Avaya and EMC will reduce partner networks
06.07.10, 14:24, Msk
Vendors of Avaya and EMC announced a new course on reduction of partner networks in Europe. The companies are in a similar situation when after a series of absorption received too big network of partners in the order. Their number needs to be reduced smoothly, having at the same time increased efficiency of those who will remain, the companies are solidary.
Avaya intends to reduce distribution channels at the same time in continental Europe where the company has 52 partners, and in Great Britain (5 partners). EMC which also has 54 distributors in Europe, also intends to reduce a partner network significantly. Such formulation of the question is characteristic of both companies which completed merger of other vendors which also have the sales channels recently. At the same time both Avaya, and EMC intend to combine the international and national channels.
Two weeks ago EMC was left by the vice president for the international distribution Kristian Thyregod differing in strategic thinking and involved in a series of significant partner initiatives of corporation in Europe. According to representatives of the company, its replacement "is discussed" so far.
Nicolas Leblanc, the development director of a partner network and to sales in the "average" market of EMC in EMEA region, said that its further plans are obtaining the maximum effect of already existing partner network through more perfect management system for this network. Leblanc betrays to the last circumstance huge value, believing that it will increase effectiveness of sales and also will allow to control the level of competence of partners better.
Now EMC prepares release of a series of the products focused on the "average" market and a segment of medium and small business for which promotion it will use the existing sales channels. In general the corporation would like to approach the American model of distribution, having reduced the number of partners, but top managers realize that this process can let "under a knife" the checked local partners and the growing examination in "big" distribution. In this process the basic moment – communication between the parties. With respect thereto this year the corporation will found in Europe partner council to consider interests both own, and partners.
Avaya is in a similar situation now.Thomas Veit, the director of distribution of the company in Europe, said: "Yes, there is too much their [partners], but we will not hurry [to change a situation]". Avaya will also do certification of partners by a significant part of sales process, however, will not begin to demand from distributors of obligatory existence of the centers of a configuration.
In Europe Avaya aims at achievement of balance between strong national partners and partners of the international level. Witz president of Avaya on development of a partner network Jeremy Butt believes that here the main thing to find golden mean. According to him, this is not about formation the sir - the European distributors, however, scale in a type the sir - Western European, the sir - the East European partners quite approaches.
When Bat came to Avaya two years ago, the partner network of the company totaled 68 members – "too much". Therefore process of reduction of network was begun practically at once, and part of them was reduced, a part is transformed to resellers. 12-18 months later the network already totaled 42 members, however, after Nortel purchase, the number of partners increased up to 62 again.
"Of course, we were glad to inflow of "new blood", but not in such quantity", - Bat says. In particular, there were such partners who "wanted nothing at all", and of them got rid first of all, having achieved digit in 52 partners by this moment. "It still too, but we do not hurry", - he told: "We know what needs to be made: achieve balance, "zamiksovat".
According to Jeremy Brat, on establishing the relations with those partners which best of all work time will be required. Besides, according to him, often the partner's level directly depends on his commission. Avaya is also going to strengthen technical certification of partners: it does not mean that distributors should be strong at the level of configurations, but they are obliged "well to know what they sell".
As for terms, the first results of new approach can be estimated already by the end of the year, speak in Avaya. A task of the company – to leave people as much as possible softly. "You never know how the situation therefore it is always necessary to save an opportunity over again to start working together will change", - Bat noted.
Representatives of the Russian office of Avaya company found it difficult to comment how new strategy in the partner channel will affect local dealers of the companies. Representatives of EMC in the CIS countries did not respond TAdviser to the request.
As representatives of EMC reported TAdviser, for today the partner channel EMS in Russia and the CIS totals about 200 partners, EMS are not going it to reduce. "At the beginning of 2010 the Russian division of EMS made restructuring of the business, developed new model of work with the market. And development of the channel in new model is one of paramount tasks", - told in the company.
Within the new EMC model is going to make "balancing of the channel" concerning the technology directions and a coverage of market segments and also to give to partners "more opportunities for joint business development". Also attention will be paid to training of partners in work with new technologies. "For example, to sell the DPCs of new generation of Vblock offered by the VCE coalition created at the end of last year Cisco, EMC and Vmware, partners will need to receive appropriate certificates from all three participating companies of the coalition", - said in EMC.
As Vladimir Yakimenko commented on TAdviser, the partnership director of Avaya company in Russia and the CIS countries, in this case is about reduction of distributors of Avaya in Europe, but not business partners in general. Tasks of distributors include ensuring sales of the equipment Avaya to the authorized resellers from warehouses in the territory of Russia.
In Russia at Avaya of 5 distributors, one of which has authorization for work in the East European countries and also 1 distributor in Ukraine. As a result of purchase of division of Nortel Enterprise the number of the authorized distributors of Avaya in Russia and the CIS did not increase, Vladimir Yakimenko reported. "Today we do not put, as such, a task to reduce the number of distributors", - he said.
According to the representative of Avaya, at the same time the company does not cease to monitor efficiency of partners and also actively works on increase in number of the partners working with final customers.