© 2011 IBM Corporation

Align IBM with YOUR business(The IBM ASL Program)

for

IBM Business PartnersStephen Thompson – European ASL program manager

© 2011 IBM Corporation2

Probing Questions for a potential partner to consider

Do you want the middleware that supports your application to become an integral part of your application?

Do you want to be able to present a single, bundled, price to your customers?

Do you want a consistent price and know that price for at least one year or longer?

Do you want to leverage the IBM brand for higher end clients?

Do you want to generate revenue and profit on each sale for the middleware that your application drives?

Do you want a single sales force talking to the customer rather than your reps and middleware reps from multiple companies?

Do you want to provide a single point of contact for exceptional customer support after you sell your application to the client?

Do you want to be invited and participate in IBM events with clients?

Do you want to continue to buy from companies that compete with you or would you rather work with a company that supports you?

© 2011 IBM Corporation3

What Is ASL?

An agreement under which partners: - Bundle IBM Software with their value-add products and services - Sell as a total solution to their end customers anywhere in the world*

*Certain countries may be excluded based on IBM's exclusive distribution arrangements

Level 1 & 2 Support provided by the partner

Restricted-Use License held by partner

Known WW IBM SW price to thepartner for the duration of contract

Primary target partner:Solution Partners

The IBM SW components must be sold as part of total solution

© 2011 IBM Corporation4

What It is: ASL vs Resell Distinctions

Resell - PPA

No pre-integration

Separate buying decisions for partner solution and IBM SW

Separate pricing to the client for the

solution components

No requirement IBM SW be sold as part of a solution

Full use license

License held by client

Pricing varies by client’s PPA level

L1/L2 Support provided by IBM

SWG Channels mission

Integrated Bundle of partner’s application (services) and IBM SW

IBM Software may be visible

One price to client for total solution

IBM SW must be sold as part of solution

License restricted to use within solution

License held by partner

Pricing to partner for contract duration

L1/L2 Support provided by partner

SWG Channels mission

Application,Hardware or

Services SOLUTION

IBMSoftware

Application and

ServicesSOLUTION

IBMSoftware

ASL

© 2011 IBM Corporation5

Why License IBM Software as Part of Your Solution?

IBM products may be visible

Application-Specific Licensing from IBM

Present total solution offering to the customer

Bundle and tune IBM software with their products – with IBM help – so their clients get a low cost of ownership, high performance and reliability out of the box

Control their own sales cycle – deliver and price your solution for clients without having to coordinate with IBM or IBM reseller/distributor

Sell worldwide

Reduce development and support costs – deliver an optimized, differentiated and consistent solution to your customers

ASL – What’s in it for an IBM Partner?

© 2011 IBM Corporation6

ASL value for both partners and end-customers

Partner Value

Improves profitability

– Known cost of the IBM SW for the duration of the contract– Price to the partner is the same, no matter who the customer is, or where they are located in the

world

Accelerates sales cycle – one seller, total solution

Joint sales activities with IBM – Target specific accounts to sell partners solution.

Strengthens account control – avoids involvement of competing middleware providers

Speeds time to market and reduces development costs– IBM developed middleware; partner can focus on their value-add

End Customer Value

Preference to buy total solution

One contract. One solution

One contact for sales, service, support

Low cost of ownership, high performance and reliability out of the box

© 2011 IBM Corporation7

ASL Contracts

SOLUTION

Your Products listed in the Transaction

Document that you must include in your solution

1. Base Agreement2. Transaction Document

Services which add significant new

functionality or combine or integrate our software with one or more other

products

YOUR VALUE ADD COMPONENTS

The offering created when our Software and your Value-Add Components work

together.

+Actual products included in

actual solutions. An application program that is

generally available for commercial customers.A repeatable offering.

IBM SOFTWARE

=

If disputed or exception requested: SOLUTION GOVERNANCE BOARD

&

© 2011 IBM Corporation8

Sell Business Analytics and

Information Management together for

largest growth potential

680+ Business Partners certified on

Business Analytics & Information Management

1: Comparing revenue generated by authorized BPs across BA and IM through 8/31/12

Cross Selling improves revenue potential

The revenue selling

BOTHInformation

ManagementBusinessAnalytics

IBM BPs selling

OR InformationManagement

BusinessAnalytics

© 2011 IBM Corporation9

ASL – What will be in your solution ?

Partner Value

As an ASL IBM Business Partner, you can bundle your solution with proven industry leading IBM products that are based on open standards. The IBM software portfolio focuses on delivering solutions that meet your unique business needs now and into the future.

IBM Business Analytics software

IBM Industry Solutions software

Information Management software

IBM Collaboration Solutions (Lotus software)

IBM Rational®: Software management

IBM Tivoli®: Service management

IBM WebSphere®: Integration and optimization

IBM software helps clients build the capabilities to transform their industries and, ultimately, the world. What’s your vision for your organization? Your industry? Your world? Getting the right software will be important.

© 2011 IBM Corporation10

IBM products may be visible

Application-Specific Licensing from IBM

Purchase Commit – Partner makes revenue commitment. Provides highest discounts and most flexibility with Ts & Cs and overall pricing. Prices fixed for contract term.

Monthly Rental SaaS / Cloud – For partners seeking to build SaaS / Cloud offerings for their clients, and requiring monthly fixed term license ordering.

ASL Distributor Contract – Agreement between IBM & Distributor. The distributor recruits ISVs, extends reach to smaller partners. Distributor offers Tier 2 ASL partners flexible credit, simple contracting, administration, education and support.

Percentage of Revenue - A new licensing model designed to help small to mid-market ISVs go-to-market with the value-add of Cognos 10 BI

ASL – Contract Models

© 2011 IBM Corporation11

Reminder: Business reason for ASL

Business Model Bundle IBM software in BP solution Receive consistent pricing over life

of the contract Price solution without having to

coordinate with IBM Deliver solution worldwide with

single ASL contract

Key IBM ASL Offerings:-

IBM Business Analytics IBM Industry Solutions Information Management IBM Collaboration Solutions

(Lotus software) IBM Rational®: Software

managementIBM Tivoli®: Service management

IBM WebSphere®: Integration and optimization

Business Model Bundle IBM software in BP solution Receive consistent pricing over life

of the contract Price solution without having to

coordinate with IBM Deliver solution worldwide with

single ASL contract

Key IBM ASL Offerings:-

IBM Business Analytics IBM Industry Solutions Information Management IBM Collaboration Solutions

(Lotus software) IBM Rational®: Software

managementIBM Tivoli®: Service management

IBM WebSphere®: Integration and optimization

ASLASL

Success Factors Solution expertise Sales strategy GTM plan

How IBM Helps Enablement support Sales tools Marketing help Brand acceptance

Success Factors Solution expertise Sales strategy GTM plan

How IBM Helps Enablement support Sales tools Marketing help Brand acceptance

Revenue & Profit Revenue from:

• BP application software• BP implementation services• BP application & IBM software

L1/L2 support

Profit based on:• IBM contractual discount• BP application software• BP implementation services

BP Investment Software development skills IBM technology skills for support Industry/application expertise Co-marketing funding and execution

Business Value Packaged solution for clients has more

function and single point of support Less interference from middleware

vendors in your sales cycle Deliver integrated optimized solution

with faster time to value

Revenue & Profit Revenue from:

• BP application software• BP implementation services• BP application & IBM software

L1/L2 support

Profit based on:• IBM contractual discount• BP application software• BP implementation services

BP Investment Software development skills IBM technology skills for support Industry/application expertise Co-marketing funding and execution

Business Value Packaged solution for clients has more

function and single point of support Less interference from middleware

vendors in your sales cycle Deliver integrated optimized solution

with faster time to value

Business OutcomeBusiness Outcome

© 2011 IBM Corporation12

Our partners generally want to move quickly

Initial Meeting

Middleware Selection

Sign ASL Agreement

Sell and Make Money

Complete Enablement

General Availability

Today

2-10 weeks

3-6 months

6-12 months+

Fit and Functionevaluation

chris.clancy@uk.ibm.commark_simmons@uk.ibm.com