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IBM’s CEO and outgoing exec chairman take home $38m in total for 2020 despite revenue shrinking by billions • The Register

IBM CEO Arvind Krishna and ex-exec-chairwoman Ginny Rometty were collectively awarded more than $38m in compensation for their services in fiscal 2020, a year in which Big Blue’s revenues shrank and operating profit more than halved.

According to the 2021 Notice of Annual Meeting and Proxy Statement, Krishna, who was elevated to top dog in April last year, made $17.009m. This included $1.353m in salary, $13.159m in stock awards, $2.181m in a non-equity incentive plan, $42,806 in pension and $274,146 in other compensation. He was confirmed as chairman months ago from 1 January when Rometty retired.

As for the outgoing exec, she was awarded a total of $21.062m: $1.6m salary, $12.728m in stock options, $4.25m in non-equity incentive plan, $100,604 for a change of pension retention plan value, $1.5m for change in value, and $883,314 for all other compensation. In the prior year, Rometty was handed $20.16m.

It’s tough at the top of IBM.

Rometty may have left Big Blue, but she is being retained, as we’ve covered before, as a contractor to provide consultancy. The document confirmed:

IBM’s payouts for execs have various scoring metrics: 80 per cent of the award was based on meeting non-GAAP metrics including operating income and operating cash flow; and 20 per cent of the weighting was based on group revenues.

The company itself reported a 4.5 per cent decline in turnover to $73.620bn for its fiscal 2020, which ran from January to December. The target had been $80bn. Similarly, the non-GAAP net profit target was $10.7bn but it came in at $7.8bn. The operating cash flow metric of $14.8bn also came up short at $13.8bn.

Others in the senior management team also had a prosperous year: CFO and senior veep Jim Kavanaugh was awarded $9. 746m, up from $7.14m; exec veep John Kelly got $8.456m versus $7.724m in 2019; and senior veep and general counsel Michelle Browdy was awarded $6.274m, up from $5.588m.

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The person given the biggest pay award was Jim Whitehurst, who ran Red Hat prior to its purchase by IBM for $34bn. He was subsequently appointed to the role of IBM president in 2020. His compensation package came in at $27.178m. This included $1.173m in salary; $22.4m in stock awards; $1.455m in a non-equity incentive plan; and $130,562 for all other compensation.

Whitehurst will be paid up to $6m in a cash retention payment, the first of which landed in July 2020 – the first anniversary of IBM’s buy of Red Hat. The second and third payments are due in July this year and next respectively, dependent on meeting criteria, including hitting financial targets.

In 2018 IBM was criticised by some on Wall Street for its execs not being financially rewarded to drive the top line. Rather it incentivised leaders to generate top-line growth with Strategic Imperatives (which include cloud, social, security and data).

Total revenues at IBM peaked in 2011 at $106.93bn in Rometty’s first year at the top and have fallen ever since.

Last year IBM reintroduced a total revenue component to comprise 20 per cent of execs’ pay metrics. For 2021 it has been increased further to account for 50 per cent of the scoring that determines leaders’ annual incentive pay and 40 per cent for the performance share unit. Also new is the Diversity Modifier, intended to motivate execs to ensure diversity in the workforce.

‘20,000-plus staff’ could face the chop in spin-off of IBM’s IT outsourcing biz, says Wall Street analyst

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It may come as no surprise to cynics that IBM is changing the compensation plan as it prepares to spin off the Global Technology Services division into a separately traded public company. GTS has been one of IBM’s areas that has shrunk dramatically for years, from $40.9bn in 2011 to $25.81bn in 2020.

Customers are buying cloud services and seemingly snubbing the classic infrastructure services provided by companies like IBM, DXC, and others. With GTS gone, IBM reckons it will be free to pursue the hybrid cloud.

GTS is due to be spun out at the end of this year. ®

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IBM Senior Consultant Job Description: Salary, Duties, & More

IBM is a global technology company that provides a wide range of products and services, including cloud computing, artificial intelligence, and analytics. IBM has been a leader in the technology industry for over a century.

A Senior Consultant at IBM is responsible for providing strategic advice and guidance to clients on how to best use IBM’s products and services to meet their business needs. They must have a deep understanding of the industry and the technology available to them, and be able to develop innovative solutions to complex problems. Senior Consultants must also be able to communicate effectively with clients and other stakeholders, and be able to manage multiple projects at once.

IBM Senior Consultant Job Duties

An IBM Senior Consultant typically has a wide range of responsibilities, which can include:

• Lead the development of innovative solutions to complex business problems, leveraging IBM’s technology and services
• Develop a deep understanding of client needs and objectives, and provide strategic guidance on how best to leverage IBM’s capabilities to meet those needs
• Lead project teams in the design, implementation, and delivery of projects that are tailored to each client’s unique requirements
• Work with clients to define scope, timeline, budget, and deliverables for each project
• Manage multiple projects simultaneously, ensuring successful completion within agreed-upon timelines and budgets
• Provide technical leadership and mentorship to junior consultants
• Collaborate with other senior consultants to develop new approaches and methodologies for solving customer challenges
• Act as an ambassador for IBM, representing the company at industry events and conferences
• Stay up-to-date on emerging technologies and trends, and share insights with colleagues
• Identify opportunities for additional sales and revenue growth
• Prepare detailed reports and presentations for internal and external stakeholders
• Participate in pre-sales activities such as proposal writing and client meetings

IBM Senior Consultant Salary

The salary for a Senior Consultant at IBM is determined by a variety of factors. These include the complexity of the job, the individual’s experience and qualifications, the size and scope of the project, the location of the job, and the current market rate for similar positions. Additionally, IBM may take into account the individual’s performance and the company’s financial situation when determining the salary for the position.

• Median Annual Salary: $125,086 ($60.14/hour)
• Top 10% Annual Salary: $164,800 ($79.23/hour)

IBM Senior Consultant Job Requirements

To be hired as a Senior Consultant at IBM, applicants must have a minimum of a Bachelor’s degree in a related field such as computer science, engineering, or business. Additionally, applicants should have at least five years of professional experience in a consulting role, preferably in the technology industry. IBM also requires applicants to have strong problem-solving and communication skills, as well as the ability to work independently and in a team environment. In addition, applicants must have a valid driver’s license and be willing to travel as needed. Finally, IBM may require applicants to have certain certifications or licenses, depending on the specific job requirements.

IBM Senior Consultant Skills

IBM Senior Consultant employees need the following skills in order to be successful:

Training: Training is the process by which an individual learns a new skill or improves an existing one. As a senior consultant, you may be responsible for training junior consultants on the skills they need to perform their job. You may also be responsible for training clients on how to use new software or hardware.

Leadership: Leadership skills can help you become a more effective manager and team leader. As a senior consultant, you may be responsible for managing a team of junior consultants or working with a team of software engineers. Leadership skills can help you motivate your team and encourage them to work together to achieve common goals.

Business Strategy: Senior consultants often work with business strategy, which involves analyzing a company’s goals and objectives and developing plans to achieve them. This can include developing strategies for improving customer satisfaction, increasing sales and improving employee productivity. Consulting firms often hire senior consultants to help develop strategies for their clients.

Salesforce: Salesforce is a cloud-based customer relationship management (CRM) tool that companies use to manage their customer data. Senior consultants often use Salesforce to help clients manage their customer data and track their sales.

Project Management: Project management skills allow you to oversee the various aspects of a project, including planning, scheduling and budgeting. As a senior consultant, you may be responsible for managing multiple projects at once, so it’s important to have strong project management skills.

IBM Senior Consultant Work Environment

IBM Senior Consultants typically work in a fast-paced, high-pressure environment. They are expected to be able to quickly analyze and solve complex problems, and to be able to work independently and as part of a team. Senior Consultants are expected to travel frequently, often to client sites, and may be required to work long hours and weekends to meet deadlines. They must be able to work in a variety of settings, from corporate offices to client sites, and must be able to quickly adapt to changing environments. Senior Consultants must also be able to communicate effectively with clients and colleagues, and must be able to present their ideas in a clear and concise manner.

IBM Senior Consultant Trends

Here are three trends influencing how IBM Senior Consultant employees work.

Artificial Intelligence

Artificial Intelligence (AI) is becoming increasingly important for IBM Senior Consultants to understand and leverage. AI can be used to automate mundane tasks, such as data entry or customer service inquiries, freeing up time for consultants to focus on more complex projects. Additionally, AI can help identify patterns in large datasets that may not be immediately obvious, allowing consultants to make better decisions faster.

AI also has the potential to revolutionize how businesses operate by providing insights into customer behavior and preferences. By understanding these trends, consultants can provide valuable advice to their clients on how to optimize operations and increase efficiency. As AI continues to evolve, it will become even more essential for senior consultants to stay ahead of the curve and use this technology to their advantage.

Remote Working

Remote working is becoming increasingly popular as businesses look for ways to reduce costs and increase efficiency. IBM Senior Consultants are now able to work from anywhere in the world, allowing them to access a larger pool of talent and resources.

Remote working also allows consultants to be more flexible with their schedules, which can lead to increased productivity and better job satisfaction. Additionally, remote working eliminates the need for expensive office space, reducing overhead costs.

IBM Senior Consultants must understand how to effectively manage remote teams and use technology to collaborate efficiently. They must also have strong communication skills to ensure that projects remain on track and deadlines are met.

Automation

Automation is becoming increasingly important for IBM Senior Consultants as they look to streamline processes and increase efficiency. Automation can be used to automate mundane tasks, such as data entry or report generation, freeing up time for more complex problem-solving. It can also be used to improve customer service by automating customer interactions and providing faster responses.

IBM Senior Consultants must understand the implications of automation on their work and how it can help them better serve their clients. They should also be aware of the potential risks associated with automation, such as errors in data processing or security breaches. By understanding these issues, IBM Senior Consultants can ensure that their automation solutions are secure and effective.

Advancement Prospects

IBM Senior Consultants are expected to have a deep understanding of the company’s products and services, as well as the ability to provide strategic advice to clients. As consultants gain experience and demonstrate their expertise, they may be promoted to higher-level positions such as Senior Manager or Director. Senior Consultants may also choose to pursue a career in management consulting, where they can provide strategic advice to a variety of clients. Alternatively, they may choose to move into a more specialized role, such as a Business Analyst or Project Manager.

Interview Questions

Here are five common IBM Senior Consultant interview questions and answers.

1. We want our consultants to be able to work independently. Do you think you would be a good fit for that type of environment?

This question is designed to see if you are comfortable working independently. It also helps the interviewer determine whether or not you would be a good fit for their company culture. When answering this question, it can be helpful to mention that you enjoy working independently and have experience doing so.

Example: “I am very comfortable working independently. In fact, I prefer it because it allows me to work at my own pace without having to wait on others. I find that when I’m working with other consultants, I sometimes feel like I need to rush through things in order to keep up with them. Working independently means I can take all of the time I need to do my job well.”

2. Do you have experience working in a team environment?

Working as a senior consultant requires you to work with other professionals in the company. Employers ask this question to make sure you have experience working in teams and collaborating with others. Use your answer to explain that you enjoy working in a team environment and are willing to do so at their company.

Example: “I’ve always enjoyed working in a team environment, especially when I’m working on a project with a group of talented individuals. In my previous role, I was part of a team of five consultants who worked together to solve our clients’ problems. We each had different skills and expertise, which allowed us to collaborate effectively and provide solutions for our clients.”

3. What is your greatest strength?

This question is a common one in interviews. It allows you to highlight your skills and abilities that make you an ideal candidate for the position. When answering this question, it can be helpful to think about what makes you unique as a professional. Consider which of your strengths would help you succeed in this role.

Example: “My greatest strength is my ability to work well with others. I am always looking for ways to collaborate with other professionals to achieve our goals. In previous roles, I have found that many projects are more successful when team members communicate regularly. I also find that by working together, we can learn from each other’s experiences and expertise.”

4. IBM is a company that emphasizes innovation. What do you think is the most important thing to remember when trying to be innovative?

This question is an opportunity to show your knowledge of IBM’s culture and values. You can answer this question by describing the importance of innovation in business, how you approach it and what you think are some of the most important factors when innovating.

Example: “Innovation is a key part of any successful company because it allows businesses to stay ahead of their competition. I believe that there are three things that are essential for being innovative. First, you need to have a good idea. Second, you need to be able to communicate that idea effectively. Finally, you need to be willing to take risks.”

5. Tell me about a project that you worked on with a team. Why was it successful?

This question is a great way to learn more about your candidate’s teamwork skills. It also allows you to see how they view their own contributions to the team and project.

Example: “I worked on a project with a small team of three other consultants. We were tasked with helping a client develop an online store that would allow them to sell products directly to customers. The client already had a website, but it was outdated and didn’t have many features. Our team met with the client several times to discuss what they wanted from the new site. Then we developed a plan for how we could help them achieve those goals.

We split up the work based on our strengths and assigned tasks to each member of the team. I took charge of creating the database for the website. My teammates helped me create the front-end interface and design the look of the website. Together, we completed the project in six months.”

The American company IBM stops working in Russia 03:00

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The American company IBM stops working in Russia

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Moscow, Jun 7-PRIME. The American company IBM, which produces hardware and software, has announced the suspension of all operations in Russia, has already announced to employees about the reduction.

“One of the last employees of the support department was laid off, they were thanked for the years of work in the company,” a source in the Russian representative office of the company told RIA Novosti.

He added that employees were not offered relocation to another country to maintain their position.

Earlier, IBM published a press release announcing the suspension of operations in Russia.

Oracle suspends operations in Russia

“First, let me be clear: we have suspended all operations in Russia,” CEO Arvind Krishna said in a release on the company’s website.

He also spoke about measures to support the Ukrainian employees of the company, in particular, on the issue of assistance with evacuation from the country.

“IBM employees around the world are encouraged to continue to donate to the International Red Cross. In Ukraine, we are constantly in touch with our local teams and continue to provide assistance, including relocation and financial support. Safety and protection of IBM employees and their families in all areas affected this crisis remains our top priority,” he added.

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