0902 CDAO Melbourne ITwire 160x1200px

0902 CDAO Melbourne ITwire 160x1200px

0902 CDAO Melbourne ITwire 705x108 GIF

Friday, 08 June 2018 02:24

Channel firms look to reinvent their businesses, says CompTIA

By
Channel firms look to reinvent their businesses, says CompTIA Image courtesy of aechan at FreeDigitalPhotos.net

Most channel firms are embracing new business models and looking to reinvent their businesses, as customers push them in new directions, global ICT lobby group CompTIA claims.

The non-profit body says as part of embracing new business models, channel firms must optimise operations to maximise profits – and achieving operational efficiency requires “an unflinching examination” of how well, or not, operations run today, especially before taking the plunge into a new business model.

Moheb Moses, director, Channel Dynamics, and ANZ community director, CompTIA, said, “Most channel firms today acknowledge that transforming their business from hardware-centric reselling to a business model that embraces services and recurring revenue is not only the future, but should at this point be the present”.

“However, there are many moving parts involved in the transformation process, notably anything to do with business operations and process efficiency. And, in general, this is a difficult, laborious, expensive, and often frustrating undertaking.”

But despite this, Moses claims most channel firms are looking to reinvent their businesses.

According to CompTIA, the main reason for this is that customers are pushing them in new directions.

“Customers have myriad choices today, including self-provisioning applications and services. And, as more customers grow accustomed to consuming established and emerging technologies as a service, channel firms will need to embrace the cloud, managed services, and business consulting acumen to deliver,” CompTIA suggests.

CompTIA says two related topics are driving transformation – declining profit margins on existing products and the need to embrace emerging technologies.

“Many of today’s new technologies, from artificial intelligence (AI) to virtual reality to blockchain, will require channel firms to develop new skills and new ways of doing business,” CompTIA says.

CompTIA cites an IDC report that by 2019, 40% of digital transformation initiatives will include AI services and, by 2021, 75% of commercial enterprise applications will use AI, and more than 90% of consumers will interact with customer support bots.

“The faster channel firms learn how to build a business around these emerging areas, the less vulnerable they will be due to weak margins on legacy products,” ComlTIA cautions.

Carolyn April, senior director, industry analysis, CompTIA, said, “As the channel turns to new business models, it’s more essential than ever that firms optimise operations for maximum efficiency to reap the full benefit of revenue intake. A company’s approach to operational efficiency directly impacts how well it maximises profits and transforms the business.”

April says that for managed service providers, data management has provided a way to move up the application stack beyond basic network and device management services, with many MSPs also aspiring to expand their capabilities into data analytics.

“The challenge for channel firms is that managing a data deluge is sophisticated, difficult work. At the very base level it requires investment in technical and business training, hiring skilled staff, and crafting new sales and marketing tactics,” April concludes.

According to CompTIA, “while company leadership can shout the merits of operational efficiency and productivity from the rafters, not much typically comes to fruition without the commitment of employees to the overall effort”.

“Knowing all of this, many channel firms have begun to formalise both the incentives they provide staff to improve and practice efficiency, and the metrics and tools they use to achieve goals and measure progress,” Moses says.

Read 94959 times

Please join our community here and become a VIP.

Subscribe to ITWIRE UPDATE Newsletter here
JOIN our iTWireTV our YouTube Community here
BACK TO LATEST NEWS here

GET READY FOR XCONF AUSTRALIA 2022

Thoughtworks presents XConf Australia, back in-person in three cities, bringing together people who care deeply about software and its impact on the world.

In its fifth year, XConf is our annual technology event created by technologists for technologists.

Participate in a robust agenda of talks as local thought leaders and Thoughtworks technologists share first-hand experiences and exchange new ways to empower teams, deliver quality software and drive innovation for responsible tech.

Explore how at Thoughtworks, we are making tech better, together.

Tickets are now available and all proceeds will be donated to Indigitek, a not-for-profit organisation that aims to create technology employment pathways for First Nations Peoples.


Click the button below to register and get your ticket for the Melbourne, Sydney or Brisbane event

GET YOUR TICKET!

PROMOTE YOUR WEBINAR ON ITWIRE

It's all about Webinars.

Marketing budgets are now focused on Webinars combined with Lead Generation.

If you wish to promote a Webinar we recommend at least a 3 to 4 week campaign prior to your event.

The iTWire campaign will include extensive adverts on our News Site itwire.com and prominent Newsletter promotion https://itwire.com/itwire-update.html and Promotional News & Editorial. Plus a video interview of the key speaker on iTWire TV https://www.youtube.com/c/iTWireTV/videos which will be used in Promotional Posts on the iTWire Home Page.

Now we are coming out of Lockdown iTWire will be focussed to assisting with your webinars and campaigns and assistance via part payments and extended terms, a Webinar Business Booster Pack and other supportive programs. We can also create your adverts and written content plus coordinate your video interview.

We look forward to discussing your campaign goals with you. Please click the button below.

MORE INFO HERE!

BACK TO HOME PAGE
Peter Dinham

Peter Dinham - retired in 2020. He is a veteran journalist and corporate communications consultant. He has worked as a journalist in all forms of media – newspapers/magazines, radio, television, press agency and now, online – including with the Canberra Times, The Examiner (Tasmania), the ABC and AAP-Reuters. As a freelance journalist he also had articles published in Australian and overseas magazines. He worked in the corporate communications/public relations sector, in-house with an airline, and as a senior executive in Australia of the world’s largest communications consultancy, Burson-Marsteller. He also ran his own communications consultancy and was a co-founder in Australia of the global photographic agency, the Image Bank (now Getty Images).

Share News tips for the iTWire Journalists? Your tip will be anonymous

WEBINARS ONLINE & ON-DEMAND

GUEST ARTICLES

VENDOR NEWS

Guest Opinion

Guest Interviews

Guest Reviews

Guest Research

Guest Research & Case Studies

Channel News

Comments