Question: IBM is a Globally Integrated Company IBM is changing its
IBM is a Globally Integrated Company IBM is changing its management practices of the past to practices consistent with the competitive reality of today. The standalone operations that served local customers have been replaced with a global network of operations strategically located based on where the work can be best done. IBM has dramatically increased the number of employees it employs in low-cost countries. Originally these employees were targeted for their low salaries, but now IBM is also concerned about tapping the human capital of the abundant labor pool. There are some challenges with trying to manage 375,000 employees spread across six continents, and IBM is using technology to help manage these challenges. The company uses databases that contain profiles of employees that list their skills and availability to work on projects. This allows IBM to create global teams with the requisite skills for a project in a quicker and more economical way. IBM also uses overseas assignments to facilitate the global integration process and managers are expected to immerse themselves in the culture of where they are assigned. For Discussion: How is IBM using technology to manage its global operations?
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