1 00:00:04,140 --> 00:00:07,080 Sean Aylmer: Welcome to the Fear and Greed daily interview. I'm Sean Aylmer. 2 00:00:07,410 --> 00:00:09,660 Sean Aylmer: There'd be few names in the tech sector as well 3 00:00:09,660 --> 00:00:13,590 Sean Aylmer: known as IBM, but the IBM of today is vastly 4 00:00:13,740 --> 00:00:16,860 Sean Aylmer: different to what it was, say, 30 years ago. The 5 00:00:16,860 --> 00:00:19,979 Sean Aylmer: company that's perhaps best known for developing the PC, floppy 6 00:00:19,980 --> 00:00:23,280 Sean Aylmer: disc and hard drive has continued to evolve as technology 7 00:00:23,280 --> 00:00:26,670 Sean Aylmer: and the demands of customers change. So what's IBM look 8 00:00:26,670 --> 00:00:30,360 Sean Aylmer: like today? Nicholas Flood is the vice president, IBM Technology, 9 00:00:30,690 --> 00:00:33,360 Sean Aylmer: and managing director of IBM Australia. Nicholas, welcome to Fear 10 00:00:33,360 --> 00:00:33,840 Sean Aylmer: and Greed. 11 00:00:34,229 --> 00:00:35,910 Nicholas Flood: Thanks very much for having me, Sean. 12 00:00:36,810 --> 00:00:37,979 Sean Aylmer: I want to talk to you about the work you 13 00:00:37,979 --> 00:00:40,889 Sean Aylmer: are doing now and going to do in the future, 14 00:00:41,490 --> 00:00:42,990 Sean Aylmer: but first, I just want to have a look at 15 00:00:42,990 --> 00:00:45,900 Sean Aylmer: the history because for a technology company, there is not 16 00:00:46,290 --> 00:00:50,280 Sean Aylmer: any company with a longer or arguably richer history than 17 00:00:50,280 --> 00:00:52,950 Sean Aylmer: IBM. More than a hundred years old, more than 90 18 00:00:52,950 --> 00:00:55,890 Sean Aylmer: years in Australia, and it's been involved in some of 19 00:00:55,890 --> 00:00:59,490 Sean Aylmer: the biggest technological advancements in the last century. It played 20 00:00:59,490 --> 00:01:01,500 Sean Aylmer: a key role in the Apollo mission. For example. 21 00:01:02,370 --> 00:01:04,890 Nicholas Flood: Sean, that's a great place to begin. So we're very 22 00:01:04,890 --> 00:01:08,610 Nicholas Flood: proud of our long history. We're over 112 years old 23 00:01:08,610 --> 00:01:12,360 Nicholas Flood: globally this year, but as you referenced, we're actually celebrating 24 00:01:12,360 --> 00:01:17,010 Nicholas Flood: our 90th anniversary of continuous operations here in Australia. That's 25 00:01:17,010 --> 00:01:20,520 Nicholas Flood: a milestone that we share with two other Australian icons, 26 00:01:20,730 --> 00:01:24,149 Nicholas Flood: both the Australian Broadcasting Commission and also the Sydney Harbor 27 00:01:24,150 --> 00:01:26,760 Nicholas Flood: Bridge, and it was an absolute delight earlier in the 28 00:01:26,760 --> 00:01:29,370 Nicholas Flood: year to bring together some of our clients past and 29 00:01:29,370 --> 00:01:33,690 Nicholas Flood: present, our former IBMers and also our partner community to 30 00:01:33,690 --> 00:01:35,639 Nicholas Flood: commemorate and celebrate that achievement. 31 00:01:37,980 --> 00:01:41,339 Sean Aylmer: I mentioned the Apollo mission, so both here and overseas, 32 00:01:41,340 --> 00:01:44,100 Sean Aylmer: what are some of those really stand out moments that 33 00:01:44,100 --> 00:01:45,420 Sean Aylmer: IBM's been involved in? 34 00:01:46,020 --> 00:01:48,480 Nicholas Flood: Sean, I think the best way to describe that, and I 35 00:01:48,480 --> 00:01:51,390 Nicholas Flood: love that you started with the Apollo mission. One item 36 00:01:51,390 --> 00:01:54,360 Nicholas Flood: that takes pride of place in my office is a 37 00:01:54,360 --> 00:01:57,300 Nicholas Flood: photograph from the New York Times that IBM took out 38 00:01:57,300 --> 00:02:01,560 Nicholas Flood: to commemorate the 75th anniversary of the moon landing, and 39 00:02:01,680 --> 00:02:05,520 Nicholas Flood: really, all of the important points in human history over 40 00:02:05,520 --> 00:02:09,900 Nicholas Flood: 112 years have had a contribution by IBM. So I 41 00:02:09,900 --> 00:02:13,290 Nicholas Flood: think of the Apollo landings that you described, the birth 42 00:02:13,290 --> 00:02:17,279 Nicholas Flood: of the ATM network around the world, the airline booking 43 00:02:17,280 --> 00:02:22,380 Nicholas Flood: system, hotel reservation systems, and increasingly here in Australia, a 44 00:02:22,380 --> 00:02:26,520 Nicholas Flood: lot of the systems that underpin the Australian Immunization Register 45 00:02:26,730 --> 00:02:29,730 Nicholas Flood: and indeed a lot of the core banking platforms are built 46 00:02:29,730 --> 00:02:35,370 Nicholas Flood: upon IBM technology and then complimented through IBM consulting capability. 47 00:02:35,910 --> 00:02:39,090 Sean Aylmer: Okay. So it's quite an incredible history. Does it have 48 00:02:39,090 --> 00:02:40,440 Sean Aylmer: a downside to it? 49 00:02:41,430 --> 00:02:45,630 Nicholas Flood: Of course. I think that there's always the innovator's dilemma. 50 00:02:45,840 --> 00:02:49,589 Nicholas Flood: How do you actually make sure that incumbency doesn't breed 51 00:02:49,590 --> 00:02:53,160 Nicholas Flood: a sense of complacency and how do you continue pushing 52 00:02:53,160 --> 00:02:56,730 Nicholas Flood: the envelope, to not just allow clients to benefit the 53 00:02:56,730 --> 00:03:00,000 Nicholas Flood: most from the technologies that they use today, but indeed 54 00:03:00,000 --> 00:03:04,590 Nicholas Flood: continue to innovate and create the future technologies that will 55 00:03:04,590 --> 00:03:07,740 Nicholas Flood: be important of tomorrow? That's one of the things that 56 00:03:07,740 --> 00:03:11,340 Nicholas Flood: IBM, both here locally and around the world, are exceedingly 57 00:03:11,340 --> 00:03:15,510 Nicholas Flood: proud about. Continued over I think it's now three decades, 58 00:03:15,510 --> 00:03:18,660 Nicholas Flood: we lead the world in terms of patent activity with 59 00:03:18,690 --> 00:03:22,860 Nicholas Flood: the new innovations and technologies that we're designing. Often, when 60 00:03:22,860 --> 00:03:25,889 Nicholas Flood: I speak with clients and partners, they think that a 61 00:03:25,889 --> 00:03:29,460 Nicholas Flood: lot of that work is exclusively happening in North America, 62 00:03:29,730 --> 00:03:33,780 Nicholas Flood: but we're very proud to see Australia actually standing up 63 00:03:33,780 --> 00:03:36,930 Nicholas Flood: and contributing to that body of work and the technological 64 00:03:36,930 --> 00:03:41,550 Nicholas Flood: developments. One key call out is in the Gold Coast, 65 00:03:41,820 --> 00:03:44,910 Nicholas Flood: we have one of our cyber security development centers where 66 00:03:44,910 --> 00:03:48,180 Nicholas Flood: we have a team of technologists that are actually working 67 00:03:48,180 --> 00:03:52,830 Nicholas Flood: on some emerging technologies in the fields of identity management 68 00:03:53,010 --> 00:03:56,520 Nicholas Flood: and security and access, and then indeed in Canberra, one 69 00:03:56,520 --> 00:04:00,030 Nicholas Flood: of our global Linux Technology Centers that are developing new 70 00:04:00,030 --> 00:04:04,560 Nicholas Flood: hosting platforms for some of the world's most critical infrastructure 71 00:04:04,830 --> 00:04:06,780 Nicholas Flood: are based also here in Australia. 72 00:04:07,590 --> 00:04:10,440 Sean Aylmer: Okay. So I think that's all wonderful but how do 73 00:04:10,440 --> 00:04:12,630 Sean Aylmer: you do it? Is it a cultural question? 74 00:04:13,290 --> 00:04:16,979 Nicholas Flood: It very much is. IBM has always and will always 75 00:04:16,980 --> 00:04:21,300 Nicholas Flood: be defined in my sense by the IBMer, the IBM employee, 76 00:04:21,720 --> 00:04:23,520 Nicholas Flood: and what I mean by that, it's that sense of 77 00:04:23,520 --> 00:04:28,469 Nicholas Flood: curiosity and it's that sense of inquisitiveness about, well, let's 78 00:04:28,470 --> 00:04:33,330 Nicholas Flood: deeply understand clients and partners' challenges, let's understand what technologies 79 00:04:33,330 --> 00:04:37,200 Nicholas Flood: are available today, and let's also pause to consider what 80 00:04:37,200 --> 00:04:40,589 Nicholas Flood: technologies do we need to invent to overcome the challenges 81 00:04:40,589 --> 00:04:43,589 Nicholas Flood: and the issues that they may be facing? And having 82 00:04:43,589 --> 00:04:46,529 Nicholas Flood: worked here for well over 16 years, it really is 83 00:04:46,529 --> 00:04:50,159 Nicholas Flood: that curiosity and how the corporation's contributions are brought to 84 00:04:50,160 --> 00:04:53,520 Nicholas Flood: life by the employee that I think makes us unique 85 00:04:53,670 --> 00:04:56,850 Nicholas Flood: in the industry, and indeed as a global corporation. 86 00:04:57,600 --> 00:04:59,219 Sean Aylmer: It's kind of an unfair question but is there a 87 00:04:59,220 --> 00:05:04,830 Sean Aylmer: trick to it? When you're such a big organization, how 88 00:05:05,040 --> 00:05:07,200 Sean Aylmer: do you get to the point where you are taking 89 00:05:07,200 --> 00:05:09,690 Sean Aylmer: out more patents than any other company? Part of it 90 00:05:09,690 --> 00:05:13,680 Sean Aylmer: is size obviously, right? But you have some really big 91 00:05:13,680 --> 00:05:17,549 Sean Aylmer: competitors out there, yet you can still get people to 92 00:05:17,550 --> 00:05:20,039 Sean Aylmer: come in on a Monday morning and think a bit differently. 93 00:05:20,370 --> 00:05:23,729 Nicholas Flood: It's probably two things, Sean, that I would say compel 94 00:05:23,730 --> 00:05:27,029 Nicholas Flood: that. So firstly, it is culture. It is what really 95 00:05:27,029 --> 00:05:31,320 Nicholas Flood: we value. So the corporation's most senior leadership, from Arvind 96 00:05:31,320 --> 00:05:34,950 Nicholas Flood: on down, they value above all else client service and 97 00:05:34,950 --> 00:05:38,909 Nicholas Flood: solving client issues and client challenges. But I think also 98 00:05:38,910 --> 00:05:42,120 Nicholas Flood: it's our clients that we have to thank for this 99 00:05:42,120 --> 00:05:46,020 Nicholas Flood: unique advantage. They afford us the opportunity to truly work 100 00:05:46,020 --> 00:05:49,619 Nicholas Flood: on some of society and indeed the world's most pressing 101 00:05:49,650 --> 00:05:52,740 Nicholas Flood: and unique challenges, and I think it's the combination of 102 00:05:52,800 --> 00:05:56,520 Nicholas Flood: those two that is the secret source. So it's that natural 103 00:05:56,520 --> 00:06:01,230 Nicholas Flood: inquisitiveness and spirit of collaboration that's fueled by the corporation's 104 00:06:01,230 --> 00:06:05,370 Nicholas Flood: leadership around what behaviors and outcomes do they value most, 105 00:06:05,460 --> 00:06:08,400 Nicholas Flood: and that drives of course where people spend their time 106 00:06:08,400 --> 00:06:12,270 Nicholas Flood: and dedicate their energy, but it's really brought to life 107 00:06:12,270 --> 00:06:15,120 Nicholas Flood: by the client's trust to allow us to work on 108 00:06:15,120 --> 00:06:16,620 Nicholas Flood: some of those unique challenges. 109 00:06:17,040 --> 00:06:19,140 Sean Aylmer: Stay with me, Nicholas. We'll be back in a minute. 110 00:06:25,620 --> 00:06:29,130 Sean Aylmer: I'm speaking to Nicholas flood, vice president of IBM Technology and 111 00:06:29,130 --> 00:06:33,270 Sean Aylmer: managing director of IBM Australia. Okay. So what's the focus 112 00:06:33,270 --> 00:06:35,610 Sean Aylmer: for IBM now and going forward? 113 00:06:36,240 --> 00:06:40,020 Nicholas Flood: Well, as you referenced in the outset, we've been incredibly 114 00:06:40,020 --> 00:06:43,320 Nicholas Flood: well placed to actually not just apply some of the 115 00:06:43,320 --> 00:06:48,300 Nicholas Flood: world's technologies, but indeed invent them over multiple timeframes. And 116 00:06:48,300 --> 00:06:51,270 Nicholas Flood: it really is from that position of knowing, legacy IT, 117 00:06:51,960 --> 00:06:54,750 Nicholas Flood: that we believe that we can make unique contributions to 118 00:06:54,750 --> 00:06:59,070 Nicholas Flood: take clients to desired future ready state. There's really two 119 00:06:59,160 --> 00:07:02,850 Nicholas Flood: key focus areas within IBM right now. It's a hybrid 120 00:07:02,850 --> 00:07:05,250 Nicholas Flood: cloud and also artificial intelligence. 121 00:07:05,310 --> 00:07:07,650 Sean Aylmer: Okay. So explain hybrid cloud. 122 00:07:08,070 --> 00:07:11,760 Nicholas Flood: Hybrid cloud to me really comes down to choice. How 123 00:07:11,760 --> 00:07:16,140 Nicholas Flood: can IBM through our technologies allow a client to be 124 00:07:16,140 --> 00:07:19,170 Nicholas Flood: in a position of power and one of choice? Where 125 00:07:19,170 --> 00:07:22,590 Nicholas Flood: they're not forced into a particular roadmap or set of 126 00:07:22,650 --> 00:07:26,250 Nicholas Flood: technologies but they're positioned in a position of centrality and 127 00:07:26,250 --> 00:07:31,200 Nicholas Flood: power where they can remove platform selection from underpinning commercial 128 00:07:31,200 --> 00:07:35,220 Nicholas Flood: discussions, and they can actually choose what platforms are best 129 00:07:35,220 --> 00:07:39,000 Nicholas Flood: for them in their unique context. If I illustrate a 130 00:07:39,000 --> 00:07:43,200 Nicholas Flood: particular example, one thing that IBM have observed, indeed the 131 00:07:43,200 --> 00:07:46,950 Nicholas Flood: whole industry have observed over really the last two decades, 132 00:07:47,160 --> 00:07:51,720 Nicholas Flood: is the rise of the hyperscale cloud platforms. So many clients 133 00:07:51,720 --> 00:07:55,260 Nicholas Flood: have looked to the promise that comes from being all 134 00:07:55,260 --> 00:07:58,380 Nicholas Flood: in on the public cloud, but with the benefit of 135 00:07:58,380 --> 00:08:02,040 Nicholas Flood: a couple of years of lived experience are now seeing 136 00:08:02,040 --> 00:08:05,820 Nicholas Flood: that perhaps that strategy isn't a one size fits all 137 00:08:05,880 --> 00:08:09,870 Nicholas Flood: approach, and they're actually seeing that there are some workloads 138 00:08:10,080 --> 00:08:14,460 Nicholas Flood: that do need to benefit from the unique characteristics and 139 00:08:14,460 --> 00:08:18,120 Nicholas Flood: qualities that would come from an on- premise deployment. So 140 00:08:18,120 --> 00:08:21,840 Nicholas Flood: behind their own firewall, within in many cases their own 141 00:08:21,840 --> 00:08:25,920 Nicholas Flood: data center. But what IBM really are talking about is that middle 142 00:08:25,920 --> 00:08:29,280 Nicholas Flood: ground. How can we separate this all or nothing approach 143 00:08:29,430 --> 00:08:32,969 Nicholas Flood: and enable new pathways for clients to actually choose what 144 00:08:32,970 --> 00:08:36,209 Nicholas Flood: is best for the particular workload, the particular set of 145 00:08:36,210 --> 00:08:40,890 Nicholas Flood: circumstances that they face in that context? There's a set 146 00:08:40,890 --> 00:08:43,890 Nicholas Flood: of factors, Sean, that I think have particularly brought this 147 00:08:43,890 --> 00:08:47,760 Nicholas Flood: to the fore, and one of them that we experience 148 00:08:47,760 --> 00:08:52,080 Nicholas Flood: is the changing chair political situation, and in fact, Australia's 149 00:08:52,080 --> 00:08:55,380 Nicholas Flood: evolving place in the world, and I think that that that's 150 00:08:55,380 --> 00:08:58,319 Nicholas Flood: really bringing to fore the value and the merits of 151 00:08:58,320 --> 00:08:59,939 Nicholas Flood: seeking a hybrid cloud approach. 152 00:09:00,840 --> 00:09:04,199 Sean Aylmer: Okay. Artificial intelligence. So actually, can you give me your 153 00:09:04,200 --> 00:09:06,600 Sean Aylmer: definition of artificial intelligence? I think we all know what 154 00:09:06,600 --> 00:09:10,920 Sean Aylmer: artificial intelligence is, sort of, but what's your definition of 155 00:09:10,920 --> 00:09:12,540 Sean Aylmer: it and how's IBM working on that? 156 00:09:12,540 --> 00:09:16,080 Nicholas Flood: Well, it's a really good question you pose, and I don't 157 00:09:16,080 --> 00:09:20,339 Nicholas Flood: believe that there is a uniform definition to artificial intelligence 158 00:09:20,490 --> 00:09:23,220 Nicholas Flood: that exists. For me, it's really around how can you 159 00:09:23,220 --> 00:09:27,959 Nicholas Flood: use computing capability to augment the role of humans, to 160 00:09:27,960 --> 00:09:32,010 Nicholas Flood: make sure that we're making organizations more efficient processes, more 161 00:09:32,010 --> 00:09:36,720 Nicholas Flood: streamlined for end users, customers, citizens, so that everyone can 162 00:09:36,720 --> 00:09:40,410 Nicholas Flood: enjoy the benefits of technology at a greater scale while 163 00:09:40,590 --> 00:09:45,390 Nicholas Flood: realizing a greater level of optimization in traditional workflows. 164 00:09:45,780 --> 00:09:48,000 Sean Aylmer: Okay. So I need to finish up here but I 165 00:09:48,000 --> 00:09:50,670 Sean Aylmer: just want to ask you about the pandemic, a human 166 00:09:50,670 --> 00:09:53,880 Sean Aylmer: tragedy, and let's hope we don't have to do this 167 00:09:53,940 --> 00:09:58,140 Sean Aylmer: again ever. There are some technology companies though particularly, and they're 168 00:09:58,620 --> 00:10:01,110 Sean Aylmer: the big ones who have always had strong cash flows 169 00:10:01,110 --> 00:10:05,100 Sean Aylmer: and strong business models, who probably have benefited from it, 170 00:10:05,340 --> 00:10:07,140 Sean Aylmer: at least in a business sense. 171 00:10:07,679 --> 00:10:13,440 Nicholas Flood: Sean, I think IBM's incumbency across those critical industries, banking, 172 00:10:13,650 --> 00:10:19,890 Nicholas Flood: government, insurance, airlines and transportation providers, all of those industries 173 00:10:19,890 --> 00:10:23,309 Nicholas Flood: were deeply impacted by the pandemic. But for me, it 174 00:10:23,309 --> 00:10:27,360 Nicholas Flood: really came back to trust. IBM were able, because we 175 00:10:27,360 --> 00:10:31,559 Nicholas Flood: play such a significant role in enabling those industries, to 176 00:10:31,559 --> 00:10:34,589 Nicholas Flood: lean into the problems that we saw emerging, to ensure 177 00:10:34,590 --> 00:10:38,460 Nicholas Flood: that those responses, whether it was getting critical payments into 178 00:10:38,460 --> 00:10:41,459 Nicholas Flood: the hands of those that needed it most, whether it 179 00:10:41,460 --> 00:10:46,110 Nicholas Flood: was helping banks ensure the liquidity of organizations through the 180 00:10:46,110 --> 00:10:50,550 Nicholas Flood: digital platforms that draw upon IBM's technology or consulting capabilities, 181 00:10:50,790 --> 00:10:53,490 Nicholas Flood: that we were able to really lean into those problems. 182 00:10:54,120 --> 00:10:56,760 Nicholas Flood: One of the big things that IBM have always been 183 00:10:56,760 --> 00:11:00,569 Nicholas Flood: about is making a contribution way beyond the bottom line 184 00:11:00,809 --> 00:11:05,520 Nicholas Flood: and ensuring that our contributions fell positively within the communities 185 00:11:05,520 --> 00:11:08,700 Nicholas Flood: that our employees and our clients and our partners inhabit. 186 00:11:08,880 --> 00:11:12,630 Nicholas Flood: And I was absolutely so pleased to see the culture 187 00:11:12,630 --> 00:11:15,630 Nicholas Flood: come to life in that critical period of need for 188 00:11:15,630 --> 00:11:18,000 Nicholas Flood: people, the community, and indeed, Australia. 189 00:11:18,600 --> 00:11:20,550 Sean Aylmer: Nicholas, thank you for talking to Fear and Greed. 190 00:11:21,360 --> 00:11:23,490 Nicholas Flood: Absolute pleasure, Sean. Thank you very much. 191 00:11:23,790 --> 00:11:26,940 Sean Aylmer: That was Nicholas Flood, vice president, IBM Technology and managing 192 00:11:26,940 --> 00:11:30,809 Sean Aylmer: director of IBM Australia. This is the Fear and Greed daily interview. 193 00:11:30,809 --> 00:11:33,179 Sean Aylmer: Join us every morning for the full episode of Fear 194 00:11:33,179 --> 00:11:37,440 Sean Aylmer: and Greed, Australia's most popular business podcast. I'm Sean Aylmer, enjoy your day.