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Transcript of IBM
Globalization & Forecasting
By: Yong Sup, Jeong Min, Ho Hyun, Randall
At least 2yrs at IBM
Top 15-20% in performance over a 3year period (80% of IBM don't qualify)
Corporate Service Corps
3 months pre-work
1 months work in-country
2 months post-work
Community Service Projects
Opportunity to further IBM own strategies
Rather than just improving employee morale
Assembled in the country of their assginment
Pre work curriculum provide cultural awareness, overview of country
4 - pre-work
5 - teaming
6 - effect
7 - appreciation
Deep appreciation to IBM
global knowledge & awareness
Questions for CSC
Risk of the model
selecting the area
meeting the diverse needs
benefits for IBM vs Society
share the model, procedure
Which Generic International Strategy should Corporate Services Corps pursue going forward?
2. Corporate Services Corps
3. Case - Theory Application
4. Q&A Discussion
Consideration in Selecting
a Global Service Strategy
Multi-site & Multi-service
$100 billion total revenue (2008)
1990s : PC Boom, Decentralized Computing
-> Crisis for IBM
2002: Samuel J. Palmisano became CEO
Identified need for IBM to transform to continue leading
Created IBM Business Consulting Services
2005: Sold PC division to group
Corporation that structured itself around economics, skills, and business environment.
The Corporate Services Corps Projects
Ghana 2 Tanzania 2 Romania 2 Philippines 3 Vietnam 2
The Corporate Service Corps
Right implementation partners
How many in each team
Type of projects wanted
Which organizations to partner
Employee preparation & selection
Found 32 potential organisations
Base level of infrastructure
Maximum exposure to local culture
Secondary Metro Markets
Romania, Ghana, Tanzania, Vietnam, The Philippines
5,500 applicants from 54 different countries
Application review boards in 8 regions
India, USA, Northeastern Europe, Southwestern Europe, Japan, and three Asian Pacific regions
50-point scoring system
IBM talent-development program
40-60 hours of work on top of job
Assignment related tasks
International Corporate Volunteering Programs
Location : Asia, Africa, Latin America, Eastern Europe
Partner : NGOs, Govt.
Nurses, Doctors, Teachers, Business consultants, Epidemiologists, etc.
International AIDS Vaccine Initiative, US agency of international
development, Transatlantic Partners agianst AIDS, Family Health
International, American Cancer Society, CARE international
Term : up to 6 months
Number : 30~40 projects over 34 countries
Health care issues, combat diseases
Pfizer cover all expenses
Global Health Fellowship
Training opportunity for employees
Americas Area Corporate Social Responsibility Fellows Program
Send employees to countries in North and South America
Help entrepreneurs improve business practices
Term : 3 month
E&Y provide funding and support
Also benefit to multinational firm by their participation
volunteered as consultants
utilizing their skills and knowledge to better entrepreneurs strategies and business operations
Improve their skills and leadership capabilities
Practice them abroad
Bring it back to the firm
team process training
Different climates & cultures
New perspective of world
Ability to deal with adversity and challenges
Interacting with local people
Many Supply Chains
One Supply Chain
R&D, Professional Services
Individualized by Region
R&D, Professional Services
Moved company units to most advantageous areas:
Financing Back Office
Semiconductor R&D & Manufacturing
Data Center Enlarged
Global Services Delivery
Global Procurement Mission
Strengthen its Brand
Increase Shareholder Value
Market itself as Trustworthy
Training & Education
Assistance in changing careers
Opportunities to give back to communities
Benefit employees through:
- Use IBM talent
- Solve global problems :
Impact society at large:
w/ public sector
Globally Integrated Enterprise
Contacted 20 Countries
How globalization affected them
Put together a list of critical issues
Existing IBM programs addressed 80% of globalization issues.
Is one month on the ground long enough to produce measurable differences?
After Forecasting, found out there is a need to increase the capacity of service.
Should increase the capacity of service?
Is Corporate Services Corps Model an aspect of 's Intellectual Property, or should they share this model?
CSC was the part of IBM’s global business strategy & had identified as growth opportunities for the future in new markets.
CSC was a program in which IBM’s top-notch employees worked on skill-based community service projects.
IBM chose local implementation partners.
CSC participants were educated knowledge of the destination country and cross-cultural management.
IBM sent 11 teams to Ghana, Tanzania Romania, the Philippines, and Vietnam.
Teams engaged in a diverse variety of projects
In Romania : improve regional business network hub
In Ghana : conduct a supply-chain assessment of the handicraft sector
In Philippines : develop an online marketing service facility
A technological forecasting method that uses a group of experts to arrive at a consensus about the future.
Important characteristics : series of feedback through survey reach consensus after series of feedback
Multi-site X Multi-service
Global Service Strategy:
Following Your Customers
The Participants of did not receive any monetary incentives, nor were the pre-works tracked.
chooses its best and brightest people as members of the projects.
For the long-run, should change this to enhance motivation?
Do you think its important for IBM to
1. invest in a small number of its brightest people?
2. give an equal opportunity to all its employees to let the company grow globally as a whole.
IBM’s success as a globally integrated enterprise headquartered in the U.S. is directly linked to the skills and capabilities of IBMers. CSC has taught IBMers from the U.S. how
with customers who do business globally, and win against competitors from around the world. CSC has also , giving us inroads into new and emerging markets – a key to growth for any large U.S. company.
Harvard Business Review:
lead diverse global teams,
enhanced IBM's brand
Employees: Global employees, global citizens
Communities : A systemic approach to problem solving
Environment: Innovating to avoid or reduce environmental impacts
Supply Chain Responsibility: A commitment to collaboration
Governance: Managing risk, maintaining trust
Public Policy: Promoting policies to address societal challenges
3 Months Pre-work
Improve business process
Supply chain assessment
Provide training on NGO
Develop training course
marketing, sales, supply chain
website, search capability
Tanzania association of Tour Operators
Center for Entrepreneurship and Executive Development
Business network hub
Improve regional market access
Training programs in IT
Chamber of Commerce
Online marketing service facility
Investment opportunity DB
CCCA had a list of critical issues resulting from globalization.
Conduct a survey employees in 20 countries about globalization issues. (feedback)
CCCA team created a list of 10 to 12 potential programs that could meet the globalization issues. (consensus)
Ask senior leaders and employees in another countries their opinion of the list of programs. (feedback)
The group eventually chose three major program one of which is CSC. (consensus)
A process of creating CSC