Understanding and Optimizing Business Workflows with Celonis and IBM

Improving workflows necessitates a thorough understanding of how tasks progress within an organization, a process that can be surprisingly intricate, particularly within larger enterprises. Celonis addresses this challenge by providing software designed to map work movement and identify opportunities for enhanced efficiency – a practice known as process mining.

A Strategic Partnership Announced

Recently, Celonis revealed a substantial collaboration with IBM. Under the terms of the agreement, IBM Global Services will provide training to 10,000 consultants globally on the Celonis platform. This partnership extends Celonis’ reach through IBM’s extensive sales and consulting network, while simultaneously equipping IBM with expertise in a key technology driving the workflow automation revolution.

According to Miguel Milano, Celonis’ chief revenue officer, the digitization of processes has been an ongoing trend. The COVID-19 pandemic accelerated this shift, contributing to the decision for these two companies to collaborate. “Workflows designed to enhance corporate execution are central to this partnership and represent a significant market trend,” Milano stated.

Leveraging Red Hat and Hybrid Cloud Capabilities

A crucial element of this collaboration is IBM’s ownership of Red Hat, acquired in 2018 for $34 billion. The companies anticipate that integrating Celonis’ cloud-based technology with Red Hat’s ability to operate across both on-premises and cloud environments will deliver a more robust and versatile solution for tracking work regardless of its location.

Mark Foster, senior vice president at IBM Services, explained the power of this integration. “Deploying the Celonis software within the Red Hat OpenShift environment is exceptionally valuable, enabling operation across a hybrid cloud landscape. This leverages the capabilities of OpenShift, which seamlessly connects mainframe, private cloud, and public cloud environments, and handles data across these diverse platforms.”

Partnership Over Acquisition

Given IBM’s acquisition of robotic process automation vendor WDG Automation last year, one might expect a direct acquisition of Celonis. However, Foster clarified that this partnership aligns with IBM’s broader strategy of fostering collaboration within a wider ecosystem.

“This approach is consistent with IBM’s focus on key ecosystem partners, varying in size. We recognize the opportunity to connect with a leader in its category, allowing them to benefit from IBM Red Hat technologies,” he said.

Implementation and Future Strategy

Prior collaboration between the companies paved the way for this formal announcement. The partnership will involve increased training for IBM consultants on the Celonis technology and the integration of the Celonis solution into Red Hat OpenShift over the coming months.

While the partnership carries the hallmarks of an acquisition, Milano emphasized its alignment with Celonis’ strategy of working with more systems integrators (SIs). He noted that while IBM is a significant partner, it is not the sole focus.

“We are evolving into an SI consulting-driven organization, prioritizing consulting firms like IBM in our strategy. This agreement represents a major milestone in that evolution,” Milano concluded.