On Thursday, the Wall Street Journal said that GlobalFoundries appeared to have the strongest interest in a deal with IBM, citing unnamed sources “familiar with the matter.” GlobalFoundries has a major plant in Saratoga County and business links with IBM Microelectronics. ...
The deal, if it pans out, would likely focus on the Hudson Valley Research Park, IBM’s major chip fabrication plant in East Fishkill, as well as other parts of the semiconductor manufacturing business. IBM has a major chip complex in Burlington, Vt. ,,,
A Bloomberg Industries analysis of federal contract data shows government purchasers of IBM BladeCenter servers include the Pentagon, the FBI, and the Department of Homeland Security.
In addition to the use of IBM servers at government agencies, Bloomberg reports that the committee will investigate their usage within critical US infrastructure, including chemical plants and electric companies. Regulators' primary concern is likely that the purchase could allow China, where Lenovo is headquartered, to access US secrets or gain control over its infrastructure. Lenovo previously purchased IBM's ThinkPad business in 2005.
The wrinkle is that the Pentagon, the FBI and the nation’s biggest telecommunications companies buy the IBM servers, according to people familiar with the matter and an analysis by Bloomberg Industries.
Use of the servers by the government, telephone networks and other potentially sensitive customers will spark close scrutiny from the interagency group known as the Committee on Foreign Investment in the U.S., which investigates national-security risks of foreign acquisitions of domestic companies.
However, the Judge also concluded that the way in which IBM announced, consulted, and implemented the Project Waltz changes was in breach of its Imperial duty of good faith to its employees, and that IBM also breached its implied contractual duty of trust and confidence of its employees.
A more detailed summary of the issues which were before the Court, and the Judge’s conclusions, are set out below. ...
In his conclusions, the Judge has described the legal test which needed to be applied to determine whether IBM had acted in such a way as to breach its so called Imperial duty of good faith to its employees as being one of “irrationality and perversity”. To put it another way - no "reasonable" employer would have acted in the same way that IBM acted in the communication and implementation of Project Waltz.
Fast forward 40 years: IBM Alumni data is now on the Internet.
Oracle made $29.6bn during 2013, growing 3.4 per cent over the previous year and elevating it from world’s third largest to second-largest software vendor.
IBM, which had been world number two, fell one place to third – just behind Oracle on revenue of $29.1bn, representing a growth of just 1.4 per cent. ...
Salesforce earned $3.8bn during 2013, an increase of 33.3 per cent on the 2012 number. Last year, Salesforce was outside the top 10, at number 12.
The company is the antithesis of Oracle and IBM, which has made a business from CRM sold not as an installable piece of software but as a service. This is the first time a cloud or SaaS providers has made it into Gartner’s top 10. ...
Microsoft remained the world’s biggest software maker, earning more than twice as much as IBM or Oracle: $65.7bn, an increase of six per cent. ...
Particularly painful for IBM will be the fact is Gartner reckons Oracle’s growth has come from big data and analytics. IBM has been pushing both, through sales of things such as its SPSS predictive analytics software and initiatives such as Smart Cities.
On Tuesday night state officials decided to call it quits on the problem-plagued Maryland Health Exchange website. After months of excuses and millions spent on fixes, Governor O'Malley and Lieutenant Governor Anthony Brown were quick to blame the vendors who built and maintained the site, even threatening lawsuits. Political analysts are closely watching the "blame game." ...
"This is the stick they have to beat up Anthony Brown," Lee said. "And Anthony Brown has no answer. No credible answer. Blaming the contractors. Blaming IBM is not going to stick. He has to explain to people why $126 million dollars was wasted on an Obamacare exchange that we've now thrown into the trash heap."
The average monthly premium cost for large employers rose just 1.7 percent this year, according to the ADP Research Institute. The average cost has risen 15 percent over the past five years, but this year’s increase was the smallest in that time. ...
"The biggest finding for me is, it's how steady the larger companies are dealing with their health premiums," said ADP vice president David Marini. "The report this year was pretty steady and no major fluctuations."
But it also means that you're probably paying more. This chart shows that the employer contribution has been gradually declining for all age groups in the past five years...
Pros: Benefits are very comprehensive, including work-from-home for many positions. Vacation time is decent and overtime is reasonable (it happens, but not excessively). Colleagues tend to be smart, and low-level management (first and second line) tend to be good.
Cons: IBM has been working as hard as it can for a decade to destroy its internal talent and expertise. Upper management actively suppresses any contrary views or problems from bubbling up the management chain. US workforce has shrunk breathtakingly; there is no career advancement or even lateral movement; reorganizations are *constant*, and education and development is either non-existent or taken away with the next reorg. Massive outsourcing with no care taken for quality of hires.
Then there's the constant selling off of divisions (Global Network, Network Services, Hard Drives, PC's, Intel Servers - and that's just during my tenure).
New companies are acquired constantly but never integrated into a cohesive whole, leaving a mishmash of overlapping pieces that do nothing to benefit each other; many ultimately decay into nothing and vanish.
Strategy shifts constantly, organizations, products, and offerings rename rather than reform or improve. I honestly doubt there will be anything left of this company within a decade.
On a personal level, compensation is significantly below market. Bonuses (aka "variable pay"; project bonuses disappeared a decade ago) are consistently below 2% even for top performers (annual rating of 2+). Salary increases are non-existent. My gross pay went up less than 3% total over a period of five years, and 70% of my years there increases trailed inflation (i.e., real income dropped).
Advice to Senior Management: Come up with a strategy (other than "boost the stock price") and stick with it. Stop re-organizing and laying off divisions. Focus on letting your very smart people accomplish great things. All of this will be harder as the company shrinks and loses talent through layoffs and attrition.
Pros: IBM is still a leader in many technological fields, and can be an excellent place to build your skills and confidence as a developer. There is also a concentration of raw brainpower in certain parts of the company which would be difficult to find elsewhere - which can be a challenge just to keep up with, but also makes possible undertakings that few companies would dare attempt (much less pull off successfully). So while a job at IBM is not a "career for life" in the way it once was, it certainly can be a good starting point for your career. And once you've been an IBMer you will find you are always an IBMer (and that a lot of the tech world is just now catching up to things that IBM had figured out decades ago).
Also, while the work/life balance sometimes leaves too little room for the "life" side of the equation, most parts of the company are at least very flexible about when and where your work is done.
Cons: Upper management lacks any genuine concern for the company culture or quality of its offerings—having turned to ugly financial manipulations to prop up its P/E ratio where once IBM's business and valuation was built on its loyal workforce, reputation for service, and superior technology.
You will make friends with good people and then have to console them through being victims of arbitrary cuts because the executive "leadership" at IBM seems to need someone (other than themselves, of course) to fall on the sword when there is an earnings miss.
Compensation leaves something to be desired, as do opportunities for advancement when positions are being eliminated ahead of you rather than opening as vacancies that need to be filled. Less than a year after leaving IBM for a startup, I'm earning more than twice what I did at IBM and filling a much broader role than was available to me in my old department.
That said, the skills (both technological and political) I developed at IBM have been critical to my success since leaving. So it's not a bad deal if you think of it as a wallet-friendly, hands-on alternative to graduate school (and make sure you're putting in enough effort to walk away with both you and the team you worked with feeling there's something to show for the time you spent there).
Advice to Senior Management: Read Thomas Watson Jr.'s "A Business and Its Beliefs" (I'm sure there's a faded old copy lying around somewhere in Armonk) and stop running counter to everything that once made IBM great.
Pros: Ability to work from home which gives flexibility. It gives good training to students but as soon as they become really useful many leave as the company culture does not value long term employees.
Cons: Has become expense driven with managements sole focus being on earnings per share. Product development is compromised as costs are ruthlessly slashed. People are seen as an unnecessary expense.
Advice to Senior Management: If you focused on your employees then you would find that customer satisfaction and earnings per share would take care of themselves. There is no long-term vision of where the company is going. Management is solely worried about what the stock markets will say.
Pros: Laid back atmosphere, and stress-free environment.
Cons: A huge corporation that comes with all the negatives with few of the positives. Has a mindset that is decades behind its peers; very stingy on pay, bonuses. Worst of all they treat employees as an expendable product and are happy to let their best employees leave if it saves them money.
Advice to Senior Management: Respect your employees and you'll have a team of staff who actually wants you to succeed.
Pros: Good starting salaries, benefits and vacation time. Enjoyed the opportunity to work from home which contributed to a good work/life balance. The majority of people I worked with were professional and worked very hard.
Cons: Always worried about layoffs which happened regularly. Salary increases were rare. Appraisal rating skews hindered motivation. Meetings were usually conference calls; rarely met in person with employees or co-workers.
Pros: The only pro is great learning experiences; suitable for fresh grad.
Cons: Higher management doesn't care about employees' benefits. Yearly increment and bonus below par; hence underpaid when you stayed long in IBM.
Advice to Senior Management: The company has no vision under Ginni management. Laying off the ground people who perform the work for you and adding higher management will not save you cost and help company performance. Please accept the fact that company is not competitive enough in terms of pricing and customer satisfaction (given that you lay off employees who serve the customers).
Pros: Great overall technical delivery capabilities; as with other firms, actual ability to execute depends on team assignments. No other company can deliver the combined capabilities of IBM's hardware, software and services businesses, and IBM Research's thought leadership.
Cons: IBM seems to care less and less about its employees, evidenced by people being treated as "numbers", demanding ever increasing staff utilization and pooling consultants across industries to reduce cost and bench time. This is odd, as its biggest asset is its people. In addition, although leadership claims to want IBM to be more relevant to its clients, which (in my view) requires investments to explore opportunities with those clients, the focus (in the services biz) continues to very much be on sales and delivery of large, profitable projects. In addition, HR is advocating organic growth, but has done little to improve the archaic and onerous process by which consultants' career advancement is managed/controlled.
Advice to Senior Management: IBM should consider policies that improve employee morale and facilitate career advancement. Management should also consider implementing more promising growth strategies rather than continuing to maintain the push for $20 EPS by 2015 as seemingly its main objective. Investors would benefit more from attainable long-term growth strategies, enabled by IBM's clear and proven thought leadership, than from cost takeout and stock buy-back initiatives.
Pros: Well established systems that work really well. Expense reimbursements are pretty much clockwork. Travel agency does a good job.
Cons: Second straight year with 10,000+ layoffs or resource actions as they call it. Layoffs seemed to be random since some people had 75%+utilization and already booked on projects for most of current year, but they were still laid off. They also had good performance ratings the past few years. Too much self service and hard to get a hold of competent people to help with questions. Must rely on your own network to get some things done.
Advice to Senior Management: Better compensation. Instead of mass layoffs how about spending some time identifying good employees to retrain. Figure out what direction you want to take because current 7-year plan does not seem to be working.
Pros: The only positive element working at IBM at this time is the people you work with who are all in the same boat you're in.
Cons: Executive Management is too focused on their own measurements and not looking at growing the business. The more discerning Wall Street analysts are starting to figure out that these people are chasing a target rather than focusing on growing the business. The work environment is so awful that the people who are getting laid off actually feel better than the people who are left. Once they hit their coveted $20 EPS and these bunch of Yo-Yo's leaves, IBM will again return to being a great place to work.
Advice to Senior Management: Let's see...you're missing revenue so you layoff your sales teams. Brilliant.
Pros: The brand and name of "The Big Blues". Working in this organisation will make your CV looks nice.
Cons: Reluctant to change, poor management, no trust, no enablement, no open culture and very poor benefits.
Advice to Senior Management: Hire some competent management and throw away your mindset of, "We are IBM, we are the greatest".
You are still the greatest because of the foundation build by your pioneer employee 100 years ago. Things have changed and changed fast! Adapt the new way of doing business in this industry and trust your employees more.
"As a third line manager in RTP with over 25 years of service with IBM, I find it unconscionable, that I am asked to stand before a group of employees and announce that we are creating a new career position for my operation and how exciting this is for all of us.
What isn't said outright is that there will only be a limited number of these positions open to the current population, and as soon as they are filled you can certainly count on the rest of what Corporate now considers the back office work will move to Brazil. When does all this stop? How long can we hide this from our customers as we have tried to do for the past year? I am afraid that Sam is going to box this company into a position that we will all regret in years to come
Editor's note: Alliance@IBM has no way of knowing whether or not these comments are actually from a 3rd level manager. However, our members and supporters have been making these same observations for some time. IBM needs to stop offshoring..." -BlueEyedBlindness-
And, despite what IBM management might want to believe, the BPs follow the path of least resistance. If they are trying to sell IBM storage, and the customer is leaning towards a competitor, with no IBMer working with them and the customer, the BP will gladly and happily sell the competitive product. They have neither the time nor the inclination to invest the resources in a customer that it takes to convince them that IBM has the better product. -anonymous-
Given the mass firings, 401k match down to once a year, etc., there is no way IBM would increase their payroll costs. Sure, a select few will come out ahead, but 90% will lose in this "deal". Many I know are looking to get out now. This is all so pathetic. - RoadKill_2015_Lives_Again-
This site is designed to allow IBM Employees to communicate and share methods of protecting their rights through the establishment of an IBM Employees Labor Union. Section 8(a)(1) of the National Labor Relations Act states it is a violation for Employers to spy on union gatherings, or pretend to spy. For the purpose of the National Labor Relations Act, notice is given that this site and all of its content, messages, communications, or other content is considered to be a union gathering.