IBM 2015 Annual Report Download - page 14

12 A Letter from the Chairman
about the company’s fi nancial results related to z Systems revenue and Power
revenue adjusted for currency, operating earnings per share and operating net
income on a continuing operations basis and free cash fl ow, which are non-GAAP
measures, see the company’s 2015 Annual Report, which is Exhibit 13 to the
Form 10-K submitted to the SEC on February 23, 2016. For reconciliation and other
information concerning these items, refer to pages 33, 41 and 62 of the company’s
2015 Annual Report.
This letter includes selected references to certain non-GAAP fi nancial measures
that are made to facilitate a comparative view of the company’s ongoing operational
performance. For information about the company’s fi nancial results related to
strategic imperatives, Analytics revenue, Security revenue, Social revenue, Mobile
revenue and IBM revenue adjusted for the impact of currency and divestitures, which
are non-GAAP measures, see Non-GAAP Supplementary Materials and related
information in the Form 8-K submitted to the SEC on January 19, 2016. For information
of professional designers to more than 1,000,
embedded with clients and in 23 design studios
around the world. Both client satisfaction and
employee engagement are on the rise.
Our experience over multiple eras of techno-
logical change has also taught us the importance
of understanding its implications for the global
economy, for society and for how all of us work
and live. Today, some have expressed concerns
about the impact of intelligent systems on
jobs and the future of work. These are legitimate
questions, which must be addressed in a
thoughtful manner across business, government
and civil society.
At IBM, our experience with cognitive systems
—undertaking the deep science, learning what
cognitive systems actually do and working every
day to apply these capabilities in the world—has
taught us that cognitive technology does not
replace, but rather enhances, human capabilities.
Instead of “artifi cial” intelligence, the real-world
work of cognitive business is intelligence
augmentation. And its benefi ts for the human
condition will be extraordinary.
In the end, the most important challenges
we face are not about technology, but about
values. Whether the question is civil liberties
and national security; or privacy and conven-
ience; or some professions rising while others
decline, our path to this enormously hopeful
future will depend on the creation of mutual
value, transparency and, above all, trust.
For IBM, 2015 was a pivotal year in our journey
to this new era, providing strong confi rmation
of the strategic direction of our transformation.
We know who we are. We know why our clients
seek to work with us. We know why you choose
to invest with us.
We also know why brilliant experts,
professionals and innovators seek to become
and remain IBMers. Together, we understand
that we are at a turning point in IBM history
and in the history of technology. We are
committed to doing what every prior generation
of IBMers has done—transforming ourselves
to lead in a new era of business and technology,
in order to remain essential to our clients and
to the world.
My colleagues and I are excited and
confi dent about the cognitive future, and we
are working hard with our clients, partners
and peers to build it. I am proud of the IBM team
for bringing us here, and I am grateful to you,
our shareholders, for your steadfast support.
Virginia M. Rometty
Chairman, President and
Chief Executive Offi cer