Selling IBM Solutions New IBM Initiatives to Drive

Are You Maximizing Your Deals to Benefit the Customer AND You? § Are You Maximizing the Opportunity? § Are You Maximizing Your Margin? § Are You Offering the Best Deal to the Customer by Bundling the HW, Services and Financing? § How Much Are You Losing By NOT Clothing Your Deals? § What If You Were Able to Clothe Even 20% or More Of Your Deals? © 2012 IBM Corporation

IBM Solution Accelerator Incentive BP Sample Software Incentive Stack Base Incentive: §IBM eligible HW + IBM eligible SW §Incremental rebate: SAI SW Base + Bonus* 60% 18% 50% 18 % 40% – 5 points on HW 30% 20% – 15 points on SW 10% 18% 10% 5% 20% 8% 5% SVI Incentive GB Incentive SW Base 15% 5% * Note: Plus 4% on HW 0% I&A DISTRIBUTOR(S) BP HW BP SW CLIENT GB LE GBMM Bonus Incentive: • Rebate for selling pre-defined solution • Additional 10 points on SW solution • Teaming allowed Access eligible HW, SW, and Solutions: www. ibm. com/partnerworld/solutionaccelerator © 2012 IBM Corporation

IBM Solution Accelerator – HW Pipeline Review Suggested Actions: § Review HW Pipeline for Eligible Products (Click here for Product Eligibility List) Ø If eligible, are there any SW Opportunities associated with the HW? Check the eligible SW List (click here). þ YES F Check PPA Eligibility for Customer (Govt, ELA, I and J are not eligible) F Must Order via PPA (not AAS for products that may be ordered either way) F Check Sizing to Maximize Incentive (ie. HW / SW 30% minimum) F Is There an Opportunity to Upsell for the Bonus Solution Incentive? (eg. TPC or Flash Copy Mgr for Storage? ) ý NO F Is the customer waiting to order after they get the HW? ORDER now or within 15 days of 1 st PO for a better deal. F See Clothing Questions to Probe for SW Opportunities. © 2012 IBM Corporation

IBM Solution Accelerator – SW Pipeline Review Suggested Actions: § Review SW Pipeline with No HW Ø If eligible, are there any HW Opportunities associated with the SW? Check the eligible HW List (click here). þ YES F Check PPA Eligibility for Customer (Govt, ELA, I and J are not eligible) F Must Order via PPA (not AAS) F Check Sizing to Maximize Incentive (ie. HW / SW 30% minimum) F Is There an Opportunity to Upsell for the Bonus Solution Incentive? (eg. TPC or Flash Copy Mgr for Storage? ) ý NO F Can you package a better deal with the IBM Solution Accelerator? F Is it a competitive HW opportunity? (Call in the competitive team to assist. ) F See Clothing Questions to Probe for SW Opportunities. © 2012 IBM Corporation

Solution Accelerator: How does it work? Participation Options for IBM Distributors and IBM Business Partners: Teaming allowed on Solution Claims only Single BP/ Single Dist. Single BP/ Two Dist. s IBM Dist. HW VAD HW+SW BP HW+SW Client Terms: VAD: IBM Value Added Distributor BP: IBM Business Partner 6 IBM Confidential Two BPs/ Two Dist. s IBM VAD SWG BP HW+SW VAD submits claim, gets rebate VAD/BP share as they agree Two BPs/ Single Dist. SWG VAD submits claim, each VAD gets rebate VADs/BP share as they agree Dist. HW VAD HW+SW BP HW BP SW Client VAD submits claim, gets rebate VAD/BPs share as they agree BP HW VAD SWG BP SW Client SWG VAD submits claim, each VAD gets rebate VADs/BPs share as they agree BP teaming only allowed on Solution Bundles Claims © 2012 IBM Corporation

Sample Clothing Questions © 2012 IBM Corporation

Generic SW Clothing Questions § Customers buy hardware to run specific applications § Customers don’t always ask for everything they need § IBM provides middleware applications that make customer purchased apps better § IBM SW can greatly mitigate the risk of many solution deployments § How do you plan to manage the solution's HW, including its infrastructure and security? § If your solution connects to the Web, how will you introduce and manage the Web content? § Does your solution collaborate with other SW applications? If so, how will it integrate? § Does your solution involve employees teaming and collaborating? Do they need to do so electronically, or would your company profit if they did? § If your solution involves a SW application developed inhouse, do you have tools to manage this development? © 2012 IBM Corporation

Questions to ask … For Tivoli Storage Mgr Opportunities – Clothe w/ Storage HW § What storage will they be using for the TSM backup repository? § How full is their production storage? When do they anticipate needing more? § How fast is their production storage growing? Are they concerned about it? § Is the production storage performance or flexibility limiting their ability to grow existing workloads or deploy new ones? § Is it a competitive HW opportunity? (Call in the competitive team to help. ) § Can the BP package a better deal with the IBM Solution Accelerator? © 2012 IBM Corporation

Questions to ask … For Storage Opportunities – Clothe w/ TSM § Do you need to backup to a DR site, to provide recovery for primary site failure? § Are you able to fully meet your backup windows? § Do recoveries take a long time because your tapes go offsite? § Do recoveries fail because of media problems? § Do you want to simplify your backup tool set? § Are important documents/files being missed from backup schedules? § Are backups impacting your applications? § Are you concerned that lost backup media may expose important information to an outside party? § Are lack of staff skills/resources impacting your recovery capability? § Do you have pressure from users for quick individual item restores? § Would you like to centralize / optimize your restore capability? § Is your current backup product not performing due to data growth? © 2012 IBM Corporation

Questions for HW Team – HW clothing by brand § System X – What is the OS that will be run? • Is there a preference? – What SW is being used to manage the system (CA, HP, Tivoli, MS, other) – Is there a DB that will be used on the machine (Oracle, Informix, DB/2, Sybase, Other) – Will this machine (blade) be used as an application server (BEA, Web. Sphere, Oracle, Other) – Will this machine be used as an email or collaboration server (Exchange, Domino, Novell, other) – Will there be a main application run on this system (Peoplesoft, SAP, Siebel, Oracle, Home Grown, other) – Will this machine be used in production or for development (if production flow to other questions) • If for development – What tools will be used to write the software? § Power Systems – What is the OS that will be run? • Is there a preference? – What SW is being used to manage the system (CA, HP, Tivoli, BMC, other)? – Is there a DB that will be used on the machine (Oracle, Informix, DB/2, Sybase, Other)? – Will this machine be used as an application server (BEA, Web. Sphere, Oracle, Other)? – Will this machine be used as an email or collaboration server (Exchange, Domino, Novell, other)? – Will there be a main application run on this system (Peoplesoft, SAP, Siebel, etc)? – Will this machine be used in production or for development (if production flow to other questions)? • If for development – What tools will be used to write the software? © 2012 IBM Corporation

Questions for HW Team – HW clothing by brand § Power I – What other OS’s might be run? Is there a preference? – What SW is being used to manage the system (CA, HP, Tivoli, other)? – Will this machine be used as an application server? – Will this machine be used as an email or collaboration server (Domino, other)? – What will be the dominant application run on this system? – Will this machine be used in production or for development? © 2012 IBM Corporation

Questions for SW Team – SW clothing by brand § Tivoli § Web. Sphere – What is the OS/HW platform that the management software will run? – How many machines will be needed to provide the management infrastructure? – Is the customer looking to upgrade HW that the software will run? • Will new hardware be purchased? – Is the customer looking to consolidate systems used in the management infrastructure? – What is the OS/HW platform that the app servers, transaction servers and/or webservers will run? – How many machines will be needed to provide the necessary capacity? – Is the customer looking to upgrade HW that the software will run? • Will new hardware be purchased? – Is the customer looking to consolidate systems used in the app/web/trans server infrastructure? © 2012 IBM Corporation

Questions for SW Team – SW clothing by brand § Lotus § IM – What is the OS/HW platform that the collaboration software will run? – How many machines will be needed to provide the collaboration infrastructure? – Is the customer looking to upgrade HW that the software will run? • Will new hardware be purchased? – What is the OS/HW platform that the database server will run on? – How many machines will be needed to provide the necessary capacity? – Is the customer looking to upgrade HW that the software will run? • Will new hardware be purchased? – Is the customer looking to consolidate systems used to run the database infrastructure? – Is the customer looking to consolidate systems used in the collaboration infrastructure? © 2012 IBM Corporation

Questions for SW Team – SW clothing by brand § Rational – What is the OS/HW platform that the management software will run? – How many machines will be needed to provide the development infrastructure? – How big will the production infrastructure be? © 2012 IBM Corporation

Worldwide Channels 2 Q SWG IBM Channel Sales and Mktg Plays - Products/solutions may qualify for SAI - Cross/up sell opportunities may qualify for SAI 16 16 IBM Confidential