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Posts Tagged ‘IBM’

IT Spending Increases; Focus on Optimizing Processes for Fast ROI

In Uncategorized on February 25, 2010 at 12:35 am

A recent survey conducted by Altada Solution — a leading provider of software solutions for the retail industry — shows that IT budgets appear to be recovering after the initial downturn at the start of last year’s recession, with averages for all retailers at 1.3% of sales compared to 1% last year, while 26% of respondents expect their IT budget to increase; the same figure as last year. The company released findings from the 2nd annual Global Retail CIO Survey, jointly sponsored with IBM.

However, while last year’s survey showed that increase to relate to projects already underway, this year’s interviews revealed more aggressive plans to implement new systems. The survey of 109 retail CIOs and IT Directors in both the Americas and Europe was undertaken in Q4 2009 by retail industry research specialists Martec International.

This year’s Global Retail CIO Survey clearly shows that optimizing the product / place / promotion offer is becoming an increasingly critical element of retail IT spend. More than 50% of retailers will be upgrading, replacing or implementing new systems in areas such as Automated Replenishment (52%), Assortment Optimization (58%), Promotions Optimization (56%), Promotions Management (54%), with a further 46% looking to invest in Demand Forecasting. Master Data Management (MDM) has the highest planned implementation of all applications studied in the survey, both across the Enterprise (35%) and for Supplier Management (28%).

“The top line statistics from this year’s survey, and indeed last year’s, suggest that the retail sector has survived the recession remarkably effectively,” said Allan Davies, CMO, Aldata Solution. “The truth is, though, that while the downturn hasn’t halted retailers’ IT spend, it has certainly changed the way that money is spent. Gone are the days of end-to-end, rip and replace projects, and instead we’re seeing a big focus on process optimization. Retail CIOs are not afraid of investing in new projects, but they need to see a quick return on investment. And by quick, I’m talking about months, not years.”

Customer is King

Systems to attract and keep customers featured prominently in this year’s survey. Multi-channel CRM was ranked as the most important application by respondents, with 42% having yet to implement multi-channel CRM, but with plans to do so within the next three years. Similarly 38% of CIOs surveyed plan to implement Loyalty systems – with customer data linked to buying patterns and behavior – within the next three years. And finally, systems that support the safety of customers were considered the most important application by 47% of respondents.

Sustainability Not a Priority

For the first time, attitudes to sustainability were considered as part of the research. Respondents were asked to score the impact of sustainability on IT spend and strategy on a scale of 1 to 10 (with 10 being the highest). The average emerged as a lukewarm 5.1. Views appeared to be polarized, with 13% considering sustainability to have a negligible impact on IT strategy, while 6% considered it to have a major impact. In terms of which applications retailers feel are having the greatest impact on sustainability, applications for store operations came top of the list. For the future, more retailers believe that multi-channel retailing will have the biggest impact on sustainability.

Related Links: IBISWorld industry reports

Software Publishing Industry in the U.S.

IT Consulting in the U.S.

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IBM among first U.S. companies to offer 100% primary health-care coverage

In Uncategorized on October 29, 2009 at 5:53 pm

IBM announced that it will provide U.S. employees with 100 percent coverage for primary health care, beginning in 2010. Employees enrolled in IBM plans will receive full coverage throughout the year — no coinsurance or deductible — for in-network primary care with their internist, family practitioner, pediatrician, general practitioner or primary osteopath. IBM will be among the first U.S. companies to cover primary care at 100 percent.

The company also announced a new wellness incentive for employees to encourage changes in lifestyle to build energy, better health and vitality through all aspects of personal well-being — emotional, mental and physical. IBM pioneered the concept of healthy living rebates for its employees in 2004 and the new rebate will be one of five $150 cash incentives available to all full-time IBM employees in the U.S.

“This new approach advances IBM’s advocacy of wellness, preventative and primary care — the cornerstone of keeping people healthy and productive,” said Randy MacDonald, IBM senior vice president, Human Resources. “As a result of our focus on wellness and primary care, IBM employees have become healthier and our costs are rising more slowly.”

IBM’s expanded support for primary care will lower costs for employees by eliminating co-payment or co-insurance any time that they, or covered family members, receive care from an in-network primary care doctor. It enhances IBM’s coverage for preventive or “wellness” visits, such as yearly check-ups, which began in 2006. The new benefit will apply to all IBM-self insured medical plan options, which currently cover about 80 percent of IBM employees in the U.S. Other employees participate in HMOs, which typically provide most, but not all, preventive and primary services at low or no cost after payment of premiums.

Both IBM and its employees have yielded significant savings over the past several years through the company’s support for wellness and preventive care. Between 2004 and 2007, IBM invested $79 million in wellness programs, saving about $191 million in health-related costs. IBM’s support has also produced a dramatic increases in healthy behavior among its employees, such as physical activity and healthy eating.

A recent IBM telephone survey (1) of 1,000 Americans found that one in four people have not received a “wellness” visit within the last year, despite mounting evidence that 40 percent of deaths are due to preventable causes (2). The IBM survey concludes that those who see their doctor for routine wellness visits are more informed, are happier with the care they receive, and are more involved in managing their health. Those who have not had a wellness visit within the last five years are less satisfied with the medical care they receive from their primary doctor.

New Healthy Living Rebate Gives Employees $150 For Adopting Healthy Lifestyle

IBM also announced a new Personal Vitality Rebate, which will encourage employees to think about good health and well-being in broader holistic terms — not simply by checking one’s weight or watching cholesterol, but also paying attention to good sleep habits, effective stress management and proper nutrition. The rebate will become part of IBM’s popular wellness rebate program that rewards employees and their children for exercise, healthy eating and other healthy behaviors. Each rebate is $150 in cash, and employees can chose any two rebates to receive up to $300 in cash per year.

Following the same successful model as IBM’s other rebate programs, the Personal Vitality Rebate will use interactive online tools to help employees take steps over 12 weeks to build energy and vitality. The self-paced program will be securely accessed by employees and does not set targets or requirements. Rather, employees can take action on a personalized plan with activities such as monitoring sleep habits or tracking and managing daily activities that boost or drain energy.

Both the 100% primary care coverage and new wellness rebate will take effect on January 1, 2010, after IBM’s annual benefits enrollment period.