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Rome Software Development Lab Technology and Customer Value ® IBM Software Group RRoommee SSooffttwwaarree DDeevveellooppmmeenntt LLaabb TTeecchhnnoollooggyy aanndd ccuussttoommeerr vvaalluuee:: tthhee ppaatthh ttoo ooppeenn iinnnnoovvaattiioonn Giovanni Lanfranchi © 2008 IBM Corporation IBM Confidential IBM Software Group | Tivoli software The Rome SWG Lab at a glance London (UK) Galway, Cork (Ire) Krakow (Pol) Rome (ITA) Toronto (CAN) San Jose (CA) Raleigh (NC) Los Angeles (CA) Austin (TX) ~350 Developers ~70 Sales Enablers team s ° Developing mission critical applications ° Executive Briefing Center ° Full WW development ownership of the ° Pre and Post Sales support scheduling offering ° ° Strengthen linkages with SMB market Leader in process development ° BP enablement events methodology Dev, 350 ° SMB demo environment ° Development of customized solutions ° ENEL - Automated Meter Management ° Repubblica – NICA ° Tivoli Telecom Italia - Security ~150 SW G Services Support, ° Key linkages with the Italian market SWG 70 ~40 Tivoli Support ° Consultancy in key project at all the Services, Solutions 150 major Italian Companies Lab, 40 ° WW support for key Tivoli products ° Sogei – “Portale delle Entrate” ° Recognized as the best client facing team ° Senato – Intranet site ° Covering all SWG brands IBM Confidential 2 IBM Software Group | Tivoli software Rome SWG Lab: continuous innovation Customer Intimacy TWS 8.3 Productivity Rate Leader in 60.00 56.00 IT 1 IT 2 IT 3 IT 4 IT 5 IT 6 Beta software 52.00 48.00 development 44.00 methodologies 40.00 36.00 32.00 Operational 28.00 model based on 24.00 20.00 centers of 16.00 12.00 competencies: 8.00 4.00 The Global 0.00 4 4 5 5 4 5 5 5 5 5 4 5 5 5 5 5 4 5 5 5 5 5 4 5 5 5 5 5 4 5 6 6 6 6 6 5 6 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / 1 6 6 1 1 7 2 8 1 3 5 8 3 9 6 4 0 9 4 0 0 5 5 8 3 9 5 4 0 0 5 0 3 4 8 5 9 / / / 1 2 1 3 2 1 2 1 1 1 2 1 2 2 1 3 2 1 3 1 1 1 2 1 2 2 1 3 1 2 1 2 2 2 0 / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / 2 / Integrated 1 1 0 9 9 0 8 8 7 0 7 1 6 6 5 0 5 1 4 4 3 1 3 2 2 2 1 1 1 2 2 3 3 2 1 2 1 1 1 1 1 1 1 1 1 1 1 1 Enterprise KLOC/PY Average KLOC/PY Inspections Operational Excellence Product Leadership IBM Confidential 3 IBM Software Group | Tivoli software Rome SWG Lab: continuous innovation Customer Intimacy Total revenue (M$) 155 150 Corporate Mission 145 on Dynamic 140 Scheduling 135 130 125 Beyond quality: 120 “Consumability” 115 2003 2004 2005 2006 2007 Operational Excellence Product Leadership IBM Confidential 4 IBM Software Group | Tivoli software Rome SWG Lab: continuous innovation Customer Intimacy V Bank of Unleash the Lab America Discover Design V Discover Software Use Case “Outside In” design Requirements Analysis V UBS V Nestle V Banca d’Italia V Cigna Customer Advocacy V Volvo V UPS Business Requirements Architecture V Generali V HBOS V ENEL V Aviva, Design Experian Deploy & & V BBVA V Development Barclays Support V Best Buy V ABN AMRO V Unilever V Siemens Beta System Programs Test V Citigroup Deliver Develop Operational Excellence Product Leadership IBM Confidential 5 IBM Software Group | Tivoli software Rome SWG Lab: continuous innovation Customer Intimacy Patent Submission Trend 2003 2004 2005 2006 2007 250 200 150 100 50 2007 0 200 Submit 5 File+Pub File 2003 Operational Excellence Product Leadership IBM Confidential 6 IBM Software Group | Tivoli software The Rome Lab: the need to move to “Open” Customer Intimacy Agile product development: adopt Open Source practices also for internal development Operational Excellence Product Leadership IBM Confidential 7 IBM Software Group | Tivoli software The Rome Lab: the need to move to “Open” Customer Intimacy Eclipse community Linux as preferred platform.. for us and for our clients Operational Excellence Product Leadership IBM Confidential 8 IBM Software Group | Tivoli software The Rome Lab: the need to move to “Open” Customer Intimacy Open Development: leverage Web 2.0 to make customer part of the development team Operational Excellence Product Leadership IBM Confidential 9 IBM Software Group | Tivoli software Leveraging the Rome Lab experience Customer Intimacy Provide guidance to customers and business partners in achieving process optimization through adoption of open models Semantic Technologies Competence Center Incubator initiative to promote open collaboration: the blood donation project Leverage Rome Lab expertise on patents to help local SMB ecosystem in protecting their IP Operational Excellence Product Leadership IBM Confidential 10 ® IBM Software Group Thank you! © 2008 IBM Corporation IBM Confidential IBM Software Group | Tivoli software Why Open? Focus on High Value Solutions ° IBM Continue to be a leading force in open source solutions to enable our clients to achieve higher levels of interoperability, cost efficiency and quality. ° IBM collaborated with Sony and Toshiba to create the Cell processor, based on an open architecture customizable for each use – such as all three major game platforms. ° IBM revamped motorcycle maker Harley- Davidson's financial services infrastructure using SOA technologies to be more flexible. IBM Confidential 12 IBM Software Group | Tivoli software Why Open? IBM Linux Story – An attractive business case IBM Linux Technology Center Non-IBM IBM $50M/yr IBM Unique Commercial $50M/yr Common $100M/yr Total One fifth of the cost of an independent IBM approach Non-IBM Commercial Linux Development Expenses (e.g. Intel, Nokia, Hitachi, etc.) $450M – 700M Company Unique $450M – 700M Common $900M – 1,400M Total Source: IBM figures: IBM Software Group; External figures: Open Source Development Laboratory IBM Confidential 13.
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