IBM STG needs to improve its business decisions and morale or break off into it's own independant unit. - Advisory Hardware Engineer IBM Employee Review

3.0
Oct 1, 2008
Recommend
CEO approval
Business Outlook

Pros

IBM STG offers an opportunity to work with some of the newest technologies in the semiconductor and computer hardware fronts. If you are looking for great exposure into these fields, the challenges they present, and an opportunity to work on solutions, then STG is the place to be. In addition, IBM has a strong initiative and drive to maintain the work/life balance of it's employees. The management is very supportive in this regard and IBM offers some of the best options in the industry as well as the flexibility to make it work, hands down. IBM makes the technology available to work remotely to all of its employees and leaves it up to you to demonstrate your ability to manage that. IBM offers a great deal of opportunity for enhancing the education, both online and through traditional courses. Management is very supportive of these activities.

Cons

IBM STG seems to be the "black sheep" of the various IBM divisions. The success of several other IBM service divisions is very linked to the the STG hardware and technology, and IBM's model of providing overall solutions. Unfortunately, this model would work well if all the business units were treated as one. Since this is not the case, and the corporate mandate is for STG to provide technology first and foremost to IBM, that business unit is always getting the short end of the stick when the quarterly numbers are reported. This translates into vastly lower bonuses and profit sharing due to the lower performance numbers. If that unit treated the rest of IBM as it does the rest of its customers and charged accordingly for their services the numbers would look much better. Morale is low in the STG division due to this and the fact that when lay-offs roll around, that is the first place that gets hit. Another problem within IBM is that it still carries with it a great deal of history of how things were and get done. This creates a LOT of inertia to overcome in order to drive changes or improvement. Not that it is impossible (I speak from experience) but it does require a greater commitment of time and energy. Time tends to be a very limited resource due to the cutbacks in personal and the increase in workload. The other item that seems to really need work is the innovation reward system IBM has established. IBM rewards people for ideas and patents, but the system is set up so that it can be "gamed" by people who have been at it for a while. It doesn't really produce new innovations that could lead to new business opportunites as much as incremental improvements in current technologies or ideas that will reward the submitter but doesn't provide new ventures for IBM.

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5.0
May 8, 2026
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CEO approval
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Pros

Great benefits and competitive pay

Cons

Endless hoops to jump through

4.0
Aug 26, 2014
Recommend
CEO approval
Business Outlook

Pros

Disclaimer: A lot of what I'm writing below of course depends on the work area and management chain. But I found this to be fairly pervasive policies in IBM in my 9+ years with the company. 1. IBM's policies and management are very flexible when it comes to working remotely or accommodating various life situations (sick days, doctor visits, etc.). Management is encouraged to measure an employee by their work and impact, and not by hours spent at their office. 2. Great colleagues! Though unfortunately, many have been leaving due to the instability of IBM's HW development business. 3. At least in my area, there's a high level of flexibility on which projects should I undertake based on my and my management assessment of business impact.

Cons

1. Unfortunately, IBM still uses the "normal distribution" rating system, where at the end of the year each employee is ranked as a top contributor (5%), above average contributor (15%), average contributor (~75%), and bottom contributor (5%). This curve is difficult to apply in the R&D world, where you may have many members of the team working long and hard hours, and end up being "average contributors" at the end of the year, because there just isn't room for all to be top contributors. 2. The above may not be so disturbing, if only IBM didn't practically cancelled all raises, performance bonuses and incentive for the non top-performers. I've had a consistent "above average" rating in the last 4-5 years, and my raise and performance bonus were ridiculous mere 1.5-2% of my salary. Were I rated "average contributor" I would have gotten NOTHING. So you can imagine that people can go year after year without any raise to their salary. From talking to manager friend, this is IBM's way to eliminate the non-top-performers without having to fire them, as part of its direction of reducing US manpower. 3. Hiring freeze in many areas - again, as part of IBM's attempt to reduce its workforce across North America and Europe we see many jobs move to the India and Far East markets. This is of course upsetting to see local teams shrink and disappear, especially when many great local IBM colleagues and experts begin to drop out. From my experience thus far working with India SW teams - they are still very far away from the standards I would have expected from US and Europe based teams. 4. Poor top down communication about company's and divisions' future. Employees learn from rumors and news websites what's about to come...

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IBM Response
10y
Thanks for sharing your experience, and we're glad that you've had a positive experience working with talented colleagues and taking advantage of IBM's programs. IBM is in the midst of a major transformation, --our Systems business is going through its own changes to strengthen competitiveness. Change is never easy. As part of our transformation, we just launched a whole new approach for how we are coaching employees, delivering feedback and managing reviews. No distribution guidelines or what some think of as 'stacked rankings." What's particularly great is that this was co-designed with our employee base from all over the world... to the tune of hundreds of thousands of page views, comments, on-line debates and discussions. IBMers even named the new system Checkpoint, to reflect the regular feedback rituals we're adopting. Managers are more empowered with the new methodology to help them acknowledge the great work of their teams and help their employees develop professionally. These steps and more are showing up in our employee surveys as well. So IBMers are feeling the change. We are confident these changes will help us in continuing to attract and retain great talent.
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