Information Age: News, analysis & insight for IT & business leaders

IBM takes blame for Singapore bank outage

14 July 2010  

Big Blue concedes that employee’s “procedural error” was responsible for seven-hour outage after Asian bank points finger

Systems vendor IBM has admitted that an error by one if its maintenance staff took down the IT infrastructure of a Singapore bank for seven hours, disrupting its ATMs and online banking services.

DBS Bank, one of Asia’s largest financial institutions, released a statement saying it took “full responsibility” for the downtime while simultaneously blaming IBM. It explained that while the computing giant's staff were making routine repairs to a disk storage system at 3am "a procedural error inadvertently triggered a malfunction in the multiple layers of systems redundancies, which led to the outage".

“We understand from IBM that an outdated procedure was used to carry out the repair,” said DBS CEO Piyush Gupta. “In short, a procedural error in what was to have been a routine maintenance operation subsequently caused a complete system outage.”

IBM has accepted responisibility for the fault but insisted that no data had been lost during the downtime. "Unfortunately, a failure to apply the correct procedure inadvertently caused the service outage," it said in a statement. 

It add that it will increase efforts to ensure that employees were up to date in correct maintenance procedure.“IBM has also taken steps to enhance training of our personnel related to current procedures and brought in experts from our global team to provide further assistance.”

DBS could now face punishment from the Singapore Monetary Authority, which said earlier in a statement that it was considering appropriate action. The bank signed $868 million IT outsourcing deal with IBM in 2002.


Comments 

There are currently no comments on this article

People who read this also read...

 

White Papers

Read article

'Think Lean' When Developing Management System Documentation

Learn how to efficiently and effectively implement a document management system for your organization.

Read article

11 Hiring Trends for 2011

In this document, you'll get the insider info you need to give potential employers what they want and beat your competition in 2011. You'll learn about the most valuable certifications and the game-changing skills that can lead to more job security and stability.

Read article

12 Hiring Manager Secrets to Getting the IT Job You Want

Learn how you can make yourself a more attractive candidate now with PrepLogic's free 12 Hiring Manager Secrets to Getting the Job You Want.

More
Advertisement
div class="banner">