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Business optimization research
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Organizations must constantly adapt to rapidly changing business requirements
and increasing cost pressure. They need to optimize their business processes to
allocate scarce resources more efficiently. In today's businesses, many processes
are complex. Accurate data for optimization efforts is sometimes lacking, and
potential investments can be highly risky. Customers need our assistance to optimize
their processes and make quantitative simulations and predictions. Using our skills
in predictive modeling, stochastic optimization, portfolio theory, and simulation,
we provide our customers with highly customized solutions which address their
business needs.
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CELM & Finnair
IBM Customer Equity & Lifetime Management (CELM) is an advanced
analytical CRM solution for modeling and optimizing customer relationships.
CELM was developed in a joint project with Finnair, a major European airline,
with the aim of redesigning and optimizing its CRM processes.
The innovative contribution of IBM Research has been to introduce a new
concept of Customer Equity Management with supporting technology that
no ISV can provide today. This is not only what differentiates IBM so
strongly from its competition, it is also what significantly enhances
customer satisfaction. The project focused on estimating the customer
value, optimizing marketing campaign strategies and allocating marketing
resources into customer segments. This in turn maximizes ROI while reducing
risk.
The project received international recognition in an article appearing
in The New York Times (25 January 2004) and in the IBM Annual Report
2003 as a benchmark of innovation. Moreover, it was presented at the Customer
Executive Conference (EMEA and Americas) and before the Board of Directors
of IBM in September/October 2004.
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IBM BCS Service Delivery Excellence
Since 2001, we have been collaborating with IBM Business Consultant
Services (BCS) EMEA with the purpose of optimizing process for project
portfolio risk management.
The innovative contribution of IBM Research has been to introduce new
predictive modeling and simulation techniques, which allow us to better
estimate the risk and value of BCS projects at different phases (opportunity
management, design, and delivery).
The pilot project in EMEA was a strong success. A wider deployment is
expected.
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ING Bank
In 2004, IBM Research and ING Bank started an agreement to share their
knowledge and understanding of portfolio risk management.
Leveraging its expertise gained in previous projects, IBM Research is
providing analytical methods on IT project portfolios. This comprises
processes to assess and compare projects, as well as to identify risk
factors and techniques for project performance prediction. The final goal
is to help decision makers track and act on projects throughout the entire
project life cycle.
Further collaboration is expected in the short term.
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