| IProvide addresses skills gap in selling telco services |
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| Thursday, 16 November 2006 | |
  
Targeting SMBs for converged IP services growth is all very well but who is going to take the solutions to market? When research indicated there was a shortage of suitably skilled and trained people in IProvide addresses skills gap in selling telco services Targeting SMBs for converged IP services growth is all very well but who is going to take the solutions to market? When research indicated there was a shortage of suitably skilled and trained people in Australia to sell value-added telco services to SMBs, IProvide decided to tackle the problem head-on with knowledge sharing and training programs.MELBOURNE, November 15, 2006 – IProvide, AAPT’s Partner Program to manage its indirect channel, has moved to shore up a skills shortage that is emerging in selling value-added telco services to the lucrative small and medium business market. When Frost and Sullivan conducted its IProvide Indicator 2006 research into trends in selling telco services, the shortage of skills in reseller channels emerged as one of the major barriers to companies wishing to enter this growth market. According to Mr. Phil Sykes, IProvide’s Managing Director, the small to medium business market is where the adoption of converged voice and data services is experiencing the most rapid growth. “Carriers wanting to leverage demand in the SMB space will make little headway until they have suitably skilled and resourced channel partners,” Mr. Sykes said. “Selling converged voice and data services such as VoIP combined with IP VPNs requires a completely different skill set to those that are currently available within traditional telco partners and IT value-added resellers. What our research has shown is that those skills are scarce, so we are doing something about it.” The IProvide Indicator 2006 research revealed that the lack of skilled human resources was the major inhibitor for resellers providing converged voice/data services to their customers. It was also among the top three inhibitors listed as blocking traditional value-adding IT&T resellers from selling any sort of telco services. Similarly, the Sensis Business Index (May 2005) found the lack of quality staff to be the number one issue inhibiting growth in SMEs. By conducting a series of seminars and training courses, IProvide is directly addressing the challenges faced by telco partners wanting to participate in the converged IP services revolution. The IProvide Informer Series presents the latest trends, opportunities and technologies while the IProvide Academy Academy works closely with partners to deliver modular training programs that enhance technical, sales and provisioning skill levels. “The skills shortage is coming from both directions,” Mr. Sykes said. “Traditional IT service providers are struggling with the complexity setting up voice services including porting of numbers and special features on individual voice lines. “Meanwhile, value-adding telco partners that are well versed in voice services are struggling with IT and data networking issues.” “The needs of SMBs are so diverse and convergence-enabling technology is evolving at a rapid pace. As a a result, these skills shortfalls are lowering the effectiveness of channel partners to drive the adoption of converged services in a green but willing market. Channel partners also need assistance with techniques to identify and reach new sales prospects as well as effective means to market and promote the new converged services to SMBs. Once prospects have been identified and stimulated, channel partners’ sales teams need the means to track and follow through with sales contacts. “The IProvide program not only makes marketing leading converged services available to channel partners, it actively assists partners’ sales teams develop the skills and techniques to reach new prospective customers and make sales,” Mr Sykes said. Additional information on the skills shortages in Australia relating to converged voice and data communications solutions is available below. To obtain a copy of the IProvide Indicator 2006 Research go to: www.iprovide.com.au/iprovideindicator For further information contact: Phil Sykes, Managing Director, IProvide – (03) 8414 9149 or 0419 979 816 Gerard Norsa, Schmooze Communications – (03) 9534 9902 or 0427 563 442 ABOUT IPROVIDE:IProvide is AAPT’s Partner Program, incorporated in 2005 to develop and manage AAPT’s indirect channel delivering converged voice and IP services for small to medium enterprises. IProvide’s charter is to recruit value-adding IT&T resellers and support them in the development of innovative voice and data IP solutions that are centralised through one carrier. Leveraging the latest IP technology, IProvide has developed a modular solution called IProvide Office, which aggregates VoIP, Broadband Internet and VPN technology via a single link. ABOUT THE IPROVIDE PARTNER PROGRAM:The IProvide Partner Program has recruited some of Australia’s leading innovators in the development of converged voice and data communications. Underscored by AAPT’s carrier services, the IProvide Partner Program focuses on developing products with Systems Integrators, Value Added Resellers and Application Service Providers to deliver comprehensive communications solutions for small to medium enterprises. ABOUT IPROVIDE OFFICE:The IProvide Office solution allows IProvide Partners to take the necessary components of business grade IP services and develop customised solutions that best suit the needs of their individual customers. The IProvide Partner Program offers training, technical support and sales lead generation so that IT&T resellers can innovate and realise the opportunities in the growing converged voice and data services market. For more information, visit: www.iprovide.com.au ****ADDITIONAL INFORMATION: How does the lack of skilled people affect IT&T Value-adding service providers?The difficulty in finding skilled people is one of the major issues faced by telco and traditional IT value-adding resellers. The resulting problems for these vital links in the service delivery chain are considerable. Lack of skills severely affects business growth, increases costs for SMEs due to more inefficiency, and causes delay in adoption of new technologies. As a result, value-adding resellers are hesitant to get into the convergence space and are therefore missing opportunities. In addition, technologies in the past have lacked depth and performance, damaging the reputation of the industry and creating scepticism of the new technologies. Attendees at IProvide’s Informer Series also raised the threat of creating negative experiences with existing customers due to unskilled staff as an area of great concern. If a lack of provisioning, implementation and service management skills result in a poor experience, they risk dramatically increased customer churn and internal staff dissatisfaction. When attendees were asked how they were addressing the skills gap challenge, many looked defeated. It was conceived as too hard to address. Some had engaged in some training for sales and technical staff while others were pursuing alliances with other IT&T resellers to compensate the skill gaps by aligning themselves with complementary partners. Why is finding and equipping skilled resources such a challenge?Research shows that the IT&T skills shortage is polarised by several trends. Firstly, like many other Western countries Australia is faced with an ageing population. Currently Australia’s median age is 33.4. It is expected to rise to 38 by 2011 and 42 by 2031 (Gartner Report 98/99). This ageing demographic is altering both Australia’s market composition and the availability of skilled labour across the board. Secondly, the number of IT&T graduates is declining. Again, the Gartner report revealed that approximately 30,000 students attended communication and IT-related tertiary education in Australia. Of those only 100 IT PhDs graduated annually. To make matters worse, while overall net numbers had been falling, net overseas student numbers had been increasing, with less skilled IT&T people remaining in Australia. In addition, people were found to be not constantly updating their skills, which is often the 'kiss of death' for IT professionals. An IT skills survey has revealed that 20 per cent of IT skills became obsolete every 12-18 months (Best International Report on IT Skills 1999/2000). Meanwhile, it was estimated that more than 65 per cent of Australian companies spend less than 5 per cent of their IT budget on training, which is way below the rate of spending in international technology leaders such as the US and the UK (Best International Report on IT Skills 1999/2000). However, the IProvide Indicator 2006 research found that successful IT&T resellers were those that considered investment in both internal and external training one of their core activities and strengths. How IProvide addresses the skills gapIProvide recognises that in order to resolve challenges in addressing the skills gap a new approach is needed. There needs to be commitment from both the IT&T reseller and the telco supplier to invest in essential training and up-skilling of IT&T personnel. A supportive telco has to provide up-to-date and on-going training programs that cover not only products, but also sales and support. As a result, IProvide has put a comprehensive training and recognition program in place, called the IProvide Academy Academy. The IProvide Academy Academy is a specialised training program for IT&T resellers. It will be held monthly in Melbourne, Sydney and Brisbane. Designed with a modular approach, the IProvide Academy Academy allows IProvide to target the right roles within the IT&T reseller organisation. The modules cover not only product training, but also sales and operational aspects. The Academy is conducted by IProvide personnel who work in the business of converged voice/data solutions. They have all the necessary expertise in both products and operations. The IProvide Academy Academy has been a huge success within our IProvide Partner community. So far, 130 people from 70 different aligned partners have graduated from the IProvide Academy Academy. |
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