IBM Company

IBM Company History 

 

The IBM company results from the merger with The Tabulating Machine Company. The International Time Recording Company, and The Computing Scale Company of America. 3 companies in the 19th century formed The Computing-Tabulating-Recording Company (CTR) then called IBM (International Business Machines Corporation). 

Thomas Watson, allows IBM to become the innovative and competitive company as we know it today, by adopting a new management strategy and a unique corporate culture that will make IBM, the ally of the American government during the recession by maintaining jobs and continuing to hire engineers in times of crisis. 

Despite the war, IBM maintained its international activities and continued its ascent through the formation of the World Trade Corporation to manage these operations. In 1957, the first offices opened in Hong Kong, in 1956, Switzerland was chosen to set up a research laboratory there. 

In the 1950s, Thomas Watson transformed IBM into a modern company by formalizing managerial codes and practices, social policy, and the values of the firm. It combines all of this into a program which is then taught and passed on to each employee. Watson focuses the company's activity on technology development and the sale of electronic components for computers. These advances allow IBM to become the world's leading high-tech company. 

In 1964, IBM invented the "System / 360" computer which was a real success from its release and allowed the firm to considerably increase its profits. Following this commercial success, the company decided to benefit its employees and improve its social policy. 

From 1965, IBM computers equipped NASA and, in 1969, contributed to the sending of the first men to the moon. 1969 also marks the development of the first voice recognition applications. 

In 1971, IBM offered the first data storage disks which made it possible to easily transfer information from one computer to another. The firm is also creating a device that can read bar codes on products in supermarkets. 

At the start of the 1980s, IBM tried to make the computer a domestic tool, a symbol of modernity, by democratizing it not only for companies but also for schools and families. During this decade, innovation is in the spotlight at IBM. The firm's scientists win Nobel Prizes for their research and discoveries. Despite this recognition, IBM is experiencing economic decline and is faced with increasingly numerous and competitive competitors. 

However, at the end of the 1990s, IBM anticipated the arrival of the Internet and succeeded in changing its strategic direction by focusing on the customer. The company is at the cutting edge of technology. Always with this spirit of innovation, IBM attends the beginnings of e-commerce and perceives the future of this business. 

IBM is a company that benefits from a global network of collaborators that we call IBMers whose state of mind and values reflect the modernity of the company as well as its desire to establish a collaborative and human spirit behind the machines that it manufactures and programs.

 

Sectors / Business unit of the IBM company 

International Business Machines Corporation operates in the computer services industry. Its activity consists of offering IT services such as advice, financial management, customer relations, technical support. IBM develops and markets computer software as well as hardware (peripherals, data storage, etc.), microcomputers, operating systems (Linux for example). 

Breakdown of turnover by the activity of the IBM company: 

• 56.3% IT services 

• 24.4% software 

• 16.9% manufacturing and marketing of computer equipment 

• 1.9% financing of IT equipment 

• 0.5% other 

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IBM presence in the world 

IBM has more than 434,245 employees around the world, it is one of the world leaders in IT services. It is present in more than 200 countries around the world. 

Geographical distribution of IBM's activity: 

• 34.7% in the United States 

• 30.4% in Europe / Middle East / Africa 

• 24.8% Asia-Pacific 

• 10.1% other countries 

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IBM leadership 

The Chairman and CEO of IBM are Virginia M. Rometty. She chairs the Board of Directors composed of 13 people: 

• Alain Belda 

• William brody 

• Kenneth Chenault 

• Michael Eskew 

• David Farr 

• Shirley ann Jackson 

• Andrew Liveris 

• James McNerney 

• James Owens 

• Virginia pretty 

• Joan Spero 

• Sidney laurel 

• Lorenzo Zambrano 

The Board of Directors is supported by 4 committees: 

• the audit committee (4 members) 

• the corporate governance and management committee (3 members) 

• the executive compensation and resource management committee (4 members) 

• the executive committee (4 members) 

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IBM Company Financial Data 

International Business Machines Corporation is a public limited company listed on the Wall Street Stock Exchange on the Dow Jones Index. 

Number of shares: 1,108,794,000 

Market capitalization  : $ 225,130 million 

Distribution of IBM's capital: 

• 83.9% Free float 

• 5.5% Berkshire Hathaway 

• 5.4% State Street Corporation 

• 5.2% BlackRock 

  

Turnover from 2008 to 2012 in thousands of € 

2008	2009	2010	2011	2012
78 419 648	72 462 688	75,574,352	80 906 256	79 083 296

Net income from 2008 to 2012 in thousands of € 

2008	2009	2010	2011	2012
9 333 474	10,159,064	11,224,536	11 997 911	12 564 700

IBM Group Marketing Analysis 

You can consult the SWOT analysis of IBM  but also, many others in our SWOT Business section 

You can also consult the detailed files on the largest French and global companies in our company glossary