms that the client has been provisioned/set up with the service. The brands will provide Country, Order Number, Line Item, etc. For Information, Arrow can connect you with the current brand project office. Once FOP, TOU, Provisioning and System holds such as DPL have been removed the SaaS billing order will be created automatically with reference to the Charge Agreement. Depending on how the order was submitted, the invoice will flow to the Distributor either on a specific date that was requested at order placement time OR on the date the service is provisioned for the customer.

5 Overage/On Demand Overage and on-demand part numbers must be on the SaaS SQO/PGS quote and on the P.O. in case the client uses the additional service and needs to be charged for this. The SaaS quote will contain a rate for these part numbers. The P.O. must match the SQO quote. Early Order Submission Details Order Type Order Cut Off Detailed Notes on Order Process Support 6/21 - Noon ET Given that ordering is 100% manual for the channel, there Provider is an anticipated 2-3 day lag between order placement and Orders order fulfillment. SUGGESTED EARLY DEADLINE for all Support Provider Orders is to allow sufficient time for review and processing by quarter end. Please work with Channel teams on communication around any orders expected after this date. The Primary Support Provider is an option offered under IBM Software Value Plus. Primary Support Providers are IBM Value- Added Resellers (VARs) or Solution Providers who also provide first level technical support as part of a solution to the end-user. Primary Support Providers are authorized to sub-license eligible programs to end-users and to acquire and renew Subscription and Support from IBM for these licenses. They then provide Subscription and Support to end-users under their own service agreements. When the Support Provider sub-licenses IBM programs, the Primary Support provider holds the Proof of Entitlement for all software they sell and passes their own license terms to the end-customer. For Support Provider customer transactions, IBM does NOT have a direct contractual relationship with the end-customer. These are NOT Passport Advantage or FCT Orders, they are called "SVP SPP Orders" or "L1/L2" Orders.

6 VAP (Value Advantage Plus) 6/21 - Noon ET This early submission recommendation is put in place to ensure enough time to process in the event the Tier 2 Partner updates their Value Added Partner profile or a new Solution has been added to the partner's VAP solution list. Due to the time frames needed to update any changes in the VAP profile/application on PWSW, it is highly suggested that VAP Transactions (orders) be submitted by 6/21. The early submission will allow IBM the time to correct any issues that could arise with new VAP applications. Remember all changes to VAP Solutions have to be approved prior to the order being submitted. IBM will reject any Value Advantage Plus transaction submitted before the VAP Solution has been approved. Partners need to have all Value Advantage Plus solutions and any changes in their solutions submitted and approved by IBM, at least one business day prior to order submission. Order Type Order Cut Off Detailed Notes on Order Process VAP (Value Advantage 6/23 - Noon ET Value Advantage Plus Partners are expected to submit P.O.s to their VADs with Value Advantage Plus Solution Plus) IDs and Value Advantage Plus ID specific to their organization. It is important that business partner POs to the VAD have this special Value Advantage Plus data spelled out on the PO given to the VAD. As a reminder: All changes in a BPs application must be approved so that the new solution ID is created before the order is ever submitted. For VAP Gov: Please note that the 15-day requirement is not waived for end-of-quarter deals!

7 P.O.s - New Agreement 6/22 - Noon ET In order to recognize revenue for a brand new agreement, customers order must invoice by 8 p.m. Eastern Time (11 p.m.. Brazil Time) on 6/21. The agreement is effective the date IBM accepts the initial order and therefore it must bill within the quarter in order for IBM to recognize the revenue in Q2. Also, the customer must have access to initial program code within the quarter. This additional time will allow enough time to image to the customer s PA online site. If a customer has an agreement that has been terminated and requests reactivation, it will require a new agreement number via enrollment form and will be considered a new agreement which must invoice during the quarter. Government sites can be reactivated with a request to DSWsoft@us.ibm.com. PA Express Orders (PAX) PA Enterprise Orders 6/22 Noon ET All Passport Advantage Express orders must be received by Noon EST 6/22 in order to ensure it will qualify for Q2 business. If there are no problems with the order and it can be billed by IBM no later than 8pm (EST) on 6/22 the revenue will be recognized for Q2 business pending Accounting review. This deadline is to ensure code delivery (imaging to PA Online for electronic download). Both Temp sites and accrual period are NOT available for PA Express orders. 6/28 5 p.m. ET All Passport Advantage Express orders must be received by 5 p.m. ET 6/28 in order to ensure it will qualify for Q2 business. If there are no problems with the order and it can be billed by IBM no later than 8 p.m. (ET) on 6/29 the revenue will be recognized for Q2 business pending Accounting review. This deadline is to ensure code delivery (imaging to PA Online for electronic download). Both Temp sites and accrual period are NOT available for PA Express orders.

8 Order Type Order Cut Off Detailed Notes on Order Process SaaS Orders 6/23 Noon ET SaaS orders must be provisioned to recognize revenue The best target date to get your orders in to Arrow is 6/23. Sales Teams and Partners need to understand the approximate provisioning time frames for that service and ensure the order is submitted early enough in the quarter to provide enough time to provision in quarter. All SaaS transactions must be accompanied by a SaaS SQO (IBM driven) or PGS (Channel Driven) approved quote. It is the Partner's Responsibility to review the Terms of Use with the End User. NOTE: SaaS Offering Terms are now tied to SERVICE DESCRIPTIONS LINK TO SAAS SDs

9 Appliances See Appliance Matrix Business Partners are required to fully understand their role in the submission process for Appliance Supplement documentation! 1. Populated Supplement for the transaction flows to VAD along with the approved Appliance Special Bid. VAD passes documents on to Business Partner along with IBM Quote Number (aka "IBM Reference No). 2. CRAD date is NOT on the Supplement and must be within 2 weeks of the order date, if the order is to ship immediately. CF may require confirmation from the BP to the ASCM team to confirm CRAD/asap shipment. 3. BP works with end-user and IBM Sales to obtain Customer signature OR If No Signature option is being used, BP presents customer with terms which are part of our PA Base agreement. Customer is accepting those terms by placing an order with the BP. 4. IMPORTANT: Business Partner sends completed Supplement and any *Other Documents* directly to the IBM ASCM team at ASCM address outlined below, CCing the IBM Seller and their IBM VAD Contact. REMINDERS: IBM Sales Team is required to verify the customer is in agreement with the SHIP TO ADDRESS being used for the order and that it matches the ship to address on all lines on the quote created in IBMs SQO tool. If there is an address mismatch it can cause MAJOR delays in the Channel fulfillment process.

10 Order Type Order Cut Off Detailed Notes on Order Process Appliances See Appliance Matrix In order to allow for optimal order processing with Customer Fulfillment for Q2 revenue recognition, all hardware appliance orders must be received by COB June 19. Note: Target date might need to be adjusted based on shipping lead times since appliances must ship in quarter to recognize revenue. Please work with appliance team on shipping requirements. The Build Hold Exception process for appliance orders will continue and expand to brands beyond Qradar. You will receive notification and request for approval on ALL BH approvals. IBM requests that you respond immediately with confirmation/required changes on the quote. The following documents are required firm order documents for all hardware appliance orders and must be included with the order package submitted to Customer Fulfillment for processing*** -----> Customer-signed Supplement and the Attachment, if applicable, containing the Appliance terms and conditions and completed Customer Site Survey (Site Survey is required for Netezza orders ONLY and completion/submission is driven by IBM Brand/Sales Teams)