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C8010-241 IBM Sterling Order Management V9.2 Solution Design

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C8010-241 exam Dumps Source : IBM Sterling Order Management V9.2 Solution Design

Test Code : C8010-241
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IBM IBM Sterling Order Management

GSA goes with IBM cloud to improve acquisition features | killexams.com Real Questions and Pass4sure dumps

Cloud Computing

GSA goes with IBM cloud to increase acquisition features
  • with the aid of Frank Konkel
  • Oct 21, 2013
  • The regularly occurring features Administration is getting involved in deliver chain administration, choosing IBM to give the cloud infrastructure and entire conclusion-to-conclusion features within GSA world give, which gives $1 billion worth of commercial goods and features annually to govt consumers worldwide.

    As a part of the 5-yr, $30 million contract introduced Oct. 21, GSA will installation IBM's SmartCloud for government to handle some 5.5 million annual orders. while cloud internet hosting is an important a part of this deal, it's the further features IBM will provide GSA that make it a big victory for big Blue.

    GSA international give will make use of a number of cloud-based solutions from IBM beginning in early 2014, including its Sterling Order management and Sterling B2B Integrator, allowing GGS a single view of order management for demand, inventory and supply throughout its international provide chain networks. GSA will also make use of IBM's analytics application, using purchase facts and different massive data to establish trends, order patterns and supplier reports.

    Leveraged with IBM's SmartCloud for govt, these and other services are expected to aid GSA streamline its company mannequin over the next five years.

    "The GSA is displaying giant leadership for other govt companies by using moving their order management equipment to the cloud," noted Anne Altman, widely wide-spread manager of IBM's federal division.

    "IBM SmartCloud will raise visibility into GSS channel operations and make sense of huge information inside, however additionally optimize stock and supply appreciable procedure innovation, leading to enhanced enterprise methods to manipulate the agency's monstrous provide chain and logistics operations," Altman talked about. "this can reduce charges; creating extra efficient effects for GSA consumers, and sooner or later translate right into a improvement for the taxpayer."

    for most of 2013, IBM has been locked in a warfare with Amazon internet capabilities for the right to boost a $600 million cloud computing infrastructure for the CIA. Yet however AWS eventually win that deal -- as appears possible in response to fresh criminal proceedings -- it might not be a foul 12 months for IBM.

    massive Blue's cloud computing profits handed $1 billion all the way through the third-quarter – the primary time that has came about – and within the first three quarters of 2013, its cloud profits jumped 70 p.c over last 12 months. it truly is regardless of the enterprise taking a 3rd-quarter earnings hit of more than $1 billion -- $23.72 billion in comparison to ultimate year's $24.seventy four billion -- in enormous part due to vulnerable performance from the company's hardware division.

    in terms of basic cost, IBM landed its largest public sector cloud contract thus far in August, securing an indoors branch deal worth as much as $1 billion over 10 years. IBM officers expect its SmartCloud for government solution to attain Federal chance and Authorization administration program (FedRAMP) compliance by means of yr's end as smartly, meaning it's going to agree to the executive's rigorous cloud computing protection standards.

    The GSA deal, however, highlights how a good deal of IBM's increase within the cloud market is due to the conclusion-to-conclusion features it gives on exact of the cloud infrastructure itself. IBM has lengthy offered groups with professional consulting and other B2B options that many cloud infrastructure providers would ought to subcontract out.

    "The explanation why IBM changed into chosen right here is they could not simplest give [GSA] the cloud gadget, however the end-to-conclusion capability – the analytics and new the right way to study enterprise and efficiency," mentioned Luann Pavco, managing companion for IBM Public Sector features. "There actually is a difference between IBM and a primary cloud infrastructure issuer."

    concerning the author

    Frank Konkel is a former team of workers creator for FCW.


    IBM (IBM) Down 10.3% because remaining income report: Can It Rebound? | killexams.com Real Questions and Pass4sure dumps

    A month has gone by seeing that the closing salary report for IBM (IBM). Shares have lost about 10.3% in that time body, underperforming the S&P 500.

    Will the fresh terrible style continue main as much as its next salary release, or is IBM due for a breakout? earlier than they dive into how buyers and analysts have reacted as of late, let's take a short seem to be at the most contemporary revenue report so as to get an improved handle on the essential catalysts.

    IBM’s Q2 outcomes improvement from charge reducing, lessen Share count number

    IBM pronounced third-quarter 2018 non-GAAP income of $three.42 per share, which beat the Zacks Consensus Estimate by means of couple of cents. earnings per share (EPS) improved 4.9% from the year-in the past quarter.

    The yr-over-12 months boom in EPS can also be attributed to strong pre-tax margin operating leverage (28 cents contribution) and aggressive share buybacks (19 cents contribution). This changed into partly offset by reduce revenues (seven cents poor influence) and higher tax cost (17 cents poor influence).

    Revenues of $18.seventy six billion lagged the Zacks Consensus Estimate of $19.10 billion and declined 2.1% on a yr-over-yr groundwork. At steady foreign money (cc), revenues remained flat.

    IBM pointed out that signings plunged 21% to $eight billion. services backlog declined three% from the year-in the past quarter to $113 billion.

    Geographic revenue details

    Revenues from Americas inched up 1%, pushed by way of persisted increase in Canada and Latin the us and modest increase within the united states.

    Europe, center-East and Africa decreased 2% from the yr-ago quarter, driven via decline in Germany and France, partially offset via growth in Spain and the United Kingdom.

    Asia-Pacific revenues declined 1% on a yr-over-12 months basis with modest boom in Japan.

    Strategic Imperatives increase Continues

    Strategic Imperatives (cloud, analytics, mobility and security) grew 7% at cc from the year-in the past quarter to $9.three billion. safety revenues surged 34%. On a trailing 12-month foundation, Strategic Imperatives revenues had been $39.5 billion, up 13% (eleven% at cc).

    Cloud revenues surged 13% from the 12 months-ago quarter to $4.6 billion. The annual run rate for cloud as-a-carrier revenues increased 24% at cc on a 12 months-over-year foundation to $eleven.4 billion.

    Cloud revenues of $19 billion on a trailing 12-month groundwork elevated 20% (18% at cc) and now money owed for 24% of IBM’s complete revenues.

    Cognitive Revenues Decline

    Cognitive solutions’ revenues-exterior diminished 5.7% yr over year (down 5% at cc) to $4.15 billion. Segmental revenues pertaining to Strategic Imperatives and Cloud declined four% and a couple of%, respectively. Cloud as-a-carrier profits annual run rate became $2 billion.

    options utility includes offerings in strategic verticals like fitness, domain-selected capabilities like analytics and protection, and IBM’s rising technologies of AI and blockchain. The section also comprises choices that tackle horizontal domains like collaboration, commerce and talent. options application revenues reduced three% year over yr in the quarter.

    IBM pointed out that in commerce area the infusion of AI into choices like customer event analytics helped SaaS signings to grow double digit in the quarter. The contemporary launch of Notes Domino version 10, which is optimized for cell, and helps JavaScript and node.js will enhance growth collaboration in 2019.

    Transaction Processing utility contains application that runs mission-vital workloads, leveraging IBM’s hardware structures. Revenues fell eight% on a 12 months-over-12 months groundwork.

    IBM witnessed growth in business verticals like health, key areas of analytics and safety within the quarter. Watson health witnessed huge-based boom in Payer, provider, Imaging and lifestyles Sciences domains.

    all the way through the quarter, the Sugar.IQ utility, developed by Medtronic in partnership with IBM, hit the market. The application is designed to simplify and increase every day diabetes administration.

    IBM brought up that analytics carried out smartly in the quarter, driven via information science choices and IBM Cloud inner most for information providing.

    all over the quarter, the company announced bias detection functions and launched new Watson capabilities on the IBM Cloud inner most platform.

    protection boom turned into driven by way of offerings in orchestration, information security and endpoint administration.

    In blockchain, IBM food trust network for meals security went are living in the quarter. Reatiler Carrefour joined IBM’s blockchain network. The company additionally jointly announced TradeLens with Maersk that addresses inefficiencies within the global provide chain. IBM at present supports seventy five lively blockchain networks.

    international company functions Revenues raise

    Revenues from international enterprise capabilities-external phase were $four.13 billion, up 0.9% from the yr-in the past quarter (up three% at cc). Segmental revenues concerning Strategic Imperatives grew 9%. Cloud practice surged 18%. Cloud as-a-carrier profits annual run price became $1.9 billion.

    software administration revenues declined 1% from the year-in the past quarter. despite the fact, global method capabilities revenues climbed 2%. additionally, Consulting revenues multiplied 7% yr over 12 months, pushed by means of robust performance from IBM’s digital business.

    technology functions & Cloud structures: Revenues Dip

    Revenues from technology capabilities & Cloud structures-external diminished 2% from the year-in the past quarter (flat at cc) to $8.29 billion. Segmental revenues relating Strategic Imperatives advanced 16%, pushed with the aid of hybrid cloud functions. Cloud surged 22% from the year-in the past quarter. Cloud as-a-carrier revenue annual run price changed into $7.5 billion.

    Integration application accelerated 1% from the 12 months-ago quarter. all through the quarter, 95 groups worldwide selected IBM Cloud inner most offering. Infrastructure services revenues also improved 1% on a year-over-12 months foundation.

    however, Technical support features revenues diminished 3% from the year-in the past quarter.

    power & z14 drive programs Revenues

    methods revenues extended 0.9% on a 12 months-over-yr foundation (up 2% at cc) to $1.74 billion. Segmental revenues concerning Strategic Imperatives surged 5%, whereas Cloud revenues declined 8%.

    IBM Z revenues multiplied 6% year over 12 months on more than 20% MIPS boom, pushed through broad-primarily based adoption of the z14 mainframe.

    energy revenues extended 17% from the yr-ago quarter. during the quarter, IBM launched its next generation POWER9 processors for midrange and excessive-end programs which are designed for coping with superior analytics, cloud environments and information-intensive workloads in AI, HANA, and UNIX markets.

    IBM additionally added new choices optimizing each hardware and application for AI. management believes that products like PowerAI imaginative and prescient and PowerAI enterprise will support power new consumer adoption.

    youngsters, storage hardware revenues declined 6% due to vulnerable performance within the midrange and excessive conclusion, partly offset by way of amazing boom in All Flash Arrays. IBM brought up that pricing drive in the immensely aggressive storage market is hurting revenues. The business introduced its new FlashSystems with next era NVMe technology during the quarter.

    operating programs utility revenues declined 4%, while techniques Hardware superior four% from the yr-ago quarter.

    finally, international Financing (includes financing and used machine income) revenues reduced 9.1% at cc to $388 million.

    working particulars

    Non-GAAP gross margin remained unchanged from the 12 months-ago quarter at 47.4%. This changed into IBM’s top-quality gross margin performance in years and became essentially driven by using 160 groundwork features (bps) enlargement in features margin. despite the fact, negative combine in z14 mainframe and application fully offset this growth.

    working expense declined four% yr over yr, as a result of awareness of acquisition synergies and enhancing operational efficiencies. IBM continues to invest in fast growing to be fields like hybrid cloud, synthetic intelligence (AI), security and blockchain.

    Pre-tax margin from carrying on with operations multiplied 50 bps on a 12 months-over-12 months groundwork to 19.2%.

    Cognitive options and world enterprise features phase pre-tax margins improved a hundred ninety bps and 320 bps, respectively, on a 12 months-over-yr foundation. although, technology functions & Cloud platforms segment pre-tax margin reduced in size one hundred bps.

    programs pre-tax revenue was $209 million down 38% 12 months over yr. international Financing segment pre-tax profits jumped 26.7% to $308 million.

    steadiness Sheet & money movement details

    IBM ended third-quarter 2018 with $14.70 billion in total cash and marketable securities in comparison with $11.93 billion at the end of 2nd-quarter 2018. total debt (including international financing) become $46.9 billion, up $1.4 million from the previous quarter.

    IBM mentioned money stream from operations (aside from global Financing receivables) of $three.1 billion and generated free cash movement of $2.2 billion in the quarter.

    in the pronounced quarter, the company returned $2.1 billion to shareholders via dividends and share repurchases. on the end of the quarter, the business had $1.4 billion ultimate below latest buyback authorization.

    assistance

    IBM reiterated EPS forecast for 2018. Non-GAAP EPS is anticipated to be as a minimum $13.eighty.

    IBM nevertheless anticipates 2018 free cash flow of $12 billion.

    Story Continues

    How Have Estimates Been relocating since Then?

    during the past month, buyers have witnessed a downward fashion in fresh estimates.

    VGM rankings

    at the moment, IBM has a normal growth score of C, though it's lagging a bit of on the Momentum ranking front with a D. however, the inventory became allotted a grade of A on the value facet, inserting it within the properly quintile for this investment method.

    standard, the inventory has an combination VGM rating of B. if you aren't concentrated on one method, this score is the one you'll want to be attracted to.

    Outlook

    Estimates have been extensively trending downward for the inventory, and the magnitude of these revisions shows a downward shift. especially, IBM has a Zacks Rank #3 (hang). They predict an in-line return from the stock within the next few months.

    desire the latest options from Zacks funding analysis? these days, that you could download 7 optimal shares for the next 30 Days. click on to get this free file overseas company Machines enterprise (IBM) : Free stock analysis record To study this article on Zacks.com click right here. Zacks funding research


    IBM captures GSA contract to manage $1B in transactions | killexams.com Real Questions and Pass4sure dumps

    CLOUD COMPUTING

    IBM captures GSA contract to control $1B in transactions
  • with the aid of Frank Konkel
  • Oct 23, 2013
  •  

    EDITOR's be aware: A version of this text first looked on FCW.com.

    IBM has landed a $30 million cloud computing contract with the regular services Administration to give conclusion-to-end functions to the GSA world supply.

    global deliver offers $1 billion worth of business goods and functions annually to executive customers worldwide each and every 12 months.

    As a part of the five-yr contract introduced Oct. 21, GSA will use IBM's SmartCloud for government to deal with some 5.5 million annual orders. whereas cloud internet hosting is a crucial part of this deal, it's the extra capabilities IBM will provide GSA that make it a big victory for large Blue.

    GSA global deliver will make use of a few cloud-based options from IBM starting in early 2014, including its Sterling Order administration and Sterling B2B Integrator, giving GSA a single view of order administration for demand, inventory and supply across its world deliver chain networks. GSA will also make use of IBM's analytics utility, using purchase statistics and different huge statistics to determine trends, order patterns and company reviews.

    Leveraged with IBM's SmartCloud for govt, these and other services are anticipated to assist GSA streamline its company model over the subsequent 5 years.

    "The GSA is showing gigantic management for other executive corporations by relocating their order administration equipment to the cloud," mentioned Anne Altman, regular manager of IBM's federal division.

    "IBM SmartCloud will raise visibility into GSS channel operations and make feel of large information within, however also optimize inventory and provide considerable procedure innovation, resulting in more advantageous enterprise processes to manage the agency's great give chain and logistics operations," Altman spoke of. "this can cut back prices; creating extra productive effects for GSA customers, and in the end translate into a improvement for the taxpayer."

    for many of 2013, IBM has been locked in a warfare with Amazon net features for the appropriate to improve a $600 million cloud computing infrastructure for the CIA. Yet even though AWS finally win that deal -- as looks doubtless based on fresh prison proceedings -- it might not be a bad year for IBM.

    big Blue's cloud computing revenue exceeded $1 billion all the way through the third-quarter – the first time that has came about – and in the first three quarters of 2013, its cloud earnings jumped 70 % over last 12 months. it really is despite the enterprise taking a 3rd-quarter revenue hit of greater than $1 billion -- $23.72 billion in comparison to remaining year's $24.74 billion -- in significant half because of susceptible performance from the enterprise's hardware division.

    when it comes to universal value, IBM landed its largest public sector cloud contract thus far in August, securing an interior department deal price as much as $1 billion over 10 years. IBM officers predict its SmartCloud for government answer to gain Federal chance and Authorization management software (FedRAMP) compliance by means of yr's end as smartly, that means it's going to comply with the government's rigorous cloud computing safety standards.

    The GSA deal, besides the fact that children, highlights how an awful lot of IBM's growth within the cloud market is due to the conclusion-to-conclusion capabilities it provides on correct of the cloud infrastructure itself. IBM has long offered groups with expert consulting and different B2B options that many cloud infrastructure providers would must subcontract out.

    "The reason why IBM was chosen here is they could not handiest supply [GSA] the cloud device, however the end-to-conclusion capability – the analytics and new easy methods to examine enterprise and efficiency," referred to Luann Pavco, managing partner for IBM Public Sector capabilities. "There truly is a change between IBM and a fundamental cloud infrastructure company."

    about the author

    Frank Konkel is a former personnel author for FCW.


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    C8010-241 exam Dumps Source : IBM Sterling Order Management V9.2 Solution Design

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    PFSweb's (PFSW) CEO Mike Willoughby on Q3 2018 Results - Earnings Call Transcript | killexams.com real questions and Pass4sure dumps

    PFSweb, Inc. (NASDAQ:PFSW) Q3 2018 Earnings Conference Call November 8, 2018 5:00 PM ET

    Executives

    Cody Slach – Investor Relations-Liolios

    Mike Willoughby – Chief Executive Officer

    Tom Madden – Chief Financial Officer

    Analysts

    Jason Kreyer – Craig-Hallum

    Kara Anderson – B. Riley FBR

    Operator

    Good afternoon everyone, and thank you for participating in today’s conference call to discuss PFSweb’s Financial Results for the Third Quarter Ended September 30, 2018. Joining us today are PFSweb CEO, Mr. Mike Willoughby; the company’s CFO, Mr. Tom Madden; and the company’s outside Investor Relations Advisor, Cody Slach with Liolios. Following their remarks, they will open the call for your questions.

    I would now like to hand the conference over to Mr. Slach for some introductory comments.

    Cody Slach

    Thanks, Lisa. Before they go further, I would like to make the following remarks concerning forward-looking statements. All statements in this call, other than historical facts are forward-looking statements. The words anticipate, believe, estimate, expect, intend, will, guidance, confidence, target, project and other similar expressions typically are used to identify forward-looking statements. The full disclaimer relating to forward-looking statements as well as certain non-GAAP metrics used in their filings, and this presentation can be found in the Investors section of the PFSweb website under Safe Harbor statement.

    I’d like to remind everyone that this call will be available for replay through November 22, 2018 starting at 8:00 PM Eastern tonight. A webcast replay will also be available via the link provided in today’s press release, as well as available on the company’s website at pfsweb.com. Any redistribution, retransmission or rebroadcast of this call in any way without the express written consent of PS – PFSweb is strictly prohibited.

    Now, I would like to turn the call over to the Chief Executive Officer of PFSweb, Mr. Mike Willoughby. Mike?

    Mike Willoughby

    Thank you, Cody, and good afternoon to everyone. Before getting into their business and financial update, as you listen to the call today, you will hear us provide additional insight into their two business segments, through which they deliver their end-to-end e-commerce service offering. As a reminder, their PFS segment provides operations services, including order fulfillment, customer care, order management technology, payment services and fraud management activities. This business is normally characterized by monthly recurring revenue, multi-year engagements and gross margins generally in the 20% to 30% range.

    Our LiveArea segment provides professional services, including commerce and digital experience strategy, creative and digital marketing, and technology platform development and integration. While LiveArea does have recurring revenue characteristics from digital marketing and managed services retainers, as well as a high level of re-occurring projects with existing clients, it is primarily driven by project engagements that are discrete in nature. They generally target gross margins in this business to be between 40% and 50%.

    Now moving on, during the fourth quarter, they continued to focus on – third quarter, they continued to focus on higher margin engagement, and execute on their profitability initiatives set in 2017. As a result, this was their sixth consecutive quarter of year-over-year service fee gross margin expansion. Similar to last quarter, their PFS business outperformed their expectations, while they experienced softness in their LiveArea segment.

    For their LiveArea segment, they performed at a high level for their client, successfully sold a number of projects to current clients, and continued to benefit from a higher level of retainer agreement activity with both new and existing clients. However, they continued to experience lower-than-expected sales of e-commerce platform implementation projects for new clients.

    We also continued to experience delays with a couple of large implementation project launches, that they expected to begin during the quarter, and now expect to be delayed into the early part of next year. Although, these delays and lower bookings have impacted the top line, we’ve responded accordingly with prudent cost management and more efficient utilization of their LiveArea resources, as reflected by a 65 basis point improvement in LiveArea’s adjusted EBITDA margin.

    For PFS, they carried over the strong momentum from the first half of the year as they experienced record third quarter volumes, shipping more than 3.8 million orders across the globe. They also continued to generate significant improved gross margins in this segment. Subsequent to the quarter, they opened a new fulfillment distribution center in Southampton, England, building upon their existing European DC footprint in Liege, Belgium. Over the past week, they have begun operations in this facility, supporting an existing European client relationship that required a UK presence and they expect to add more existing and new client relationships to this site, as they go forward.

    We have also made significant progress with their Fulfillment-as-a-Service or FaaS initiative, bringing one new offering completely to market with another exciting new offering moving into the final testing phase during Q4 of this year. I’ll now turn the call over to Tom, to provide further financial insight for the quarter. And then I will come back and provide commentary on their operational results, as well as progress with their business development activities, exciting developments with their FaaS initiative, as well as their preparations for the upcoming holiday season. Tom?

    Tom Madden

    Thanks, Mike, and good afternoon everyone. Let me provide some financial highlights of the results for Q3. For the third quarter, they saw a minor year-over-year reduction in their consolidated service fee equivalent revenue, which decreased to $53.3 million, compared to $55.1 million in the prior year period. However, their gross margin performance was at 37%, which was up 250 basis points versus the prior year quarter, primarily related to improvements in their PFS segment, which I will discuss later.

    Also note that this gross margin performance was higher than their overall targeted gross margin range of 30% to 35%. Although they continue to expect that their margins will be more in line with the targeted range as they go forward, due to the reduced benefit from both PFS client project work and other activity, although they do hope to perform at the higher end of the range. From an adjusted EBITDA standpoint, they generated $5.5 million for the quarter, which was generally in line with their prior year performance and slightly better than their sequential Q2 2018 results.

    Turning to the balance sheet at September 30, 2018, cash and cash equivalents totaled $14.3 million and total debt was $43.2 million, resulting in a net debt position of approximately $28.9 million, which compares to a net debt position of $28.2 million at December 31, 2017. Overall, they continue to expect to generate cash flow from operations during calendar year 2018 of between $6 million and $10 million.

    As announced earlier this week, they finalized and amended $60 million revolving credit facility with a syndicate of bankers led by Regions Bank, replacing their existing revolver and term loan credit facilities at more favorable terms. The amended agreement also provides an accordion feature to borrow an additional $20 million for a total of up to $80 million. The agreement provides a better rate structure and an extended maturity date to further strengthen their balance sheet and support their working capital needs. This facility also provides us with greater financial flexibility to support their targeted growth across both their LiveArea and PFS business segments.

    Our PFS segment generated $32.5 million of service fee equivalent revenue for the quarter with a service fee gross margin of 29.6%. This compares to $31.3 million of SFE revenue in the third quarter of last year with 23.0% of gross margin. The strong PFS gross margin was due to several primary factors, including improved operational efficiency through enhanced warehouse technology capabilities, a focus on higher-margin offerings including project work, and the transition of certain lower-margin client engagements, which did not meet their profitability objectives and were discontinued.

    Our LiveArea segment generated service fee revenue of $20.8 million in the third quarter with service fee gross margin of 48.3%. This compares to $23.8 million of service fee revenue and 49.2% in gross margin during the third quarter last year. The LiveArea revenue decline is primarily due to lower project activity as a result of the continued delays in new project launches that they expected to begin in the third quarter as well as lower LiveArea bookings of new client projects. In response to the LiveArea revenue softness, they have trimmed their SG&A expenses in this business segment, which decreased by $1.6 million versus the prior year.

    In addition to the business segment data, they also have cost reported as corporate SG&A. These include costs that are not directly attributable to one of the two business segments. Their adjusted costs related to corporate SG&A has declined slightly in Q3 of 2018 as compared to the prior year. They are continuing to evaluate their allocations of costs among the business units with the expectation that in the future additional costs may be reclassified from the corporate SG&A bucket into one of the two business segments and certain costs that may have historically been considered within their direct operating expense may be classified into cost of fees in the future.

    Moving on to their 2018 outlook. While their PFS activity continues to be solid as a result of lower-than-expected new client project revenue from their LiveArea business segment, they currently anticipate that their consolidated SFE revenue will be somewhat lower than previously targeted. They now expect their 2018 service fee revenue to range from $229 million to $233 million as compared to their prior guidance of $237 million to $247 million. The makeup of this is that they expect the PFS segment to be between $149 million to $151 million and their LiveArea segment to be between $80 million to $82 million.

    While they are reducing their consolidated SFE revenue guidance, they are maintaining their previous guidance for adjusted EBITDA, which they are targeting to be between $24 million to $26 million on a consolidated basis, reflecting up to 13% growth from 2017. This concludes my prepared remarks and I’ll turn the call back over to Mike, Mike?

    Mike Willoughby

    Thanks, Tom. Looking specifically at their LiveArea segment, their long-term service fee revenue growth rate target for this segment is 10% to 15% with sustainable gross margins in the 40% to 50% range. They continue to experience gross margins at the high end of this range for the quarter, continuing the trend from the first half of the year. We’ve also continued to improve their adjusted EBITDA margins as a percentage of service fee revenue, primarily resulting from continued improvements in their utilization rate and effective cost controls in the business.

    Further, they continued to generate strong retainer bookings this quarter, which have remained at record levels year-to-date. Retainer engagements, which are at least 12 months in length, generate favorable recurring revenue for the segment, but generally recognize revenue at a slower rate than project bookings, which are often completed in less than six months. However, given lower than expected project bookings from new clients this year and delays with several client program launches, they are expecting continued revenue headwinds in this segment for the remainder of the year.

    As a reminder, their new bookings for LiveArea consist of expected revenues related to one-time projects for new and current clients and also include average annual contract value for new retainers where they have a contract to provide services on a recurring basis to clients.

    Total Q3 bookings for LiveArea were approximately $12 million with around $5 million in retainer bookings and around $7 billion in project bookings. Total year-to-date bookings for LiveArea as of the end of Q3 were approximately $42 million compared to year-to-date bookings at the end of Q3 of 2017 of about $39 million. Q3 2018 year-to-date retainer bookings of approximately $15 million were substantially higher compared to the Q3 2017 year-to-date retainer bookings of about $4 million.

    However, as previously noted, the LiveArea segment continues to experience lower than expected project sales to new clients and as a result, Q3 year-to-date project bookings were approximately $27 million compared to Q3 2017 year-to-date project bookings of about $35 billion.

    For a little color on the bookings for the quarter, during the quarter, they were pleased to announce on their LiveAreacx.com website, their engagement with The Entertainer, high growth independently owned multi-channel toy retailer in the UK. As part of their long-term relationship with The Entertainer, they worked with the toy retailer to launch their new e-commerce store, on SAP Hybris Version 6, featuring a leading edge mobile-first user experience.

    Following the completion of the project during the quarter, they entered into a managed services agreement with The Entertainer to provide development services and technical support for their e-commerce solution. I’m also very excited to announce a new project for a current LiveArea client to deploy IBM’s Sterling Commerce Order Management System or OMS in support of their omni-channel initiative in North America.

    We’ve had a long-term engagement with this client in support of their Salesforce Commerce Cloud-based program and I believe because of their in-depth knowledge of their program, they were a natural choice to implement this new OMS for them as they integrate their stores into their e-commerce user experience. They also expect to expand their managed services agreement with this client to include support for Sterling after launch. This is their first opportunity to work on the Sterling OMS platform. And I believe this first project, could open a lucrative new service category for LiveArea, leading to additional projects and managed services engagements.

    As of the end of Q3, their LiveArea segment had 97 active global client engagements. I expect this metric to continue to fluctuate quarter-to-quarter, and will likely reflect the seasonality and one-time nature of the project revenue. But I believe it is one important indicator of the scale of their LiveArea segment. Now despite the lower new client project bookings in Q3, they had another solid quarter of performing at a high level for their current clients and executing on the retainer agreements signed earlier this year.

    Our client partner organization continues to be a very effective in managing engagements with current clients, resulting in a high level of referenceability and brand recognition for LiveArea. One tangible result of their positive reputation in the industry is the inclusion of LiveArea in Forrester’s Report, Now Tech: Commerce Service Providers, Q2 2018, which was published earlier this year. I’m also looking forward to reading the upcoming Forrester commerce specialist service providers wave report, which will evaluate the top providers in their industry.

    We’ve been working hard to establish LiveArea as a strong competitor to their much larger competition, and I’m personally very excited for LiveArea to be included in this elite group of professional services organizations, included in Forrester’s Now Tech Report, and under consideration for their prestigious Wave Report.

    Moving onto the PFS segment. Their long-term SFE revenue growth rate target is 5% to 10% for this segment. However, their primary objective in 2018 has been improved profitability, through a focus on higher margin engagements and improved efficiency with their service offerings.

    From a margin perspective, their focus on profitability continues to be evident in their results, as they once again came in at the high end of their 20% to 30% gross margin target range this quarter. Hopefully, most of you have had a chance to read their recent press release, announcing the opening of their new fulfillment center in Southampton, England. This new 106,000-square foot fulfillment center, will help us expand their European operations by offering localized order fulfillment throughout the UK, building upon their current Central European, DC in Liege, Belgium.

    Our plan is to utilize this new facility to not only pursue new clients in the UK market, but also offer their existing U.S. and EU fulfillment clients, an option to expand directly into the UK. As I mentioned earlier, they are already operational in the site, supporting one of their existing European clients that desired a UK fulfillment presence to minimize shipping and other costs. They look to have success winning incremental business in this UK market with other existing clients that they support in Europe today, as well as new clients.

    In other PFS client news, they recently launched a previously announced B2B fulfillment solution for an existing health and beauty client. They are now conducting both direct-to-consumer, and business-to-business fulfillment for this client. I believe their ability to service their clients, brand, DTC programs and large scale B2B programs from the same inventory and facilities footprint is a key differentiator for PFS. This program expansion will be a great case study, and demonstration platform for their capabilities, and should help us compete for and win deals requiring branded DTC and B2B fulfillment services. The PFS pipeline remains strong, and is gaining momentum as they transition into the 2019 selling season.

    For context, we’ve doubled their sales pipeline value since the end of July. At the end of the third quarter, they maintained 84 active client programs, representing 68 different brands. For the second quarter in a row, they set a quarterly record for activity in their fulfillment centers. During the third quarter, they shipped more than 3.8 million orders, a 41% increase year-over-year. This increase continues to be driven by organic growth across several client, as well as the benefit of new client implementations from earlier in the year. And we’re very encouraged by these strong order volumes, especially given the upcoming peak holiday season.

    Speaking of the peak holiday season, there are 33 shopping days between Thanksgiving and Christmas, which is the longest number possible, which provides consumers more time to shop and receive product to be a standard delivery, while providing retailers more opportunities for special holiday promotions. They anticipate the longer shopping season will provide more opportunities for higher volumes spread across that longer season.

    You also may recall from last year’s holiday, that they introduced a new initiative for their PFS segment called Fulfillment-as-a -Service or FaaS, where they bundle their fulfillment technology, lightweight portable infrastructure, and operations management oversight to solve order fulfillment challenges for their clients. The first FaaS solution we’ve been working to bring to market is, the pop-up fulfillment center concept they first piloted with one of their clients last year during the 2017 holiday peak. I’m excited to announce that their FaaS pop-up fulfillment center solution is now in production and a formal part of their product offering.

    Our first production deployment of a FaaS pop-up is scheduled for operation in the Toronto metro area, in support of an existing jewelry client, seeking to better serve their Canadian customers and reduce freight costs, during the 2018 holiday period.

    Moving forward, they can deploy FaaS pop-ups in support of a variety of short-term or even longer-term special events or in response to seasonal peaks, requiring the temporary expansion of the clients’ fulfillment network. The portable nature of the pop-up solution allows us to quickly and cost effectively deploy a temporary fulfillment operation in almost any space where Internet services and access to shipping dock, including short-term rented space, empty big box retail centers, a portion of the clients B2B warehouse, or even in partnership with a traditional B2B third-party logistics firm, or transportation provider. There are many potential applications for this pop-up solution, and I’m very excited to have this new product in their portfolio, as another high-margin way to grow their PFS business, as they look to the future.

    I’d also like to touch on a separate FaaS initiative that we’ve been working on. Earlier this year, they partnered with a global real estate firm that specializes in the ownership of premier shopping, dining, entertainment and mixed-use destinations to market a differentiated omni-channel strategy for their mall-based retailers. The product we’ve created is called RetailConnect, which is designed to cost effectively solve store order fulfillment challenges for a mall-based stores without requiring retailers to allocate valuable retail space, adjust staffing and store operations, or implement any additional in-store hardware or software.

    The first aspect of RetailConnect involves technically enabling the online sale of store inventory. The second aspect is the collection, transaction and transfer of the store merchandise to a centralized depot retail space within the mall. It is here that the orders are prepared for shipping to the consumer. Future versions of RetailConnect will include same-day home delivery, in-store pickup, and curbside delivery or central pickup within the mall retail centers.

    We are completing production testing of the complete solution through a pilot RetailConnect program with one of their current clients, taking place in the Dallas-Fort Worth area this holiday season. Their plan is to launch this product into 6 to 10 of their partners premium malls throughout 2019, providing participating retailers with a cost-effective, low effort, national ship from mall solution prior to the 2019 holiday peak.

    Strategically speaking, this product announcement confirms their ability to innovate out of their core set of PFS operation services, and create new retail solutions targeted at solving strategic business problems their clients face. From a financial perspective, they expect offerings from their FaaS initiative, to have more of the characteristics of SaaS technology products, with much higher gross margin targets, long-term recurring revenue streams, and an addressable market that is not limited by their deployment of facilities and hourly labor.

    As they continue to rollout more FaaS offerings, they may be able to adjust their growth rate and profitability targets for the PFS segment. They also anticipate generating more cross-sell opportunities between PFS and LiveArea from RetailConnect, which could lower their LiveArea cost-of-sale and provide new dependable streams of new client project revenue.

    We’re thrilled to announce this new product development today and look forward to sharing details on more FaaS initiatives like this in the coming months. For more details on RetailConnect, please visit their website at pfscommerce.com/retailconnect. Overall, they remain well positioned to continue to perform at a high level for their clients this holiday across both their LiveArea and PFS segment. They will also continue their prudent cost management practices and more efficient utilization of resources to offset the delay in new project launches and lower Live Area bookings to deliver another record year of adjusted EBITDA.

    As they look forward to 2019, we’re optimistic about their ability to grow their overall business through their many world-class LiveArea and PFS client relationships. They are also increasingly optimistic about the opportunity to continue to innovate within the PFS segment to bring higher margin products to market such as the FaaS products mentioned today in order to further accelerate their growth.

    Clearly, they have work to do on the LiveArea side to adjust their sales model, to reduce their exposure to the new client project volatility we’ve experienced this year. As they finalize their 2019 plans and budget, they are also re-evaluating their sales plan in light of their corporate distinctiveness and where they believe they have the right to win in their industry.

    Based on the strength of their brand and the unique competencies they have, particularly through the combination of LiveArea and PFS, I believe LiveArea has the ability to grow at a healthy rate on a long-term basis. They are committed to translating their addressable market opportunities into specific action plans that will make a difference in 2019 and produce a better LiveArea top line performance, while they work to maintain the profitability progress we’ve made within that business segment.

    Tom and I look forward to engaging with all of their investors to answer questions and communicate their exciting story. They hope to have opportunities to meet with you over the next several months. And as always, we’re happy to make ourselves available by phone. Lisa we’re now going to open up the call for questions and answers.

    Question-and-Answer Session

    Operator

    Thank you, sir. [Operator Instructions] We’ll go first to George Sutton with Craig-Hallum.

    Jason Kreyer

    Hey, gentlemen, good afternoon, it’s Jason on for George. Mike, can you talk through some of the headwinds that you’re experiencing on the LiveArea side, as we’ve talked over the last quarter or so some of this was related to specific platform challenges. So, I was wondering if you could maybe walk through what you’re seeing on a platform basis if that’s actually where you’re seeing some of the delayed projects?

    Mike Willoughby

    Sure. Jason, I’ll provide some color. I think for me the issue is really the number of at-bats that we’ve had this year as far as opportunities to engage in these platform implementation projects. And their experience and guess the color that we’re receiving from other competitors in the market and their channel partners to an extent is that it’s just been a slower year this year for these kind of large new implementations. I think there’s a variety of reasons for that, probably different reasons for each partner, but the result has just simply been a slower year for us in signing the new implementations.

    When you look at some of the specifics they talked earlier in the year about Adobe’s acquisition of Magento, I think that’s caused some people to kind of pause and wait to see what happens there. They talked earlier in the year about the continued integration of Demandware into the Salesforce organization and some of the organizational changes there.

    I just think there has been several different things that kept kind of come together to create this moment in time change. I would expect that based on what we’re seeing with their pipeline and the word at various conferences that we’ve attended that things would return more to normal next year, but I think we’ve learned from this year that they don’t want to just rely on that kind of lead flow to drive their results.

    So, they are going to be looking at opportunities that they may have to be less reliant on the big new implementations in order to grow the business, not that they ever want to turn that business away. They so definitely want that to be part of the mix. But as I mentioned in my prepared comments, we’re going to be looking into 2019 at ways in which they can control their destiny to a greater extent and be less dependent on the big implementations to drive a significant portion of their LiveArea revenue.

    Jason Kreyer

    So on that point, some of those deals that you’ve already booked at that just or maybe not booked, but things that you expected to occur, that have been pushed out, are those the large implementations that you’re talking about? And then, is there anything you can do there to kind of influence that to get those moving forward for customers, or you just kind of at their mercy a little bit on what the rollout time frame looks like?

    Mike Willoughby

    Right. Well, I think the delays, is just one component of that overall revenue softness. The reason that they called it out is because it’s a bit unusual to have a couple of large wins that once signed would kind of go into a delay mode. It’s much more typical, almost universal that signing a contract means that we’re immediately beginning to work on the project and spending up resources to work on it. So the fact that they actually have more than one that’s doing that I think is unusual, and they felt like it deserved some comment.

    As far as what they have control over, the individual situations vary a little bit in one case, it is a large implementation, it’s a fairly complex digital transformation project that we’re working on and the client has just spent much more time in sort of design phase as they have been planning for the deployment. So that certainly generates some activity for us, but not nearly the activity that will come from the actual project of deploying the e-commerce platform and so that is just stretched out much longer than they would have expected and as I said in my comments, they really now expect to not really get into the real project work until early 2019.

    In another situation, it’s more of a budget situation where the client for budgetary reasons simply put the project on hold until they get new budget allocation that the first of the year. So in that case, there’s really nothing that they can do to accelerate that they just go on hold and wait for them to re-kick off the project in the first part of the year. So, there’s different situations there, obviously, we’re going to do everything they can to work to bring those projects back in the case of the one where the discovery time is lengthening, we’re obviously working with the clients to try to answer the questions and get prepared. So that’s the color I have on that.

    Jason Kreyer

    Great color. Thank you, Tom. One for you, just trying to dissect the margins a little bit here. The last few quarters have all been nicely above the gross margin range that you provided and given that there is a little bit slower returns on the LiveArea side, which is the higher margin segment that would lead me to believe that should provide a benefit to margins once that re-accelerates kind of in the 2019 time frame. So just wondering if you can break that down in terms of in why we’d stay in the 30% to 35% range, why they couldn’t still kind of continue at the 35% to 37% that it’s been at?

    Tom Madden

    So, for the last couple of quarters it has been operating closer to the 37% range. They have had some benefit in those quarters applicable to incremental project work and a few higher-margin offerings that they hope to see continue into next year, but I just want to be a little bit careful there. I believe my comments are valid in that – in their real objective, while we’ve got a little bit of a larger rates there, that 30% to 35%. Their objective based on their outlook today would be toward the high end of that range and I feel comfortable with that. But again, it’s kind of the timing and the recurring miss of the project work and some of the one-off types of opportunities out there are little bit harder to predict.

    So, I think it’s a little bit more appropriate to reflect that type of range. In addition, as they look at Q4, you will see a higher percentage of their overall service fees coming from that profession – PFS Operations business, and as a result, just from a revenue mix standpoint that gross margin is generally a little bit lower on an overall basis, because of that revenue mix.

    Jason Kreyer

    Okay. Thanks guys.

    Operator

    [Operator Instructions] Up next, we’ll go to Kara Anderson, B. Riley FBR.

    Kara Anderson

    Hi, good afternoon.

    Mike Willoughby

    Hi, Kara.

    Kara Anderson

    I just actually kind of wanted to jump back on the margin talk. So I’m just wondering, can you talk a little bit about the service fee margin for the PFS Operations segment in the fourth quarter, since I don’t think we’ve seen the fourth quarter broken out yet. Obviously, I know as you said, Tom, that total margins are impacted by the shift, but what’s the dynamic within the segment with the higher volume that flows through in the holiday period?

    Tom Madden

    Again, I would – I guess – think that as they look at Q4, they would expect to be towards the high end of that consolidated service fee gross margin range, and not quite all the way up to that 37% that we’ve been performing at. So I think it could probably be a little bit, towards the high end of that range would be my current expectation.

    Kara Anderson

    So, if I look at the margin that they saw in the first part of the year, sort of for that PFS Operations, I think you called it out, it’s almost near 30%, just above the 20% to 30% target you’re saying that, for the holiday period, you would expect also to stay sort of in that range with that volume?

    Tom Madden

    In that range, yes. The guidance range they have on that Operations side is kind of targeted 20% to 30% range. They have been at the high end of that range. I would expect that they would continue to stay at the high end of that range during Q4.

    Kara Anderson

    Okay, thanks. And then on – can you talk a little bit about the trim to SG&A in LiveArea, what particular items or actions you took?

    Tom Madden

    So a lot of it is just ensuring that the utilization rate of their team members is stronger than where they have been in the past. And they also adjusted some of their – just ongoing SG&A costs, for the management, etcetera, in order to more prudently manage that business as they go through this revenue softness that we’re currently experiencing.

    Kara Anderson

    Okay. And then on the Fulfillment-as-a-Service offering that you’re deploying for the holiday period, because this is something new and it’s only been piloted at this point, is there execution risks that could materially impact your bottom line in fourth quarter?

    Mike Willoughby

    So – I don’t think so. One of the reasons that they went through the very diligent process of piloting the concept, and then what they didn’t talk about on the prepared comments, is that we’ve actually kind of operated sort of in this mode within their production environment this year, where even though they were in a single facility, they were really effectively distributing orders between two different environments. It’s almost picking up the environment that they have today in a production facility, and effectively moving it to a temporary facility.

    All of the processes, equipment is fully utilized in this part of their production, sort of state-of-the-art. And they actually have that now deployed in Toronto, ready to go. So I really don’t think there is execution risk associated with the production pop-up that we’d operate. Or if they look kind of to the future, doing these additional pop-ups for special events or other seasonal peaks in other geographies, I think we’ve engineered this with the portability and the modularity to deploy without execution risk.

    Kara Anderson

    Got it. Thank you so much.

    Mike Willoughby

    You’re welcome. Thank you.

    Operator

    At this time, there are no further questions, so I’ll hand the conference back to their speakers for any additional or closing remarks.

    Mike Willoughby

    Okay. Thank you, Lisa. I’d like to thank everyone that attended the call today, and they look forward to speaking with their investors and analysts, as they report their fourth quarter results in March. Obviously, they continue to be very excited about some of the developments within the business, particularly the FaaS initiatives, and look forward to talking about those in more detail over the next few months as well.

    Tom Madden

    Thank you, everybody.

    Operator

    Ladies and gentlemen, that does conclude today’s conference. They would like to thank you all for your participation. You may now disconnect.

    SeekingAlpha

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    Infosys Hub to 'Reskill' Workforce By Andy Ober Assistant Managing Editor 2018-11-16T18:01:59Z

    India-based Infosys, which today broke ground on a $35 million U.S. Education Center in Indianapolis, says the campus is focused on preparing the American workforce for the technology jobs of the future. "Continuous learning and reskilling are core components of Infosys' DNA," said Chief Operating Officer UB Pravin, adding the company will use the facility on the former Indianapolis International Airport terminal site to train 10,000 new American hires.

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    Marian University has named Jeffrey Jourdan executive director of Saint Joseph's College of Marian University - Indianapolis, its new two-year institution. Michael Nichols will serve as associate director and dean of SJC@MU. In October, Marian and Saint Joseph's College in Rensselaer detailed a partnership to launch the school near Marian's Indianapolis campus. St. Joe suspended operations in 2017 after massive debt responsibilities forced the school into an attempted rebirth.

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    Makerspace, Design Center Coming to Fishers By Andy Ober Assistant Managing Editor 2018-11-15T18:18:27Z

    A planned design center and makerspace in Fishers will target what its founder calls a "labor crisis" in the home building and design industry. David Decker says the $14 million Hub and Spoke will have showroom, office and warehouse space for member companies along with what he calls a one-of-a-kind makerspace for hobbyists, entrepreneurs and students. He says the makerspace will serve as a "shop class on steroids" and offer equipment including...

    Infosys to Break Ground at Airport Site By Alex Brown Multimedia Journalist 2018-11-15T21:09:35Z

    State and local officials will Friday break ground on a new U.S. Education Center for India-based Infosys. The company is initially investing $35 million to transform more than 70 acres of the former Indianapolis International Airport terminal site into a training center and 250-person residential facility totaling 125,000 square feet.


    Proactive strategies to position and protect your organisation | killexams.com real questions and Pass4sure dumps

    Get free weekly news by e-mailAs practitioners in the industry, they all understand the importance of a disaster recovery plan and why they need to maintain continuity of operations, but what does it really mean to be resilient? By Spencer Anderson, IBM

    Business resiliency can be defined as the ability to adjust easily to change.The key to resilience rests in maximising the ability of systems and processes to effectively support a business under any adverse, fast changing, or unexpected condition. Change - whether caused by economic factors, natural disasters, governmental decisions, or other sources - is a constant. Resilience is different to recovery and continuity; it means being flexible enough to adapt to both positive and negative influences. It is a catalyst to propel your business forward while your competition sits still. It requires proactive, structured, integrated efforts by both IT and business executives.

    The evolution of riskPreparedness has evolved as infrastructures and business models have evolved. The evolution of business needs and service capabilities has extended the requirement to incorporate a proactive plan for business availability and protection at the industry level, whereby the risk of an interruption has a systemic effect both inside and outside the enterprise.

    The appropriate degree of resilience for your organisation is determined by your business priorities, risks, the impacts of those risks, and subsequently the organisation’s tolerance for risk.

    Business and IT must act together as one dynamic organisation in order to more quickly respond to changes in market demands and man-made or natural stresses placed on the organisation. These demands and stressors create an increased need for IT capability, availability, security, and event management. Thus, change fosters a convergence of business and IT risks.

    However, business and technology executives are typically uncomfortable with unexpected demands. To address their uneasiness with the unexpected, they often seek holistic, prioritised solutions that exploit positive and deflect negative aspects of these demands.

    Stressors and influencersBefore you can assess where your business is today and develop a valid strategy and approach, it is important to recognise the range of stressors and demands that exist in today’s business environment. Further, it is critical to understand how resilience relates to each of these stressors and demands.Business can face a variety of obstacles on a day-to-day basis. Some of the more common stressors can be the product of the following external forces:

    Political - Governments, insurance underwriters, and industry regulatory bodies are mandating safeguards to protect the economy, political constituents, and business customers. In addition, these same organisations are pushing for more freedom to electronically monitor transactions and participants.

    Economic - Today’s organisations are dependent on the rapid and smooth operations of a vast array of business partners. A disruptive merger, bankruptcy, or even momentary operational failure of a key supply chain partner can cause significant disruption.

    Social - Social strains include increased demand for productivity and innovation; increased demand for rapid access to accurate and reliable information; and uncertainties in human behaviour, namely in the form of terrorism.

    Technological - Technology and the growing complexity of applications and systems, as well as a shortage in IT support personnel, will drive greater attention to resilience strategies. Businesses will have to think less about disaster probability and more about the increasing dollar value of a failure should it occur.

    Keys to resiliencySuccessful strategies for resilient business include the following:

    View the problem and solution in broad terms.* Understand how your business model has/will change.* Realistically assess where you are in the process.* Assess your organisation’s risk based on an expanded view of stresses/influences.* Educate others in your organisation.* Incorporate resiliency strategy in the budget cycle.* Increase and measure resiliency over time.

    Environmental - While the ills of building a data centre in an area prone to natural disaster seems like an obvious “no-no,” some environmental factors are not as predictable, such as a truck accident that spills radioactive waste. Overall, the current view regarding resilience is maturing from a focus on terrorism or natural disasters to the broader realisation that other equally challenging issues are at play.

    Understanding resiliencyMany stresses and strains put increased demands on technology and the business continuity process. So what can you do to assist your organisation in building resiliency?

    When developing a resiliency strategy, notes that it’s not only a strategy for availability or continuity, but should also include your technology strategy, financial strategy, governance strategy, and even corporate culture. In developing a resiliency strategy, an organisation must also prioritise infrastructure elements based on criticality;

    * Consider overlapping relationships between infrastructure elements;* Understand that no infrastructure element can be completely resilient;* Balance the degree of resiliency with the risk and the cost of mitigating that risk;* Establish a policy for ongoing maintenance and exercise;* Develop close partnerships between the business and IT sides of an organisation;* Make resiliency part of the organisation’s day-to-day operations;* Recognise that concepts are universal, but solutions are custom.

    A layered approachVarious layers of business and IT functions should be examined when building resiliency. Those layers are:

    Strategy - This layer merges the enterprise's business strategies and IT strategies at the highest levels. Since an overall strategy reflects a comprehensive analysis of a business in relation to its marketplace, industry, and value chain, resilience planning must be viewed as a continuous process. As market demands change and businesses change with these demands, vulnerability points also change.

    Business and IT processes - Resilience plans should concentrate on both the business and IT processes that are most vital to the enterprise. Creating and sustaining processes that support resilient business operations and infrastructures requires: identification of the minimum required process functionality during disruptive events; alternate processes and procedures that allow operations to continue during periods of stress; redefinition of processes to achieve better workload balance. Alternate processes and contingency plans should be clear to stakeholders at all levels in the organisation, while still adhering to a corporate governance model that safeguards against improper use of business processes or assets.

    Data and applications - Companies must constantly provide reliable information to people both inside and outside the enterprise from multiple, disparate data and application sources. Rather than being aligned only with technology, data and applications are now tightly linked with business processes. Diversification of applications allows for greater workload balancing, as well as protection against organisational impacts due to the loss of key personnel.

    Technology - Technology plays an essential role in building a resilient, flexible business. Since a significant portion of most business budgets is used for building IT infrastructure, it is prudent to align these investments with the enterprise’s resilience objectives. Technology components to consider when planning for resilience include hardware architectures, system software, middleware, and networks. Each component must be examined to ensure that its level of availability - through reliability, redundancy, or failover - is in line with the firm’s resilience objectives.

    Facilities and security - Facilities and security reviews should include environmental considerations; geographical locations and distribution; levels of security (physical and logical) access to the facilities; and power protection plans. A resilience plan encompasses all enterprise locations and addresses the unique features of each location. It also integrates with crisis management plans.

    Building the foundationBy defining resilience and the multiple layers that make it up, they are now ready to begin creating a resilient infrastructure. There are six key building blocks for implementing a resilient infrastructure: recovery, hardening, redundancy, accessibility, diversification, and autonomic computing. The first three building blocks are considered vital ingredients of successful business continuity plans, while the second set focuses on improving competitive position. These building blocks can be utilised homogeneously or in various combinations depending on a given company’s needs. Resilience is not simply insurance, but a comprehensive and robust strategy to gain competitive advantage. By implementing accessibility, diversification, and autonomic computing as part of a resiliency strategy, a company can proactively determine its competitive position in the marketplace.

    Accessibility lets enterprise personnel, partners, and customers easily access infrastructure from anywhere, in the event that the primary work site is inaccessible. It includes the deployment of diverse communication technologies such as wireless, fax, e-mail, and instant messaging. Diversification pertains to the physical distribution of resources (hard assets and people) and the implementation of redundant/diverse networking capabilities to diffuse the impact of a disaster. The goal is to create an operational infrastructure that is physically distributed but capable of being managed as a single entity. Autonomic computing describes the inclusion of self-managed hardware and software components in the infrastructure. These components either self-regulate themselves, making decisions without human intervention or, at a minimum, bypass a problem and alert the human attendant to initiate appropriate action. Much of this capability is available today and more will be introduced to the market in the near future.

    ConclusionKeep in mind that resilience is more than just restoring IT operations. It addresses seamless and continuous business transactions, exploits market opportunities, increases your competitive advantage, and delivers business outcomes by ensuring performance against key business metrics, regardless of stresses on the organisation. It can only be successful if continuity professionals understand the new opportunities available to them and provide the necessary leadership in their organisations.

    About the authorSpencer Anderson is a business development executive with IBM Global Services in Sterling Forest, New York. During his time with IBM, Mr. Anderson has also served as national director of sales and customer support for IBM’s Business Continuity and Recovery Services. He can be reached atspencera@us.ibm.com

    IBM Business Continuity and Recovery ServicesIBM Business Continuity and Recovery Services (IBM) is a leading provider of business resilience, continuity and disaster recovery solutions. IBM is able to draw upon more than 35 years experience in assisting clients to develop and implement their business continuity strategies and plans. As part of this service, IBM has completed thousands of engagements, large and small, on behalf of over 5,000 clients across a range of industries around the world.

    Besides its expertise in business continuity management, IBM has skills in security, high availability solutions, systems and data management, network design and implementation, machine room building and desktop infrastructure as well as platform and application knowledge. Following its acquisition of the PricewaterhouseCoopers Consultancy, IBM also has industry-leading general business consulting skills. This ensures that IBM has a solution for any unforeseen issue likely to be encountered by its clients.

    http://www-1.ibm.com/services/uk/index.wss/offerfamily/its/a1009125BCRSHELP@uk.ibm.comT: 01926 464103

    This article was first published in Contingency Planning & Management.September October, 2003, VIII, #6. Reprinted with permission from Witter Publishing Corp.

    •Date: 9th January 2004 •Region: Worldwide •Type: Article •Topic: BC generalRate this article or make a comment - click here



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