Newsletters
Customer Relationship Management News NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
This ad will display for the next 20 seconds. Click for more information, or
Home CRM Systems Customer Service Contact Centers Business Intelligence More Topics...
Enterprise I.T.
24/7/365 Network Uptime
Average Rating:
Rate this article:  
Varicent Deal To Expand IBM
Varicent Deal To Expand IBM's Business Analytics Mix

By Mark Long
April 13, 2012 11:47AM

Bookmark and Share
Varicent's software, acquired by IBM, is focused on the automation of sales activities in the areas of compensation, incentives, quota development, territory optimization and more, said Ventana Research CEO Mark Smith. With the acquisition of Varicent by IBM, Varicent's analytics can be rented in the cloud or hosted for easier management.
 



IBM has agreed to acquire privately held Varicent Software under undisclosed financial terms. The Toronto-based company, which provides analytics software for compensation and sales performance management, has 180 clients in the banking, insurance, retailing, IT and telecommunications sectors.

IBM recently announced the introduction of new Smarter Analytics offerings for addressing the emerging Big Data opportunities with respect to managing financial operations as well as decreasing fraud and nurturing next-generation customer relationships. Once IBM's Varicent deal closes, Big Blue expects to further advance its business analytics market leadership through the introduction of even more capabilities.

"The goal and aim of the addition of Varicent's sales performance management software will be to integrate it into our BA portfolio and existing offerings," an IBM spokesperson said Friday. "It is a nice complement to our existing performance management portfolio."

The Varicent acquisition -- combined with IBM's prior acquisitions in business analytics including Algorithmics, Clarity Systems, OpenPages and Cognos, and recent investments in predictive analytics such as SPSS -- is expected to provide IBM's clients with an even broader range of business analytics offerings.

However, it remains unclear exactly how IBM will be integrating the mix of technologies it has already acquired with Varicent's single management system, which is driven by a sophisticated calculation engine that models and analyzes the effectiveness of incentive spending.

"Since we just announced the definitive agreement to acquire Varicent, full details of the integration will not be disclosed at this time as they are still being worked out," IBM's spokesperson said.

Driving Enterprise Interest

Earlier this year, Gartner noted that the need for more advanced incentive compensation management functionality has been driving enterprise interest in packaged ICM solutions. In a report released last month, the research firm awarded Varicent's ICM platform a positive rating.

"Through 2012, enterprises will miss the equivalent of 5 percent to 10 percent of annual sales as lost opportunities," said Gartner analyst Michael Dunne. This could have been captured through improved management of sales territories, quotas and compensation plans, Dunne said.

For example, the increasing complexity of the commission, bonus and other payment schemes for insurance agents has rendered the basic ICM functionality in policy administration systems and even spreadsheets inadequate for insurers, driving interest in packaged ICM solutions, said Gartner analyst Steven Leigh.

"These legacy platforms are inefficient, inflexible and expensive and can pose liabilities to ensuring good governance over variable-pay expenses," Leigh said.

Reducing Errors and Processing Times

Varicent's software is focused on the automation of sales activities in the areas of compensation, incentives, quota development, territory optimization, channel management, analytics and planning, said Ventana Research CEO Mark Smith. And they can be rented in the cloud, hosted for easier management or purchased for use inside the organization.

More than 180 customers are already using Varicent's software, including Farmers, Hertz, Manpower and Office Depot. "Sales management is looking for intuitive metrics that can be centrally managed and work interactively," Smith wrote in a blog.

Gartner estimates that organizations adopting compensation management solutions can expect to reduce errors by more than 90 percent. Moreover, the research firm believes that these solutions can reduce processing times by over 40 percent.

"For the thousands of sales organizations still relying on silos of data, spreadsheets and e-mail to manage sales, there is an enormous opportunity to apply analytics to this vital area of business and uncover new, untapped growth opportunities," said Les Rechan, IBM's general manager of business analytics.
 

Tell Us What You Think
Comment:

Name:

Maria Elena:

Posted: 2012-04-17 @ 12:51am PT
IBM has long been trusted in the computer software industry but they were able to manage to survive in the business despite the surge in small and cheaper business software solutions.

On the other hand, please allow me to share about KarmaCRM.com. With Karma, it's easy to stay on top of all your sales contacts, tasks and proposals. It's so easy to use and offers a free 30-day trial for all users.



UCS Invicta: Integrated Flash Why wait for the future? Unlock the potential of your applications and create new business opportunities today with UCS Invicta Series Solid State Systems. Take advantage of the power of flash technology. See how it can help accelerate IT, eliminate data center bottlenecks, and deliver the peak application performance and predictability your users demand. Click here to learn more.


 Enterprise I.T.
1.   BlackBerry Acquires Secusmart
2.   BlackBerry BES 10 Now Hosted
3.   Teaming Up: CIOs, IT Asset Managers
4.   Juniper DDoS for High-IQ Networks
5.   IBM Rolls Out Hybrid Cloud Services


advertisement
Backlash Stirs Against H-1B Visas
Debate over foreign workers continues.
Average Rating:
BlackBerry Acquires Secusmart
German security firm offers street cred.
Average Rating:
IBM Rolls Out Hybrid Cloud Services
Based on SoftLayer net infrastructure.
Average Rating:


advertisement
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Canadian Government Charges China With Cyberattack
The government of Canada is not happy with China. Canadian officials have accused "a highly sophisticated Chinese state-sponsored actor" of launching a cyberattack on its National Research Council.
 
Researchers Working To Fix Tor Security Exploit
Developers for the Tor privacy browser are scrambling to fix a bug revealed Monday that researchers say could allow hackers, or government surveillance agencies, to track users online.
 
Wall Street Journal Hacked Again
Hacked again. That’s the story at the Wall Street Journal this week as the newspaper reports that the computer systems housing some of its news graphics were breached. Customers not affected -- yet.
 

Enterprise Hardware Spotlight
Apple Updates MacBook Pros, Cuts Prices Up to $100
The popular MacBook Pro laptop line just got an update and a price cut of as much as $100. The MacBook Pro with Retina display now includes faster processors and double the memory.
 
Watson Gets His First Customer Service Gig
Since appearing on Jeopardy, IBM's Watson supercomputer has been making a living using his super-intelligent knowledge base for business verticals. Now, Watson's been hired for his first customer service job.
 
Tablet Giants Apple and Samsung Feel the Heat
When a company saturates its home market with a once-hot product, expect it to pump up efforts elsewhere. Apple, for its part, is now pushing iPads to big corporations and the enterprise market.
 

Mobile Technology Spotlight
Android 'Fake ID' Puts Millions of Users at Risk
Having this fake ID is nothing to brag about, even if you are a minor. The “Fake ID” Android flaw drops malware into smartphone apps. It can steal credit card data and even take over your device.
 
FTC Wants Fix for 'Perfect Scam' of Mobile Cramming
The U.S. Federal Trade Commission has issued new guidelines to curb “mobile cramming,” a troublesome practice that adds unauthorized third-party charges to mobile phone bills.
 
Facebook: You Will Use Messenger, and You Will Like It
Starting this week, Facebook users with Android and iOS phones will be forced to use the separate Messenger app to send Facebook messages. Pending messages will still be visible in the main app.
 

Navigation
CRM Daily
Home/Top News | CRM Systems | Customer Service | Contact Centers | Business Intelligence | Sales & Marketing | Customer Data | CRM Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.