© 2008 IBM Corporation The Global Village Initiative IBM Perspective Ginny C Ghezzo Emerging Technology and Standards Evangelism

© 2008 IBM Corporation 2 Global Village InitiativeFebruary 2008 Your products? Your services? Your financial strengths? Your customer base? Your supply chain? Your management systems? Your business model? Your history? Your brand? Your expertise? Whatever it is that makes you unique… infuse it with the new enablers of innovation, and you can earn higher profits, penetrate new markets, drive productivity – in a word, differentiate yourself from the competition. What makes you special? Focus on the intersection of business and technology IBM through the years Pre s1910s1920s1930s1940s1950s1960s1970s1980s1990s2000s

© 2008 IBM Corporation 3 Global Village InitiativeFebruary 2008 Server In the Works: Remote Patient Monitoring Patient Diary Data  Monitoring device collects patient data  Data is sent to mobile hub  Data is automatically sent to server but can also be inspected on hub  Data is processed on server and inspected by physician  Regime is determined by physician based on medical data analysis  Custom Features can be built such as entering data into a patient diary on the hub

© 2008 IBM Corporation 4 Global Village InitiativeFebruary 2008 “Where the right thing to do is the easy thing to do” It is only by adopting common standards that an industry achieves uncommon things. 1.Acknowledge Trends 2.Acknowledge Stakeholder Needs 3.Embrace Standards & Collaboration

© 2008 IBM Corporation 5 Global Village InitiativeFebruary 2008 Standards in Action Speed of Development Fair play Choice Skills reuse Speed of Adjustment to changes Flexibility

© 2008 IBM Corporation 6 Global Village InitiativeFebruary 2008 A service oriented architecture for device data (SODA) shifts the programming model existing for an emerging class of enterprise solutions toward SOA and event driven architecture. Examples of this class of application:  data driven  event driven  location based  hybrid and cross industry * Common characteristic of these solutions and applications are that they depend upon timely data feeds to and from devices which map phenomena directly from the physical world into digital representations. Creating the pipeline of real world* data

© 2008 IBM Corporation 7 Global Village InitiativeFebruary 2008

© 2008 IBM Corporation 8 Global Village InitiativeFebruary 2008 Backup

© 2008 IBM Corporation 9 Global Village InitiativeFebruary 2008 WHY BECOME ON DEMAND: An issue increasingly faced by healthcare providers is the growing difficulty and cost of preventing, rather than treating, hypertension and falls in the elderly. Storstrøms ErhvervsCenter (SEC) - in collaboration with regional public and local private healthcare providers - wanted to explore the potential and challenges of using pervasive computing to monitor high-risk elderly individuals. A successful demonstration would not only help practitioners tackle the issue of hypertension and fall prevention, but could help establish the value of pervasive computing in reducing healthcare costs related to these medical issues. SOLUTION: Storstrøms ErhvervsCenter worked with IBM and local healthcare providers to create a predictive health monitoring system. By combining advanced telemetry technology with leading edge practices in other industries, SEC laid the groundwork for a whole new way of managing chronic illnesses among the elderly. The data from bluetooth devices worn by the patients was collected by IBM Personal Care Connect (PCC) – a custom-designed, WebSphere-based solution – and sent to healthcare providers who then used it in treating their patients. BENEFITS:  The pilot showed that over 10 years, a government using the solutions could realize €90 to 100 million in savings from the prevention of fall-related deaths and €20 to 25 million in savings for deaths related to hypertension  Improved quality of life for elderly citizens  More efficient allocation of scarce healthcare resources “The work we achieved with IBM provides clear evidence that remote predictive monitoring of chronic medical conditions can help healthcare organizations deliver better outcomes while achieving a whole level of resource efficiency.” – Ann Roldan, Project Manager, Storstrøms ErhvervsCenter Storstr ø ms ErhvervsCenter (SEC) Laying the foundation for a new model of elderly at-home healthcare EXTERNAL

© 2008 IBM Corporation 10 Global Village InitiativeFebruary of the world's 10 biggest banks 10 of the world's 10 biggest auto manufacturers 80% of the biggest US health plans 10 of the world’s 10 biggest telcos 8 of the world's 10 biggest insurers 3 of the world's 5 biggest retailers More than 3,500 SOA Business Partners Half of the world’s 30 biggest electronics companies 97% of customers justified their SOA project on cost 100% saw increased business flexibility 51% saw revenue growth 3 of the world’s 5 biggest Financial Firms Customers Turning to IBM for SOA Value

© 2008 IBM Corporation 11 Global Village InitiativeFebruary 2008 IBM System p, IBM System z, IBM System i, IBM System x IBM has the capabilities to help you where ever you start Business Innovation & Optimization Services Development Services Service Management Infrastructure Services Enterprise Service Bus Facilitates communication between services Partner ServicesBusiness App Services Access Services Interaction Services Process ServicesInformation Services

© 2008 IBM Corporation 12 Global Village InitiativeFebruary 2008 Connecting platforms, standards, and growth  Standardization of the rail network enabled industrialized America and Europe  A connecting platform fueling growth, creating new business opportunities  Connecting resources with factory efficiencies  Connecting goods with markets  Enabling new distribution models (Sears Roebuck)  Other technology platforms: electricity grid, national highway systems, ……..the internet “Standards contribute more to economic growth than patents and licenses.” " Economic benefits of standardization“, Technical University Dresden (TUD) and the Fraunhofer Institute for Systems and Innovations

© 2008 IBM Corporation 13 Global Village InitiativeFebruary 2008 Evolution to an Open Standard Customer need for technical solution to known problem Lack of industry accepted technical solution May be competing technical approaches or single proprietary solution Lack of interoperability A company, individual or group of companies or individuals agree to address issue Resources devoted to developing best technical solution, often in collaborative fashion Interested parties publish specifications Specifications publicly available sufficient to enable implementation, interoperability Can be implemented with little or no restrictions; IPR either RAND or Royalty free. Developers may create reference or commercial implementation Developers declare intent to have solution accepted as standard Standards body reviews technical solution, adopts as standard Specifications publicly available are sufficient to enable implementation, interoperability Can be implemented with little or no restrictions; IPR either RAND or royalty- free. Standards body open to broad participation, open decision making process Standard implemented in competing IT products by multiple vendors. Open ➔ Initiator ➔ Core group ➔ Standards body Need

© 2008 IBM Corporation 14 Global Village InitiativeFebruary 2008 Focus on open technologies and high-value solutions Deliver integration and innovation to clients Become the premier Globally Integrated Enterprise IBM Strategy

© 2008 IBM Corporation 15 Global Village InitiativeFebruary 2008 IBM Strategy: Bring high value to enterprise clients Enterprise Client Focus Deep Client and Global Industry Knowledge, Skills and Resources Broad and Deep Industry Collaboration and Partnerships Open, Integrated Middleware and Information Frameworks Scalable Enterprise Solutions with Technology and Performance Leadership