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SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS
 6 Months Ended
Jun. 30, 2013
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]
NOTE 9:-      SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS
 
a.
The Company reports its results on the basis of two reportable business segments: software services (which include proprietary and none proprietary software technology) and IT professional services, each of which is comprised of two reporting units. The entities included in the Company's IT professional services business segment are Coretech Consulting Group LLC, Fusion Solutions LLC and Xsell Resources Inc which are considered as one reporting unit and Comm-IT Software, Comm-IT Technology Solutions and Comm-IT Embedded, which is a separate reporting unit. The reporting unit of the proprietary and none proprietary software technology segment is comprised of Complete Business Solutions Ltd., Complete Information Technology and all of the Company's other subsidiaries in each of the respective years.
 
The Company evaluates segment performance based on revenues and operating income of each segment. The accounting policies of the operating segments are the same as those described in the summary of significant accounting policies. This data is presented in accordance with ASC 280, "Segment Reporting."
 
Headquarters' general and administrative costs have not been allocated between the different segments.
 
Software services
 
The Company develops markets, sells and supports a proprietary and none proprietary application platform, software applications, business and process integration solutions and related services.
 
IT professional services
 
The Company offers advanced and flexible IT services in the areas of infrastructure design and delivery, application development, technology planning and implementation services, communications services and solutions, as well as supplemental staffing services.
 
There are no significant transactions between the two segments.
 
b.
The following is information about reported segment results of operation:
 
 
 
Six months ended
June 30, 2013
 
 
 
(Unaudited)
 
 
 
Software
services
 
IT
professional
services
 
Unallocated
expense
 
Total
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total revenues
 
$
32,446
 
$
35,724
 
$
-
 
$
68,170
 
Expenses
 
 
25,553
 
 
31,898
 
 
2,011
 
 
59,462
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Segment operating income (loss)
 
$
6,893
 
$
3,826
 
$
(2,011)
 
$
8,708
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization
 
$
2,970
 
$
772
 
$
136
 
$
3,878
 
 
 
Six months ended
June 30, 2012
 
 
(Unaudited)
 
 
Software
services
 
IT
professional
services
 
Unallocated
expense
 
Total
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total revenues
$
32,490
 
$
25,582
 
$
-
 
$
58,072
 
Expenses
 
24,557
 
 
23,405
 
 
2,082
 
 
50,044
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Segment operating income (loss)
$
7,933
 
$
2,177
 
$
(2,082)
 
$
8,028
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization
$
2,698
 
$
404
 
$
171
 
$
3,273
 
 
c.
The Company's business is divided into the following geographic areas: Israel, Europe, the United States, Japan and other regions. Total revenues are attributed to geographic areas based on the location of the customers.
 
The following table presents total revenues classified according to geographical destination for the six months ended June 30, 2012 and 2013:
 
 
Six months ended
June 30,
 
 
2013
 
2012
 
 
Unaudited
 
 
 
 
 
 
 
 
Israel
$
10,886
 
$
4,582
 
Europe
 
14,852
 
 
15,333
 
United States
 
33,058
 
 
29,089
 
Japan
 
5,897
 
 
6,414
 
Other
 
3,477
 
 
2,654
 
 
 
 
 
 
 
 
 
$
68,170
 
$
58,072
 
 
d.
The Company's long-lived assets are located as follows:
 
 
 
June 30,
2013
 
December 31,
2012
 
 
Unaudited
 
 
 
 
 
 
 
 
 
 
 
Israel
$
55,108
 
$
48,452
 
Europe
 
2,838
 
 
2,171
 
United States
 
15,132
 
 
15,459
 
Japan
 
5,455
 
 
6,164
 
Other
 
3,554
 
 
3,657
 
 
 
 
 
 
 
 
 
$
82,087
 
$
75,903
 
 
e.
The Company does not allocate its assets to its reportable segments; accordingly, asset information by reportable segments is not presented.
 
f.
In the first six months of 2012 and 2013, the Company had one customer, included in the IT professional services segment, which accounted for 22% and 14% of the group revenues, respectively.