FORTUNE SEPTEMBER 15, 2015
Virginia Marie "Ginni" Rometty (born July 29, 1957) is the current Chairman, President and CEO of IBM, and the first woman to head the company.
Ginni Rometty on Forbes Lists
#63 Powerful People (2015)
#55 in 2014
#13 Power Women (2015)
When Virginia Rometty became chief executive of IBM IBM 0.69% in 2012, she took control of a company that was took in more than $100 billion in annual revenue but was clearly facing an existential crisis as rapidly rising cloud computing technology threatened its core businesses.
Challenges Rometty faced as the new IBM’s CEO:
1. IBM Forgot Who They Were
The “M” in IBM is for Machines. Machines for International Businesses; that is who IBM was. IBM figured out that it was much cheaper to sell services than it was to produce goods, and so they focused their efforts on these “high margin” services instead of equipment that was capitally intensive, was quickly commoditized, and was not able to sustain such a strong business model.
2. IBM’s Sales Culture is Poison
Many of its executives have no real knowledge about the products and services they sell.
3. IBM Sells Futures
IBM needs to stop selling futures, and just make stuff that works, service it well, and help its customers get value from it.
IBM’s global strategy is based on three pillars: