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WebSphere-Based Solutions Strengthen After-Sales Support Chain to Increase Profitability and Efficiency

IBM (NYSE: IBM) and Enigma Inc. (privately held) today announced a global strategic alliance to deliver comprehensive e-business solutions for aftermarket content, commerce and collaboration to manufacturing industries worldwide. Aftermarket content includes all technical information and services that follow any product after its original sale.

The joint offering enables manufacturers to build integrated support chains by combining product information with e-commerce and decision-support systems to improve customer relationships, increase aftermarket services and boost spare parts revenue.

By combining on a web-based system thousands of pages of maintenance manuals, parts illustrations, service bulletins and parts catalogues into intelligent, extensible applications, manufacturers provide their customers and channel partners with an e-business platform that improves equipment maintenance and drives additional spare parts sales. The combination of IBM and Enigma solutions gives manufacturers and operators of high-value equipment shared access to the product support information that enables them to service their revenue-producing assets more effectively and efficiently. This results in less downtime and improved field staff productivity. The combined solution also provides collaboration and transaction capabilities that support post-sale business processes such as order management, warranty management, channel management, shop-floor task execution and inventory management.

The strategic alliance covers multiple vertical markets, such as aerospace, automotive and electronics, and addresses the global 2000 industrial firms where significant post-sale support opportunities exist. Currently, Enigma’s content, commerce and collaboration solutions are used by some of the world's largest companies, including GE Aircraft Engines, Pratt & Whitney, Rolls Royce, Perkins Engines and Delta Air Lines.



In an AMR Research Alert on Manufacturing E-Business, analyst Mike Burkett notes "In the past, OEMs focused on product manufacturing, leaving aftermarket service to third-party Independent Service Organizations (ISOs). Now OEMs see aftermarket service and maintenance, repair and operating supply (MRO) as a major opportunity to grow revenue. They are now leasing products and taking responsibility for lifecycle maintenance and service. Enigma is well positioned to allow OEMs to manage product content beyond manufacture and throughout the product's service life."

“Industrial companies with complex aftermarket assets can look to our new relationship for total e-business solutions that can improve operations, reduce costs and raise the ceiling of opportunity in this large and rapidly expanded marketplace," said Steve Ward, executive vice president and general manager for IBM’s Global Industrial Sector. “Enigma's industry-leading aftermarket content applications for e-commerce, combined with IBM's e-business infrastructure, industry expertise and services offerings, will enable the aftermarket strategies of progressive industrial companies intent on increasing profits and better serving their customers."

Jonathan Yaron, CEO of Enigma said, “IBM has consistently offered the innovative technologies and services needed to support the most demanding e-business applications. “These solutions are crucial to our customers’ abilities to deploy mission-critical e-business offerings across the aftermarket space. We are committed to offering more e-business solutions with IBM than any of our competitors, and we will use this new initiative to bring even stronger products to our global customer base.”

The Enigma strategic alliance is another example of IBM's commitment to go to market with leading independent software vendors through the PartnerWorld for Developers program (www.developer.ibm.com). Under this initiative, IBM has signed agreements with companies such as Siebel Systems, SAP, Vignette, PeopleSoft, i2 and Ariba. These alliances target industries such as financial services, retail and manufacturing and solution segments that include enterprise-resource planning, supply-chain management, customer-relationship management and business intelligence. The goal is to provide developers with access to new customers and revenue opportunities through IBM's marketing, sales and solutions resources. In return, developers commit to lead with IBM’s middleware, server platforms and services.

Under the terms of the agreement, the two companies will jointly market and sell Enigma’s 3C** (Content, Commerce and Collaboration) Platform running on IBM’s eServer* xSeries*, WebSphere* e-infrastructure software and DB2* database software. On sales to all new customers, Enigma will lead with IBM WebSphere software and DB2 as platforms of choice and will lead with IBM Global Services for implementing joint IBM and Enigma solutions.
As part of the agreement, based on revenue attainment from third-party accounts, IBM has an option to acquire an equity ownership with Enigma.


A history of working together
Enigma’s formal relationship with IBM PartnerWorld for Developers began in 1998. Today’s announcement enhances this key relationship, affording IBM and Enigma the ability to jointly deliver complete aftermarket solutions, including hardware, software and services to customers.

PartnerWorld for Developers also offers the IBM Application Framework for e-business, a technology roadmap based on industry standards that helps developers integrate Internet technologies with traditional information technology. IBM xSeries servers, WebSphere, and DB2 middleware are among the strategic products within the IBM Application Framework for e-business that Enigma will incorporate into its product offerings.

About IBM PartnerWorld for Developers
Software application developers receive support from IBM’s PartnerWorld for Developers (www.developer.ibm.com) - a worldwide program designed to help software developers reach broad markets, lower their costs of doing business and take their products to market faster.

About IBM
IBM is the world's largest information technology (IT) company and provider of IT services, as well as a preeminent technology partner to the world's manufacturing industry. IBM works directly with its industrial customers, helping them to become more competitive through the innovative deployment of high-impact solutions. These solutions span the full range of IBM capabilities, including consulting, software, hardware, research and services. Additional information is available at www.ibm.com/solutions/industrial.

About Enigma
Enigma is the leading provider of content-driven e-commerce platforms for the support chain. Through integrated content, commerce and collaboration capabilities, Enigma solutions enable manufacturers to capture a greater share of highly profitable aftermarket revenues and maintain better post-sale relationships with customers.

Typical applications of Enigma technology include e-commerce sites, e-catalogues, illustrated parts catalogues, interactive electronic technical manuals, web annotation capabilities and Web-based self-service product support.

Enigma's rapidly expanding list of customers includes GE Aircraft Engines, Pratt & Whitney, Rolls-Royce, Bombardier, Hewlett-Packard, Ameritech, Lucent, Bell South, Nokia, Sybase, Sun Microsystems, John Deere, Mack Trucks, Freightliner, Motorola, Perkins Engines and Delta Air Lines. Enigma is a privately held company, headquartered in Burlington, Mass., with offices in San Francisco, London, Munich, Amsterdam, Toronto, Tokyo and Tel Aviv. For more information, visit Enigma’s World Wide Web site at http://www.enigma.com.

* Denotes a trademark of the IBM Corporation. The IBM eServer brand consists of the established IBM e-business logo with the following descriptive term "server" following it.

** All others are trademarks or registered trademarks of their respective companies.

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