1. C&SI SaaS Partner Program Strategy1

2. Enable BPs to get paid when their clients purchase via credit card
C&SI SaaS Partner Strategy is a phased approach to drive leads, volume, and signings expanding our reach across the globe
Objective: Drive leads, volume, and signings in C&SI SaaS expanding our reach around the world and penetrating organizations that do business with our partners
Launch 2Q
3Q – 4Q
TBD
Phase 1
Phase 2
Phase 3
Launch:
Business Models:
Resell: VAD/VAR ~ 560K
Referral: Consultants ~160K
Sell: MSPs, SIs, VAR ~80K
Pulse: URLs for Lead Tracking
March:
Promote gold and silver accredited partners content in Engage
Ex Partners:
VADs: Arrow, Avnet, Ingram
VARs,SIs, MSPs: Prolifics, MibTree, Orbdata, RES, Persistent, IRIS, Createch, Zen Focus, GulfBreeze, CSC
Business Models:
VAD/VAR ~ $1.6M
White Label Engage , Offerings: MSPs, VARs, SIs
Enable BPs to get paid when their clients purchase via credit card
Ex Partners:
Elyzium, ArrowSphere
Business Models:
Host: Service Providers
It is our strategic intent to follow SoftLayer with their geographic expansion, but will explore this model.
Ex Partners: xxx
VADs Re
SSP

3. Partners: Solutions for different types of SaaS Business Models
I resell hardware or software I want to resell access to IBM hosted SaaS.
IBM Software Value Plus - Resale
Tier 1 VADs: Ingram, Arrow, Avnet
Tier 2: Prolifics, MibTree, Orbdata, RES, Persistent, IRIS
IBM SaaS Referral Incentive
Easy way for any BP to make money by adding on SaaS
I have domain expertise and I consult
I want to refer IBM hosted SaaS
In SVP, Most countries we have to resell through VADs. 80% of sales are through VADs.
IBM does L1 and L2
I sell solutions, manage accounts & provide support I want to sell access to IBM hosted SaaS with my solutions and own the customer relationship
IBM Software as a Service Solution Provider
VARs, MSPs, SIs:
Elyzium, ArrowSphere
Note: General guidelines. One size does not fit all. Could be a blended use.
IBM Confidential

4. Structure of the model description
We use a common structure as we describe each model
Business Relationship:
IBM:
VAD:
Partner:
Customer:
Demand Gen:
Sales Tool:
Financial Incentives:
Operational Flow:

5. IBM SaaS Business Partner role in SaaS Business Model - SVP Client IBM
Demand gen – beef up
MSP
ASP
VAD
VAR
GSI
IBM
delivered
SaaS
Partner Resellers sell SaaS
Business Relationship:
IBM hosts, supports (L1, L2) SaaS solution, bill VAD
VAD takes the order and bills BP
VAR takes order from customer, takes invoice, and resells customer
Customer is end user of solution
Demand Gen: Co-marketing, Web Content Syndication, VAD/ VAR campaign & events, Ready-to-Execute materials, PW Plays & collaterals, IBM demand gen
Sales Tool: VAD uses Partner Guided Selling Tool to quote and sell
Financial Incentive:
Standard VAD/ VAR model -> VAR is interface to client
Base discount = 10%
SaaS Instant Rebate = 5% for Industry & Enterprise Select, 15% for Enterprise Non Select & MidMarket
VADs back end rebate = 3%-4%
Channel and Direct IBM reps are incented
IBM Software Value Plus (SVP)
Leverage standard two tier distribution channel
VADs reach clip levels, they get more rebate…
VADs sell an product in the IBM pricebook
Criteria for VARs:
Join PW program
Create partner plan
Enroll in VAP or SVI (product and sales certifications in SVI)
Apply for IBM reseller authorization and select a VAD
Config
Contract
IBM
Client
VAD
VAR
HelpDesk
Data
EndUsers

6. Operational Model on Engage: IBM Software Value Plus Program
IT Practitioner
Accesses Live Demo
Trial Environment
Request to purchase through Business Partner
Requests support through Engage
Partner Specific URL to Trial Access
Paid Standard VAD/ VAR model
Lead$
Business Partner
IBM’s Partner Guided Selling Tool
Forum, L1, L2, L3
IBM Hosted Trial Environment
Sandbox
Leads
SCCD
APM
Unica WA

7. SVP Business Partner SaaS Operational Process Flow
Channels –
0.0 ex:
VAD/ VAR Campaigns N e r
1.0 Customer interested in SaaS offering
1.1 Review quote and accept or negotiate
1.3 Receive service provisioned (from step 5.4)
1.4 Receive invoice
End m
1.2 Submit PO/firm order letter/ Accept Contracts with VAR o s t u C
2.3 Submit quote for approvals and attach approval documentation, if required
2.5.1VAR forwards Quote from VAD to customer
2.0 VAR contacts VAD to get quote
2.4 Route to Level 0 approver
2.6 VAR and VAD reviews order package to ensure completeness
2.5 VAD receives approved quote and forwards to VAR with appropriate (T’s & C’s, TOUs, any add’l addendums )
Channel
2.9 VAR submits invoice & Proof of entitlement to Customer
2.1 VAD creates quote in Partner Guided Selling
Create a new sales quote
Select country
Select Browse Software as a Service
2.7 VAD submits order through PGS (enter bill to and attach PO/ firm order)
2.2 Submit request for Pre-credit check (optional but suggested)
2.8VAD submits invoice & Proof of entitlement to VAR n W
SaaS parts a i 3 . 2
Review for S h
3.0 Perform credit (this is of the VAD) D C .
completeness e 3 . 1
Verify
&
and Release F u l
meets Firm a
order C V
Order Policy
To get to the Partner Guided Selling tool BP must first login through DSW (Distributed Software Online), Indicate BP view; Type in BP name to search; selecting any of the SAP sites in the results will take them to PA to link to PGS tool P A 4 .
Order created in SAP via S 4 . 1
Send Invoice, W
automated process (PO, contract and provisioning holds set)
Proof of Entitlement S D
5.2 Load provisioning hold report into BSS Customer Hub; trigger provisioning; load support system (SmartCloud Control Desk)
5.1 Ensure TOU/ TOU addendum/ T’s & C’s are accepted OR attached as applicable PO and contract holds released SLA addendum .
5.0 Pull Provisioning
Hold Report periodically 5 . 4
Notifies Customer; . ,
Fulfillment to release ,
provisioning hold
Back Office / BSS g /
Front Office (CoC)
Back Office
Customer Fulfillment
Environment Ops (provisioning)
Front Office
Customer Fulfillment
Back Office N
5.1.1 Load Order Tracking
Notes DB .
5.3 BSS Customer Hub sends customer an to activate service
IBM Confidential

8. IBM SaaS Business Partner role in SaaS Business Model – SaaS Referral
delivered
SaaS
Demand gen – beef up
MSP
ASP
VAD
VAR
GSI
Partners Referring SaaS
Business Relationship:
IBM provides support, invoice, billing, hosted solution
BP identifies opportunity, Co-Sell with IBM
Customer is end user of the solution
Demand Gen: Co-marketing, Web Content Syndication, VAD/ VAR campaign & events, Ready-to-Execute materials, PW Plays & collaterals, IBM demand gen
Sales Tool: Partner uses SaaS Referral Incentive Portal
Financial Incentive:
BP earn 15% fees on Annual Contract Value
Multi-year contracts are payable each year of service
With active BP engagement, BP earns 5% fee for renewals; 15% on any extended cost of contract
IBM SaaS Referral Incentive
Leverage IBM SaaS Offerings to enhance solutions
Incentive: 15% Annual Contract Value in a single payment irrespective of how the customer chooses their billing options.
Multi-year contracts – fee becomes payable in each year service is provisioned
Renewal: 5% Annual Contract Value + 15% on the extended cost of the contract
SaaS Referral details on PW:
Get Started:
Partner has sales mastery in Product Group
Complete Referral Incentive BP Profile
Accept SaaS Referral agreement
Register opportunities
Claim when sale is done
Config
Contract
IBM
Client
Data
EndUsers
HelpDesk

9. Operational Model on Engage: IBM SaaS Referral Incentive Program
IT Practitioner
Accesses Live Demo
Trial Environment
Request to purchase through Engage
Requests support through Engage
Partner Specific URL to Trial Access
Paid 15% of
Annual Contract Value
Lead$
Business Partner
Forum, L1, L2, L3
Deliver
IBM Hosted Trial Environment
Sandbox
Leads
SCCD
APM
Unica WA

10. SaaS Referral Business Partner SaaS Operational Flow–
Channels
0.0 ex:
VAD/ VAR Campaigns e r
1.0 Customer interested in SaaS offering m o s t u C
Yes
2.2 Business Partner registers opportunity on portal
2.0 BP already enrolled in SaaS Incentive? No
2.4 Business Partner registers Claim on portal
Business Partner
2. 1Meet Criteria of SaaS Incentive Program
2.3 BP will stay engaged, working with IBM to
obtain a quote
Secure the PO
Register the deal as closed E
3.0 SaaS Incentive Admin:
Captures new opportunities in master file
Sends file to appropriate ISR Sales leaders & bChannels.
Channel Ops
WW SaaS Process Flow A
4.1 ISR is engaged and the WW SaaS Process Flow is enacted
End
Sales
4.0 ISR Sales Leaders pass leads to ISR
5.1 s partner to confirm receipt of claim, bcc: SaaS Incentive Admin
5.0
Maintains opportunity in master file
Send file to all Sales leaders & bChannels.
bChannel C
Claim Process Flow

11. SaaS Referral Enrollment Business Partner Process Flow
Channel
1.4 BP receives authorization note E
1.1 BP receives BP Application and advised to complete, sign and return to Channel Ops
1.2 BP receives PWA SaaS Attachment and advised to complete, sign and return to Channel Ops
1.0 Join PW
BP applies via PW web site
Business Partner
1.3 BP receives application denial cc: PWMS No
2.0 Checks that BP :
Enrolled in PW
Has required Sales Mastery cert in Product Group
2.2 Welcome and how to register opportunities
cc:SaaS Incentive Admin
2.1 Send BP PW Agreement SaaS Attachment
cc : SaaS Incentive Admin
WW PWMS (BPSO)
Yes No No
3.2 Determines if BP contract can be accepted
3.0 Determines if:
BP has already been vetted
BP needs to be vetted, BP Application sent to BP based on current IOT Process
Apply for the SaaS Referral Incentive ->
Application for SaaS Referral Incentive ->
Yes
Yes
Yes
3.3 SaaS Incentive participation recorded on PW profile
Channel Ops
3.1 Completes and accepts vetting process No
4.1 Adds partner to bChannels; eligibility registered for the product group(s) for which they are approved
bChannel
4.0 Adds partner to Master list

12. SaaS Referral Claim Business Partner Process Flow
Channel
SaaS Referral Claim Business Partner Process Flow
BP receives claim denial
BP receives claim payment
Business Partner
WW PWMS (BPSO)
Validate partner is in good standing and approve payment No
SaaS Incentive Admin checks if there is a customer misalignment and fixes claim
Channel Ops
Yes No No
New Deal (yes) or duplicate (No)
Partner pre-registered for SaaS Referral 15 days prior to order
Partner in SaaS incentive at time of customer order
Valid claim with required fields No
Yes
BP claim verified and claim value calculated against sales revenue list from IBM
Yes
Yes
Place on claim approved list to IBM
Claim accepted within sixty days following order
bChannel C

13. Single customer as 1st phase
Business Partner role in SaaS Business Model - SSP
MSP
ASP
VAD
VAR
GSI
Partners as a SaaS Service Provider
IBM
delivered
SaaS
C&SI is doing
Single customer as 1st phase
Business Relationship:
IBM hosts, provides partner L2 and L3, invoice and deliver solution to partner
BP sells, invoice, delivers solution, L1 support to customer, single interface to the customer, provides value add services or code
Demand Gen: Co-marketing, Web Content Syndication, VAD/ VAR campaign & events, Ready- to-Execute materials, PW Plays & collaterals, IBM demand gen
Sales Tool: IBM Rep uses SQO to get quote and sell to BP
Financial Incentives:
BP prices solution independently Earn 25% on subscription parts, for life of contract (single-customer)
Earn up to 35% off tier price point for life of contract (multi-customer)
Multi-User
User
User
BP Storefront
IBM SaaS
Solution Provider (SSP)
BP’s expertise with IBM SaaS
User
User
Customer
Customer
SSP wiki: SaaS Solution Provider/page/Welcome to IBM SaaS Solution Provider - IBM SaaS
Customer
Single-Customer
Criteria:
Demonstrate required Sales, Technical, and Support Certifications
Complete Support Plan Template
Accept Reseller Agreement
Provide Support Desk
Demonstrated SaaS Value
Config
Contract
IBM SP
Client
Data
EndUsers
HelpDesk

14. Operational Model on Engage IBM SaaS Solution Provider Program
IT Practitioner
Accesses Live Demo
Trial Environment
Request to purchase through partner portal
Requests support through partner portal
Partner Specific URL to Trial Access
Lead$
Business Partner
Partner Portal
Earn 25% on subscription
IBM’s Software Quote and Order Tool
Deliver
Earn 25% on subscription parts, for life of contract (single-user)
Earn up to 35% off tier price for life of contract (multi-customer)
Partner Value add Code
IBM Hosted Trial Environment
Sandbox
Leads
SCCD
APM
Unica WA

15. WW SaaS Solution Provider Business Partner SaaS Operational Flow–
Channel
0.0 ex:
VAD/ VAR Campaigns N e r
1.0 Customer interested in SaaS offering
1.1 Review quote and accept or negotiate
1.3 Receive service provisioned (from step 2.8)
End m o
1.2 Submit PO/firm order letter/ Accept Contracts with BP
1.4 Receive invoice s t u C
2.5 SSP receives approved quote and may forwards to end customer with appropriate (SSP agreement, T’s & C’s, TOUs, any add’l addendums )
2.1 SSP works with IBM Rep to create a new quote in SQO
SSP quote type
Select country
Provider type (single/ multi)
Identify Products
2.6 SSP reviews order package to ensure completeness
BP already approved with a Remarketer Customer Number
Yes
2.4 Route to Level 0 approver No
2.9 BP submits invoice & Proof of entitlement to customer
Business Partner
Obtain approval for transactions for Eligible products
2.7 SSP works with IBM Reps to submit order through SQO (enter bill to and attach PO/ firm order)
2.3 Submit quote for approvals and attach approval documentation, if required
2.8 Receive service provisioned; Notify Customer
2.2 Submit request for Pre-credit check (optional but suggested) N P n W a i 3 . 2
Review for S h D C
3.0 Perform credit (this is of the BP) .
completeness e 3 . 1
Verify
& u
SaaS parts
and Release F a l
meets Firm
order C V
Order Policy P A 4 .
Order created in SAP via S 4 . 1
Send Invoice, W
automated process (PO, contract and provisioning holds set)
Proof of Entitlement S D
5.1 Ensure ok – SSP Agreement, TOU/ TOU addendum/ T’s & C’s are accepted OR attached as applicable PO and contract holds released SLA addendum
5.2 Load provisioning hold report into BSS Customer Hub; trigger provisioning; load support system (SmartCloud Control Desk) .
5.0 Pull Provisioning
Hold Report periodically
5.4 Notifies SSP; Fulfillment to release provisioning hold . , ,
Back Office / BSS g /
Front Office (CoC)
Back Office
Customer Fulfillment
Environment Ops (provisioning)
Front Office
Customer Fulfillment
Back Office
5.1.1 Load Order Tracking Notes DB .
5.3 BSS Customer Hub sends BP an to activate service
IBM Confidential

16. Leads from trials are passed to partners with Partner Specific URLs
Leads are generated when trials are downloaded. Partner leads are passed to partner for follow up and maintained in Unica.
Proposal: Use partnerworld code to uniquely identify business partner ( partner world code}).
- All partners have PW codes
- PW codes are used today for opportunity tracking
Business Partner
BP Customer 4 1 2 3
Business Partner 5
Trial
29AK19
BP gets template URL from BP program
BP completes URL and gives full URL to customers
Customers use URL for all access to SE
SE is looking for BP code in URLs
When customer requests trial, SE passes BP code to BSS on trial creation API
BSS stores the BP code with the trial information
Unica extracts trail information from BSS and includes BP codes
LDR looks up the partner code in PW and passes the lead to the Business Partner rep 8
BSS 6
BSS DB
Unica extract report 7
Trial
29AK19
IBM Application Performance Management (SaaS) Trial : 109HJ85W
IBM Workload Automation (SaaS) Trial: 109HJ86W
IBM SmartCloud Control Desk (SaaS) Trial : 109HJ87W

17. Learn more about SaaS & different SaaS Business Partner Models
IBM Service Engage
Partner World SaaS landing page
Find the business model for you How would you like to work with IBM?
Work with IBM SaaS products (Select one of the sections below for complete details)
Own the customer relationship
SaaS Solution Provider (IBM Solution Provider – IBM Software as a Service)
Resell authorized products through IBM Software Value Plus (SVP)
IBM Software Value Plus (SVP) SaaS
Act as a referral Business Partner
IBM Referral Incentive for SaaS and Software 1. 2. 3.
Partner World Center of Competency

18. Unica Extract Fields Source Comment Unica Extract File 1 First Name
Unica Extract Fields
Source
Comment 1
First Name
User Registration
Required 2
Last Name 3
Address 4
Company 5
Address1 6
Address2
Not Required 7
Country/Region 8
State/Province
Required if Country is US or CA 9
Phone 10
Postal Code 12
Lead Type
BSS Definition (static)
APM-TRIAL, 109HJ85W
TWA-TRIAL, 109HJ86W
SCCD-TRIAL, 109HJ87W
BSS Part Number
BSS Part Number should be the name (APM-TRIAL) not the Code (109HJ85w) 13
Referring Page (PartnerWorld Code)
SE Registration Page
Extracted from URL by SE saved with Registration in BSS (OrderItem.CampaignCode) 14
Creation Date
BSS-Registration creation date
Can be provided or defaults to to system date/time when not provided

19. What model makes sense for you?
1919
What model makes sense for you?
Take the 6 Question Test
Key Questions
Do you resell software?
Have your sellers got solution sales expertise?
Does your business have process domain expertise in Service Management?
Are you developing/have bias towards Business Consulting and Value Add Business services?
Do you run an end user business Support Desk or are you willing to commit to run one?
Do you have existing applications and or business solutions to integrate?
“YES” to questions 1 above, you’re a good fit for Software Value Plus Resell
“YES” to questions 2-4 above, you’re a good fit for SaaS Referral
“YES” to 2-6, you’re a good fit for SaaS Solution Provider 19

20. TODAY BPs and Direct Sales via e-Commerce
e-Commerce does not support direct business partner sales:
Business partners must go through SQO or PGS (Partner Guided Selling)
No BP information is entered through DSW or BSS when purchasing via e-Commerce
If BP has registered opportunity with Partner World / Sales Connect that is the linkage to the order and BP
BPs must submit to IBM to get paid
Supplying order information, SAP number and other information
Action: Investigation and plan enabling paying partners if their customers purchase via credit card.
Owners: Wayne Riley, Kimi Cousins
Time Frame for investigation: March 1 – March 31

21. Promoting Partners on Engage
Recognizing the IBM Business Partner ecosystem for customizing, enhancing, and integrating our SaaS solutions brings greater visibility, content, revenue, and reach to our brand and SaaS strategy
Proposal:
Promote partners that are AAA and AA accredited and in the beta on Engage
Promotion in 2 areas:
Extend for each solution section
“Meet our partners” page
Classify partners by solution + type (Customize, Enhance, Integrate)
Include:
Partner name, logo, URL, description of solution
Embed video of joint solution, screenshots of joint solutions, blog, paper
If applicable, link to free trial or free code

22. Promoting Partners on Engage
Add examples of customize, enhance, integrate
Promoting Partners on Engage
C&SI Business Partners add value to C&SI SaaS with customization, enhancement, and integration services
Customization: Customize the SaaS solution with relevant templates, dashboards, workloads for industries or domains
APM example:
SCCD example:
WA example:
Enhancement: Enhance the SaaS solution with value add code
Integration: Integration services to integrate IBM SaaS with IBM SaaS, IBM On-prem, or third party solutions

23. Recruitment is based on globalization and language roll out
1Q – Resell, Refer, Sell
English language support
Recruit in US, UK, Nordics, ANZ, Austria, Belgium, Canada, Denmark, Finland, Ireland, Netherlands, South Africa, Sweden
2Q – Resell, Refer, Sell
Roll out language support for French, German, Italian, Spanish, Portuguese, Japenese, Korean, Chinese
Recruit in France, Germany, Italy, Spain, Portugual, Japan, Brazil, Japan, South Korea, China
TBD
Support China and Russia

24. Example deals Provide example scenario of how the deals work.
How do partners order
What do they order
Does incentive come off the top, etc
If we can get screenshots of PGS, this may help address this.

25. Tracking Success: BPs are expected to deliver $3
Tracking Success: BPs are expected to deliver $3.2M in signings for SaaS offerings during 2014 – about 20% of total SaaS signings

26. Questions

28. Global footprint
Amsterdam
London
Frankfurt
Paris
Montreal
Toronto
Seattle
Chicago
Denver
San Jose
New York City
China
Tokyo
Dallas
Washington D.C.
Los Angeles
Atlanta
India
Houston
Hong Kong
Miami
Mexico City
Singapore
Global Footprint
13 Datacenters across three continents
Only Cloud provider in the world with a global internet backbone
17 Network POPs including all major carrier exchanges worldwide
7 Tier 1 transit providers, 1400 private peers, pass about 500Gbps sustained
IPv4 and IPv6 dual stack – every compute instance and ancillary service comes dual stacked
Arbor Network & Cisco Network Analysis and DDOS Mitigation
Enterprise DNS system consisting of over 400 load balanced physical nodes across 20 global locations
20,000,000 active domains
100,000+ physical nodes – millions of virtual machines
21,000 customers in 140 countries
BRAZIL
Sydney
Melbourne
IPv4/IPv6 dual stack Global DNS Global DDOS Mitigation Global Internet Exchanges & Peering
DATA CENTER & NETWORK POINT OF PRESENCE
NETWORK POINT OF PRESENCE

29. PA WW SaaS Process Flow – October 10, 2013 A Front Office (CoC)
Start e
1.0 Customer interested in SaaS offering
1.1 Review quote and accept or negotiate
1.2 Submit PO/firm order letter/ SLA if
Applicable, Accept TOU/ TOU addendum
Cloud Service Agreement/Services doc..
T’s&C’s as applicable
1.3 Receive service provisioned (from step 5.4)
1.4 Receive invoice
End m o s t u C
2.0 Contact Center of Competency/ Sales Transaction Services to
determine customer solution
2.3 Submit quote for approvals and attach approval documentation, if required 2 . 4
Route to
2.5 Send approved quote to customer.
(T’s & C’s, TOUs, CSA, or
any addendums to fore
mentioned) A
Level 0 approver 2 . 6
Review order
package to ensure
completeness s e
2.1 Create PA quote in SQO
a. Choose customer and contact or additional site (must mail or fax enrollment form)
b. Choose DSW parts and pricing via GST or SQO Basic a l S 2 . 7
Submit order
through SQO
2.2 Submit request for
Pre-credit check (optional but suggested) (
enter bill to and
attach PO/firm order
Doc/ other) n W
SaaS parts a i 3 . 2
Review for S h D C 3 .
Perform credit
completeness e 3 . 1
Verify
& u
check
and Release F
meets Firm C a l
order V
Order Policy P A 4 .
Order created in SAP via S 4 . 1
Send Invoice, W
automated process (PO, contract and provisioning holds set)
Proof of Entitlement S D
5.2 Load provisioning hold report into BSS Customer Hub; trigger provisioning; load support system (SmartCloud Control Desk) 5 . 1
Ensure TOU /
TOU addendum /
CSA /
5.0 Pull Provisioning
Hold Report periodically
Service Doc /
T’s
&
C’s are accepted OR 5 . 5
Notifies Customer .
attached as applicable ,
PO and contract holds
Fulfillment to release
released ,
SLA addendum
provisioning hold
Back Office / BSS g /
Front Office (CoC)
Back Office
Customer Fulfillment
Environment Ops (provisioning)
Front Office (CoC)
Customer Fulfillment
Back Office
5.3 Load Order Tracking
Notes DB .
5.4 BSS Customer Hub sends customer an to activate service
IBM Confidential