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Armonk-based IBM Simplifies Cloud Computing Contracts

IBM received the 2014 Innovation Award for Operational Improvement from the International Association for Contract and Commercial Management for transforming its cloud computing contract process.
IBM received the 2014 Innovation Award for Operational Improvement from the International Association for Contract and Commercial Management for transforming its cloud computing contract process. Photo Credit: File

ARMONK, N.Y. – IBM has created a new standard, two-page agreement to replace complex, longer agreements normally used for customers entering cloud computing services.

The longer contracts previously used typically required long negotiations and reviews before a deal was signed.

IBM’s cloud competitors require customers to review and commit to more complex contracts that are commonly at least five times longer, and incorporate terms and conditions from other websites. Because of this new achievement, IBM received the 2014 Innovation Award for Operational Improvement from the International Association for Contract and Commercial Management for transforming its cloud computing contract process.

“It’s ironic that cloud computing represents a faster and more innovative approach to doing business, yet lengthy and complex cloud business contracts from most vendors remain an obstacle,” said Neil Abrams, IBM vice president and assistant general counsel.

“By dramatically simplifying and accelerating how clients contract for cloud services, IBM is making it easier and faster for companies to reap the benefits of cloud,” said Abrams.

The award-winning operational improvement was achieved over two months by a small team and deployed globally for all of IBM’s cloud offerings.

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