IBM Collaboration Solutions/Lotus Business Partner Guide Value Propositions

1. IBM Collaboration Solutions/LotusBusiness Partner GuideValue Propositions 1

2. Market Opportunity The Social Business market opportunity is growing to a $99B business in 2015 $99B Opportunity($B) 2012 2015 Source:: IBM Analysis. Note: Solutions are the highest growth areas driven by analytic capabilities Amounts reflect IBM internal estimates, are provided for illustrative purposes only and are not meant to represent or guarantee opportunity in any business segment.

3. What does a Social Business look like to your Business Leaders? Market opportunity Sociallyenabling business processes to improve and accelerate results across business functions Improve the effectiveness of people by enabling the right talent and content to come together at the right times Workforce Optimization Product and Service Innovation Bring successful new products to market more quickly by understanding and aligning to customer needs Customer Care and Insight Build customer advocacy by understanding, reaching, attracting, and retaining more customers through online channels 3 3

4. Market Opportunity IBM’s Journey to becoming a Social Business 400,000+ employeesin more than 200 countries Just over 40% of employees have less than 5 years of service Social Business 2008 and beyond Social Networking 2004 Nearly 1/3rd of full-time employeeswork in a non-traditional office setting Collaboration 2000 Mobile Office 1990s Traditional Office 1980s Source: HR Information Warehouse, December 2011 Report (only for the employee demographic information on the slide)

5. Market Opportunity IBM Social Business Outcomes Human Resources IBM Human Resources utilizes social media for recruiting, employee education, sales training and leadership development. New hires are made part of a social group for 6-12 months so they can get up to speed more quickly network with other new hires and veteran IBM employees reducing on boarding time. Global Collaboration and Development More than 130 communities of IBM professionals around the globe are collaborating virtually. This has reduced the time it would have taken to complete projects by 30 percent, increased re-use of software assets by 50 percent, and cut component costs by 33 percent. Social Selling To gain insight, IBM’s social sellers use social media monitoring applications to feed information about clients, prospects and competitors directly to their desktops. Social intelligence provides an efficient way of identifying what matters when sales connections are made. 5

6. Market Opportunity IBM Leadership in Social Business “IBM Brings Its Clout To Social Software” - Forbes, June 28, 2011 Jun 28, 2011 “Social Business: The Fifth Era of Business Transformation from IBM” - CMS Wire, Sep 7, 2011 “Move Over Facebook, IBM Goes Social for Business” - eWeek.com, Feb 2, 2011 “IBM introduces real time social networking tool for enterprises” – Computer Business Review, Jun 22, 2011 IDC Ranked IBM first in Worldwide Social Platform for 2010 and 2011 Vendor Shares1 Forrester Research, Inc. IBM is a leader in The Forrester Wave™ on Enterprise Social Platforms, and The Forrester Wave™ Mobile Collaboration, Q3 20112 Gartner IBM is in the leader quadrant in the Gartner Magic Quadrant for Social Software in the Workplace, August 20113 1Source: IDC: Worldwide Social Platform 2010 Vendor Shares, Doc# #223817, June 2010 and Worldwide Social Platform 2011 Vendor Shares, Doc # #228808, June 2011 2Source: The Forrester Wave™: Enterprise Social Platforms, Q3 2011 and The Forrester Wave™: Mobile Collaboration, Q3 2011 3Source: Gartner Magic Quadrant for Social Software in the Workplace, August 2011 6

7. Product/Solution Portfolio Overview – ICS/Lotus Portfolio overview • Web Experience • Customer Web experience • Employee Web experience • Electronic Forms • Social Collaboration • Social business applications • Real-time collaboration • Mobile collaboration • Office productivity suites and Web editors • Unified Communications • Unified communications • Social Business Application Development • Collaboration application development platforms • Mashups 7

8. Social Business reaches out beyond ICS/Lotus Portfolio overview • Enterprise Content Management • Social Content Management • Content Analytics • Tivoli • Security • Enterprise Information Gateway • Smarter Commerce • Customer Awareness & Analytics • Social Media Marketing • Business Analytics • Business Intelligence • Predictive Analytics (SPSS) 8

9. Why Sell/Value Propositions – ICS/Lotus Value Propositions • IBM is the leader in Social Software for business • Industry-leading product margins! • IBM offers up to 40% Margins across Identify, Sell & Fulfill cycles • Up to 20% additional margin for competitive displacements • Incremental margin for Capability Authorizations (Cloud & Social Business) • Large services potential (~2X product) • Opportunity to increase strategic influence as social gets infused into more business processes • IBM sales & marketing resources aligned to help you sell and market • Rich enablement options to help you rapidly build skills • PLUS more ....as you gain skills and success • Social Business certification, executive sponsorship, lab advocate, etc. 9

10. Business Partner Reference – ICS/Lotus Reference • Customer: Manufacturer with operations in many countries and consumers across the globe • Solution • Lotus Connections 3.0 integrated with the existing business SAP processes and DB2 tools • Custom widgets • Benefits to the customer • Drive innovation • Connect people across 17 countries • Simplify processes with templates • Value provided by Sogeti • TeamPark methodology • Lotus Connections assets • Service center specialized in Lotus Software Revenue for Sogeti =~1 M$ 10

11. Business Partner Profile – ICS/Lotus Partner Profile Business Partner Types Software-related IBM Business Partners • Traditional Reseller, Consultants and System Integrators (SIs) and Independent Software Vendors (ISVs) and Developers • ECM, Cognos, Coremetrics & WebSphere BPs to expand scope with IBM social capabilities • NEWDigital / Interactive Agencies • Note: Partner business models, especially outside the US, are blended. They may behave differently in individual transactions, to accommodate their client and own business models/needs. Ideal Partner Profile • Mature Business Model (Sales, Mktg) • Generate demand, progress and close deals • Track record of client references • Drives business independent of IBM • Well thought out annual demand generation plan • Skills / Industry Expertise • Analytics / Marketing automation • Portal, and Smarter Commerce • Web design, Web platform and apps. • Mobile, Content Management – • Rich media and digital asset mgmt • Retail, Healthcare, Manufacturing • Finance and Insurance • Aligned well with IBM • Sub-contracting relationship with ISSL • Work collaboratively with IBM Field Sales • NEW– Digital / Interactive agencies 11

12. Resources 5 Quick Steps to Get Started Join PartnerWorld to become an IBM Business Partner, then… Visit the ICS/Lotus PartnerWorld Site to access Business Partner sales and marketing tools and materials and training Complete your ICS/Lotus Business Partner profile Plan to maximize your profitability & your team’s education path by reviewing the Software Value Plus (SVP) & Software Value Incentive (SVI) criteria & product categories. Educate your Sales and Delivery Teams & become SVP Authorized to resell ICS/Lotus through Training & Certification. Develop a Marketing plan and take advantage of IBM’s programs and drive demand with IBM Co-Marketing 1 2 3 4 5