IBM has been quite focused on its business analytics front. That is precisely because the company is one of the big players in that domain. It has been developing new software to further its business analytics. And now, it has acquired Varicent Software, a company that provides different kinds of analytics software.
Varicent Software is known for providing software solutions for business analytics of compensation and sales performance management and a whole lot of other domains within an enterprise. The company has a number of customers in many different industries including telecom, retail, finance and IT. Among the major clients of Varicent are Hertz, Starwood Hotels and Office Depot.
According to the general manger of business analytics at IBM, Les Rechan, ‘The acquisition of Varicent advances IBM’s efforts to drive analytics capabilities into the hands of front line employees to transform business operations and ultimately improve the bottom line. 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.’
IBM has plans of using this acquisition of Varicent to merge it with IBM’s own R&D groups and also with some earlier acquisitions that IBM made. This will enable IBM to offer better analytics solutions across a wider range of domains.
The deal is expected to close by the second quarter of 2012 after which all Varicent employees will move over to IBM’s Software Group. However, we haven’t been told how much the deal raked in.