IBM in the Energies and Utilities Industry

The problems of global climate change and energy, global supply chains for food and medicine and new security concerns-all issues of a hyperconnected world-have surfaced since the start of this decade. The world continues to get “smaller” and “flatter.” But we see now that being connected isn't enough. Fortunately, something else is happening that holds new potential: the planet is becoming smarter. That is, intelligence is being infused into the way the world literally works-into the systems, processes and infrastructure.

Today's environment for utilities requires companies to drive down costs while increasing the ability to monitor and control utility assets. Yet due to aging infrastructure, many utilities operate without the benefit of real-time usage and distribution loads - while also contending with limited resources for repair and improvement.

At the same time, they must balance escalating costs of energy generation against the regulatory pressures of prices and stockholders demands for a profitable return. Even consumers, with climate change on their minds, are demanding that utilities find more innovative ways to help them reduce energy consumption and costs.

With utilities at a crossroads, energy executives face tough choices. Maintain the status quo. Divest or acquire new capabilities. Out-task to reduce some costs.