The Community has Spoken by Bhupinder Sharma

S ER V I C E S

Man in the mirror I’m Starting With The Man In The Mirror I’m Asking Him To Change His Ways Michael Jackson (August 29, 1958 – June 25, 2009)

editorial

have heard you say this before - there is lesser business in the market, recession has hit cash, etc. But I would like to question the very basic attribute of your business. Why are you resisting change? Take a look at your customers. IT department of user companies, both large and small, are under increasing pressure to show a rapid return on any IT investments they make, pushing them to look for alternatives that will lessen the financial burden and speed the time to value. As a member of the channel community, this should be seen as a big opportunity for your growth. It is time for you to take a better look at the next stage of growth of your channel business. If users have a problem, you have a job to fulfill and this is the next wave of boom for you. As we meet more user companies, we hear IT departments crib about how even the most well-conceived IT projects can be difficult to execute, involving more time and resources than originally expected. While these projects may be designed to solve a particular business issue, they can fall short due to rapid changes in technology and a company’s lack of technology skills. You as a member of the community that provides to this user have been given the unique opportunity to solve these issues for them. Today, customers demand you to prove tangible business benefits of your technology offering. The best part of being at this side of the business is that you are partnered with technology leaders who hold-hands to ensure that prospective customers are mapped and well-informed. The above factors are putting tremendous stress on user company executives looking to ensure that technology works for them. During difficult times they are pressured by managements to look for alternatives that will lessen the financial burden and speed the time to value of their technology initiatives. This unique opportunity poses the biggest growth driver for you as a channel partner. It is now that the user companies are most receptive to newer ideas and cost cutting technology strategies. You have arrived at the cross-roads of evolution – it is time to take the bold step and relook at what is the next big thing. Start with looking inward – look into the mirror.

sujay.nair@9dot9.in

You have arrived at the cross-roads of evolution – it is time to take the bold step

SUJAY NAIR editorial director digit channel connect

july 2009

DIGIT CHANNEL CONNECT

contents

S ER V I C E S products

Volume 1, Issue 8

n Top selling products and brands of 2008-2009 n Product reviews n Channel partner columns

services

n Emerging IT services of 2008-2009 n Service provider columns

thought leadership

51 70

n Channel partner best practices n Countering the downturn â&#x20AC;&#x201D; a channel perspective

insights n Budget expectation from the channel community n Best practices from channel leaders

future

n What awaits the channel community n Addressing todayâ&#x20AC;&#x2122;s challenges for a better tomarrow

advertisers index

Managing Director: Dr Pramath Raj Sinha Printer & Publisher: Kanak Ghosh Editorial Editorial Director: Sujay Nair Sr. Correspondents: Maneka Tanwani, Charu Khera Design Art Director: Rohit A Chandwaskar Chief Designer: Abraham K John Illustrators: Shrikrishna Patkar, Chaitanya Surpur Photographer: Jiten Gandhi Brand Communication Head: Kabir Malkani Team: Thomas Varghese, Jayant Varade, Nilanjan Ghosh, Subodh Dalvi Product Manager: Ankur Agarwal Sales & Marketing VP Sales & Marketing: Navin Chand Singh National Manager - Events and Special Projects: Mahantesh Godi (09880436623) Business Manager (Engagement Platforms) Arvind Ambo (09819904050) National Manager - Channels: Krishnadas Kurup (09322971866) Asst. Brand Manager: Arpita Ganguli Co-ordinator - MIS & Scheduling: Aatish Mohite Bangalore & Chennai: Sanjay Bhan (09341829285) Delhi: Pranav Saran (09312685289) Kolkata: Jayanta Bhattacharya (09331829284) Mumbai: Ganesh Lakshmanan (9819618498) Production & Logistics Sr. GM Operations: Shivshankar M Hiremath Production Executive: Vilas Mhatre Logistics: MP Singh, Mohd. Ansari, Shashi Shekhar Singh Channel champs Sr Co-ordinator - Events: Rakesh Sequeira Events Executives: Pramod Jadhav, Nitin Kedare, Johnson Noronha Audience Dev. Executives: Aparna Bobhate, Shilpa Surve Events Programmer : Vijay Mhatre OFFICE ADDRESS

Toshiba India ................................................................................................................................................... IFC Top Notch ...........................................................................................................................................................4 Digi Link ............................................................................................................................................................. 7 D-Link India ........................................................................................................................................................9 APW PRESIDENT .................................................................................................................................................11 Neoteric ............................................................................................................................................................13 Seagate . ..........................................................................................................................................................15 Western Digital . ................................................................................................................................................17 Elitecore Technologies ......................................................................................................................................21 Zotac . ..............................................................................................................................................................25 Pushpam ...........................................................................................................................................................31 IBM . .........................................................................................................................................................37,39.41 Intel .................................................................................................................................................................43 Abacus .............................................................................................................................................................45 MicroWorld........................................................................................................................................................ 47

Nine Dot Nine Interactive Pvt Ltd., KPT House, Plot 41/13, Sector 30, Vashi, Navi Mumbai - 400 703 Phone: 40789666 Fax: 022-40789540, 022-40789640 Printed and published by Kanak Ghosh for Nine Dot Nine Interactive Pvt Ltd. C/O KPT House, Plot 41/13, Sector 30, Vashi (Near Sanpada Railway Station), Navi Mumbai 400703 Editor: Sujay Nair C/O KPT House, Plot 41/13, Sector 30, Vashi (Near Sanpada Railway Station), Navi Mumbai 400703 Printed at Silverpoint Press Pvt. Ltd, TTC Ind. Area, Plot No. : A - 403, MIDC, Mahape, Navi Mumbai - 400709

Quick Heal..........................................................................................................................................................61 India AntiVirus..................................................................................................................................................65 Pinnacle............................................................................................................................................................ 75 cover design :

Circle Infotech...................................................................................................................................................81

kabir malkani

GIGABYTE.........................................................................................................................................................IBC

design contributions :

vijay padaya , m v sajeev , n v baiju

EMC...................................................................................................................................................................BC

july 2009

DIGIT CHANNEL CONNECT

T R END S Alcatel Lucent, Reliance Communications joint venture completes one year

his legal entity was launched in July 2008, as an innovative business model between one of the worlds largest telecom equipment manufacturer and telecom service provider to establish a cost-effective delivery hub for global services business “The unique combination of strengths of Alcatel Lucent and Reliance Communications has been among the key drivers for unprecedented growth and quick subscriber ramp up on the Reliance Mobile network”, said Sandip Biswas, Head of Managed Services, Reliance Communications. “With Reliance Communications holding a 33 percent equity stake in the Joint Venture, it also offers us significant opportunities to further create value for our many million stakeholders”, he added. Within the first year of operations the Joint Venture has demonstrated its capability to achieve operational cost savings of 20-25 percent. To ramp up the operations and lead the new entity - Alcatel-Lucent Managed Solutions appointed John Crossley as CEO. In his role, John will focus on process improvements and business development oppor-

Kingston ‘Howzzat’ scheme for dealer reward program

he IPL and the T20 World Cup has got everyone hooked onto this crazy world of Cricket, with so much of bat and ball all around. Kingston introduced ‘Howzzat’, their latest in channel partner schemes, keeping in mind the cricket frenzy audiences in India ‘Howzzat’ is designed keeping in mind the current T20 World Cup. Under this scheme, purchase of every 10 units of Kingston Flash products and 4 units of DRAM from an authorized Kingston distributor entitles the channel partners to a scratch card. The scratch cards would have runs and wickets as scoring from 0 runs – 6 runs and bowled out, LBW, stumped out and catch out respectively. The dealer needs to download a score card from www.itsmyapace. in to submit their total score. The score card would include the details such as the address for submitting the score, the space to fill in the score, and the terms and conditions. The dealer is expected to collect as many scratch cards as possible till the end of the World Cup. Dealers need to courier the score card, scratch cards and the original invoice from the distributor to six inches communication so as to reach before July 6th 2009. The prizes are divided in two categories viz. top eight cities and rest of India so as to give a fair chance to all the dealers from smaller towns and cities.

tunities, in India and globally. Prior to taking up this assignment John was leading Alcatel-Lucent’s Middle East network operations activities. John has been in the telecom industry for over 30 years. The initial phase of the JV spanned through July to September 2008 wherein CDMA and GSM operations and maintenance of five circles (Maharashtra & Goa, Mumbai, Gujarat, Madhya Pradesh and Himachal Pradesh) were successfully transitioned. In the second phase, on October 2008, Reliance Communications handed over the Rest of India’s operations. Alcatel-Lucent Managed Solutions now manages Reliance’s pan India CDMA & GSM network covering approx 80 million subscribers and providing coverage to more than two million sq. km of area. The 5-year agreement signed last year by Alcatel-Lucent and Reliance Communications is valued about USD 750 million. It is one of the largest multi-vendor managed services deal in the world and the first for multi-technology managed services in India (both CDMA and GSM).

Cooler Master introduces HAF 922 mid tower chassis

ollowing the success of the full tower HAF 932, Cooler Master has extended the HAF (High Airflow Flow) line to a mid tower in the HAF 922. This machine comes with massive air flow cooling and the Cooler Master trademark interior HAF 922 supports up to seven fans in total, including three of those that support 200 mm fan (which are swappable for smaller 120mm or 140mm fans) for maximum airflow while maintaining a quiet environment. An independent air intake has been designed for a bottom-mounted PSU for easy installation and improved heat management. For overclockers, this chassis supports liquid cooling set-ups with retaining holes in the back and room for an internally installed radiator. Starting with a CPU cooler retaining hole that was first introduced in the ATCS 840, it allows for quick installation of CPU cooler without removing the motherboard. The cable management makes for less clutter and system maintenance. It comes with a tool-free 5.25” and 3.5” drive bays for easy in-and-out and A 7+1 PCI slot for added expandability and a spacious interior to house all types of high-performance hardware.

Starwood Hotels and Tata Communications partner to roll-out telepresence

tarwood Hotels and Resor ts Worldwide, and Tata Communications, announced a partnership agreement as part of an ambitious plan to roll out public telepresence rooms worldwide The agreement will significantly increase Tata Communications’ network of public Cisco telepresence rooms with 10 new facilities opening in Starwood hotels by the end of 2009. The first telepresence suites are planned for Sheraton New York Hotel and Towers, Sheraton on the Park in Sydney, Sheraton Centre Toronto Hotel, The Westin Los Angeles Airport and W Chicago-City Center. Looking ahead, Starwood anticipates expanding the offering to hotels in key international business markets like Brussels, Paris, Hong Kong, Singapore and Tokyo. Tata Communications telepresence Service will provide Starwood and its guests an “in person” meeting experience with participants in rooms around the world. “We believe that public telepresence rooms are the key to increasing the accessibility of telepresence beyond major company offices to

DIGIT CHANNEL CONNECT

6 july 2009

their wider ecosystem of users - customers, suppliers, remote workers and business partners. Using managed telepresence services is ‘better than being there’ and helps companies hold more productive meetings without incurring travel and time costs. More team members can participate in meetings and collaborate around the world,” said John Landau, Senior Vice President Global Managed Services from Tata Communications. “With global companies under increasing pressure to foster productivity at the least cost, the need for public telepresence rooms is greater than ever. Telepresence that is available on a per use basis enables affordable, high quality communication for the small and medium business or remote/regional office worker. Because of the decentralised nature of business today, without public room deployments, telepresence can never achieve the critical mass needed to realize the full potential of this exciting video technology,” said Paul Waadevig, Senior Consultant on Unified Communications, Frost and Sullivan.

T R END S Software development is the next battleground for BPO

s the benefits from offshoring begin to mature and fade, Ovum sees software development expertise as an increasingly important competitive differentiator for Business Process Outsourcing (BPO) services providers. With the cost reduction benefits from staff offshoring beginning to fade, software development expertise is becoming more important for Business Process Outsourcing (BPO) services providers. This is according to a new report from Ovum, the global analyst and consulting company. The report, “The role of proprietary software in BPO”, highlights the increased use of software development in support of BPO services provision. It provides examples of BPO services providers including Capita, Atos Origin, and Tata Consultancy Services’ use of software development to enhance their BPO service delivery. “The extensive use of low-cost offshore resources by all BPO providers is serving to level the playing field across the market. Software development is the new battleground for BPO services providers who wish to differentiate their services”, says Samad Masood, IT Services senior analyst and author of the report. Ovum’s research reveals how both IT services and BPO services providers are using software development within the “process layer” in order to improve delivery efficiencies without having to significantly modify their client’s underlying enterprise software platform. In the same way, software development expertise is also key to vendors ability to use “cloud computing” technologies to offer their BPO services on a modular basis. This is giving rise to new models of BPO provision and serving to shift the competitive landscape between software, IT services and BPO services vendors. “Proprietary software development is key for BPO services providers to future-proof their business, and provide ongoing cost efficiencies above and beyond the standard ‘labour arbitrage’ provided by offshoring”, says Masood. “Most importantly, the use of proprietary software is also shifting the model of BPO services delivery, as it can significantly reduce the cost and/or requirement for significant technology platform transformation when transitioning to a BPO services provider.”

Netgear rolls out RangeMax dual band wireless-N router

etgear announced the launch of the Netgear RangeMax dual band wireless-N router WNDR3300. This would enable customers to have better connections and boost their performance The product is specifically designed to provide enough bandwidth to surf the Internet, stream HD videos, play on-line games, make Internet phone calls, simultaneously. It would enable customers to wirelessly connect to new devices easily with the Push ‘N’ connect feature. It automatically adjusts to the needs of Internet, voice, video and gaming applications (QoS). The features include Push ‘N’ Connect using Wi-Fi Protected Setup (WPS) allows to add computers to the network quickly and securely. It is configurable as a wireless repeater for extending dual band range and the ‘dual band’ delivers a better connection with more channels, avoiding interference from household devices. The product would be available in India through Rashi Peripherals and Ingram Micro, the authorised distributors of Netgear at a price of Rs 7000.

DIGIT CHANNEL CONNECT

8 july 2009

ViewSonic launches a stylish and affordable full HD LCD monitor

i e w S o n i c announced the launch of its 22” full HD 1080 monitor— VX2233wm. This 22-inch full HD monitor offers 18,000:1 dynamic contrast ratio that produces greater detail and definition in richer colors, enhancing the overall PC entertainment experience Elevating work, play and entertainment, the innovative 22-inch VX2233wm has high brightness and comes with Clearmotiv 5ms video response time which enables users to watch a brilliant, blur-free and superb HD broadcast quality video. The display also offers widescreen aspect ratio with1920x1080 super HD native resolution that allows users to view HD Content in itsnaïve format with no stretching or distortion. In addition, VX2233wmwith 16:9 widescreen features automatic aspect ratio adjustment that ensures a full, undistorted screen image. Together with it this multimedia monitor features invisible stereo speakers and Optisync Digital/Analog inputs offering highest quality of sound clarity and compatibility and configuration flexibility. The display is compliant with the strictest safety and environmental standards, and is made with environmentally friendly materials. It also comes with eco-mode that saves up to 40 percent in energy use and prolongs lamp life. Not only that this multimedia monitoris backed by the strongest pixel performance policy and offers a three-year limited on-site warranty. The end user price for VX2233wm is Rs.11,000.

QlikTech and Path Infotech announce alliance

likTech announced a strategic partnership with Path Infotech, a provider of software solutions and services in India “Customers will benefit from the combined power of QlikTech’s business intelligence offerings and Path InfoTech’s expertise in providing software services.” said Raghunathan, Regional Manager, India and South Asia. He further added, “Together, QlikTech and Path Infotech are both focused on enabling Indian businesses utilize their IT implementations to deliver business value.” As businesses look for new ways to increase service levels, reduce operational costs and improve productivity, deriving intelligence/ answers from business data would be the key growth driver. QlikView is a whole new class of business intelligence software that puts business users in control, lets them explore their data with unprecedented freedom, and get the answers they need to take immediate action. QlikView uses patented “associative analysis” to connect data from any source, and it exploits “in-memory” technology for rapid analysis and scalable deployment.

PRODUCTS

Top selling products and brands of 2008-09 Panel of editors

Contributors

Saket Kapur, Progressive Channels Associations of Information Technology – Delhi; Jayesh Mehta, Association of Information Technology – Bangalore; PN Prasad, Confederation of IT Association – Pondichery; Umang Mehta, Trade Association of Information Technology – Mumbai; Pawan Jojodia, Computer Association of Eastern India – Kolkata, Shital Nahar, Computer Media and Dealers Association – Pune, Rajnikant, Coimbatore IT Association, Coimbatore; Rushabh Shah, Trade Association of Information Technology – Mumbai

P N Prasad, President, CONFED-ITA; Jayesh Mehta, President, Association of Information technology and MD, Future Business Tech Bangalore; Saket Kapur, General Secretary, PCAIT and MD, Green Vision – New Delhi; P K Sinha, Treasurer, BITA (Bihar Information Technology Association); Prashanth Lahoti, CEO, Access2Future; Nilesh S Naik, CEO, Micronet Computers – Vapi, Gujarat; K Ravichandran, Proprietor, Jyothi Agency – Tirupur, Tamil Nadu; Prashant Ugemuge, President, Vidarbha Computer and Media Dealer’s Welfare Association;

THE categories 1. Personal Computing o Desktop PC o Laptops o Motherboard o RAM o Graphic Cards o Processors 2. Computer Peripherals o Keyboard o Mouse

Over 200 channel partners, SIs and VARs responded to this surveybased report of the top selling products and brands for the year 200809. Over the past two months the editorial team of Digit Channel Connect and the panel of editors for this special issue have worked on culling out this report. The questionnaire for the survey was drafted to collate information from channel partners, SIs and VARs of their perception of the top selling products and brands. While this survey does not show sales figures in quantity of any particular product or vendor, the respondent’s perception was critical. The instruction for answering the survey clearly stated the parameters used to respond to the questionnaire. We looked at aspects such as ease of sale, awareness among consumers and buying companies, participation and support from the vendor to the channel partner, marketing support and training. The respondents rated companies under three ranks for about eight product categories. These main categories were further classified into sub-categories to make the product information more detailed.

o Cabinets 3. Printing Solutions o Inkjet Printers o Laser Printers o Laser MFD/AIO o Inkjet MFD/AIO 4. Networking Products o Switches and Hubs o Routers

“Now is the time when one should have the courage and conviction to say no to distress selling and keep the sanctity of margins.” Nilesh Naik

o Wireless devices 5. Storage Products

CEO, Micronet Computers

o Internal HDD o External HDD o Flash Drives 6. Servers 7.

“Now is the time when one should have the courage and conviction to say no to distress selling and keep the sanctity of margins.”

Audio Visual

o LCD Monitors o PC Speakers o Projectors o MP3 Players 8. Security Products o Anti-virus/Spyware/Malware/etc o Firewalls

DIGIT CHANNEL CONNECT

10 july 2009

Saket Kapur,

General Secretary, PCAIT and MD, Green Vision

PRODUCTS

Personal COMPUTING

Desktop PCs

HP The HP desktop PC series is performance-optimised with easy back-up solutions and expansive storage space for all your digital demands. Reduce desktop clutter with a Universal Technology Pad and enjoy integrated wireless freedom. HP’s most stable and secure business PCs with professional innovations such as energy efficient technologies, leading remote manageability solutions, and three flexible form factors designed to fit your specific business needs.

laptops

Compaq Perfect for those in search of simplicity and value-for-money in a stylish-looking desktop PC. Enhanced connectivity options, leading processors and protective impact resistant technology give you a truly computing solution without sacrifices. Easy to use for highquality output at great value - whatever the purpose of usage.It is compact and space-saving but capable of full PC performance.

Dell Dell offers a broad range of laptops from systems exclusively designed for small businesses to fully certified mobile workstations to specialized from factors like tablet and ruggedized laptops to fit your needs and budget enabling you to get all your systems from a single vendor and help reduce complexity. Dell has global capabilities and can deliver a business class service in 130 countries, 24/7. Corporate class laptops are designed for organisations with growing networks.

mother board

Asus

Intel P45 chipset-based motherboard that combines powerful performance with great energy efficiency and supports DDR2 1200MHz dual-channel memory architecture and one PCI Express 2.0 x16 lane. The quality management process ensures customers receive quality solutions cost effectively. Compared to other compact motherboards on the market, it is cost effective for the assured quality.

Intel The Intel desktop board DX58SO is designed to unleash the power of the all new Intel Core i7 processors with support for up to eight threads of raw CPU processing power, triple channel DDR3 memory and full support for ATI crossfire and Nvidia SLI technology. Today’s PC games like far cry 2 need a computing platform that delivers maximum multithreaded CPU support

DIGIT CHANNEL CONNECT

12 july 2009

HP A comfortable fit for any budget, the HP 550 Notebook PC helps keep you connected and productive so your office goes with you. Device Access Manager for HP ProtectTools helps defend your network, your applications, and your data by controlling ports and removable storage devices on your system to prevent unauthorized users from removing your data. HP 3D DriveGuard uses a three-axis accelerometer that detects sudden movement and initiates protective action to help protect your lotebook’s hard drive against bumps.

Gigabyte Gigabyte motherboards feature copper PCB Capacitors and patented DualBIOS technology. It offers stability, reliability and longevity essential to meet the power needs of high-end processors and other components running today’s most demanding applications and games. Gigabyte series motherboards leads the motherboard industry for the highest quality and most innovative motherboard design.

PRODUCTS

Personal COMPUTING

RAM

Transcend Transcend memory modules use high-quality brand name chips. Each chip is selected with the strictest quality standards and is 100 percent tested to ensure reliable performance and stability.

Hynix Hynix has always been at the leading edge of memory innovation. Hynix is currently supplying 66nm 1Gb DDR2/DDR3 and has started ramping 54nm 1Gb DDR2/DDR3 production. Hynix offers DDR3 Registered DIMMs which provide higher memory density, speed and memory bandwidth, and reliability for high performance servers. Hynix is also developing 1.35V DDR3 RDIMMs for lower power consumption in server platforms. DDR3 SDRAM, which upholds the next generation main memory standard, can transfer data twice as fast as the current generation DRAM. Hynix’s DDR3 SDRAM boasts high performance and low power consumption. It supports data transfer rate up to 1.6Gb/s and operate at a voltage as low as 1.5V comparable to DDR2 which a previous version of DDR3.

Graphic Cards

Asus GV-NX76T256D-RH (rev. 1.0) graphic accelerator is powered by NVIDIA GeForce 7600GT GPU and supports NVIDIA SLI technology, PCI Express and 12 pipelines, Microsoft DirectX 9.0C and OpenGL 2.0 support. It is ntegrated with the industry’s best 256MB GDDR3 memory and 128-bit memory interface. Features dual DVI-I / D-sub (by adapter) / TV-OUT

Kingston Kingston ValueRAM products are engineered to meet industry standard specifications and rigorously tested to ensure quality. Kingston ValueRAM is ideal for those who purchase memory by spec and are looking for competitvely priced generic memory that is 100-percent tested to meet industry specifications. While the HyperX DDR2 modules are specifically engineered and designed to meet the rigorous requirements of PC enthusiasts. HyperX DDR2 offers faster speeds, lower latencies, higher data bandwidths and lower power consumption than DDR. HyperX is available in single and dual-channel memory kits.HyperX DDR2*features include 1.8 Volts operation, operational enhancements to increase memory performance.

Nvidia NVIDIA GeForce 8300 motherboard GPU delivers the power of a discrete GeForce GPU with up to 60 percent more graphics performance than entry-level graphics cards. Enjoy Windows Vista and today’s popular games with DirectX 10 and watch the latest Blu-ray and HD DVD titles with purevideo HD technology. And get the most advanced core logic with Gigabit Ethernet featuring FirstPacket technology and MediaShield storage technology with RAID5 support.

Processors

Intel core 2 Duo

Intel Core 2 Quad

Investing in new PCs with Intel Core2 processor family can mean big savings for your business. Delivering faster performance, greater energy efficiency, and more responsive multitasking, desktop PCs with Intel Core2 processor family can help your whole company be more productive. By combining breakthrough processing speeds with advanced power saving features, desktop PCs with IntelCore2 processor family let you get more done in less time than ever before reducing energy costs by an average of 50 percent. Processors built with Intel’s unique 45nm technology offer excellent performance as well as unique energy-saving features.

The Intel Core2 Quad processor for desktop Pcs is designed to handle massive compute and visualisation workloads enabled by powerful multi-core technology. Providing all the bandwidth you need for next-generation highly-threaded applications, the latest four-core Intel Core 2 Quad processors are built on 45nm Intel Core microarchitecture enabling faster, cooler, and quieter desktop PC and workstation experiences. Plus, with optional Intel vPro technology, you have the ability to remotely isolate, diagnose, and repair infected desktop and mobile workstations wirelessly and outside of the firewall, even if the PC is off, or the OS is unresponsive.

DIGIT CHANNEL CONNECT

14 july 2009

PRODUCTS

AUDIO VISUAL

LCD monitor

Samsung SAMSUNG’s SyncMaster 2033SW is a high quality 54.61cm (21.5) display with a slim design to give you the visibility you need without taking up precious desk space. The combination of its ultra fast 5ms (GTG) response time, 15000:1 dynamic contrast ratio, and 300cd/m² brightness, giving vavid display quality.Monitor adjust its brightness and gamma of each frame and makes optimised contrast between frames. Bright image : higher backlight with gamma control and for dark images the lower backlight with gamma control.

PC Speakers

Altec Lansing Altec Lansing speakers are designed to complement contemporary computer and monitor styles, the expressionist bass brings music, movies and games to life.Forget about bass booming at your shins. The expressionist bass features twin desktop speakers with subwoofers built right in. The bass is in the base of each speaker. Separate 1 ½” drivers deliver mid and high frequencies so vocals and details come through with brilliant clarity. An auxiliary input allows convenient connection of any MP3 player.

“The challenges in dealing with products such as LCD monitors, TFTs, etc. are basically the mix of available brands and models. The brands are placed in important factors such as design, cost, form factor, service and support. One if the biggest challenge is logistics.” Prashant Ugemuge

President, Vidarbha Computer and Media Dealer’s Welfare Association

Viewsonic

ViewSonic’s VX2435wm widescreen LCD transforms your desktop into an entertainment center with the full 24” widescreen display. HDMI, DVI and more video connections let you select the best input source for your digital entertainment. ClearMotiv 8ms video response delivers broadcast-quality, full-motion video. The ultra high 1000:1 contrast ratio and high brightness produce remarkably bright, rich colors. Integrated digital speakers and VESA wall-mount compliance reduce desktop clutter. The VX2435wm is perfect for the serious professional, gamer or digital entertainment enthusiast who wants great pictures in bigscreen brilliance.

Creative The GigaWorks T40 Series II speakers offers enhanced model of GigaWorksT40. The new GigaWorks T40 Series II propels audio enjoyment into the next level of acoustic fidelity. There’s no need for a physical subwoofer as the threedriver Midrange-Tweeter-Midrange (MTM) audiophile configuration comes with BasXPort technology - delivering excellent dynamics with rich extended bass. While the silk dome tweeter with dual woven glass fiber drivers produces crystal clear highs with full range audio, the whole system also offers an improved power output of 16W RMS per satellite. The GigaWorks T40 Series II is set to be a perfect addition to any living room or desktop.

“Large format retailers pose a big threat to the channel fraternity, especially in the product retail space. The community will have to evolve and think of making better product delivery strategies to ensure that we keep market shares intact.” Prashanth Lahoti, CEO, Access2Future

DIGIT CHANNEL CONNECT

16 july 2009

PRODUCTS

AUDIO VISUAL

Projector

Benq The elegant design of the MP523, with its snowy white housing, strikes a perfect balance between classic good looks and a high-tech visual sense. Its clean lines and spare ornamentation let it blend in artfully with any environment, whether in your home or out. XGA (1024 X 768) resolution for vibrant images with precision color and detail. While Texas Instruments’ advanced on-chip BrilliantColor technology boosts mid-tone colors, increasing overall brightness and producing a more vibrant picture.

NEC World’s first automatic projector, NP50 projector does everything for you automatically including startup, focus, keystone correction and more. With the footprint smaller than a day planner, the bright, powerful projector makes presenting a breeze. Some of its features include 2600 lumens , XGA 1024x768 native resolution, automatic focus and square shot technology provide optimum image quality, easy to transport, only 3.5 pounds, quick start and instant shut down

Sony

Business Projectors are not just needed for lengthy office presentations. To cater to business users who have to travel frequently, such as sales staff or consultants, Sony has especially designed business projectors that are slim and lightweight, for easy carrying. 3LCD projectors separate white light from the projection lamp into red, green and blue primary colours. Each colour is shone through individual. There is light efficiency as three primary colours are projected the entire time when the projector is on. This also ensures that users view an image that is bright, clear and vivid. Some of the other features include high brightness of 2100 ANSI lumens , 3LCD projection system , advanced intelligent auto setup , off & go function , six picture modes and security features

MP3 player

Apple iPod classic gives you 120GB of storage capacity, good for up to 30,000 songs, 150 hours of video, 25,000 photos, or any combination. And you get up to 36 hours of battery life, so you can keep on rocking for a long, long time.iPod classic uses iTunes to sync the photos you have in iPhoto on a Mac or Adobe Photoshop Elements and Adobe Photoshop Album on a PC. View photo slideshows complete with music and transitions on iPod classic, or play them on a TV using an optional Apple component or composite AV cable.

“Now is the time when one should have the courage and conviction to say no to distress selling and keep the sanctity of margins.” P K Sinha

Treasurer, BITA (Bihar Information Technology Association) and MD, Astric Computer

DIGIT CHANNEL CONNECT

18 july 2009

Transcend

Transcend’s MP860 digital music player features superb sound quality, with support for newer file formats such as FLAC (Free Lossless Audio Codec) and OGG, as well as MP3, WMA, WAV, and even WMA-DRM10 protected music files. In addition, the MP860’s advanced equalizer effects, including SRS WOW HD and user-customizable options, allow sound output to be tailored to match specific music tastes and styles. The player’s large built-in speaker, users can listen to great sounding music without headphones and easily share their favorite songs with relatives and friends. More than just a music player, the MP860 is also designed for playing MPEG4 SP(XVID) and FLV movies with excellent audio and video quality on its bright and colorful 2.4-inch high-resolution screen. For storing videos, music and photos, the MP860 comes with up to 8GB of built-in memory, and also features a convenient microSD/microSDHC expansion slot for virtually unlimited digital entertainment—anytime, anywhere.

PRODUCTS servers

servers

HP The HP ProLiant DL120 G5 Server is a new low cost, entry level rack-optimized server. Low on cost, but not short on performance, the DL120 supports Intel Xeon processors with all the performance advantages of dual-core and quad-core. An array of processors including Intel Celeron, Pentium, Core2 and Xeon, provide the ability to choose the appropriate processor based on application demands and cost. The single processor, 1U server is ideal for single-application IT infrastructure, web and edge-of-network applications.

IBM IBM offers a new generation of x86 rack and tower servers to help you reduce costs, improve service and manage risks. These servers can: reduce power costs by up to one half compared to previous generation servers, significantly reduce total cost of ownership with easy-to-use IBM management tools, deliver up to twice the performance compared to previous generation servers IBM System x3650 M2 and System x3550 M2 rack servers are two-socket servers are delivered in a 2U or 1U package.

computer peripherals

Keyboard

Microsoft This newest addition to the best selling line of ergonomic keyboards makes day-today tasks easier with a more natural wrist alignment.

Mouse

Microsoft Microsoft BlueTrack Technology combines the power of optical with the precision of laser for remarkable tracking on virtually any surface. Microsoft 2.4 GHz wireless delivers a reliable connection with up to a 30-foot range, with virtually no interference.

Logitech Laser cut from a single, semitranslucent piece of black Plexiglas and set into a brushedaluminum frame, the diNovo Edge keyboard makes a bold statement in the office or the living room.

Logitech Simplify life on the road with the ultra-portable Logitech VX Nano Cordless Laser Mouse for Notebooks. It’s always ready for use, thanks to the world’s smallest USB receiver. Plug it into your notebook’s USB port just once, then forget about it. No more broken or lost receivers. No more hassles.

Cabinets

Cooler Master With pure innovative strength, Cooler Master, the leader in enthusiast computer components, has unleashed yet another prevailing arsenal to compete in the full-tower chassis segment. Proud and robust in its appearance, the HAF 932 presents its sturdy sentinel housing and revolutionary High Air Flow structure to enhance and protect any hardware component that is worthy of the highest performance.

“I believe any unethical trick by a vendor or the reseller would be only a short-term thinking and they will collapse sooner or later. I do not consider them as competitors.” Jayesh Mehta

President, Association of Information technology and MD, Future Business Tech

july 2009

DIGIT CHANNEL CONNECT

PRODUCTS

Internal HDD Seagate 32% storage products Hitachi 0.21

Internal HDD

Digital 34%0.21 SeagateWestern 32% Hitachi

Western Digital The leader for high quality hard drives, introduces the Caviar - a high performance hard disk drive. This series uses Western Digital’s proven technology and quality manufacturing to deliver outstanding performance and reliability. Western Digital hard drives are specifically designed and tested for flawless operation in your equipment. Its large capacity and high speed make it the perfect choice for demanding applications. The Caviar offers superior quality and reliability at an affordable price.

External HDD

Transcend Transcend’s StoreJet 25 mobile is compact and portable, with measurements of only 134 mm by 80.8 mm by 18.8 mm. Weighing in at just 206g, the StoreJet 25 mobile is easy for users to conveniently carry around. To protect against data loss or damage from accidental slips or falls, the StoreJet 25 mobile meets the U.S.military drop-test standards MIL-STD-810F 516.5 procedure IV (transit drop test) with advanced two-stage anti-shock technology.

Flash drives

Transcend Transcend released its brandnew USB2.0 Flash Drive, the JetFlash 185. With its Zinc Alloy body, the JetFlash 185 is truly a statement of elegance that will be appreciated by those who enjoy the finer things in life. The JetFlash 185 measures only 49.5 mm long by 15.8 mm wide, and it is so thin (7.4 mm) that it easily slides into tightfitting stacked USB ports. It conveniently plugs into the USB port on any desktop, or notebook computer, for users to easily transfer, store, and share files. Each JetFlash 185 comes with a short chain, so it can be hooked to a key ring. The JetFlash 185 is built using Hi-Speed SLC NAND-type Flash and is engineered using top quality components to ensure better performance and a longer lifespan. In addition, the JetFlash 185 is enhanced for WindowsR ReadyBoost technology, which not only can accelerate program running speed, but also can increase memory performance.

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20 july 2009

Maxtor 13%

Maxtor 13% Western Digital 34%

Seagate The Seagate Barracuda 7200.11 drive delivers up to 43 percent power savings over the previous desktop generation without sacrificing drive and system performance levels, giving customers the ability to manufacture eco-friendly PC systems and external storage systems that meet energy-savings requirements.

External HDD External HDD Seagate 28% Western Seagate 28% Others (Hitachi, Digital 34% Western

Western Digital

Digital 34%

Maxtor) 9% Others (Hitachi, Maxtor) 9% Transcend 29%

Transcend 29%

My Book World Edition Home Network Drive from Western digital you can securely access your files anywhere, anytime using MioNet® remote access technology from WD. It just takes a few simple steps to set it up and then you can get to your files no matter where you are.

Flash Drives

Transcend 38%

Kingston

Transcend 38%Sandisk 15% Sandisk 15% Others 15%

Kingston 31%

Others 15%

Kingston 31% Kingston Technology’s DataTraveler 2.0 USB Flash drives put portable flash memory in anyones hands. Reliable and easy to use, DataTraveler is the choice of corporations and consumers alike for securely storing, carrying and transferring important data, favorite songs, photos and more.

The main issue we face is the delay in getting the replacements. It takes a week to 10 days for getting a replacement after booking. In case of flash drives, they are also are sold in duty paid shops at lesser prices than what we get from the distributors. We pay high price for genuine product with warranty.” K Ravichandran

Proprietor, Jyothi Agency

PRODUCTS

NETWORKING PRODUCTS

Switches & Hubs

Netgear Netgear offers a complete line of reliable, affordable networking switches from high-performing wire-speed Layer three managed switches to entry-level managed smart switches to plug-and-play unmanaged switches for SMB and the Home. All Netgear switches are standards based, fully-compatible with existing 10/100/1000 network infrastructure and easy to use and install.

Linksys Surge your network with surefire data transfers in full duplex mode with the EtherFast 10/100 Autosensing Switches. Delivering a fast and easy cost-effective boost to your network perform-ance, these EtherFast Switches seamlessly migrate your network to the unprecedented speed and power of Fast Ethernet.

D-Link The 24-port D-Link DES-1024D unmanaged switch is the latest addition to D-Link’s popular line of Express EtherNetwork products. Like other products in the line, the DES-1024D combines ease of use with unsurpassed performance resulting in an exceptional value for any cost-conscious network administrator who wants the best possible solution at the best possible price. The DES-1024D is truly plug-&-play with features like: Auto Speed Sensing — allowing it to automatically sense whether a network device is running at 10Mbps or 100Mbps then automatically adjusting itself for optimal performance.

Cables & Wires

Molex

As a leading supplier of advanced fiber optic components the product offering includes a full range of solutions including connectors and adapters, assemblies, backplanes, optical circuitry, termination kits and tooling. Molex’s experience and resources provide customers a wide range of design, manufacturing and valueadded services. We also offer optical solutions for the military market. Molex fiber optics part numbers under the engineering series 86xxx are available as their fully RoHS compliant replacement in 106xxx series. The Molex iPass interconnect system offers both connectors and cable assemblies that enable flexible speed compatibility for applications ranging from 1.5 to 6.0 Gpbs.

D-Link D-Link is an industry pioneer, market leader, designer and true manufacturer of networking communications and digital home electronic products. Excellence in manufacturing, innovation and a commitment to quality has allowed D-Link to produce cutting-edge, high-performance products within standard-based technologies. The company continues to offer the best value in the connectivity market today by combining high-quality products with the most affordable price point.

Routers

Linksys The Linksys instant broadband EtherFast Cable/DSL router is the perfect option to connect multiple PCs to a high-speed Broadband Internet connection or to an Ethernet backbone. Allowing up to 253 users, the built-in NAT technology acts as a firewall protecting your internal network. Configurable as a DHCP server, the EtherFast Cable/DSL Router acts as the only externally recognized Internet device on your local area network (LAN). The router can also be configured to block internal users’ access to the Internet. Not only will all of your PCs now be able to enjoy your lightening-fast broadband internet connection, they will also be able to share internal network data.

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Netgear Wired routers connect to other networked devices with Ethernet cable, providing reliable and straightforward connections at a bandwidth of about 10 Mbps for basic 10BaseT technology, or 100 Mbps for Fast Ethernet, and 1000 Mbps for gigabit ethernet technology. The run length of individual Ethernet cables is limited to roughly 100 meters.

PRODUCTS NETWORKING PRODUCTS

Wireless Router

Linksys The Linksys Wireless-G Broadband Router is three devices in one box. First, there’s the Wireless Access Point, which lets you connect both screaming fast Wireless-G (802.11g at 54Mbps) and Wireless-B (802.11b at 11Mbps) devices to the network. There’s also a builtin 4-port full-duplex 10/100 Switch to connect your wired-Ethernet devices together. Connect four PCs directly, or attach more hubs and switches to create as big a network as you need. Finally, the Router function ties it all together and lets your whole network share a high-speed cable or DSL Internet connection.

Belkin The Belkin Wireless G Plus Router connects to your cable or DSL modem and enables your computers to share broadband Internet access. Our Router also lets your computer share music files, printers, and hard drives. You can add up to 32 computers to your wireless network with additional notebook and desktop wired and wireless network cards. By achieving networking speeds that are faster than standard 802.11g, the Wireless G Plus Router provides increased “real world” networking speeds. This means you will see overall speed improvements in “mixed mode” networking environments where other 802.11g devices may be present. Wireless G Plus offers even faster speeds in pure G Plus networking environments.

security products

Anti-virus/Spyware/Malware

Norton Norton antivirus stops viruses, worms, spyware, bots, and more—Keeps your system protected against all types of malicious threats.Norton insight—delivers innovative intelligence-driven technology for faster, fewer, shorter scans. Rapid pulse updates every 5 to 15 minutes—provides up-tothe-minute protection. It prevents virusinfected emails and instant messages from spreading—Feel secure while you keep in touch.THe solution blocks browser exploits and protects against infected Web sites.

Firewall

Quick heal Quick Heal Total Security 2009 gives you complete protection from viruses, spywares, and hackers. It also helps you stay connected and communicate over the internet by preventing your system from threats over the Internet. Data Theft Protection, Privacy Protection, PC2Mobile Scan, Anti-Rootit, AntiMalware,

Nortel

“The biggest problem IT distribution industry is facing today is of low margins for the reseller and larger margins for the distributor. This is exactly reverse to the general distribution norms.”

The Switched Firewall Portfolio provides enterprise class stateful firewall protection.This portfolio is made up of the Switched Firewall products which protect network applications, services and multimedia (VoIP and video) applications from hackers.

P N Prasad

President, Confed-ITA

july 2009

DIGIT CHANNEL CONNECT

T R END S Simmtronics launches SIMM Intel G-41 chipset motherboards

immtronics Semiconductors has announced the launch of Intel G-41 chipset motherboards for both desktops and notebooks. G41T-M is equipped with 2 DIMM DDR2 800 slots and is scalable up to 8GB, providing good scalability and enhancing the efficiency appreciably The product supports LGA775 Intel processors with HT technology and doubles the bandwidth of the system memory up to 12.8GB/ s and pumps up the system performance. It has an integrated 6-channel HD Audio CODEC delivering advanced multichannel audio. The latest connectivity standard which delivers transfer speeds up to 480Mb/s for easy connectivity and ultra-fast data transfers. The processor is manufactured on Intel’s 65nm fab process, regardless of L2 cache size reside in an LGA775-style socket and runs up to 1333MHz front-side bus. Its power consumption is much lower than previous Intel desktop chips. It is priced at Rs 4200 and come with a three year warranty.

Who you gonna call? PlayStation!

ony Computer Entertainment Europe (SCEE), Sony Pictures Consumer Products, and Atari Europe announced that Ghostbusters: The Video Game for PlayStation 3 (PS3) and PlayStation 2 is to be published in India by SCEE in June. In Ghostbusters: The Video Game, players can grab a proton pack and turn their ghostbusting fantasies into reality as the new recruit to the Ghostbusters team in a story set two years after the Ghostbusters 2 movie. Once again, the city of Manhattan has been overrun with ghouls, ghosts and all things foul – and it’s down to the Ghostbusters team to capture them all and regain control. Players will take on the role of a new recruit joining the famous Ghostbusters team. The game has been written by original Ghostbusters writers Harold Ramis and Dan Aykroyd and reunites members of the original cast for the first time in 20 years. Bill Murray, Dan Aykroyd, Harold Ramis, and Ernie Hudson lend their voices and in-game likenesses to the game, which also features performances from favourites including William Atherton (Walter Peck), Annie Potts (Janine) and Brian Doyle-Murray (Mayor Jock Mulligan). Developed by Terminal Reality and Red Fly Studios Ghostbusters: The Video Game will arrive on PS3 and PS2 this June. PSP version of the game is scheduled for launch in autumn 2009.

Smart Technologies announced widescreen interactive pen display

mart Technologies announced the Smart Podium ID422w (formerly Sympodium), the latest addition to Smart’s line of interactive pen displays, which includes the ID350 and the ID370 With 40 percent more interactive workspace than the ID370, the ID422w is the company’s first widescreen interactive pen display. High-definition resolution, a 16:9 aspect ratio and 22” (56 cm) display combine to deliver sharp image quality and exceptional performance. The ID422w is ideal for educators and business professionals who want to add interactivity to lessons or presentations in large boardrooms, auditoriums and classrooms. Smart Podium ID422w has a wide variety of features, including

Changing governance models: How to keep suppliers on a leash

s 70 percent of organisations use outsourcing in one form or another. Managing it correctly is critical, not just when it is signed but throughout the lifecycle of the relationship Why is it that enterprises still apply governance models builtup around industrial-era command and control techniques? The new wave of outsourcing and its continually growing complexity, geographic dispersion and multiple lines of control is begging for fresher and more realistic engagement models, especially given the amount of money being “thrown” at external bodies. “Frustration at the impotence of key stakeholders to make decisions often occurs in outsourcing relationships, especially if the control mechanisms relate to the bygone world as it was when the deal was signed.” Jens Butler, Principal Analyst, IT Services, Asia Pacific, Ovum. Ovum has found that the context, requirements, resources and capabilities will be very different in the period between signing the deal and considering the renewal. Outsourcing partners to often “forget” about the governance models, often seen as overhead, and very quickly move into the job of keeping their heads above water associated with the day to day operational challenges. “If you don’t adjust the steering slightly as the journey progresses, expect to have to make a massive U-turn further down the track, which is often dangerous and costly.

DIGIT CHANNEL CONNECT

24 july 2009

an aspect ratio that is compatible with widescreen laptop and desktop computer monitors, preventing any letter-boxing or distortion. It has an intuitive, easy-to-learn interface for confident presenting and lesson delivery. Installation is simple and maintenance is low. A battery-free, tethered pen enables users to write in digital ink over displayed content, and the tether ensures the pen remains attached. The screen only recognises input from the pen, so users can rest their hand on the screen in a natural writing position. The Smart Podium ID422w integrates seamlessly with other Smart products, including the Smart Board interactive whiteboard, and ships with Smart Notebook software. The manufacturer’s suggested retail price is 171,306.75 INR.

Huawei unveils packet-based MSTP evolution solution

uawei Technologies a provider of next-generation telecommunications network solutions launched a packet-based MSTP (Multi-Service Transport Platform) evolution solution which enables operators for the first-time to move seamlessly from TDM (Time-Division Multiplexing) services to fully packet-based services without the usual cost burden that is associated with such a network upgrade MSTP evolution, which can be easily upgraded from existing MSTP network, will be able to meet the operators’ increasing demands of high-efficiency mobile transport networks. The new solution is backward compatible and future-oriented to support enhanced 3G and LTE technologies. Christian Chua, President of Huawei Transport Network Product Line infomed “The new and future-proofed packetbased MSTP evolution solution presents opportunities for operators who are currently using TDM-based mobile transport networks and are looking to upgrade to the exciting next-generation packet services of the future.” This latest packet-based MSTP platform enables mutual conversion and seamless operation among ‘pure TDM transport’, ‘hybrid TDM and packet transport’ and ‘pure packet transport’ networks. The solution also supports unified end-to-end management, protects existing operator assets and investments.

T R END S Virtusa announces foray into the Indian market

irtusa believes that the Indian market offers exciting opportunities for growth and expansion, as many Indian enterprises are driving significant changes in their existing IT systems to support their growing customer needs in a globalised and connected environment Leveraging Virtusa’s Lean IT approach to simplifying complex IT environments through software platforming, Virtusa plans to assist Indian companies consolidate, modernise and rationalise core business processes. As a result, customers are able to extend market reach, improve their customers’ experiences, improve time-to-market and reduce overall costs. Doug Mow, Sr Vice President – Marketing, Virtusa said, “According to NASSCOM, the current domestic IT services spend in India is estimated to touch $8.3 billion in 2009, growing 20 percent over the previous year. Virtusa is looking at addressing this market.” “Virtusa has demonstrated a strong track record of serving the technology needs of Global 2000 enterprises in banking, financial services and insurance(BFSI), and telecom”, added Krishna Murty Yamajala, Vice President and India Center Head, Virtusa.

Two new ultra compact Cyber-Shot cameras from Sony

ony India introduces two slimmer Cyber-shot W series cameras – the DSC-W190 with 12.1 mega pixels and DSCW180 10.1 mega pixels In Sony’s trademark chic fashion, the cameras are available in metallic red, black and silver, and sport a more slender, brushed metal chassis that is only 18.7mm thin. The new W series features enhanced face detection, smile shutter and digital SteadyShot technologies, automatically optimising image settings for quality photo finishes. In addition, the new W series is designed for maximum comfort and intuitive use, so users can easily capture detailed, vivid images. With a 1/2.33-type Super HAD CCD sensor and up to 12.1 megapixel resolution, combined with 3x optical zoom and up to 18x Smart Zoom, the stylishly sleek W series cameras enable large format printing of photos with high resolution and vivid detail. Newly added in the DSC-W180 with 10.1 mega pixels and DSCW190 with 12.1 mega pixels cameras are the enhanced Face Detection and Digital SteadyShot features, which deliver stunningly clear images with maximum ease. Face Detection allows the cameras to easily detect up to 8 faces in a scene and automatically adjusts focus, exposure and white balance, creating optimal capture settings for high quality photos. With Smile Shutter activated, users simply focus on a face and the camera shoots automatically when the person within the frame smiles. A high sensitivity mode of up to ISO 3200 also eliminates blur when shooting in dimly lit environments or when capturing fast-moving subjects. Catering to different shooting environments, the new W series also offers seven scene selection modes: High sensitivity, twilight, twilight portrait, soft snap, snow, and beach, that adjust and optimise camera settings automatically for the user’s environment, making beautiful images easier to capture. The new Cyber-shot W series cameras will be available at Sony authorized dealers and national retail partners across the country at Rs 8,990/- for DSC-W180 and Rs 9,990/- for DSC-W190.

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D-Link unviels KVM switches for SOHO and SMB segment

-Link introduced its two KVM Switches DKVM-4U and DKVM-8E. These switched offer cost effective solution for control of several servers in a computer room, allowing an engineer to handily manipulate all connected computers from a single monitor, keyboard and mouse Customers can switch quickly between the individual client computers by pushing a button on the D-Link KVM switch or by pressing the hot keys on your keyboard. The KVM switch confirms the switchover with an acoustic signal, and has LEDs indicating which PC is currently being served by the console. D-Link offers a wide range of KVM switches to cover all segments of users from the home/office users to large datacentres. The D-Link KVM switches are available in 2, 4, 8 and 16 port models. The higher end KVM switches have the cascading feature that allows stacking of multiple switches to control up to 128 computers. The IP KVM allows remote access to multiple PCs/Servers over a LAN, WAN or Internet. Key features of DKVM-4U include VGA/SVGA monitor support, USB connection to keyboard and mouse, connects up to 4 servers/ PCs and automatic scanning of PCs every 10 seconds. Key features of DKVM-8E allows users to control eight computers from one keyboard, mouse and monitor, daisy-chain ports allows control over as many as 64 computers through eight banks of DKVM-8E units, no software required, each channel contains a microprocessor emulation to intelligently manage the boot-up process for all your attached PCs boot-up transparently and simultaneously and it supports VGA, SVGA and multisync monitors at up to 1920 x 1440 resolution. DKVM-4U and DKVM-8E are available in the market at an approximate street price of Rs 4,620 and Rs13, 200 respectively.

Gigabyte ranked number one motherboard company

igabyte recently announced that it is the top-ranked motherboard company in the ‘2009 Info Tech 100 Taiwan’ list from Business Next magazine in Taiwan – achieving an overall ranking of 19th The evaluation study 515 publicly traded Taiwanese IT companies and evaluates them according to four business week criteria: revenue, revenue growth, Return on Equity (RoE), and total return. In recent years, Gigabyte has introduced many industry leading technologies that contributed to their being ranked. In 2006, Gigabyte was the first motherboard manufacturer to use Japanese solid capacitors on their products and aptly named them the Ultra Durable motherboard series. Then in 2007, Gigabyte launched the Ultra Durable 2 series of motherboards that introduced Ferrite core chokes and Low RDS (on) MOSFETs in addition to Japanese solid capacitors delivering unequalled system stability, durability and overclocking performance. In 2008, Gigabyte came out with a feature-rich energy saving technology - Dynamic Energy Saver and Ultra Durable 3 technology sporting lower system temperature, improved energy efficiency and enhanced stability for overclocking. All of these innovations from Gigabyte have subsequently become or are becoming motherboard industry standards.

T R END S Simmtronics launches SIMM Intel G-41 chipset motherboards

Who you gonna call? PlayStation!

Smart Technologies announced widescreen interactive pen display

Changing governance models: How to keep suppliers on a leash

DIGIT CHANNEL CONNECT

24 july 2009

Huawei unveils packet-based MSTP evolution solution

PRODUCTS

1 GHI

DQRS

ABC

JKL TUV

PNO

Storage Western Digital

Passport Studio portable 160GB HDD This Western Digitalâ&#x20AC;&#x2122;s portable HDD comes in a variety of colors. It has a sturdy plastic body with a slide protector for the connectivity ports. It is very convenient to use. Just next to the ports are four white LED indication lights that show the usage. The drive comes with the standard mini USB and a FireWire 800 port and three separate cables for connection via USB/Firewire variants. Compared to the other competitor drives, this Studio drive is slightly thicker. The portable drive gives an average transfer speed of 36 Mb/s when connected via FireWire, which is very impressive. It just takes 55 seconds to transfer 1.2GB of data. Overall, the Studio portable HDD is an extremely fast drive and comes at a great price. Saifee Merchant, Proprietor, Best International

StorageWorks AIO 1200 This HP all-in-one 1200 storage solution with its in-built data protection facility and NAS file serving is a single storage solution for all business needs. This user-friendly storage system is not only affordable, integrated and simple but it also enables to protect, grow and manage data. The high-density AIO1200 with a 2U rack-mount comes with an expandable platform that supports both SAS and SATA drives. T Kishan, CEO, K Computers, Hyderabad

Audio Visual Acer

X193 LCD Monitor This 18.5-inch, 16:9 widescreen LCD monitor offers a comfortable and strain-free viewing to its users. The LCD has a contrast ratio of 10000:1. The control buttons that are located just below the panel allows the facility for easy cleaning as well. The model is perfectly suitable for office as well as for entertainment purposes. With a price of Rs 7,000 and three-year replacement warranty, the monitor is a perfect buy that ensures both price and performance to its users. KV Rao, CEO, Cluster Infotech, Hyderabad

BenQ

MP 512ST The BenQ MP 512ST projector comes in snow white color and is just 11-inches wide weighing 2.4 kgs. It comes with a credit

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WXYZ

card sized remote, which places all basic functionality in your hand. It has brightly lit indication lights on top for power, temperature and lamp status. On the back it has D-sub in/out, S-video, composite video, 3.5mm audio jack as well as a HDMI port. The new spherical lens used in the projector makes visible a large display screen from half the distance than a normal projector. Even the sound output is of a high quality. At its price, itâ&#x20AC;&#x2122;s a projector suitable for homes as well as offices. Om Prakash, Proprietor, Ritu Enterprises, Chhattisgarh

Servers Intel

Nehalem-based servers When it comes to servers, Nehalembased servers with a 45nm process are creating waves in the market. These servers are processed with the Intel QuickPath Interconnect, which is an all-new integrated memory controller. The server is sure to maximise the performance of the PC with the introduction of Hyper-threading technology, which was initially used in the Pentium 4 series. Nehalem is suited for all kinds of desktops and notebooks. RP Harish Kumar, CEO, Connoisseur Electronics, Bangalore

Security McAfee

Virus Scan9.0 McAfee is the most trusted name in the field of computer protection. The software is enabled with a ScriptStopper that prevents the viruses from getting transferred from one PC to another through e-mails. The virus scan downloads the updated versions of anti-virus automatically on a regular basis. It also offers a large number of features, including availability of an anti-virus emergency response team that keeps a constant watch on the worldwide virus activities to provide complete safety to its users. Pankaj Kumar, Service Executive, H&H Technologies, Chandigarh

Symantec

Norton 360 Symantec Norton 360 suite is a complete package when it comes to security. The latest version of the suite provides the user with anti-virus, Firewall as well as anti-spam services. Moreover, it even provides its user with identity protection, which is safely protected via a password. The anti-phising service works like a charm detecting harmful websites and providing full site informa-

PRODUCTS

tion. The safe web feature enhances the search engine results so that the relevant and safe websites are prioritised. It even provides a silent mode, in which the user is not prompted about pop-ups and update warnings which is helpful while giving a presentation or watching a movie on the computer. The search engine is quick and the virus database is updated on a regular basis to provide the user with maximum security. Naresh Grover, CEO, Shaily Enterprise, Haryana

Personal Computing Acer

Aspire 4736Z laptop Acer Aspire 4736Z laptop has features like 14.1 inch display screen powered by Intel Pentium processor, with a high definition (HD) picture screen. At the entry level, the Acer Aspire 4736Z is the fastest moving laptop and most customers are attracted towards this model as the look and feel of this product is very trendy. On an average, we sell nearly six laptops of this model every month. The price of this laptop including VAT is Rs 31,000. CN Ballal, Director, Smart Byte Technologies, Bangalore

Zion

Dynamic RAM Zion dynamic RAM offers better pricing mechanisms than its competitors - every GB of RAM costs Rs 750. It is a preferred choice among customers because of its robust performance and the three-year warranty that the company provides. Ajay Nair, Proprietor, Computer and Network Services, Bhilai

Emerson

UPS

Emerson UPS comes in various ranges - from 1KVA to 4800 KVA. The Emerson UPS has been the most selling brand among UPSâ&#x20AC;&#x2122;s and almost all models are selling at the same pace. Emerson leads in the UPS segment because of the great geographical reach of its sales network and after-sales services. Shekar Narula, Director, Arc Infotech, Bhubhaneswar

Networking

designed for the small office and home. This router enables quick and easy connectivity to high speed broadband Internet. The DLink 502T is the fastest selling among wireless modems and the average sales is nearly 50 pieces per month. The cost price including VAT is Rs 1,400. Customers prefer this wireless modem as it offers good performance at competitive price. Adhip Kumar Jena, Partner, Third Eye Systems, Orissa

Printing and Scanning Solutions Xerox

WorkCentre 3119 Xerox WorkCentre 3119 offers multi function print, copy, scan up to 19 ppm, with paper capacity of 251 sheets, and offers 600X600 dpi resolution. The Xerox WorkCentre 3119 is the most preferred among customers in the printer /scanner segment as it has better pricing and servicing. On an average we sell six models of it in a month. The cost price including VAT is Rs 8500. JP Sharma, Head, Fortune Associates, Bhopal

HP Laserjet

1022 printer HP laserjet 1022 printer is an entry level printer and supports multi level functions offering print speed of up to 18 ppm. It has a built-in 8 mb RAM and with 1200x1200 dpi support, comes with one year warranty. Among laser printers, HP moves faster in terms of sales, as most customers prefer this brand. Sarvanan D, Radix Systems services, Bangalore

Peripherals Frontech

Mini Tower ATX The Frontech Mini Tower ATX cabinet comes with 24 pin SATA cable support and has 1 yr warranty. There is no SMPS problem in the Frontech cabinet which sets it apart from the rest of the brands. It is easily available and the cost price including VAT is Rs 920 Jyoti Ranj Naik, Proprietor, Compro Computers, Orissa

DLink Wireless Modem 502T Dlink wireless modem 502T has a dual chipV.90 and K56 high speed fax modem with voice

july 2009

DIGIT CHANNEL CONNECT

PRODUCTS PG Suresh, State President, All Kerala IT Dealers Association

Illustration: Chaitanya Surpur

Computer dealers and software piracy

hen I say a “computer dealer” I think of the person standing in front of the customer with the machine. His facial expression speaks voules of the various problems he faces. The person doesn’t have a feeling that he is doing a decent and Fetching business. Definitely he doesn’t earn enough to support his family. We are in the midst of an IT revolution and this is the fate of the very important person in the channel – the ‘dealer’. Let us examine the way various sections of the IT revolution partners see the ‘dealer’. Vendor: Not really bothered. Distributor: Considers him as a nuisance and avoids him as far as possible because managing minimum number of sub distributors is easier. Sub distributor: N o t t h a t h a p p y t o welcome a registered dealer and caution exercised because most of the so called sub distributors are having retail sales also. A free lancer who doesn’t have VAT registration and who operates on commission basis is more acceptable as they do not offer competition. Customer: Initially a friend and later an enemy who denies services which he deserves. In customer’s view providing a copy of any software free of cost is the duty of the dealer from whom the computer is purchased. Dealer: Dejected person who blames the moment he took a decision to enter the computer business. This is a peculiar situation where the so called ‘educated’ dealer pleading and trying in vain to educate his customer about

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Intellectual Property rights, software piracy, etc. The customer believes that he holds rights to obtain any software ‘free of cost’ from the dealer who supplied the computer and other IT peripherals. Some of us try to oblige and keep the customer happy and lands in trouble. At this point everybody in the channel washes off the responsibility. Vendors - how much ever big or small – supply machines with free DOS and provide drivers in their sites and blames the dealer for rise in piracy. Distributor says they do not even open the box and hence not responsible. Sub distributor claim that they had told the dealer to supply an operating system as well. Customer says that he purchased the machine after making payment and dealer provided everything and pleads ignorance. All Kerala IT Dealers Association would like to put on record that hardware vendors supplying the machines with DOS and providing drivers on their Website and software vendors providing copies with easy product key to permit piracy to cut down their advertisement cost is much more responsible than the IT dealers in spreading this evil. n PG Suresh is State President, All Kerala IT Dealers Association

PRODUCTS Arun Dixit, CEO, Udyog Software India

Best practices for IT channels Business has become very dynamic with the evolving channel network. IT industry is very competitive and demands high quality product and services within low margins Arun Dixit

hannel business is under extreme pressure if it is not managed with proper discipline. Channel partners should be aware about their challenges so that they can work out a better strategy to tackle the same. Territory restriction: Partners generally have territory restrictions. If they decide to go beyond their territory, it will ask for recurring fixed and variable expenses. Restricted territory means limited opportunity. Restricted territory can be lucrative if it comes with exclusivity. But exclusivity demands lot of investment and commitment. OEM companies with niche market generally prefer offering exclusivity, because of limited opportunity. Limited market opportunity has typical problem of reaching market because they all may be scattered. Scattered market will have very few media vehicle to reach. In case of niche market, reaching target client is critical success factor. OEM companies having mass marketing product can go for multiple partners within the same territory. It ensures higher chances of reaching maximum and penetrates faster. Accessing client is easy because, they may be available everywhere and any media vehicle will be a help to reach. Selecting innovative media to reach market is

DIGIT CHANNEL CONNECT

30 july 2009

very important in mass marketing. Parent company will have to give higher importance to Advertisement & Publicity. Generating leads: IT business is less “On the Counter” and more “At the Door Step”. IT products are generally marketed through direct marketing. Personal presence is very much needed in IT market due to ignorance and low tech savvies. Sending just brochure or updating website is not enough for IT companies. Hence generating inquiries means one has to hit client requirement or problems. Every IT requirement generally starts with

some problem. For e.g. Need for a statutory compliance software arises when there is problem in filing e-returns, where as it should have been in place from the beginning, considering various benefits of statutory software. Hence it is very important to design your advertisement, tele-marketing, or direct marketing dialogue from client/ prospect requirement’s point of view, so that it will make client/prospect to realize need of the product of services. Channels need more aggressive marketing and quicker deal approvals. Competition: Channel partners more often face competition from the same company channel partner, competitor’s company or it’s channel partners and the substitutes. When it comes to competition from same company channel partners it may create awkward situation for parent company. Whom it should give upper hand? Parent companies with proper lead tracking CRM can avoid such conditions. Transferring same lead to multiple partners is general practice in the IT, hence partner will have to close deals as soon as possible, by cutting their margin. Dif ferentiating sales and ser vices: Competition will never be a problem if one can prove clearly the differentiation with other’s services or products. Many partners end-up giving more services or discount to close the orders. That’s not a right way of business. One should get premium charges for their specialty. And specialty should be unique selling proposition for partners. Wining client should be on the basis of merit and not on the basis of compromise. Knowledge based dif ferentiation is best dif ferentiation in I T i n d u s t r y,

PRODUCTS Arun Dixit, CEO, Udyog Software India

because Indian industry is not yet tech savvy. Channel partner should ensure that his sales and service staff is able to deliver solution to client’s problems, that is the key. Maintaining quality sales force: Sales force is the first impression of any company. Considering channel partner’s margin it may not be easy task to maintain quality sales force. If channel partner wants to have quality sales force then they will have to offer better pay package so that they can retain his sales force. But that may not be possible because of thin margins. Alternate ways to maintain sales force is to go for commerce or Arts graduates rather Engineers. Enforce fresher into marketing. Give better training to these graduates and show them future growth path that they want to achieve. Showing future growth path will ensure their interest and long term commitment. Sales man working for long term will definitely show positive results. Continuous training, motivational Programs by OEM Company and proper growth path will help to improve output of sales force. Managing knowledge: IT business means only and only knowledge. One who has zeal for knowledge will excel higher in IT industry. Company with maximum people who wants to grasp more knowledge will have brighter future in a long run. Person who will saturate in acquiring knowledge will have stagnation in his or her growth. Channel partners should ensure that knowledge about his product or services should flow from every department to department. Staff may come and go but every new comer should undergo induction training so that level of knowledge can be maintained within the company and ultimately customer gets the desired satisfaction. Regular training and online forum should be a constant suppor t from the parent company to its channel partners Working capital rotation: Channel partners work on margin and they have to manage their all expenses within their margins. Partner margins depend on category of products. If it is fast moving with minimum efforts and services then it may come with low margin. If it requires more sales and services efforts then it may have bigger margin. Under both the cases partners are supposed to work on credit terms. OEM Company offers credit and partner supply material and services on credit basis. But it is very important to have lesser or equal credit period in sales than in purchase. Otherwise partner will keep on investing funds from his own pockets. Recovery department should be very strong in Partners Company. Apart from that terms of sales should be clear in sales so that

there will not be any point of arguments at the time of collection. Generally collection is a problem when there is no clarity in sales terms. Clarity in sales terms means faster collection, faster collection means higher ROI. Attrition: Entire industry is facing greater threat from attrition ratio. Every enterprise is worried about retaining employees. While retaining employees everyone is willing to pay higher salaries, irrespective of knowledge and skills. That will hamper quality of product and services and is too risky. One should not increase his salary burden just because of lack of manpower. Having higher salary employee means partner will have to work on high margin product or projects or higher quantity. Partners should offer better salary to good employees and retain few employees who can be pillar of his organization. Rest of the employees can be in supporting role.

Discounts: Discounts is the only major hurdle for any channel partner. For any partner, discount is the only and last weapon to gain orders. Discounting practice is worst in any sales. One should think of offering quality services and product at reasonable rate is mantra of successful business for any channel partners. Partner works on margin which cannot be more than 10 to 50 percent. If every partner thinks of giving something better and different it will reduce chances of offering discounts. To offer discounts, partner must have purchased licenses or products in bulk – but constant upgrades in the versions, products becoming obsolete are other key challenges in investing. Parent companies should have a ‘buy back’ offer to its partners if it is not sold. n The author is CEO, Udyog Software India

july 2009

DIGIT CHANNEL CONNECT

PRODUCTS Swarajya Gupta, CEO, Digitronics Infosolutions

Downturn worries The channel community is bearing the brunt of the slowdown. The commoditisation of hardware has pushed down margins drastically Swarajya Gupta have very high expectation of service as their knowledge of IT is limited and they usually own one or two PCs only. At the same time, this is the segment that is very price-conscious. This is not at all feasible from the point of view of the computer vendor. If we would be able to overcome the above said challenges, then it would be easy to expand hardware industry. n The author is CEO, Digitronics Infosolutions

he global computer hardware industry is going through tough times and so is the channel community. Price competition continues to be intense in the PC industry. Pertaining the current scenario of slowing demand and falling margins, the following challenges are easily identified in the hardware industry: Low margins – Due to intense competition and economic slowdown, the margins to dealers are getting sqeezed day-by-day. Fast-changing models and configuration - Rapid technological changes are taking place in computer industry, resulting in launch of new models every now and then. This results in fast obsolescence and erosion in price of old stocks. After-sales support by principals – Endusers, especially the home and Soho segment, are usually not satisfied with the support provided by the principal company. Thus, hardware dealers are forced to fill the gap which increases their cost. Pressures from principals for more stock – In order to meet sales targets, principal company or national distributors sometime put undue pressure on dealers to buy large stocks, thus putting them under intense financial pressure. Delayed payments from third tier parties – The third-tier parties, usually small system

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integrators and retailers, have a tendency to delay the payment especially if their payment gets stuck. The brunt is again borne by the dealers. Unstructured policies of vendors – Sometimes principal companies have some policies which are not easy to follow. This leads to confusion in logistics, resulting in souring of relationship between various parties. Increasing cost of operations – The operating cost of business is increasing day by day, whereas the revenue is not growing proportionately, putting a lot of pressure on bottomline. High expectation of service from end-users – End-users, especially

PRODUCTS Ajaya Kumar, CMD, Park Group

Sailing through tough times It is imperative to seek opportunities during the time of recession. A bad economic scenario is never permanent in nature and channel partners should not lose hope. With positive attitude and business expertise, we can find the silver lining in these dark clouds Ajaya Kumar

any people would say that this economic downturn is among the worst of times, but it can be among a company’s best of times. Past experiences clearly indicate that an economic downturn is always temporary in nature. So, friends, let us all stop worrying about it and start planning to find ways to counter it. Always remember, every coin has two sides, and so does the downturn. One must not look at this economic downturn as a bane, but as a boon. The downturn can help serve in making every organisation more ef ficient and stronger. There are m any way s that I would like to suggest my community folks that can help them counter the economic d ow n t u r n . I t i s rightly said that a penny saved is a penny earned. Thus,

one should look at organisation’s structure and reduce direct expenses, wherever and whatever possible. These expenses are a drain on a company’s finances, and by reducing these, it will help stabilise the company. One should also try and control the company’s stock inventories. If an organisation was maintaining an inventory of 15 days of monthly sale in times of economic stability, and sales have dropped by, s ay, 3 0 percent in the downtur n, then inventories should be reduced by approximately 30 percent, if possible. In addition, lower volumes of sales are another direct effect of a downturn. One must accept this and first find ways of reaching breakeven, and then go beyond that. One should work harder in a downturn, even if results are not like they were in the boom time. The awards reaped during these times of economic instab i l i t y m ay

not match those of better times, but they are very important for survival during the downturn. Percentage of profit margin should not be reduced to increase the sales in a downturn. Reduction of the margin will only lead to financial strain on the company as the increase in volume of sales cannot compensate for the shortfall in profits. ‘Payment On Time’ is another golden rule. One should insist on customers to pay on time, thereby reducing the finance costs to the company. One should also keep the team motivated in a downturn. They must understand the pros and cons of an economic downturn, its effect on the company and the market and how it can be fought with their help. Non performers should be reviewed. This is another reason to work harder during these times. An employee who is not performing consistently during these times is a burden to his company. Serious action must be taken on non-performers. With regards to the business associates, organisation’s relationships with business partners may become strained during these times, but one must remember that these partners will be there in good times and bad. Everyone is going through tough times, and amicable solutions must be reached on all matters of dispute and business relations retained. A company’s strength lies in the strength of its leadership. In these times of difficulty, the leadership should prepare a battle plan for the company to fight and survive the downturn. A clear idea for the future is of paramount importance. All in all, tough times call for tough decisions. One must not tarry on decisions that can affect the future of the company and its survival during these difficult times. Treading carefully in troubled times is the key to success. n The author is CMD, Park Group

july 2009

DIGIT CHANNEL CONNECT

T R END S Virtusa announces foray into the Indian market

Two new ultra compact Cyber-Shot cameras from Sony

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34 july 2009

D-Link unviels KVM switches for SOHO and SMB segment

Gigabyte ranked number one motherboard company

T R END S eScan 10 wins international acclaim

icroWorld, has received the VB100 percent and AVComparatives “Advanced” for its latest product eScan 10. “AntiVirus products should keep pace with this ever evolving threat scenario to provide round the clock protection for their users. With this recognition, eScan once again lives up to those steep standards and we will make sure that this standard never goes down. This ranking will enable security watchers, corporate decision makers and end users to make informed decisions in an otherwise complicated and ambiguous terrain,” says Govind Rammurthy, Managing Director and CEO of MicroWorld. AV-Comparatives is a registered Austrian non-profit–organisation and one of the most credible independent bodies. AV-Comparatives is known for the thorough tests it does on security software. As a test that evaluates AntiVirus solutions from various angles, AV Comparatives uses a large number of malicious programs in its test pool. The most important factor to be noted is that it gives rankings to various products in the present day market on their effectiveness in detecting malicious programs. For many years, Virus Bulletin has carried out independent comparative testing of anti-virus products and VB 100 has been considered as one of the most stringent tests. The tests tend to focus on virus detection rates and scanning speed, as well as looking at how each product fares when scanning set files that are known to be clean.

Nortel rolls out new solutions for business integration

ortel continues to drive the integration of communications and business processes with advanced services and softwarebased solutions that expand the array of applications and capabilities available to enterprises, while supporting more multivendor environments The company is announcing enhancements to its Agile Communication Environment and Media Processing Server, in addition to the upcoming global availability of Contact Center 7.0. “0The announcements reflect Nortel’s continued dedication and drive to taking customers to the next level of business performance,” said Ravi Chauhan, General Manager of Communications Enabled Business Solutions, Nortel. Nortel’s Agile Communication Environment (ACE) is a next-generation software platform aimed at fueling business agility and productivity. With ACE, communications functionality like instant messaging, voice, video, location, and presence can be quickly accessed via open Web Service interfaces. These capabilities can then be easily blended with business processes and tools such as customer relationship management, enterprise resource planning, GPS or WiFi asset tracking, and video monitoring to create powerful new applications. Building on ACE’s leading capabilities, Nortel is rolling out Release 2.0, which includes a Hot Desking application to provide single number access to employees on any type of phone in any location. Employers can use Hot Desking to lower real estate costs by as much as 25 percent, reduce telecommunications costs for mobile employees by over 10 percent, improve customer care, increase worker productivity, and better prepare for emergencies. This solution is ideal for enterprises with multi-vendor telecom environments, as it integrates with a variety of third-party PBX systems. ACE continues to extend its purpose-built integration with thirdparty telephony vendors such as Cisco and Tandberg and now includes support for Avaya. Support for Siemens will be part of a future release. This latest release of ACE also brings a set of desktop tools for Microsoft Outlook and Internet Explorer to increase worker productivity. In the coming months, Nortel will roll out a variety of new applications, tele

Logitech Introduces streamlined video calling

ogitech simplifies video calling with Vid by offering a streamlined setup and a simple, intuitive interface dedicated to video calling Video calls have always offered the promise of strengthening the connection between you and your distant friends and family. But for many, getting the software and hardware to work has been a challenge. If you’ve been waiting for a simpler way to make a video call, Logitech Vid makes it simple to make video calls. You can set up Vid in fewer than half the steps required by the major instant-messaging programs. Vid can also make it easy to see your loved ones in lifelike colours. Vid optimises the speed and resolution of your video call, so you’re always getting the bestpossible frame rate and resolution for your webcam. “Video calling has been around for more than a decade, but Vid truly has the potential to make video calling one of the primary ways that people stay in touch with their loved ones,” said Gina Clark, general manager and vice president of Logitech’s Internet Communications business unit. “Vid gives you the best of both worlds - eliminating the biggest obstacles to making video calls, while still providing the exceptional-quality audio and video that you expect from Logitech. Above all, you don’t need to be techsavvy to use Vid.” Logitech research revealed that the overwhelming reason why many people do not make video calls is that they are frustrated by complex software. Unlike video calling through IM or VoIP programs, Vid was designed exclusively for video calling. Logitech Vid is available for download at www.logitech.com/Vid and is free for anyone with a Logitech webcam or anyone who is invited by a Logitech webcam owner.

Abacus conducts partner meets with Nvidia

bacus Peripherals, brand owner of Zion and the sole national distributor of Biostar Motherboards and Sparkle Graphic Cards has been carrying out a series of meeting with select channel partners and resellers The first meeting of the series that saw a gathering of channel partners, resellers, dealers, business associates and system integrators was organised at Quality Hotel The Regency, Pune on 13th June. The meet witnessed a presentation of Abacus’s entire range of products viz. Zion, BioStar and AsRock mother boards and Sparkle Nvidia Graphic cards.The latest development in the product lines of Nvidia including demonstration of 3D compatible graphic cards were presented by Nvidia Country Manager Tahir Kagzi. The well attended gathering was introduced to India’s most reliable ram “ZION” by S Das of Abacus Peripherals.

Cyberoam UTM – The First to Receive ICSA Certification

yberoam has become the First solution to attain ICSA certification for Firewalls with Active-Active High Availability (HA) capability. The tough certification demands required by ICSA Labs, an independent division of Cybertrust, validate Cyberoam’s strong credentials in the enterprise network security market In becoming the first security appliance to receive ICSA certification for HA Active-Active, Cyberoam UTM has become the only certified solution that enables secure, continuous and efficient access to business-critical applications, information, and services to these enterprises. With its patent-pending identity-based security, gigabit throughputs, and high levels of granularity, Cyberoam secures large and complex enterprise networks from internal and external threats.

july 2009

DIGIT CHANNEL CONNECT

PRODUCTS

Ravi Verdes, Founder and Director, Frontier Business Systems

“We have ensured that we focus on all verticals to balance eventualities” Business models need to be de-risked so that in the event of one sector being adversely affected by economic slowdown, a company is not hit. Hence, focus should be spread across verticals like government, PSU, education, ITeS, BFSI, manufacturing, etc. RAVI VERDES

advt

e star ted as a box-selling channel par tner in September 1994 and today have evolved as one of the leading System Integrators (SI). We currently have a turnover of over Rs 210 crore. We are targeting a turnover of Rs 300 crore the coming year. Moreover, we are focusing on bottomline numbers, and are witnessing a 25 percent growth YoY. Our greatest strength is our ability to understand customer’s unique requirements and offer effective and efficient solutions and services. Ours is an environment friendly company. We have been taking several initiatives to conduct our business in the most environment friendly manner possible. Fo r e x a m p l e , we h ave a G r e e n building and a Green datacentre in Bangalore, confirming to Leadership in Energy and Environmental Design (LEED) Green building standards rating from the US Green Building Council (USGBC). We have invested considerably in automating our business processes. Internally we maintain a state-of-the-art IT infrastructure for operational effectiveness. Right from the beginning, we have ensured that we focus on all verticals to balance eventualities. Hence, we are trying to spread our focus to verticals like government, PSU, education, ITeS, BFSI, manufacturing, etc. We try to de-risk our model so that in the event of one sector being adversely affected by economic slowdown, we are not hit as a company. Starting from design and execution of enterprise backup power requirements to personal computing, networking, network security, thin client computing, virtualisation, enterprise computing, storage area networks, infrastructure management services, IT infrastructure consulting, and information security consulting – we have the domain knowledge and technical skills in every aspect of IT infrastructure – solutions or services. Though the channel community has also been hard hit by the current economic

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36 july 2009

“IBM and us–

A relationship built on trust, innovation and customer satisfaction.” downturn, it provides the fraternity a major opportunity with regards to availability of skilled manpower. Moreover, each deal today has to be fought hard and those with good strategies in place are still doing well. Cash flow is the biggest threat for the channel today. Customers today tend to delay payments for every small reason. In addition, the opportunities are limited so those with real skills and more value-adds are doing better today. Customer retention per say is not a concern for our organisation. We have a clear-cut plan and strategy in place to attract and retain customers. We approach our regular customers from time to time with new offerings. We help customers increase efficiency and optimise their IT investments and suggest measures that can help them bring down costs. With new solutions in areas like IT optimisation, Green IT, etc. customers are keen to understand how they can cut costs as well as utilise their existing investments better. The company has struck a number of mega d e a l s ove r t h e ye a r s . We a r e into information security consulting, virtualisation

consulting, IT infrastructure management services and have completed some of the major deals in BFSI, education as well as government sectors. We have recently received ISO 22001 certificate. Frontier has a national footprint with offices in Bangalore, Chennai, Hyderabad, Mumbai, Delhi and Cochin and many tier-II cities. In addition, we have a strategic relationship with several vendors for structured cabling solutions, networking, security, power conditioning solutions, software solutions. n

PRODUCTS

Sandeep Jain, Partner, Aryan Computers and peripherals, Kanpur

Solutions based approach yield dividends Although masses tend to cut down on IT expenses before cutting down any of their other expenses, when the market situation improves it is the first thing people tend to invest in as well Sandeep Jain

T remains one of the fastest growing sector in the country. We have seen a phenomenal growth with slowdown being thrown once in a while, as far as this line of business is concerned. Here I would like to acknowledge the fact that with this exceptional growth of the industry, the channel community which is by and large the backbone of IT has grown tremendously as well. However, like every business community we have our own challenges to face and fight. One of the major challenges facing the channel community is the tax system imposed by the government on IT products. Two percent tax along with additional VAT and SAT look a little too heavy on our pockets. Not that I have an issue paying the government. As an honorable citizen of this country I assure you that I am all for paying a part of my income for the betterment of my state and country. However, I do have an issue paying VAT when I am already paying up a portion of my income for tax. Apart from that competition coming from big cities nearby, Delhi for example, is a challenge for us as well. The vendors pay them better prices and a lot of our customers are also taken away by them. Moving on to the brighter side of the things, the road ahead is looking extremely positive with sales picking up in the last month. The fear of slowdown has cleared from the minds of the customers and the decision of IT products buying that they had put off formerly is now being taken up. Although masses tend to cut down on IT expenses before cutting down any of their other expenses, when the market situation improves it is the first thing people tend to invest in as well. However, in todays market situation it’s difficult to survive as a box pusher only. Services in the past few years have evolved as an integral part of any channel partners scheme of things. Its necessity has been accepted by all. Although one might continue with that, the necessity to provide something extra and valuable is imperative. Customers are looking for solutions and not products. The vendors as well want a onestop-shop whereby they can market not just their various products but solutions and value added services as well.

DIGIT CHANNEL CONNECT

38 july 2009

advt

“IBM and us, a

partnership for all reasons!”

Though many do realize this growing trend and there is a change happening in the mentality of box pushers, we still have a long way to go. Reason being, not all have the expertise that is needed to provide such services and solutions required by the customer. Solutions like video conferencing, structured networking, VPN, VOIP, WAN, LTO, virtualization and consolidation have the potential to change the outlook of the SI and VAR community in India. Many think that it is a good idea to be vertical centric and focus on just one vertical. I would however beg to differ. In my opinion one must always remember the proverb, ‘what goes up comes down’. Every organization and industry goes through a lull period as a part of their life cycle. If one was to concentrate only on that vertical, there is a chance where if that segment for some reason ceases to do well, the partner will be at loss. Therefore, it is essential for a channel partner to look at different verticals and concentrate equally on all. Of course if a certain vertical, for example at the moment, government, education and healthcare are doing extremely well, then it does make sense for a channel partner to concentrate more on these verticals. However, there is no saying what the future will be like. Therefore, one must not limit one’s options and

always be on a lookout for more profitable ventures. There is also a need for organizations like TAIT to play a bigger role in the channel community. From where I can see, organizations like such and to be specific to my region, Kanpur Dealers Association (KDA) are not very active in either bringing together the community in any way or helping them resolve their issues. These organizations can help channel partners grow by providing relevant information and acting as a mediator between the vendor and the channel partner. However, I do not see this happening but I am hopeful that things will improve in the future. I would thus like to end my note by urging these organizations to help us grow better and make our community a closeknitted family by taking initiatives towards fulfilling these goals. n

PRODUCTS

Neel Shah, Chairman, Insight Business Machines

“Principals going directly to customers is the biggest challenge facing the community today” In a free-wheeling interview, Neel Shah, Chairman of Insight Business Machines shares his thoughts on challenges facing the channel community, emerging IT services and businesses and the role of channel associations advt

DCC: What are the major challenges facing channel community in India?

Principals going directly to customers is the biggest challenge facing the community today. Vendors today make direct sales team which they are replacing with their channel partners and contacting the customer directly. This has led to shrinking down of margins for us and is fast emerging as the biggest threat to us. They are now going directly into our accounts and dealing with our customers without us in the picture. This is leading into high competition amongst the channel partners, where the competition was already high without the presence of the vendors. There are just not enough margins for all of us in here. DCC: With emergence of LFRs, there is a slump in the business prospects of box pushers and channel partners of multiproduct manufacturers. Do you think the only way forward in the evolution of channel community is to go the services way / value-added products and services? Please elaborate.

If we are to talk about LFR’s they are in a different league altogether. One cannot compare them with the box pushers or channel partners of multi-product manufacturers. Personally speaking, I think they actually lack in personal touch which the other categories of channel partners are able to provide in a better fashion. There is a need for personal touch in this fast moving world of ours. Now to answer the second part of your question, yes, I think providing services and value added products is the only way forward for channel partners. Everyone expects something extra these days and our customers are no different. Also this is one of the ways in which channel partners can expand their business by providing services and solutions. It is a way to grow which many are adopting these days. DCC: What emerging services or solutions do you feel will change the outlook of SI/ VAR community in India?

Virtualization, consolidation, converged networking and Green IT are doing extremely well these days. There is no

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40 july 2009

“In 10 years of partnership with IBM, we have expanded to 10 locations across the country.” doubt that the future of these solutions is bright and full of potential. However, OPEX optimization is one thing which I think will change the outlook of SI/VAR community in the country. DCC: In the background of a major economic downturn, the buying process is longer and budgets are leaner. Having said that, there are verticals such as government, healthcare and education that are still spending on technology. Will a vertical focus among channel partners an answer to slowing business in India?

I think a channel partner should be more customer centric than vertical centric. There is no guarantee with verticals. One day they are up and the next they are down. However, with customers one develops a relationship a kind of trust. One also gains enough knowledge about a customer having done business with him for a long time. Thus, giving itself an opportunity to gauge the stability of that customer. I am not of the opinion that there is no element of risk in this. However, the risk can be calculated far better in this case than if one was to concentrate on a vertical. After all, life is full of unknown things lurking around

the corner. However, one can reduce the probability in running into that unknown to a certain degree. DCC: TAITs role in solving grievances of its members. What are the steps taken by TAIT to ensure ethical business practices in the region?

TAIT has been a wonderful help in the past five years. It has helped all the channel partners to get together and keep in constant touch of each other. It has raise voice on our behalf and continues to do so. It helps the small time channel partners to procure service contracts and get a fair deal. It has also helped us in dealing with the government for the VAT issue. It has also evolved as a mediator and a link between vendors and the channel community. Issues like warranty, credit period, etc are tackled by TAIT in an extremely pro-active manner. One of the most important jobs being done by TAIT is providing information on various issues to the channel partners. For example if a certain vendor has committed fraud in one end of Mumbai lets say mahim, then TAIT make sure that the information reaches the other end of the city in borivali. n

PRODUCTS Amit Rambhia, MD, Vardhaman Technology

“I do not believe that LFRs are a threat to the channel community” “Providing value added services is definitely the way moving forward”, says Amit Rambhia, MD, Vardhaman Technology in a discussion with DCC DCC: What are the major challenges facing channel community in India?

The issue of service tax and rebates is a problem that every channel partner faces, irrespective of their size. A bigger challenge is that most partners do not keep themselves abreast with new technology developments. This affects their ability to master the art of value add services and make them a part of their offerings. It is also very difficult and time consuming to get rebates from vendors. We are not at all happy with the way these MNCs work.

charting mutual progress together

DCC: Can you share some best practices through which channel partners and vendors can support each other and play an instrumental part in the growth process so that it is a win-win situation for both?

Salutes YOU!

DCC: With emergence of LFRs (Larger Format Retailers), has there been a slump in the business prospects of box pushers and channel partners of multi-product manufacturers? Do you think the only way forward in the evolution of channel community is to go the services way / value-added products and services? Please elaborate.

LFRs do not offer the same skew of products as channel partners. Also channel partners can afford to sell products at a slightly higher rate as they offer many software and services along with most purchases. But the same is not the case with LFRs

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offer emerging technologies according to the dynamic of the market. But today only 10 percent of the community is engaging in these practices.

as they just sell commodities without any value-adds. I do not believe that they are a threat to us. Channel partners should aim at becoming an one stop solution providers for end-customers in terms of providing computing requirements, printing solutions, Internet, etc. They should also act as consultants and offer best practices to customers on how they can save space, energy, etc. and go Green. Providing value added services is definitely the way moving forward. Channel partners should also be in continuous mode of self training and

Vendors should take 360 degree feedback from channel partners as they can give updates of the exact market happenings. They should also train their partners on how to increase their domain expertise, manage their business, their financial and human challenges, etc. On the other hand, channels should make serious efforts to give honest feedback of market demands to vendors. This will help them meet customer wants faster and get an edge. Channels should be proactive in helping the vendors. DCC: About emerging services, what do you feel will change the outlook of SI/VAR community in India?

Managed services will change how businesses function. They will provide overall efficiency and time and cost savings to customers. Cost of serving will also go down drastically. Previously deployments were done in a reactive manner. With managed services coming along, technology deployments will be done in a preventive fashion. DCC: Have we overcome the economic downturn behind us? Did you see a growth in the last quarter?

We have seen a 70 percent growth in the AMJ (April-May-June) quarter against the previous quarter. Business is definitely boosting and this year seems very promising. We will focus on offering like thin client that will improve operational efficiencies and save costs of our customers. We will be consultants to them and help them invest in technologies that will help them optimise their existing infrastructure. n

PRODUCTS Chandrasekhar Rupanagudi, MD, SP Systems

“The slump in the market with emergence of LFRs can be overcome by providing value added services” Slimming profits, intense competition, emergence of LFRs, all are a cause of worry to India’s growing channel community. Chandrasekhar Rupanagudi, MD of SP Systems explains some good practices and things-to-do for countering these challenges.

etting credibility is the single major challenge faced by channel community. While, selling to a single user or very small organisations is not very difficult, breaking into big corporate segment is nearly impossible. This is because there is no standards base on which we can compare our integrated systems with branded systems. The same issue is the biggest stumbling block for the servers market. It would do a ton of good if vendors on their part can come up with some certification standards (like ESAA on the servers). Though there is a slump in the market with the emergence of LFRs, this challenge can be overcome by providing value added services. History of channel community gives us evidence that people who have provided value added services made better profits and survived such slumps. This is the best way for the channel community to move forward. Selling operating system, antivirus, office suit products, peripherals, consumables, providing after sales services at the door are some of the services we can think of providing to the small customer s.

DIGIT CHANNEL CONNECT

44 july 2009

charting mutual progress together

Salutes YOU! Many people would say that this economic downturn is among the worst of times, but it can be among a company’s best of times. Past experiences clearly indicate that an economic downturn is always temporary in nature. In order to make these services more relevant to the customer it would be best if all of us can come together and prepare a set of questions to be put to the customer before selling a system. When the questionnaire is exhaustive, we can clearly understand the customer’s specific needs and thereby have an opportunity to sell more products and provide better service to them. Also, for ser vice to be rendered successfully, one needs to commit to a highly motivated team of professionals. Human resources for the concerned service should be qualified with the right mix of intelligence and perseverance. In today’s economy, small businesses’ primary differentiator is service. If systems are down, then customer service levels are down too, ultimately hurting the business, the company’s reputation and its bottom line. This can make giving up control over critical information technology (IT) systems daunting. SMBs can learn from the For tune

500 when it comes to letting someone else manage their technology infrastructure. The current market trends demand for ‘Survival of the fittest’. Today the businesses are facing more complexities due to the increasing needs and reducing budgets. The owners are finding it difficult to face these challenges and focusing on the core business simultaneously. To keep focus on the core business is much required to sustain competency in this cut throat competitive era. SMBs cannot afford to wait until there is a problem before acting. A reliable partner will be the IT brain helping to look ahead and plan for not only future IT needs, but future needs as well. From an internal perspective, one should diligently monitor their cash flow, especially during tough economic sitiuations. Forecast your cash flow monthly to ensure that expenses and planned expenditures are in line with accounts receivable. Include cash flow statements into your monthly financial reporting. Project cash requirements three-to- six months in advance. The key is to know how to monitor, protect, control, and put cash to work. One should try and convert excess, obsolete, and slowmoving inventory items into cash. Consider returning excess and slow-moving items back to the suppliers. Close-out or inventory reduction sales work well to resize your inventory. Also, consider narrowing your product offerings. Well-timed order placement helps to reduce excess inventory levels and occasional material shortages. The key is to reduce the amount of your inventory without losing sales. Customer satisfaction and partnering with clients in tough times are important attributes to a growth-oriented business. We must re-focus attention on existing clients. Make customer satisfaction the top priority. A regular review of customers’ buying history and frequency of purchases can reveal some interesting facts about customers’ buying habits. Signing long-term contracts with core clients/customers will add to business security. The key is to do what it takes to keep current customers loyal. n

PRODUCTS Anees Khalfey, CEO, Radiant Computers

“SMB requirements for security related products has increased” Anees Khalfey, CEO, Radiant Computers in a freewheeling interview with DCC discusses the current financial crisis and the necessity of forming a national association to address channel community needs DCC: Have we put the economic downturn

deployed to protect themselves from hacking and compromising integrity.

behind us? Did you see a growth in the last quarter? Are you still seeing affects of the downturn?

The small enterprises have definitely been hit. This is true more so with the IT channels and dealers. But the midsized firms are optimistic and are talking of leveraging the right technology to stay ahead. They are not seeing a drastic reduction in their IT budget. IT is still a key driver and a business enabler for these companies. Though signs of reduction in the total business for 2009 have been foreseen, this sector is ready to brave the rough weather. The growth last quarter was approximately 20 percent. The month of May was toughest for us. Margins went down 25 percent. This month we are catching up and I am confident of higher profit margin by the year end. I believe things will drastically change post budget. DCC: Have SMBs become security conscious? Do you see a shift in their buying patterns?

Security is an issue for all businesses. The challenges faced by small-to-medium size businesses (SMBs) are unique and signif icant. Taken together, the ongoing

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DCC: Can the visionary idea of a national association practically work to address the challenges of the channel community?

threat to network security and myriad challenges to SMBs necessitates a unique and comprehensive approach to risk management, auditing and best practices. With regard to buying patterns the trend keeps shifting. It is not consistent. We have seen rise in software and hardware based solution depending on the buyer’s preference and business demands. According to our last one year’s sales report it is observed that SMB requirements for security related products such as firewall, unified threat management (UTM) and anti virus has increased. Organisations have realised the value for their data and t h e va r i o u s Web threat. The products and solutions are mostly

It definitely can. The channel community came together and formed the National Association of Channels of Information Technology (NACIT) about four years back. This was done to hold national presence and ad dress our concerns and issue at a higher platform. We in fact were successful in abolishing handling taxes levied upon us by the national distributors. But unfortunately the association could not sustain due to financial crisis. We also faced some issues with regards to office space and other infrastructural issues. We are planning to regroup and restart again and will be operational very soon. DCC: As you one of the senior most players, can you talk about the evolution of this community? What is the next step that needs to be taken to survive/move ahead in this space?

In 2001-02 the channel community had tremendous growth. And throughout then until September 2008 it was consistent and evolving. Post September 2008 till March 2009 the slow down and profit margin went for a toss. We are trying to get a grip of the market situation. This is the best time to fine tune organisational structure and strategy. It was also observed that the channel community unlike the bigger conglomerates did not fire their employees. One should also try and control the company’s stock inventories. If an organisation was maintaining an inventory of 21 days of monthly sale in times of economic stability, and sales have dropped by, say, 30 percent in the downturn, then inventories should be reduced by approximately 30 percent, if possible. In addition, lower volumes of sales are another direct effect of a downturn. One must accept this and first find ways of reaching breakeven, and then go beyond that. n

PRODUCTS

Worldwide PC shipments on pace for decline in 2009 Worldwide PC forecast for 2009 indicates likely return to market growth by fourth quarter of this year, but vendors should brace for two more difficult quarters

orldwide PC shipments are on pace to reach 274 million units in 2009, a six percent decline from 2008 shipments of 292 million, according to the latest forecast by Gartner. Gartner now expects the PC market to post positive growth in the fourth quarter of 2009, setting the stage for a healthy market recovery in 2010 with units forecast to grow 10.3 percent. Gartner predicts that the Indian PC market will be flat in 2009, witnessing a decline of 0.8 percent from 2008, which is an upward revision from its earlier projection made in February 2009 of 3.7 percent decline. Gartner’s latest forecast is somewhat brighter than its preliminary forecast from mid-May, which anticipated a 6.6 percent unit decline in 2009, and considerably stronger than its last detailed forecast from March, which projected a 9.2 percent unit decline. However, analysts urged caution and said that while the market appears to be strengthening, it is still premature to say that the worst is over and the market is recovering. “PC unit growth was stronger than we expected in all markets but Eastern Europe in the first quarter of 2009. In particular, consumer shipments were much stronger than we anticipated,” said George Shiffler, Research Director at Gartner. “However, professional shipments continued to strug-

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gle, and we think much of the growth in consumer units was due to vendors and the channel restocking inventories rather than an upsurge in demand. We expect units to contract roughly 10 percent year over year in both second and third quarter 2009 before they post positive growth in the fourth quarter.” Mini-notebooks continued to cushion the market’s decline in the first quarter of 2009. Units remain on track to reach 21 million this year and 30 million next year. “However, mini-notebook units posted their first quarter-over-quarter decline in the first quarter of 2009,” said Shiffler. “While this was in part the result of the general contraction in PC shipments to the EMEA region, it also reflects increasing competition between mini-notebooks and lowend mainstream mobile PCs as the former evolve toward larger screen sizes, and the latter continue to drop in price. In effect, mini-notebooks are becoming just another value-based mobile-PC offering.” Mobile-PC units are forecast to total 149 million units in 2009, a 4.1 percent increase over 2008, but spending on mobile PCs is expected to decline 12.8 percent as mobilePC average selling prices (ASP) continue to drop at an unprecedented rate. The drop in mobile-PC ASP reflects a pronounced market shift to lower-priced mobile PCs, driven in part by mini-notebooks but also

by performance-for-price improvements in low-end mainstream mobile PCs. Deskbased PC units are now expected to total 125 million, a 15.7 percent decline compared with 2008; spending is expected to decline 26.6 percent. “Both mobile-PC and desk-based PC units are being held back by users extending PC lifetimes and delaying replacements in response to the ongoing economic slowdown,” Shiffler said, “The good news for the industry is that delayed replacements won’t be lost replacements. Our research indicates replacements should grow strongly in 2010 and 2011, helping to power the market’s recovery.” Gartner analysts said the impact of Windows 7’s release in October on the PC market is likely to be very modest. “Although the buzz surrounding Windows 7 has generally been quite positive, we don’t expect the market to significantly deviate from its normal seasonal trends in reaction to its release,” said Shiffler. “Unless Microsoft mounts a major marketing campaign in support of Windows 7, we think consumers will simply adopt the new operating system (OS) as they would normally buy new PCs and/or replace old ones. As for professional users, we still expect them to put off adopting the new OS for at least a year until they have fully tested their applications against it.” n

T R END S Fujifilm India introduces its digital cameras in the Eastern market

ujifilm India introduced its new and exciting range of 7 new models of digital cameras in the Eastern India region. The new range will be available at all major consumer electronics stores, across all cities in West Bengal including Kolkata, Assansol, Burdwan and Siliguri Fujifilm India expects the Eastern region to contribute around 15 percent to its national sales in the current year and plans to undertake various promotional initiatives and ramp up its branding, sales and marketing activities through above and below the line marketing activities so as to effectively get across its message to its diverse target audiences. Kenichi Tanaka, Managing Director, Fujifilm India, said, “This year, we intend to intensify our campaign and develop the brand image of Fujifilm digital cameras. We also aim to reinforce technical and marketing support to existing channel network so as to penetrate deeper into the Indian market.” Amongst the digital cameras launched by Fujifilm today is the FinePix F200EXR, a high-end compact camera based on the EXR technology. Fujifilm’s Super CCD EXR sensor and the FinePix F200EXR, the camera that debuts this technology, have both received outstanding critical acclaim in Europe and the USA.

APW President Systems to increase focus on channel partnerships

PW President plans on expanding its market reach through a channel partnership program. The company’s channel partnership strategy in the last two years has given the company a fresh thrust that now includes a focus on solutions for small-and-medium business In developing channel partnerships, the company is enrolling channel champions who have a reputation for driving market growth, and for fostering a value-creation strategy that aligns with a customer-centric approach. “We have a well-established business-to-business model, supported through marketing and sales distribution channels. We plan to increase thrust on sales through channels (system integrators, VARs, etc.),” said Pramod Agashe, Chief Operating Officer, APW President Systems. “To quote an example, we have appointed Asia Pacific Brands India Ltd (APBIL), a provider of distribution services for IT and Industrial products, as national distributor for the FlexiBox, our range of wall-mount cabinets,” says Agashe. APW President Systems is intensifying its initiatives in the telecom, contract manufacturing, SMB segments, entertainment / healthcare and government segments. Additionally, the company plans to lay emphasis on technical services and solutions. On the technical services front, APW President has been moving strongly to offer increased back-end support and advisory help to customers in data centre and telecom centre projects from an early stage of the planning cycle through design, deployment and completion. The company’s technical personnel are closely involved in counselling IT managers, sharing expertise, and evolving optional solutions with modularity, scalability and reliability.

Salesforce CRM mobile application updated

alesforce.com the enterprise cloud computing company announced its Salesforce CRM Mobile application has been updated to take full advantage of the new iPhone 3.0 OS software This application will give customers powerful new features including the ability to cut, paste and copy, clone records, create custom filters, manage tasks using a new calendar interface, etc. Now, customers can use enterprise cloud computing applications and platform to take advantage of exciting new features including: l Cut, copy and paste - Quickly and easily cut, copy, and paste text from emails and text messages directly into Salesforce CRM. Select entire blocks of text with a tap. l Clone Records - Thumb-saving clone button lets users easily create identical records and save a bunch of typing. l Calendar-like Events - Manage events with ease with a new date-indexed view and a calendar-like interface. l Custom Filters - Quickly find information with custom filters on any list of data. l Convert Lead - Convert a lead as soon as the user hangs up the phone. The iPhone now offers lead conversion on a single form. l Visualforce mobile custom linking - Create custom mobile links on any object in Salesforce CRM: link from an Account directly to a Yahoo! news site with the latest news about a company, or link to a custom Visualforce page to show all related contacts and their images. With Salesforce CRM Mobile, customers get instant, anywhere access to data in their Salesforce CRM app, as well as custom Force.com applications directly on their iPhone or iPod touch. Salesforce CRM Mobile has the potential to drive productivity for field sales reps and mobile workers.

Trend Micro comes out with ‘worry-free security

uilding upon the ‘worry-free’ promise it made five years ago to small businesses with little or no IT support, Trend Micro is introducing the latest version of Trend Micro Worry-Free Business Security, now reinforced with new features that are powered by the Trend Micro Smart Protection Network The Smart Protection Network is at the core of both previous and new technologies integrated with Worry-Free Business Security. With its underpinnings of automatic Web Threat Protection, allin-one, integrated defense against a variety of threats, and zero administration, Trend Micro Worry Free Business Security 6.0 has “smart” new features that deliver a smarter and more effective approach than conventional antivirus. This next-generation security infrastructure provides a unique approach to blocking viruses, spyware, spam, and Web threats before they reach business networks. New URL Filtering helps maintain business productivity and adds another layer of protection against Web threats by proactively blocking inappropriate, risky or non-business related Web sites. Users can configure filter strength, rules, and business/leisure hours. New Smart Protection Network-Powered Smart Scan provides more effective protection than conventional antivirus. Smart Scan scans faster and updates quicker to detect and remove the increasing number of threats, while minimizing the performance impact to protected computers.

july 2009

DIGIT CHANNEL CONNECT

T R END S Supertron to distribute Unistal-BitDefender product combo nationally

nistal Systems announced the appointment of Supertron Electronics as its national distributor for Crash Proof + BitDefender Internet Security product

combo According to Alok Gupta, Managing Director, Unistal Systems, “This is in perfect accordance with our recent restructuring of product and channel strategy to further strengthen our business. Post our tie-up with BitDefender, our product portfolio has become even more formidable. We were looking for a national distributor of repute which has a wide footprint in terms of its own branch offices and a network of channel partners across every important market in the country. Our search came to an end with Supertron Electronics which specializes in distribution of several international IT product brands. We are delighted to ink this distribution deal, our largest so far, with them and hope to sell 5,00,000 combo units in the very first year itself.” “Unistal has bundled some of its home-grown and wellestablished products with BitDefender best sellers to come up with a remarkable range of combination offerings that have been receiving good response in the market. Almost all leading PC manufacturers bundle their products with Unistal software. This definitely makes this distribution arrangement very promising in terms of business. We shall provide them the necessary impetus when it comes to nation-wide availability through our 25 branch offices and over 3500 channel partners especially in category B&C class (tier I and tier II) cities besides the major markets,” said Vibhor Agarwal, Director-Marketing, Supertron Electronics. Unistal’s Crash Proof product is essentially data loss prevention software designed to intelligently record the file indexes/ disk properties. It keeps updating them at regular intervals. This recorded information is stored in protected areas and used to recover lost files and also un-format a lost drive. BitDefender provides security solutions to satisfy the protection requirements of today’s computing environment, delivering effective threat management to over 41 million home and corporate users in more than 200 countries. They are easy to use, with an installation wizard that guides users through the installation process without asking too many questions. All BitDefender products are internationally certified by Virus Bulletin, ICSA Labs, Checkmark, IST Prize, etc. BitDefender provides lightening fast response time to new computer attacks and has best detection rates in the world besides hourly Internet updates of virus signatures - automatic or scheduled actions offering protection against the newest viruses. BitDefenders Internet Security offers real-time antivirus protection from known viruses, spyware and other malware with hourly updates; blocks unknown viruses using advanced proactive detection techniques; detects and removes the newest breed of hidden threats known as rootkits; provides a smooth gaming experience by reducing the system load to a minimum; reduces the risk of identity theft by preventing personal information leaks via e-mail or web; protects against phishing attacks by filtering all accessed web pages for fraud attempts. Besides all this, it offers firewall protection that controls applications’ access to the Internet while “hiding” user’s computer from hackers.

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CSR introduces RoadTunes ROM solution for PNDs

SR launched its RoadTunes ROM solution for portable navigation devices (PNDs) and aftermarket in-car devices, such as bluetooth-enabled vehicle infotainment and car radio platforms Following on from the flash-based RoadTunes solution, this new cost effective version is well positioned to enable bluetooth in entry level PNDs and aftermarket in-car devices where previously the cost has been prohibitive. CSR is now in a position to support customers to enable bluetooth across their entire product lines, offering the customisable flash-based solution for the high and mid-end products and now a cost-optimised solution in RoadTunes ROM for the entry level products. The RoadTunes ROM chipset is a complete embedded bluetooth solution in a QFN package which requires minimal external components. The ROM chip has a comprehensive feature set including a stereo CODEC, echo and noise suppression and bluetooth in a single package and at a highly competitive price. The bluetooth profile feature set includes, but is not limited to, hands-free, audio streaming and phonebook connectivity. Based on CSR’s BlueCore5Multimedia chip, RoadTunes ROM is a low power design with a powerful RISC and DSP processor. On average it takes less than six weeks to integrate RoadTunes ROM on a device and does not require prior in-depth bluetooth experience. It is also scalable to requirements and can be integrated into many different host CPU devices, from 16 bit devices to powerful ARM platforms.

Strontium releases DDR 3 memory modules for laptop and desktop PCs

trontium Technology has come out with their DDR-3 modules for notebooks and desktops for the Indian market. The retail packaged high speed DDR-3 modules are available in 1333MHz and 1066MHz speeds as 240 pin UDIMMs and 204 pin SODIMMs in 1GB and 2GB densities The modules would meet demands of enthusiasts and gamers looking for ever higher performance at more efficient power consumption parameters. Vivian Singh, CEO, Strontium Technology said, “Cur rently DDR-3 is servicing the high-end segment of the market but it is steadily becoming main stream and we should see wider adoption over the next couple of quarters.” DDR3 memory provides a reduction in power consumption up to 30 percent compared to DDR2 modules due to DDR-3’s 1.5v supply voltage, compared to DDR-2’s 1.8v. This means longer battery life for notebook user. The 1.5 V supply voltage works well with the Sub 70 Nm technology used in the DDR3 chips. The main benefit of DDR3 comes from the higher bandwidth made possible by DDR3’s 8 bit deep pre-fetch buffer, in contrast to DDR2’s 4 bit buffer or DDR’s 2 bit buffer. “This new line of Strontium DDR3 memory has undergone extensive compatibility testing to ensure that customers can enjoy a hassle-free experience,” said Singh.

S ER VS ER I CVEI CSE S 10 emerging IT services of 2008-09 Contributors: Rajesh Tayal, CEO, Computer touch; KV Jagannath, Managing Director, Choice Solutions; RS Shanbhag, Chairman and President, Value Point Systems; Ajay Sawant, Director, Orient Technologies; Harbajan Singh, Infotech Computers and Communications; Pravin Dhoka, Director and Spokesperson,TAIT; Arun Dixit, CEO, Udyog Software India Ltd; Ranjan Chopra,CMD,Team Computers; Alok Gupta, Managing Director,Unistal Systems Over 200 channel partners, SIs and VARs responded to this survey-based report of emerging IT services of 2008-09. The questionnaire for the survey was drafted to collate information from channel partners, SIs and VARs of their perception of IT services that channel community adopted for increasing their portfolio, business growth and evolution.

ERP implementation and support services

he large enterprise market has been extensively tapped for ERP implementation and the SMB segment is showing the greatest potential for ERP implementations at this point. The SMB segment actually spends more on IT infrastructure than the large enterprises today. Despite their size of 1,000 employees or less, the requirements of SMBs have been more difficult to meet than those of enterprises. Although both share the same level of business complexity, the former lack the IT resources of larger organizations. SMB business process and applications professionals remain challenged to address business requirements through legacy Enterprise Resource Planning (ERP) systems When searching and evaluating options, a buyer have an idea of what they want and need, but since the ERP market environment is very confusing, if the buyer is not incredibly comfortable with the deal, the proposed solution, the software provider and the partner many times the investment is simply postponed since making the wrong choice can be a devastating mistake. Both Oracle and SAP offer SMB solutions based on scaled down version of their monster applications originally designed for large enterprises. These monster solutions can also be considered arcane, since the core was originally developed and designed many, many years ago. From one perspective they are very attractive. The SMB business can take advantage

of a solution developed for a very complex marketplace which has already analyzed, defined and implemented industry practices in areas such as warehouse management and manufacturing. The functionality and procedures for handling these processes is already part of the solution and it has been scaled down to fit a smaller, less complex organization. SMB customers expect the same from their ERP implementations as their bigger counterparts. However, they do not have the IT staff to support a wide-ranging implementation. Thus they require a little bit more simplicity in terms of execution, but expect the same amount of complexity and richness of functionality as the bigger enterprises. Managing this balance of relatively simple implementation coupled with rich functionality is the challenge. Vendors have now realised that they cannot provide cut-rate versions of their solutions to SMB customers and have changed the way they approach this segment. The SMB segment expects the same richness and functionality from their ERP applications as the larger enterprises. In addition, they also require additional tools that will enable a business user to pry control, rather than the IT staff. The vendors have looked at the business problems

plaguing the SMB segment and the issues around simplicity. Key point most vendors have identified are enabling rapid implementation, ease of use in terms of the tooling and ensuring a well-designed, rolebased User Interface. If you’d prefer the hosting model for your ERP, then scrutinise your application service provider (ASP) well. First of all, you must be able to trust this ASP with your data. Many outsourcers don’t know enough about ERP to customise it. Pay attention to the quality of your data and the daily workflow. This is especially important during the transition time after implementation and during periods when your business is changing or growing. Watch for seasonal variations, too. For example, Diwali or new year can cause big jumps in data volume for a retail company. Don’t sign up for long training sessions. Instead, do some initial, condensed training on your own site, and then set up a regular class schedule that gives users time to learn before they move on. Finally, use an outsourcer which will take care of your business demands so that you don’t have to take care of your enterprise resource planning. n

“The basic reason behind high failure of ERP implementation is adaptability and lack of collaborative work culture. It is very important in projects to manage change - the change control proposed should be gradual and user at every level should be enthusiastic about the new system”

Rajesh Tayal, CEO, Computer touch

july 2009

DIGIT CHANNEL CONNECT

S ER V I C E S or inferior services. In fact, as cloud computing matures, we’ll see small companies rely on the cloud for more and more of their technology needs, gradually eschewing the costs and complexity of in-house IT infrastructure.

Service Oriented Architechture

Web Services A

t the outset, small and midsized businesses’ use of Web services is expected to be something very rare in the technology world: all gain and very little pain. In fact, most SMBs may not realize or even care that they’re using Web services at all. By many accounts, the technology has already started sneaking into some smaller companies as a behindthe-scenes way of grabbing information to connect with customers, suppliers and the world at large Web services sometimes called application services are services that are made available from a business’s Web server for Web users or other Web-connected programs. Providers of Web services are generally known as application service providers. Web services range from such major services as storage management and Customer Relationship Management (CRM) down to much more limited services such as the furnishing of a stock quote and the checking of bids for an auction item. The accelerating creation

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and availability of these services is a major Web trend. This is very different from the anticipated use of Web services in larger enterprises. Some of those companies are building entire Web services infrastructures, greatly complicated and at no small expense, to help integrate their internal applications and reuse development code. The idea is to put a new Web face on older computer systems to unlock data and share information throughout the corporation and eventually perhaps with partners and suppliers.

Cloud computing Important as those things are, they’re only the first steps in a larger shift. Cloud computing doesn’t just level the playing field--it promises to tilt it in the other direction. Simply put, today’s most powerful and most innovative technology is no longer found in the enterprise. The cloud makes leading-edge technology available to everyone, including consumers, often at a far lower cost than businesses pay for similar

According to a recent independent study by Evans Data Corp., SMBs are bullish on the concept of SOA and adoption is expected to double over the next two years. Nearly 25 percent of businesses that participated in the survey reported that they already have an SOA in place. The study also found that by 2009, more than half of the SMBs are projected to have functioning SOAs. Service-oriented architecture (SOA) is a software architecture where functionality is grouped around business processes and packaged as interoperable services. SOA also describes IT infrastructure which allows different applications to exchange data with one another as they participate in business processes. The aim is a loose coupling of services with operating systems, programming languages and other technologies which underlie applications. SOA adoption by users within SMB segment is hampered by three significant misconceptions. The first is that SOA is a strategy best suited to larger organizations; the second is the perceived expenses associated with building an SOA; and the third misunderstanding is that an SOA is the result of integrating a collection of web services.

Customer Relationship Management Latest surveys prove that CRM software for small and medium business (SMB) is the most fast growing market in IT-industry. SMB owners realise the benefits they receive from a good CRM product, they also realise the business custom they loose if they can’t control their sales, products and customer service with their clients. CRM is the only tool that helps few people manage large quantity of contacts and products. It’s a software product that saves your time and improves your results, especially nowadays, when larger enterprises day by day lead away your customers by providing lower prices and wider choice, small business can survive only keeping up the excellent service and loyalty of its key clients. State-of-art CRM for SMB now has to provide a wide range of functions, not only contact management like all the rest, but now vital product and document information linked with the contact management so that you know what’s happening 24x7 in all areas of your business. n

S ER VSIER C VEISC E S

Contributor: KV Jagannath, Managing Director, Choice Solutions

Datacentre Operations

ataenter Operations practice typicallly helps organisations transform the datacenter into a competitive advantage. Outsourced data center operations offers a flexible IT infrastructure that successfully reduces TCO, offers a more predictable cost structure and maximises return on investment. IT supports customers across the data center management lifecycle, right from planning, migration and consolidation to data center operations. Clients can leverage the customized ser vice level ag reement and ITILv3 compliant processes offered by the service provider to ensure reliable operation of critical systems. Even if IT is your core business, setting up your own data center or computer room is an expensive proposition both in terms of money, time and deployment of human resources. Apart from the high capital costs, there are the high day-to-day management costs. Routinely adding new services or upgrading to the latest technology is also not feasible. In this scenario, it makes sense to outsource this service to a co-location, carrier-neutral data center.

Some of the proven benefits include There are certain basic guidlines that companies should bear in mind before hosting their datacenters with an outside party. They must do a thorough evaluation of build versus buy scenario and see if outsourcing really fits in the overall IT strategy of their company. This is

extremely important because IT strategies of organizations tend to be very dynamic and unless the IT team is well aware of the business strategies influencing the IT infrastructure of the organization, it’s very difficult to chart an apt IT roadmap and get IT right in the long run. Secondly, they must also check the kind of business value it delivers or is likely to deliver over an extended period of time. Capacity planning is another key aspect that organisations need to look into. They must evaluate the capacity requirements of the company in the long run and plan accordingly. Typically companies tend to over capacitize, simply to play safe. However, in our experience we have seen that in most environments whether its server capacity or storage capacity, utilization rates are abysmally low. It is here that the service provider’s ability to scale up and match the requirements of the organizations also becomes critical. Organisations should emphasize and check on the various servers and applications being available, especially during the business hours. Security should undoubtedly forms a crucial component of the service level agreements (SLA). n

Benefits • Significant cost savings in the first year with year-on-year improvements. • Continuous innovation through service improvement recommendations, analysis of incident patterns/events for system stability, access to experienced infrastructure resources across technology landscape. • Operational gains through process enhancements including enhanced productivity, reduced duplications and error mitigation. • ITIL compliant standard operating practices, which improve effectiveness and competitiveness. • End-to-end high availability offerings including hosting services for performance and uptime reliability.

“Managed services hold tremendous potential and channels should consider a partnership model for global expansion. It will put a process, infrastructure and certification in place. I would also suggest recruiting marketing talent regionally” KV Jagannath, Managing Director, Choice Solutions

july 2009

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S ER V I C E S

3D: Shrikrishna Patkar

Contributor: Ranjan Chopra, CMD,Team Computers

Managed Services

usinesses today face increased complexities due to changing needs and reduced budgets, and it is often found that traditional solutions to these challenges distract players from their core business strategies. IT is not only regarded as an essential means to drive efficiencies in an organization but also the first area to be scrutinized due to budgetary constraints. In the current economic environment, focusing on core competencies is the key to survival and success. It is now a globally accepted fact that managed services model is no more a noninvasive approach to outsourcing, providing skills and competencies, with support tailored to customer requirements and the flexibility to implement and manage key projects as part of ongoing operations. This provides our customers the best of both worlds - control and flexibility over their information systems without either the pain or cost of running them.

Various aspects of Managed Services Managed Services offerings cover the entire array of IT outsourcing services including

networks, IT infrastructure, applications and business processes. Application Management Services: This includes the expertise to manage complete application platforms for clients across various technology domains - BSS / OSS / SDP / ERP etc. This includes day-to-day business operations of applications as well as managing the underlying IT infrastructure and networks from user Desktops to the Datacentre.

Services include Application operations Database administration l System and network administration l Application support and maintenance as well as enhancement / development through design, testing and implementation. Infrastructure Management Services: Companies needs to understands how critical your IT infrastructure is to the smooth functioning of your business and we make it our job to ensure that it runs smoothly and efficiently. Revenue Management Services: Revenue Management Services span key functions of Billing & Customer Care operations l l

â&#x20AC;&#x153;Complete focus on customer delight has been the success mantra for us in throughout our market segment. We have gone ahead and ensured satisfaction for clients even if that meant spending more that what the project called forâ&#x20AC;?

Ranjan Chopra, CMD,Team Computers

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including system operations, remote billing operations, billing application hosting, production operations and MIS reporting. Mobile Virtual Network Enabler (MVNE) Services: Managed Services offers aspiring Mobile Virtual Network Operators (MVNOs) a complete turn-key solution which includes Billing & CRM, Rating, Provisioning, Mediation, Revenue Assurance and Fraud Management. MVNE services provide cross functional operational support for applications, data centre operations, application development, integration support, MIS and helpdesk n

S ER VSIER C VEISC E S

Contributor: Alok Gupta, Managing Director, Unistal Systems

Backup & Storage Services

“We cater to all the verticals in the market. Our product range provides solutions to SOHO clients to large government enterprises to multinational IT firms. Our solutions are available for everyone who values data and cares whether it is in safe hands”

ata has become the lifeblood of your business. And today as never before, your data storage environment poses multiple challenges that directly impact your bottom-line business results. Maintaining ever Increasing data has become very critical and a major concern to organizations. Outsourcing backup and storage services reliable and advanced backup and restore service provides an enterprise - class solution to large and small companies that need to protect their mission - critical data. Your service provider should be able to offers multiple options on backup depending on the criticality of data and the recovery time. Challenges like soaring storage costs. Tighter regulations governing data retention, access and privacy. Data center power, cooling and space limitations. Scarce technical expertise. The constant threat of natural and manmade disasters. The complexities of managing multivendor storage solutions.

Service providers often provides backup solutions using Veritas Netbackup and the Quantum ATL Robotic Tape Library Storage System. Such solutions often includes Automated Backup supports file systems, databases (Oracle, MS SQL, Informix, DB2 and Sybase), and applications.

All you backup services should provide a secure online data backup service for offsite storage of your important system files. The backup schedule can be set for incremental or full. This backup solution uses the latest techniques and typically only requires 10.4 percent of the actual daily backup volume transferred to our backup server leading to significant savings over other service providers. The Backup service also aids significantly in recovery after a disaster such as fire or flooding, since your data can be restored without special equipment to any location quickly. Large data recovery volumes can be transferred to CD, DAT tapes or HDD and couriered anywhere in the world. Some of the advantages of storage and backup using software includes l Does not require Zip, CD or Tape drive l No backup media required. l Suitable for servers of all types l Greater security using industry standard encryption l More reliable than manual backup l Q uickly locate and restore previous versions l Off-site storage protects against fire, flood and theft l Lower Total Cost of Ownership

Services

Regulatory requirements

To enable automated backup it is suggested toinstall Veritas backup agent on the client server. The backup will happen online and the data will be available on DLT. Client can specify the desired frequency of backup. l Full backup - A full backup usually includes all of the system and data files contained on the system drive l Incremental backup - With incremental backup, the operation includes only those files changed since the last full or incremental backup. Incremental backups take less time to perform because of the reduced amount of data being written to the target device.

Recent times have seen a growing regulatory environment and the need for risk management on behalf of customers; this has led to specialised services around storage. New regulations such as BASEL II and SOX are compelling organisations to protect critical data and acquire the ability to recover it fast in case it is lost. Regulatory compliance has driven the need for classification and storage policy services which are fundamental to information lifecycle management (ILM). Storage vendors are now actively providing policy-based information management services that are essential to adhere to ILM policies in an organisation. These extended services around storage are helping customers efficiently move data to various tiers of storage as service requirements for specific information change over the information lifecycle. To tap this growing market, vendors will have to ensure that they have the trained professionals who can provide to-the-point service to help customers achieve optimum utilisation of their storage assets, and also tailor-make their solutions to precisely fit the requirements of their customers. n

Automated backup on DLT Drive

Backup using DAT Drive

Alok Gupta, Managing Director, Unistal Systems

Storage and Backup using software

One of the cost effective backup services is to use DAT drives. Medium - level enterprises that have modest backup windows and budgets are ideally suited for DAT backups. The service provider usuallu will install a DAT Drive and using the native windows NTbackup backup will be taken on tapes and run a script on the client server in case of linux / Unix. The back up frequency can be scheduled as desired and the Tapes can be dispatched to client’s specified destination as and on need basis.

july 2009

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Contributor: Harbajan Singh, Infotech Computers and Communications

Remote Management Services

n an ever evolving business playground offshore Remote Infrastructure Management (RIM) has already made its mark with a potential as the next big opportunity for companies in India to tap into. These services are recession-proof as IT needs to be managed on a 24 x 7 basis. Currently, India’s share stands at a mere $3-4 billion. The growth in RIM will also result in the creation of around 350,000 additional jobs in the industry. Today’s organizations understand the link from the availability and performance of the IT infrastructure to the availability and performance of business processes as a whole. The management of the IT infrastructure has a significant impact on the success or failure of the business, directly affects the quality of service of business applications, and contributes to the satisfaction of internal and external users. Remote infrastructure management solutions goes beyond 24x7 monitoring to include proactive problem identification and resolution. Built-in root cause analysis helps to identify and automatically fix potential problems before performance is affected. Remote infrastructure management solution will automatically carry out clients’ pre-specified instructions to fix problems such as restarting sluggish servers and the applications that reside on them without human intervention. Remote infrastructure management solution can also automatically dispatch on-site service providers to address high priority issues. By automating corrective actions, IT organizations decrease problem resolution time and improve system availability. The global market opportunity for remote infrastructure management services has been

Harbajan Singh, Infotech Computers and Communications

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predicted to reach $70 billion, according to industry association NASSCOM.

Growing business demand Transition is putting increasing demands on the performance, capacity, availability, and agility of underlying IT infrastructure. As process timelines are compressed from weeks or days, to hours, minutes or even seconds, the cost of downtime skyrockets. From supplier and customer transactions, to employee communications and financial reporting, business-critical functions must be up and running at all times. Business availability and continuity is critically poised on and directly correlated to and depends on the capacity, availability and reliability of the IT Infrastructure. Therefore, the management of such a massive and complex infrastructure has become the current focus of discussions in many forums, including this one. Business units are asking more of IT organizations. The rate at which new demands are being placed on the IT infrastructure is outpacing the capacity of IT organizations to effectively manage and support them. The complexity of what to manage and how to manage is compounded by the sheer number of new managed objects, as well as the legacy objects that must be maintained. Business units, however, see the IT infrastructure as a utility managed in such a way that it is available when needed and priced as a commodity. Some of the internal factors that have driven the remote IT infrastructure services market are: robust telecom infrastructure, a focus on quality processes by Indian companies and a large domestic market. Externally, historically, IT organizations have been run as cost centers with emphasis on providing a set of services within a defined budget. Globalisation is having a major impact on the services market and there is a need to create and deliver newer IT models as volatility in global markets, leading to IT budget optimization strategies is taking center stage. Remote delivery of infrastructure services is gaining momentum because of this inherent need. CIO’s find themselves under immense pressure to find the right technologies to support and advance the business and newer IT delivery

models which are available today. The various aspects and domain is covered under RIM. These include remote infrastructure management, remote monitoring,remote service desk to name a few.

Remote monitoring Remote Monitoring provides automated, continuous, 24x7 availability and performance monitoring of the client’s environment. The monitoring includes IT components and transactions for specific events, threshold violations and errors/ faults, based on pre-defined metrics. Remote monitoring service automatically notifies the customer or designated service provider when events defined by the customer are detected. The clients have the freedom to customise the service and are notified on various technical and operations downtime. Such notification includes an escalation and tracking process as determined by the client. The service provider collects and stores up the defined number of months of historical information to facilitate trend analysis and IT planning. Such remote monitoring service helps to maximize performance, significantly enhance service levels and immediately reduce downtime.

Remote service desk Remote service desk solution provides complete 24x7 help desk coverage – from call management to service request tracking to problem ticket management to change request management. It is a cost-effective alternative to in-house service desk applications. During implementation, the service providers works with clients to complete a series of templates and workflow definitions to establish fully functioning trouble ticketing and detailed service reporting enabling IT organizations to validate their Service Level Agreements or SLAs. Service tickets are automatically generated for those events that have been predefined – up to and including automatic notifications by phone, email, or pager. A web interface will allow the service provider and customers to enter and track trouble tickets and service requests from anyplace via the Internet while the service desk solution tracks all incidents until resolved. n

“In today’s economy, small businesses’ primary differentiator is service. If systems are down, then customer service levels are down too, ultimately hurting the business, the company’s reputation and its bottom line”

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Contributor: Ajay Sawant, Director, Orient Technologies

Network Services

hen it comes to your critical network infrastructure, the pressures organisations face are greater today than

ever before. Mergers, acquisitions and expansions spawn increasingly complex network environments. The Internet, wireless devices and converged networks create an endless hunger for bandwidth. More and more users — including mobile users — clamor for 24x7 access to more and more diverse applications. New business relationships multiply the technologies and vendors you need to manage. These would form some the many reason for organisations to make the most of their network investments.

Critical service demands Networking is one of the most important areas in information technology, and a thrust area for the customer services business unit. The service provider should be able to offer development, consultancy, training and technical support in networking and communications. They should also be able to offer you networking equipment and devices, designs LANs and WANs, installs cables and performs other services for its customers. Based on a proven delivery model for networking, network integration service provider can help ensure your network’s ability to provide the level of availability and performance your business requires. This service can help you: Tailor network design to respond to changing business requirements Implement complex network upgrades, refreshes, expansions and consolidations Improve network availability and performance Manage costs Simplify project coordination and accelerate implementation schedules Reduce the risks associated with

making changes to the network.

Challenges for SMB SMBs are facing a newly empowered end user with high service and collaboration expectations - anytime and anywhere. Today’s end users have explored and experienced new technologies on their own. They are now bringing this experience into their workspaces, demanding the tools and applications that can make them most productive. Ultimately, businesses want technology delivered as a service that is secure and adaptive to their ever-changing business requirements and beneficial to their profit line. Historically, adding a new application or technology in the SMB increases cost and complexity. An integrated services solution, which is based on a single platform to deliver data, voice, and video services, mitigates these factors by providing a cost-effective and less complex solution for this segment. Integrated managed services offered by a service provider allow customers to take advantage of all applications and technologies despite limited IT resources, and ease the deployment of converged voice, video, and data services. Service providers have traditionally provided scaled-down versions of enterprise services to SMBs. These services are typically too costly, inappropriate, and cumbersome to adopt. Service providers have also previously struggled to provide complete business solutions tailored to the SMB. But, when networking services are tailored for the SMB and provide fully integrated security, voice, video, wireless, and data solutions, they give SMBs the ability to collaborate more effectively with customers and employees. Additionally, SMB-focused network services should be flexible enough to support unlimited business innovation and growth.

Prameters to be explored Even as a growing proportion of SMBs adopt a variety of managed security, storage, desktop and networking services, IT suppliers and telecom carriers must carefully evaluate their network service strategies and offerings to ensure they meet SMB expectations and are financially viable. Here are some tips on how to assess how appropriate managed services

are to your organization: Try managed services on a limited basis with a specific part of your IT operations where you may be having trouble; make sure that transitioning to an outside service provider won’t disrupt your business. For instance, a managed network storage and backup service can provide valuable benefits without requiring a dedicated effort of internal staff or resources. Determine which IT functions or tasks you are good at and perform economically, and outsource or out-task the others. For instance, few SMBs have the in-house skills to fully satisfy their security requirements. This is one of the first managed services that SMBs consider. Admit that it may make sense to leverage a managed netowrk service rather than continue to perform an IT task that you think you perform effectively. For instance, networked desktop services have become popular because they continuously monitor and proactively protect the integrity of desktop systems, allowing SMBs to redirect their in-house staff to other more valuable IT tasks. Thoroughly evaluate the service quality and financial viability of the netowrk service providers you are considering. The service quality should include the strength of their technical capabilities, responsiveness of their staff, thoroughness of their reporting systems and satisfaction of their customers. It is also essential to examine the managed service provider’s financial strength to ensure they can fulfill their promises.

Roadmap for SMB success Increasingly, SMB customers will look to managed services to help them remain competitive in their markets as they - like the enterprise customers - choose to focus their IT resources on strategic business issues rather than the classic management and security aspects. For service providers focused on this market, the Integrated Services Router and the Smart Business Communications System are the platforms for managed service creation in the delivery of integrated data, unified communications, security, and wireless solutions. n

“ I strongly believe that the current economic situation can serve as a perfect time for channel consolidation. Moving ahead it will be survival of the fittest. Only solution providers/ISVs are going to sail through this tough phase. It is clear to sustain in future you need to be innovative” Ajay Sawant, Director, Orient Technologies

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Contributor: Arun Dixit, CEO, Udyog Software India Ltd, Mumbai

Integration Services

ntegration services offers power of technology to solve critical business challenges. But technology alone is no solution—success requires understanding, expertise, application, integration. A managed network environment eliminates the steep capital investment requirements and ongoing maintenance costs of a typical enterprise network. Services that come under integration system include LAN, WAN and Remote Access: Your service provider should be able to manage and monitor networks on-site in its own data center or remotely, acting as a Tier 1, 2 and 3 network operation center to small and large organizations. Continuous monitoring assesses network performance, ensuring that service levels are being met. Proactive reports detail operations for a comprehensive view of network systems to ensure that the customer’s network is performing and meeting current and future demands. Data Storage and Management: The data center operations and database hosting solutions for data storage, retrieval and management. They should also be able to offer you product and technologies to execute interactive or online backup and restore, archival and retrieval of data, and migration and remote sharing of critical data. IP Services: They should provide real-time data and voice communications between company sites, leveraging nextgeneration networks to achieve costs savings. IOP services also includes network design, implementation and management of LANs, WANs and VPNs, utilizing best- of-breed hardware to include gateways, softs-

witches or media servers for an end-to-end IP network solution. Monitoring and Reporting: From archiving to security and disaster recovery, NIS monitors operations throughout the network, providing essential system administration operations. Service provider should offer complete reporting and performance analysis compiled from monitored and collected real-time data. Operations: NIS can manage technology operations across multiple locations and provide the most comprehensive solutions for facilities management, system administration, maintenance and troubleshooting. Infrastructure outsourcing effectively manages all system operations while providing superior technology infrastructure. Some of the business benefits include l Premium network operation services l Growth support through a flexible, scalable network l Cost effective l Continuous operations l Secure, private access l Complete reporting and performance analysis SMBs are grappling with how to integrate their applications without making a risky investment in time and cash. In the early days of SaaS, applications were primarily the

concern of each individual business unit. Human resources used one. Sales used one. The head of a department was less concerned with integrating the applications with the rest of the company’s systems than with making the product perform a specific business function. The applications didn’t need to communicate with other software to deliver value. But integrating applications delivered through the SaaS model carries some risk for SMBs, because they lack the resources to correct for mistakes. Part of the value of SaaS is its ease of use and its subscriptionbased pricing model, which offers low upfront costs and the ability to avoid vendor lock-in. SMBs often don’t want to spend the resources necessary to get SaaS applications to interact with other SaaS products and on-premise applications, only to find they are unhappy with the result. Some mid-sized manufacturers are already using VPN for remote connectivity to link their plants to their corporate headquarters because of secure tunneling technology and lower cost of deployment and this will continue going forward. While Wireless Broadband Access (WBA) options based on WiMAX are available in India, we do not see this technology making a dent in the network communication infrastructure at this point as SMBs prefer proven technologies. n

“IT business is less “On the Counter” and more “At the Door Step”. Generating enquiries means one has to hit client requirement or problems – it is important for service providers to be more customer-centric” Arun Dixit, CEO, Udyog Software India Ltd, Mumbai

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Contributor: Pravin Dhoka, Director and Spokesperson,TAIT

Software-as-a-Service

Pravin Dhoka, Director and Spokesperson,TAIT

s a new method of delivering software to the enterprise, Software as a Service (SaaS) marks the decline of the software-licencing era. SaaS is gradually reshaping the competitive framework in the enterprise application market, and SaaS application vendors are growing faster than traditional ISVs. SaaS is an emerging software delivery model in which application software is delivered remotely through a subscription-based fee rather than being sold for perpetual use. Companies in India are increasingly looking at delivery and collaboration of software over the Web. Although different providers are approaching SaaS in different ways (SOA, On Demand, etc), they will ultimately belong to the same pool of SaaS. The delivery and remote access of software applications via a Web browser is the next mantra that will drive enterprise productivity. SaaS allows the company the flexibility of using an application as and when it wants to, without having to bear the cost of buying it and thereby forcing its use. This concept makes it much more viable in the Indian context since customers are cost-conscious. A few players have already introduced the concept—Salesforce.com, NetSuite and WebEx, to name a few. A number of system integrators as well as vendors such as Google, Yahoo and Microsoft are also offering the service.

Platforms for SaaS Vendors are using different platforms though there are some players whose software can run on any platform. The Informatica On-Demand Data Integration platform will be generally available as

Benefits of SaaS Optimization of the IT infrastructure to meet business needs for high availability, reliability and scalability • IT infrastructure monitoring and testing technologies that deliver service assurance • Reduces total cost of IT operations. • Restores focus of enterprises limited IT resources for core business activities. • Rationalizes IT staffing and training costs. • Optimizes IT asset utilization. • Facilitates service delivery. • Improves uptime and system availability

deployed in-house at the customer site; it is overseen by the IT staf f that is employed by the service provider. In the wake of organisations looking at combating the spiralling costs of owning licenced software and upgrading it subsequently, the SaaS model will provide huge benefits for companies in terms of cost when there is a shift from their capital expenditure to their operating expenditure. The subscription model by SaaS will enable customers to have a computing environment that scales up or down as demand dictates, with a seamlessness and continuity that minimises or eliminates disruption for end users, and with flexible pricing. According to a study by Springboard Research showed strong growth in SaaS adoption levels in India and across Asia in 2005, and even brighter prospects ahead. India saw revenues increase over 53 percent to $7 million in 2005, and the

“We will invite some prominent speakers from the industry as well as from otehr allied fields who would educate our members on the various availabe options to sus tain the economic slowdown. For example, from being just box pushers, partners should consider expanding their horizon, opt for broad basic billings, expand into other verticals such as Software as a Service (SaaS) and much more.” a new product in the first quarter of 2007. Most companies are opting for SOD (Software on Demand) rather than ASP (Application Service Provider). The software provided by most companies under SaaS can run on any platform. The packaged application is hosted as a service and is either installed and managed at the service provider’s site, or it can be

market is expected to grow to $48 million by 2008, representing the fastest growth in the region. The SaaS business model will continue to gain traction in the coming years. Customers no longer want to be locked in to three-or five-year software licences. Successful companies will see the world from their customers’ point of view, and offer low-priced, flexible software n

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Contributor: RS Shanbhag, Chairman and President, Value Point Systems

Infrastructure Management Services

he idea of contracting for IT asset or infrastructure management and support before there’s trouble is no more a foreign concept. Small and medium-size businesses (SMBs) are comfortable paying a provider to fix their hardware or networks if they break since it offers them to focus on their core business. According to Forrester this market will reach $4.3 billion in the US by 2013, with most of the opportunity skewed to smaller firms of 20 to 99 employees.

RS Shanbhag, Chairman and President, Value Point Systems

“Service Level Agreement (SLA) is an important factor that should be considered well before expanding internationally. SLA should be well thought and consulted with a lawyer before being signed(read well between the lines). Knowledge about local taxation policies is also a must” DIGIT CHANNEL CONNECT

60 july 2009

Inherent benefits • Optimization of the IT infrastructure to meet business needs for high availability, reliability and scalability • IT infrastructure monitoring and testing technologies that deliver service assurance • Reduces total cost of IT operations. • Restores focus of enterprises limited IT resources for core business activities. • Rationalizes IT staffing and training costs.

Growing business demands

• Optimizes IT asset utilization.

Today’s IT infrastructure has become pervasive in many organizations. It encompasses front, back and middle offices, covers customers, suppliers, employees and partners, and permeates every type of operations like strategic, planning, manufacturing, servicing, etc. In the process, mission critical business processes heavily depend on the IT infrastructure. Yet another development is that this IT infrastructure is getting increasingly complex and specialized, compelling the institutions to develop expertise and specialities in these areas. In organization’s infrastructure management should address the availability, fault and performance management of its IT infrastructure. Infrastructure Management covers aspects such as A growth in infrastructure scaling does not necessarily have to mean a growth in expenses. The 21st century has brought with it a smart way of business operations - outsourcing. Outsourcing, infrastructure management offers enterprise customers higher reliability, reduced risk, and lower IT costs through one-stop management for the entire IT infrastructure. In a world where the budgets are always shrinking and expectations always rising a world class service partner with exceptional talent is required.

• Facilitates service delivery.

Factors to explore The ability of organizations to exploit IT infrastructure, operations and management sourcing/service solutions not only depends on the availability, cost and effectiveness of applications and services, but also with coming to terms with solution providers, and managing the entire sourcing process. In the rush to reduce costs, increase IT quality and increase competitiveness by way of selective IT sourcing and services, many organizations do not consider the management side of the equation. The predictable result of

• Improves uptime and system availability.

this neglect is overpayment, cost overruns, unmet expectations and outright failure. Negotiating service level agreements (SLAs) Using third party negotiators Performance metrics/ROI S e r v i c e o p t i o n s o f We b h o s t i n g companies Establishing security-related Service Level Agreements Cost analysis and budget considerations for infrastructure, operations and management outsourcing Metering, Service Level Agreements and relationship management Service level management Managing the sourcing process Customer/user relationship and support issues Contract negotiations, out clauses, escalation procedures Penalties for non-performance Employing exter nal measurement services Contracting, staffing and outsourcing options

Going forward The future belongs to specialization and super-specialization in new services such as compliance audits, managed security services, and remote infrastructure management. Given the highly competitive marketplace, it is time for partners to evolve as there is going to be the next wave of consolidation in the channel community with only a few surviving for a long haul.n

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Harbhajan Singh, CEO, Infotech Computers and Communications

Managing managed services In today’s economy, small businesses’ primary differentiator is service. If systems are down, then customer service levels are down too, ultimately hurting the business, the company’s reputation and its bottomline Harbhajan Singh

o matter the size of the business, technology plays a critical role in its financial success. At the most basic level, companies have to deal with desktop and laptop computers for all their employees, e-mail, access to the Internet, Blackberries, and other kinds of on-site and remote devices. Add networking issues like viruses, spam and bandwidth utilisation, and suddenly, this effort becomes a major challenge to anyone operating a small or mid-sized business (SMBs) with limited resources and a limited budget. SMBs can learn from the Fortune 500 when it comes to letting someone else manage their technology infrastructure. The threats facing SMBs are everywhere, from the economy to larger competitors, to hiring and retaining the right employees, to finding and keeping the best customers. Though when it comes to IT infrastructure, there are a few big pains: First, how does system downtime impact your company’s productivity? Industry analyst firm IDC estimates that server downtime alone cost organisations roughly $140 billion worldwide in lost worker productivity and revenue in 2007. How often is e-mail down? How many times do employees have to re-boot to fix a problem? Can remote workers reliably and quickly access critical information on the home server? How much of the workday do employees spend surfing the Web for nonwork-related activities? Second, how do business disruptions impact your ability to ser vice your clients? Do you have the capabilities – and the bandwidth – to proactively monitor and manage your IT systems? Are your systems safe and protected? Can you look

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for signs of trouble before a breakdown that could negatively impact your customers? And lastly, how much does IT really end up costing you? Do you have a full-time employee who handles everything? Or perhaps you use a contractor or small firm on an hourly basis. Is that cost predictable over time? Are you able to foresee and plan for upgrades and new equipment as new people join your firm or your company’s needs change?

While there are no doubt many ways to quantify outsourcing IT, there are four key takeaways that are unique for SMBs: For an SMB, your customers expect and demand a professional interface, whether it’s e-mail, e-commerce transactions, datasharing between partners, or even Websites and invoicing. All this boils down to having the right technology infrastructure to make SMBs look like bigger companies while maintaining the benefits of being a boutique or small organisation, with a stronger focus on customer care and client relationship-building. Previously, we had concerns about having one go-to person for tech issues, if he was not well for one day, it would literally be tough to track down a password. Many of our customers have expressed keen interest in making the best of the slow down in terms of being able to manage the infrastructure better by weeding out inefficiencies and underperformance in the IT infrastructure to enable the business to function better and more profitably. Though the slow down will have an effect, we anticipate the same to be limited to longer and slower sales cycles. ‘Survival of the fittest’ is the current trend in market. Today the businesses are facing more complexities due to the increasing needs and reducing budgets. The owners are finding it difficult to face these challenges and focusing on the core business simultaneously. To keep focus on the core business is much required to sustain competency in this cut-throat competitive era. SMBs can’t afford to wait until there is a problem before acting. A reliable partner will be the IT brain helping to look ahead and plan f o r n o t o n ly future IT needs, but future business needs.

S ER VS ER I CVEI CSE S they experienced 100 percent IT uptime, enabling sales executives and traders to be fully functional and productive every single day. And they now pay less for IT every month than when they had an onsite resource. The second most critical concern facing SMBs is their ability to support their customers and sales operations. More than 81 percent of executives who responded to the Managed Systems study said that customer service (50 percent) and sales (31.3 percent) were the most critical things needed to achieve their overall business objectives. With this commitment, however, comes a fear of losing control. Many entrepreneurs have built their IT systems along with their company and fear that no one “gets their business” or can do it better than they can themselves. Effective managed service providers have a ramp-up methodology that enables them to work hand-in-hand with entrepreneurs to identify the hot buttons in their business and IT environments. Considering how many SMBs already outsource critical pieces of their businesses like payroll, HR or accounting, managed IT is an obvious next step to gain more effective and efficient business management. A recent Gartner report issued in June 2008 in conjunction with the analyst firm’s Outsourcing and IT Services Summit cited, IT managed service as a high-growth market, regardless of the economy. In fact, in a survey focused on large companies such as Google and Microsoft, more than half (55 percent) said they plan to increase their IT spending with external service providers this year.

The goal With a managed service provider, SMBs can monitor user behaviors, from Internet use to how much they’re using the applications intended to make their job easier and them more effective. A managed services partner can then put in place the appropriate procedures and controls to ensure that employees are using the best tools to do their jobs better, for the good of the business. There is a predictable monthly spend, with clear costs associated with adding employees during a growth period. Software license issues and upgrades become automatic, done “off the clock” to ensure that systems are available for employees with no interruptions. In essence, managed services provides clear control over expenses associated with a well-managed, high-functioning

IT infrastructure, giving business owners the ability to add employees quickly during times of growth and to have a predictable spend during other periods. What SMB executives are starting to realise is that using a managed service provider for their IT is actually recession-proofing. They don’t have to outlay unplanned capital to scale. This frees them to develop a cash reserve for when it is truly needed vs. spending hard-earned cash on new computers or a server upgrade. As discussed earlier, there is also a sizeable benefit in outsourcing over hiring or replacing an internal IT professional. Earlier SMBs worried that having all critical technical information resting in one person was not in the firm’s best interest. Since outsourcing its IT investments,

Our IT system needs to be sophisticated, reliable and most importantly, non-disruptive. In the market, companies want to have a secure and reliable IT environment. To meet requirements, every trade, transaction and communication needs to be accounted for electronically. In this environment, the two critical success factors are continuous uptime and a secure network. Managed services expertise in the market plays a role in developing new opportunities. By offering a robust and proven IT solution combined with exceptional good support, investments can be focused on core competencies. A firm’s employees can now focuse on capturing opportunities and maximising returns. n The author is CEO, Infotech Computers and Communications

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Rajesh Tayal, CEO, Computer Touch

Mantra for succeeding in IT service delivery:

Healthy collaboration

Almost 50 to 70 percent ERP implementations in SME organisations fail due to lack of collaborative approach and absence of a proper management system Rajesh Tayal

n India where the business is still being handled conventionally from family to family where the services of professionals were taken with lot of ifs and buts, thanks to our complex taxation structure a businessman feel insecure while sharing the information with an outsider. In small and medium enterprise where even today there is no provision of IT in budget preparation, we need to do some voluntary case study with the present verticals in our surroundings and understand their business model. After in-depth study as entrepreneurs, we should provide a solution to their present problems in module form. Letâ&#x20AC;&#x2122;s not scare the business house with the hi-tech terminology with rosy pictures of MNC as implementation. We must analyse the ground reality with the actual projected budget for the implementation of the solutions. The proposed solution should be implemented in module level with scope of integration. No business can afford the s h u t d ow n f o r implementation of new process. Also the new process should be in synchronisation with the present process as the user who is going to use the same is familiar with t h e o n go i n g processes. If the system is entirely changed it take lot of time to adapt

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to the same thus causing serious performance bottlenecks. In almost 50 to 70 percent cases ERP implementation fails in SME organisations. We have to take into the consideration the local limitation of the company and the adaptability with the existing system. The change control proposed should be gradual and user at every level should be enthusiastic abut the new system. The system study should include the data collection from the grass root level rather than board room meetings, which were usually fancied by the management fads. The shop floor guy can give us the actual problems faced by them which lead to performance bottleneck. We can implement good system once we take their inputs and implement solutions at the grass root level thereby reducing the procedural hiccup which usually cause the delay in the production process.

Healthy collaboration Bringing people together is the main objective of any Product Lifecycle Management (PLM) system. When product development people are closer, they can collaborate more ef f iciently. Due to current globalisation trends, as well as the trend towards leveraging competencies and resources that are geographically separated, it has become mandatory to collaborate in a virtual environment. The health of the collaboration can be judged with three basic questions: How secure is your collaboration environment?

How efficiently can you collaborate? How many resources is your collaboration environment consuming in terms of the network, and hardware and software? Collaboration plays a vital role when your design teams are separated geographically. It also makes lot of sense for organisations that outsource the whole product design to third party organisations or suppliers. Collaboration enables the host companies to give product design feedback to the design partner companies or suppliers in the early stages of the design, rather than after completion. This is critical, as early detection of issues in product design is less expensive to fix than issues which are detected later.

Reducing time-to-market Manufacturing organisations struggle with the issue of reducing time-to-market. Companies can obtain more market share and profit if they introduce the product to market sooner than their competitors. Thus, they tend to minimise cycle time whenever possible. Product cycle time as a whole can be broken down into cycle times for design, engineering analysis, validation, buying, process planning, and piloting. Product development involves cross-functional teamwork, as the following functions are generally involved: marketing, design, engineering, purchase, testing, production engineering, manufacturing, and quality. In a conventional product development cycle, these cross-functional teams work serially - one after the other (also termed serial engineering). This conventional method actually ties product cycle time to a certain period, as only one team can work at a time (while the other teams wait for the results). For example, the analysis, testing, and purchase teams will wait for the design to be completed before proceeding. The idle time of other teams can be used to shrink the overall cycle time of the product. This leads to the concept of concurrent engineering, where cross-functional teams can start their work at a predefined point of the previous step of the product life cycle. For example, the engineering or purchase departments might start the analysis and buying processes when the design is 60

S ER VS ER I CVEI CSE S percent complete. And the manufacturing planning might start once analysis and testing is 50 percent complete. Concurrent engineering can shrink product cycle time phenomenally, by leveraging the maximum time resources possible from all stakeholders of the product. However, the impact of rework in concurrent engineering is heavy compared to serial engineering. For example, when there is a design change after 60 percent completion of the design, it will impact the work of the analysis and testing teams, since they have already started their work. But this impact can be easily managed in a digital workplace. If analysis and testing is being conducted in a digital environment that is seamlessly integrated with the CAD environment, then the impact of design change is minimal: this is the power of digitisation. It is strongly suggested that the product development environment be digitised as much as possible in order to attain successful concurrent engineering.

Nowadays, there are CAD tools which are tightly integrated with native CAE and CAPP tools. Concurrency can be easily achieved with the kind of digital environment that allows for designing, analysing, simulation testing, and product planning, since activities do not necessarily have to be conducted physically. This also reduces the cost of building physical prototypes.

Design one, configure many Organisations striving to introduce more new products per year should concentrate on modularising their product structures, and on generating more variants from the structures. The concept of modularisation helps phenomenally in saving time-tomarket. All they need to do is break down the product structure into meaningful sets of aggregates, and create compatibility rules between the aggregates under each product line. Basically, they need to make a product portfolio rationalisation. If they make sure their aggregates can work with

each other across different models under a single product line, they can easily generate new product configurations on the fly (based on product need), and launch the new product in just weeks. This eliminates the time barrier for conventional product development, which involves starting from scratch. It takes time for organisations to come to the level of reusing and leveraging product aggregates to generate many configurations, and only a few organisations around the world have achieved this. In general, PLM helps manage the product innovation process in many ways. It enables companies to directly map product requirements to features, and to obtain control over product data. It also helps them to preserve their product knowledge assets, and allows companies to enter into the new paradigm of modular product development. n The author is CEO, Computer Touch

july 2009

DIGIT CHANNEL CONNECT

S ER V I C E S

Shankar Lal Singhal, CEO, Micro Pro

Best practices to thrive in the IT services market The whole world is competing to get their share of the Indian IT services pie and the end result depends on the cost effectiveness of the services in terms of manpower, time, delivery and money Shankar Lal Singhal

he best practice for any job, activity or thought can be prescribed as: Do unto others as you would have them do unto you. In fact this law should be a permanent feature for implementing the policy of IT services market. We want the best and thus should give the best in return. IT services market in India is ever evolving. The revenue for Indian IT market is highly rated purely due to its numerous offerings be it in solution implementation, infrastructure management, BPOs, training, etc. I personally prefer looking at services in two broad classifications which are pure

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66 july 2009

services and product services. When we look at pure service our customers are very clear (many would disagree) or fairly clear in terms of expectation and demand accordingly. In simple terms, the rules are set about what has to be delivered and when. However, when it comes to product services there are many things which are taken for granted and are unwritten. Even the service provider does not want to open a â&#x20AC;&#x2DC;can of wormsâ&#x20AC;&#x2122; by taking the service receiver head-on and setting the rules. I believe the main reason for this situation is that service providers are left with such little operational margin that they feel the need to keep thing under wraps and confront only when the situation goes to a level of discomfort. Service are rendered by humans and backed by systems. Human resources for the concerned service should be qualified with the right mix of intelligence and perseverance. One of the best practices to succeed in IT services market is documentation and distribution of information to the right person at the right time. Every meeting with the service receiver or the customer should be put in black and white, approved and then circulated within the desired community. This shall lead to a clear vision and understanding and shall provide a reference point in case of ambiguities. Further any new demand of service from the customer can be handled peacefully and shall lead to revenue for the service provider and simply not a free add-on. Secondly the communication should be clear within the understanding capacity of the approver of the service. There have been numerous incidents wh e r e i n we h ave provided service to the recipient and yet the recipient has not approved of the same since he/she was not sure

as to the fact that the service was actually delivered. If things are unclear it is better to ask instead of being sorry later. Services are usually done on milestone basis. There are multiple opportunities available wherein a review can be done or a feedback taken in terms of what is being delivered is right or wrong and the pace of the delivery is on-track or not. These reviews should be planned in advance and all the stake holders of the service should be encouraged to participate in it. The most important part of the service is its final delivery and acceptance. The natural cause of worry at this stage is the acceptance. In spite of all the best efforts, this is the time where dissatisfaction suddenly starts falling from the sky and ignorance becomes the buzz word. However a patience and convincing approach is required to tide over this situation. If all the documentation and communication is recorded properly in the initial stages then the heart burns can be minimised to a great extent if not deleted. Training also forms a very important part of any service. This implies both to the service provider and the receiver. A proper training with manuals and with a target objective can reduce a lot of worries. Training by itself is a service. It is a service by virtue of which tomorrow can be created and today can be re-written. Organisations that are offering training as a service should not compromise on the basic ethos of education and should follow the right methodology of imparting education. It should have the right faculties, the right course wares and the right class environment. Challenges in services come when itâ&#x20AC;&#x2122;s tagged along with a product. Assume you have sold an antivirus to your customer and in most instances the customer expects you to serve him with physical visits as and when some problem occurs with the system. It is advisable that at the time of sale itself the lines are drawn and the same informed to the customer The objective of any business house is to retain the customer, get repetitive business and reference customers. Services are the best tool to meet this objective. n The author is CEO, Micro Pro

S ER VS ER I CVEI CSE S

Rajendra Seksaria, CEO, Balaji Solutions

Customer is king L

ast year, tempest came in the form of financial crisis and shook many of the world companies. Some of them made heavy losses and some collapsed notably among them Lehmann Brothers. Surviving in these challenging times is a huge task. Success in today’s economy requires a strong foundation in our attitude which stems from our individual belief and paves the way for productivity and sales. Belief comes from hard work, determination, dedication and remaining true to our core competency and this applies to all the fields including the IT and related services. When the whole world was suffering from huge crisis the Indian IT industry beat it with low cost yet effective marketing tools like road shows, exhibitions, IT meets, etc. which in turn helped them to meet and make a direct contact with the customers. We saw an opportunity in this darkness and used it in the best possible way. All the ways to success end at one final destination “Customer”.

The customer is the one who just does not buy the goods or services from us but showers us with trust, affection and loyalty. In the words of Mahatma Gandhi We should thank the customer for the opportunity he gave us to service him. To succeed in today market customer loyalty is essential. The Pareto Principle says 80 percent of your sales is generated from 20 percent of your customers. To keep getting back those customers we need to give them reasons to remain loyal to us. In order to do this we need to use a combination of customer satisfaction surveys, market research and customer feedback. These three tools will help the business understand their customers better than anything else. Customer loyalty is one half, the other constitutes of initiatives to attract new customers. Business does not run only on keeping our loyal customers to us but it also needs new customers. For that our mission should be to provide quality craftsmanship,

Illustration: Chaitanya Surpur

Efforts in ensuring customer satisfaction should exceed customer expectations. That is the only way to succeed in today’s IT services market Rajendra Seksaria

detailed project communication and follow through every time. All things said and done, the success road is tough and rough but inculcating the following three main points in our business we can succeed - Vision of the company, patience in the long run and focus. Being in this business is not easy, its hard work. Yet it can be the most rewarding thing in the world. But in order for us to grow and to reap the rewards we need to put our customers first. The secret to success is to treat them as our world revolves around them. Without them we don’t have a business and no method of success. n The author is CEO, Balaji Solutions

july 2009

DIGIT CHANNEL CONNECT

S ER V I C E S

Ravindra Benday, MD and CEO, Benelec Infotec

“Channels need to strategically structure every engagement to address the unique needs of every client” Ravindra Benday, MD and CEO, Benelec Infotec speaks with DCC to discuss a few best practices that can help channel partners attract and retain customers DCC: What is the state of the IT services industry?

In today’s fast growing technological age, almost every organisation has understood the importance of an optimised and cost efficient IT infrastructure. They try and channelise their infrastructure to increase their operational efficiency through various techniques such as datacentre consolidation, desktop/server standardisation and implementation of IT operational practices. Apart from that, the IT service providers are now ready to take the risks to make their way in the market. DCC: What innovation have you brought in your company to give it a competitive edge?

Today we are efficient enough to make use of infrastructure optimisation so that our customers get an opportunity to strategically move their capabilities from reactive to more mature proactive models, which means optimising the infrastructure by way of consolidation, centralisation, streamlining and automation. We are making efforts to enhance the reliability of our solution thereby controlling the costs. In addition to that, we are trying hard to equip ourselves with desired IT infrastructure to be able to match up with all the business requirements. Initially, we used to provide products and support services to our clients. In the last one and a half year, we have completely refurbished our business model. Today we are truly an IT consulting, integration and training organisation. Apart from consult-

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68 july 2009

ing, we have been actively involved in selling solutions and providing support services along with education and training services to our customers. DCC: What are some of the sure-shot ways to succeed in today’s market in IT services?

There is nothing like sure-shot success but if one wishes to make a mark in the IT service market, one really needs to strategically structure every engagement in order address the unique and operational needs of every client. Building a sustainable relationship with the clients by demonstrating the core values of integrity, innovation, excellence, teamwork, etc. is equally important to succeed in today’s competitive IT service market. One really needs to think about building an independent business consulting service that does not push the customer into one particular brand and rather provides ample choices to them. In the IT service market, it is important that the service provider should fix up a particular rate for the assignment rather than asking for an open-ended fee agreement. It is important not to experiment technology implementation at the cost of customer, in fact the service provider should build in-house labs for experimentation purposes. The service market is completely dependent on customer satisfaction therefore to succeed in this field, building a strong back office is the prime requisite. Benelec has always strived for customer satisfaction with consistent improvement, proactive approach, timely service and accuracy.

DCC: Do you think that channel partners that provide services have an edge over other resellers?

Always! You should constantly build services around solutions what you sell. Channel partners are not merely service providers they are a community. People can be apprehensive of trusting the resellers but a community brings with it a promise of satisfaction that encourages the customers to consider the channel partners over the resellers. DCC: What are the challenges/entry barriers of this market in India?

Creating awareness about technology is the biggest challenge before the IT service provider in India. Customer is not going to have faith in you unless you make him aware of the technology. It is very important for the service provider to demonstrate to the customer his ability to deliver positive results. The field requires you to be patient, because there are many customers who have hardly any knowledge about the technology. Making customers pay for services is not an easy task. Many of the customers think that once I invest in product/solution, the service is free of cost. DCC: What are the emerging IT services areas that channel partners can explore?

Some of the key emerging IT services that the channel partners can explore are technology implementation, integration and support services. Apart from that channel partners can also get into storage services, business intelligence services, etc. n

Thought leadership

Saifee Merchant, CEO, Best International

When owners become employees Channel networks are bowing down to the whims and fancies of vendors whose primary agenda is to generate sales by any means necessary. How is it going to benefit anyone in the long run? Saifee Merchant

oes the market really develop by pushing products into it? How do big companies stand to benefit from such a strategy when at the end of the day the product does not reach the end consumer? How are distributors to function when they are forced to stock products that have no demand in the consumer market? Today the global recession is not a myth, it is a reality and it is affecting every individual in every walk of life. The optimists claim that they will be a turn-around in three to six months whereas the pessimists are of the view that the situation will remain the way it is for a year or so. The fact still remains that things are bad and the horizon

of a turnaround isn’t yet coming into view. With companies cutting costs across every departmental functions and its hierarchy, pink slips being offered to many professionals and consumer demand shrinking by nearly 50 percent, many companies are heading towards a virtual standstill. In such a scenario I wonder why channel networks are bowing down to the whims and fancies of such companies whose primary agenda is to generate sales by any means necessary. How is it going to benefit anyone in the long run is the crux of my discussion. Today a territory sales manager will visit the distributor and ask him to meet his target which is a far fetched goal. After much probing and coaxing, the distributor agrees to the same. He will now have to pay an additional interest for the bank overdraft he is about to obtain to stock the product. With existing stocks not sold the arrival of additional stocks is a burden that has to be borne. At the same time due to low demand levels, market competition intensifies forcing distributors to sell at a cost-tocost basis or sometimes even at a marginal loss. And finally this is where small businesses lose out merely at the cost of someone else’s incentives. What pinches me is why such businesses work at the cost of large companies. Is it a name that they want to acquire or a particular status in the market? A couple of days ago I was speaking to a friend who had gone to the US. He recently purchased a laptop and after further conversing with him I stumbled on a startling fact. Out there, no business works on margins that are lower than 10

percent. I then wonder why do businesses in India especially those in the IT trade work at margins that are in mere decimals. With profitability being affected so starkly what is all the effort worth at the end of the day. It is about time that the IT trade stops giving in to the pressure of these large MNCs and actually become the ‘owners’ of their businesses rather then puppets to these organisations. The single most important solution to this problem is highlighted from an age old story which was taught to us as children but has been forgotten in today’s fast paced environment. The story talks of a boy who in an attempt to get more candies pushed his hand into a jar full of it. Unable to remove his hand out of the jar, his father had to break the jar which resulted in his hand getting injured and at the same time the candies getting spilt all over the floor. The point that I’m trying to make here is evident from the above example. It’s only after realising one’s own capacity and potential can one move forward. Finally it all boils down to a matter of choice. Today an uptown wholesale onion distributor would earn more profits than an IT trader at Lamington road or Fort in Mumbai. The only difference is the type of products being sold that makes one feel better than the other. If businesses choose to remain stuck within a particular ghetto, then they’re never going to grow. If they direct the same zeal and energy in focusing on newer pastures rather than chasing targets and incentives it would not only increase their profitability but it would make them more flexible while trading. I know it would be incongruous to state solutions like innovation, or distinguishing the service offering, or any such jargons because they may apply only to big companies that have such intricate processes, but on the contrary even a small business house can make such an effort in every small little way to increase its productivity. I conclude by saying that in an age where customer preference is top priority every small business rather than competing with other businesses who tries to satisfy the ego of large MNCs should instead focus on its core competency and distinguish its service/product offering. n The author is CEO, Best International

DIGIT CHANNEL CONNECT

70 july 2009

Thought leadership

Narendra Dhanuka, Director, Galaxy Computech

Channel business:

A struggle for existence IT business offers good opportunities to people who can manage their business efficiently and win against the odds of the game but it can mean doom for partners who fail to learn the rules Narendra Dhanuka

ife is tough for any businessman and there is certainly no exception for IT channel partner. Let me first define who a channel partner is? He is one who buys IT products from company distributor for purpose of resale to either end customer or reseller - that is another channel partner. For most channel partner it is their first generation business – unlike other traditional business. It is quite likely that channel partners are young and willing to take risk to make extra margin. IT business is very competitive. To make it profitable, it is natural for a partner to increase his business size to achieve efficiency. He tries to reduce his costing by buying larger quantities – this leads to a vicious cycle and brings up various challenges faced in his business operation. A partner often gets trapped by lucrative schemes offered by vendors. Unless you reach top slots, you cannot be competitive because there are other partners who have better costing than you. You have to be careful in negotiating with the distributors to get good discount. One has to make his payments to distributors in time so that credit is available to him from all the distributors. After successful purchase, channel partner should liquidate stocks at the earliest so that the investment is minimum and secondly they hold stock for too long, they

are exposed to price variance risk. If price falls, which is very common especially in laptops, it results in huge losses. A big challenge is collecting payments from your debtors – so that you can pay your creditors in time thereby ensuring steady supply of products from distributors. Another hurdle is submitting back-end claims to the vendors. More than often the schemes are very tedious and one has to be careful in purchasing so that you fulfill all the vendors requirements. You need a very efficient and trained manpower to handle claims so that they are filed in time and followed up regularly with vendors. For a channel partner biggest source of bad debts is not from his customers but in shape of unrealized back-ends. One needs to be very careful while handling incentive issues. It is a sorry state but channel partners, after working so hard to receive incentive, are harassed by service tax department to collect tax on incentives. It is a high pressure game in which one has to perform every time – on time. If you even miss targets for one month, you may find vendor moving to new partners. This business is very competitive and there are many hurdles. What is mentioned above is just a small part – there are lots of other problems. Just imagine when a customer finds no display in his brand new laptop when he switches it on for the first time. He will not pay you for the dead on

arrival product and it will test all your skill to get the same replaced from the company. For the vendor it is like one of the routine failure – but your money is blocked as you have to replace the customer laptop immediately. For running IT business successfully one needs efficient manpower – and they are not readily available. You have to train them and do your best to retain them. They are eyed by your competitors – vendors as well as distributors. So, one should be a good HR manager to keep the staff intact. Although we have discussed various challenges faced by IT channel partners, a partner who can overcome all these can come out with flying colors. His bottomline will be positively affected as in this business, margins are low but volumes are high. If one rotates his stocks fast and keeps debtors under control he stands a good chance of making money. Success will take him higher and higher. But again, he will be badly affected when business is not managed properly resulting in losses. To sum up, IT business offers good opportunities to people who can manage their business efficiently. It is a good business to test your skill as an entrepreneur. It is a continuous struggle to provide best of products and services to the customers and if you fail in doing so, there is no way you can survive. n The author is Director, Galaxy Computech

july 2009

DIGIT CHANNEL CONNECT

Thought leadership

Sujeet Narula, CEO, Associated Business Computers

Back to the basics

SWOT analysis at different levels of operations is the need of the hour. We have to reconsider our purpose of existence, our core strengths and most importantly our customers Sujeet Narula

ith the recent turn of stagflation events, everyone has started - or to put it better - are forced to reassess their game plans. A reactive action like downsizing may seem to be the immediate way out but this is not the solution. The solution is going back to the basics. It is time for introspection and to analyse our business and the needs of the customers. We have to stop taking our customers for granted and make them a key part of our business strategy. Customer loyalty matters because selling more to existing customers is easier and cheaper, than finding and selling to new ones. Loyal customers tend to buy more regularly. And they will frequently recommend your business to others. So, having loyal customers is the key to survive this downturn. As they say that light shines brightest before it sets in to darkness; the scenario few months back was quite prosperous. That time can be def ined as want-based market

DIGIT CHANNEL CONNECT

72 july 2009

with the customer wanting and willing to spend. It is not so today. They are not willing to spend but they’ve become more value conscious. So the key here is delivering value. Business models have changed from being passive to active. It is not the customer who will tell his need, it is us who have to make them aware of their needs. As for the measures taken by us to survive this period of slowdown, we have re-evaluated our existing customer strength and are continuously chalking out different ways of adding value. We are trying to add value at every point of customer contact whether it means constantly increasing the product line or understanding customers’ pain areas. Customer loyalty is not an incidence, it’s a journey. One has to continuously make efforts for genuinely understanding the customer. Slowdown or no slowdown, we’ve always been a customer driven organization and will remain to be so. n The author is CEO, Associated Business Computers

Thought leadership

Global IT majors band together: launch energy saving initiative Global program driven by major IT companies including CSC, Dell, Google, HP, Intel, Lenovo, and Microsoft, has launched its India chapter of Climate Savers Computing initiative

he Climate Savers Computing Initiative, a global program driven by major IT companies including CSC, Dell, Google, HP, Intel, Lenovo, and Microsoft, has launched its India chapter.  Started in the United States in 2007, CSCI is a nonprofit group of eco-conscious consumers, businesses and conservation organizations promoting adoption of smart technologies in everyday business and personal computing which can improve the efficiency of a computer’s power delivery and reduce the energy consumed when the computer is in an inactive state.  It is estimated that there are currently more than 1 billion desktop and notebook computers in use globally. It is projected this number will increase to 2.25 billion by 2015. In a typical desktop PC, more than half of the power is wasted as heat and it never reaches the processor, memory, disks, or other components. Even servers, which are typically more efficient than desktops, still waste 30 to 40 percent of the power utilised. Most of today’s desktop PCs are capable of automatically transitioning to a sleep or hibernate mode when inactive for a sustained duration, however, in about 90 percent of systems this functionality has been disabled.  This results in higher energy consumption and an increase in electricity usage.  According to IDC’s Worldwide Quarterly

PC Tracker for 4Q08, there will be 4.1 million more desktop PCs and 2.4 million more notebook PCs in use in India in 2009. By 2010, the country’s installed base of PCs will reach 47 million units.  Today, IT users generally lack awareness about the power-saving features already built into present-day machines. All in all, this adds up to tremendous waste of energy every day.  The launch of India’s Climate Savers Computing chapter is led by Intel, Dell, HP, Google and the World Wildlife Fund (WWF). India is the sixth largest producer and consumer of energy in the world. It is projected that with growing computer penetration, especially in the smaller markets, energy usage will increase.  The India chapter of Climate Savers Computing and its constituents will encourage the development of more energy efficient computing devices by manufacturers and at the same time educate organizations and individuals in smart practices of power management.  “Apart from power saving modes and features available on current PCs, not many users realize that about 50 per cent of the machine’s power consumption is heat loss not contributing to the operation of the machines,” said Lorie Wigle, president of the Climate Savers Computing Initiative. “So, as we expand our efforts with a new team based in India, we are pleased to have leading

hardware manufacturers on board who can help drive a holistic combination of energy efficient, ENERGY STAR compliant product deployment alongside driving changes in user behavior.”  Globally, Climate Savers Computing was started in the spirit of WWF’s Climate Savers program which has mobilized over a dozen companies since 1999 to cut carbon dioxide emissions, demonstrating that reducing emissions is good business. According to the “PC Energy Report 2009” published by the Alliance to Save Energy (a coalition of business, governmental, environment and consumer leaders who promote the efficient and clean use of energy worldwide), US organizations waste $2.8 billion every year powering 108 million unused PCs. In 2009, these unused PCs are expected to emit approximately 20 million tons of CO2 emissions which are roughly equivalent to the impact of 4 million cars.  Beyond simply doing something proactive and positive for the environment by reducing CO2 emissions, Climate Savers Computing participating organizations have benefited through substantial savings in reduced energy costs. In India, a power deficit country, the social cost of similar savings would in itself be manifold as energy saved could be put to more productive use in manufacturing or agriculture. n

july 2009

DIGIT CHANNEL CONNECT

Thought leadership

Jagannath KV, MD and CEO, Choice Solutions

Seeking new technology paradigm The current global economic conditions and local market scenarios in India have forced all service providers to revisit business plans, strategies, and go-to-market approach, adapt to upcoming needs and review customer demands Jagannath KV

ow is the time to step back and study your company’s performance. When we introspect we must answer critical questions such as, why customers have stopped or delayed purchases. Today customers are very smart in taking decisions. They are under pressure to reduce both - capital and operational cost. The focus is entirely on optimising the existing IT infrastructure and improving efficiencies. With our interactions with customers and partners, we have understood that during the peak of growing economic conditions, various organisations built excess capacities which they are not trying to make optimum use of. Customers today have several new options to buy IT infrastructure and innovative channels to invest in capital purchases Hence the existing partners are caught unaware by several new business practices in their traditional accounts. Also, to meet the demands of both domestic and international clients, we have to embrace and adopt international standards. One big part of this is complying to rules and regulations. Compliance is the need of an hour. It is no longer a mere tool to ensure competitive advantage but the necessity to survive in today’s cut-throat competitive environment. There is a critical need to find immediate solutions to these problems by talking to

DIGIT CHANNEL CONNECT

74 july 2009

important customers with whom we have cultivated strong established relationships. While talking and generating feedback, one should keep an open mind. In a downturn, thinking of your partner’s growth will take the partnership a long way. Success is guaranteed if you assure them that as partner organisations, we will change with times and meet their expectations. Today companies are serious about understanding the implications of their carbon footprint. They are now proactive about best practices to reduce energy costs. This has now become the most important factor in operational expenditure, CSR (Corporate Social Responsibility) activities and in IT budgets. Today many CEOs of SMBs and even large MNC’s are pushing their CIOs or IT managers to reduce both capital and operational expenses. It is imperative in such scenarios to treat the customer’s budgets and preferences like we do our budgets. We need to project our internal spending patterns to provide solutions, consultation and services to our clients. We need to quickly digest the fact that with changing times, we have to constantly invest in people and technology according to the new emerging trends. It is a harsh fact but pure play box pushers are going to be battered in the coming 24 months, irrespective of their size and market share. We need to ask ourselves, how we can further

engage our customers in services and create an ongoing business. IT services is the way to moving forward. The percentage of revenue from IT services is growing month-over-month .We will see the magic increase both in PBIT and PAT within our organisations.

Technologies to look out for: The new services and technologies which are noteworthy to be evaluated are l Green IT l Managed Services Provisioning (MSP) MSP services reduce the operational expenditure. The results can be seen within the first month itself. These services include hardware / software hosting solutions or hardware infrastructure as a service which may include servers, storage and active networking components(HaaS) on both dedicated and shared model and software hosting solutions as (SaaS) model for both applications and licensing of the basic platform software. It is extremely critical for the channel community to keep an eye on the OEM vendors, who are actively promoting and helping our customers to experience the service and the commercials. The most important fact and our primary concern is that OEM vendors can eliminate the partner model or middle men - both distributors and value adding partners, as the payments are made online. And who stands to lose in the new value chain? It is none other than us!

Thought leadership The solutions to this problem are: l Quicker adaptation of newer technolo-

gies l Attitude change in our thought process

My first recommendation to our partner community is to not sell a box without a service with immediate effect in any form. Also, improve our annuity revenues and have higher degree of recall value to prevent yourselves from losing an important account to bigger sharks in the industry.

Embrace new technologies To practice the same, I am trying to understand “cloud computing” - its benefits and how it changes our work and the way of conducting business. In future many of the SMBs and medium-large organisations may buy only the basic compute devices like laptops, desktops and handheld devices and may not invest in big IT infrastructure and software and applications which will be available through “revenue-expenditure model” or “pay-per-use model”. Industry analysts suggest that this would be a very successful model by 2013. The good news is that for long term players there is little time to understand and adapt to newer way of conducting business. The bad news is we may have fewer choices in future to say we are serious players in IT infrastructure space. I have met and communicated to several partners who strongly look at “government business” as a serious vertical. They too will be impacted with the newer technological changes as the government is investing thousands of crore of rupees in building huge server and storage farms in their own datacentre. These are likely to be

fully operational by 2011. I foresee that all the e-governance applications are going to completely integrate various departments, using the “cloud computing model”. This will be the mantra going forward. IT infrastructure consolidation business will be in demand for the next few years as customers are coping up with the economic slowdown and all CIOs and IT managers are under pressure to evaluate their organisations and optimise investments made in the past few years. There is going to be a market explosion in designing and building newer “Datacentres” within organisations which are Green in nature and deliver the highest degree of savings in energy utilisation and reduce operational expenses. Many organisations are also opting for hosting solutions for their primary datacentres or for their disaster recovery centres to reduce their both capital and operational expenses. I was shocked by the statistics that in many advanced countries two percent of the country’s energy is consumed by datacentres that serve customers or users outside their home country. It would not be too far before governments take a stand and come out with datacentres operating standards which are well defined and implemented strictly to protect their country’s energy requirements and the environment. It is very important to us as citizens to protect our own energy starved country. Our own energy sustenance would be only till 2025. This is assuming that all our new plans of nuclear energy are 100 percent operational by that time. All the systems integrators have their own set of customers, whom they are servicing through IT facility management

by providing people onsite. I suggest everyone to understand Remote Infrastructure Management Services (RIMS) better and benefit from partner organizations. This will help get higher financial rewards. This way you would be doing a great value addition to customers as you are increasing their uptime in their business. This will result in higher profits to customer organisations as well. It is a fact that the partner organisations too would be benefited with introduction of this service, directly impacting the PAT in coming P&L. We need to continuously follow new successful best practices that should be adapted in these current market scenarios. I feel it is the best opportunity for every partner organisation to understand the SWOT (Strengths, Weaknesses, Opportunities and Threats) and move ahead by adapting newer technologies for success. I will share few success mantras. These have worked for our organization: Co-operate, collaborate, and trust other partner organizations that have the required skill-sets to serve customers better without any investments in capital, revenue and human resources. It requires courage to go in front of old and new customers without proposing new sale. Understand and provide solutions as to how existing investments can deliver more value to his position and the organisation. I can say this by personal experience that since we have started to borrow strengths from other partners with high degree of trust, we have seen some quick success week after week. I will be more than happy to share with you personally, if you are ready for collaborative approach. n The author is MD and CEO, Choice Solutions.

july 2009

DIGIT CHANNEL CONNECT

Budget expectati ns Some eminent channel partners shared concerns and their expectations from the interim budget. Here are some excerpts. . . .

Tax relaxation There needs to be relaxation on taxes of IT products in this budget. This will bring the cost of product down and help the IT industry grow. Brijesh Agrawal, MD, Yamini Emphasis Softwares

Tax benefit for growth sectors The service tax should be reduced to four percent. As laptop and TFT monitors are the future, the duty should be reduced to make them affordable. This will enable more upgradations and exchanges in the SMB sector. In last few budget there was not many reforms for IT sector. As the Finance Minister knows the entire economy is depending on IT / BPO, he should pay special attention and create special tax benefit for the growth of these sector. Ramakrishnan Iyer, Proprietor PC Clinik Sales and Services

Boost IT in India In my work experience of 15 years IT business, I have seen that channel partners and customers are always hopeful that there will be tax reduction in budget and price will be go down but that does not happen. There is no major effect on price because of tax benefit given in budget. Prices are more depend upon Dollar fluctuation and availability of products. I hope our Finance Minister will create new ways and opportunities for boosting IT business in India. Ketan Trivedi, Secretary, Association of Bhavnagar Computer Dealers (ABCD) and Proprietor, Key Infotech

Tax relaxation Since only non-polluting industry can be set up in Agra, this budget should provide lucrative incentives for the installation/shifting of IT industry and Infrastructure for the development of tourism industry in Agra. This will compensate the closure of 200 foundries by Supreme Court order. We expect the following from the budget: Execute drinking water and power generation projects in the needy states Check price increases, bar trading of essential commodities on the commodities exchange Provide low interest finance to SMB sector and help market their products Rationalise direct tax structure Create infrastructure for the development of trade, industry and agriculture Anand Prakash, Secretary, Secretary, Agra Computer Traders Association

Remove multiple taxation I would strongly recommend removal of multiple taxation of packaged software. This is a matter of serious concern to the IT/ITES sector. Presently, customs duty, service tax as well as VAT are all sought to be imposed on packaged software. This results in the taxation of the same product multiple times by multiple agencies. If this is taken care, cost on the operating system and basic software will be reduced. It will also help to reduce piracy. This will spur high growth on sale of packaged software. Secondly, removal of fringe benefit tax is mandatory, even this is multiple taxation in this competitive business era. Taxation should be simplified rather than complex and confusing. Anand R Managing Partner, Yashaswi Technologies

Environment benefit policy The government should cut down subsidies and lower interest rates. Focus should not only be on rural development but all sectors should get their fair share. A strong policy should be implemented to regulate the real-estate market. My greatest wish from this budget is that the government should introduce a policy that provides special benefits to any individual or industry that are taking steps to save our environment and our childrenâ&#x20AC;&#x2122;s future. Jagmohan Kapoor, MD, Hi Performance Computers

Mixed bag of requests Our wish list from this budget is as follows: 100 percent depreciation on computer hardware Arrange loan from all nationalised bank at 10 percent interest for Laptop and Desktop (for student 0% interest) Reduce excise and custom duty to zero on all the computer related items Desktops, laptops or netbooks should be bundled with operating system at very nominal cost (of upto Rs 1000) Upgrade all the government schools with latest hardware and software involving local residents Dinesh Bhdada, MD, Excel Computers, Bhilwara

Tax free India All IT products should be tax free as we need to first increase penetration in India rapidly. This will help India leap into the next level of development faster. Dhananjay Singh, MD, Datanet VAT re-structuring Government should encourage the animation industry, BPO sector and software technology parks by offering low service tax and other related exemptions in the urban-rural part of the country. This will generate a good amount of computer hardware business and employment. We want more relaxation in VAT structure. Especially additional one percent VAT should be removed. This will ensure that prices are under control and will boost the business. Rajesh Dhanani, VP, Bhavnagar Information Technology Association â&#x20AC;&#x201C; BITA and Partner, Alphabet Computer Consultancy Special attention There is no co-ordination of the government with local IT associations. We need special attention from government of Punjab to boost the IT industry. Kanwaljit Bakshi, MD, New Bakshi Computers and VP, Association of Computer Entrepreneurs

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DIGIT CHANNEL CONNECT

I NS I G H T S

The ‘we help’ centre DCC speaks to some channel stalwarts on what it takes to make this highly motivated and challenging community leap ahead productively

Create awareness Ashish Jain, President, BITOAA (Bhoj Information Technology Office Automation Association)

he key to create awareness and uplift the channel community is only by way of continuous education. Organising meets with experienced and knowledgeable speakers from the industry to speak on profitability ,ROI and normal business ethics helps immensely else immature dealers market results in fake commitments between dealer to dealer and dealer to customer also.

We also need to create a feeling of togetherness between the various channel community associates. This will create awareness amongst them on the latest products, technologies which would complement them to grab the opportunity to grow. I strongly suggest everyone to work with utmost honesty and integrity. Money is priority but customer satisfaction is primary. n

Principal and Channel Paresh A Patel, President, BITA (Baroda Information Technology Association)

he policy of back-end should be transparent and fast. It should be compulsory to all the principals to clear the back-end of the channel within span of one quarter. The warranty should be used for supporting the channel and not as a marketing tool. Warranty policy should not be a liability to channel, it should be an asset. Also, the

price policy should be such that it should not promote under-cutting. At the association level - Have vigilant, sharp and a watchful eye on existing and future competition. Associations should develop and generate programmes and schemes which will help its members have healthy competition. n

Define do’s and don’ts Rajesh Chaudhari, Treasurer, CMDA-Pune (Computer Media and Dealers Association)

oday it is very important to have fair practices in business to grow. This is especially true in the IT channels community. I still feel that it is high time that we should get matured and organised. The need of the hour is for the entire channel community to define do’s and don’ts which will be abided by one and all and religious followed.

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As they say - what you give only remains with you. One should not be afraid to share experiences and knowledge with other channel partners. Believe me, you will never be at loss. Sharing your knowledge and experiences with others will always add to your benefit. Your growth is directly related with channel and market growth. n

I NS I G H T S

Impending need and some best practices Sushil Meppayil, Vice President, AKITDA (All Kerala IT Dealers Association)

here is an impending need for spreading awareness about various pitfalls and challenges facing the channel business. Today, we see several cases of channel partners going out of business owing to financial difficulties. Most channel businesses are dissatisfied by the wafer thin margins and the lack of growth prospects after several years being stuck in the same condition. At the same time we see numerous start-ups in the market, most by youngsters, with little knowledge of the rules of the game. These companies are destined to end in troubled waters. The associations and other bodies of the channel should differentiate themselves by running periodical aware-

ness campaigns on factors such as: 1. Financial discipline – the perils of purchasing and selling on credit 2. Dealing with suppliers – the trap of quality purchase schemes and free offers 3. Selling on ‘peanut’ margins just to roll money to buy time 4. Emergence of customer service as the main profit earner 5. Importance of finding a niche or specialisation in some product line, service, software and solutions for vertical market segments 6. Usage of technology for effective selling, and systematic customer support using CRM, ERP systems

7. Updating knowledge of emerging technologies and products and services in the market, and get the “first-mover” advantage 8. Housekeeping and accounting with the do’s and don’ts about sales tax, income tax, FBT, meteorological department and other government rules and regulations 9. Formulating one’s own strategy to attract, manage and retain quality, efficient and highly reliable human resource 10. Finally, realising and eliminating the hidden costs of running the business like over draft interests and bank charges, wasted or non-productive advertising and marketing activities etc. n

“With focus on in-depth research and development for each product, we look to better ourselves in every aspect”

oday the world is a global village and the ‘wonder of’ technology’ is what makes this possible. The same ‘technology’ is our very virtue. At present in India where around 100 PCs are sold per 1000 people with unbending competition, we strive to be an one stop shop for excellence in computing functionalities. We believe that perfection is not just a company policy but a state of mind. Infact it is the very same mindset of flawlessness, which transcends from the makers to the

Sanjeev Kumar, Managing Director, Circle Infotech broad ranged products we deliver. With focus on in-depth research and development for each product, we look to better ourselves in every aspect. In times like today, where a customer is finicky and brand loyalty is as precious as ever, I truly believe that the honesty of a consumer–producer relationship comes to fore only after the sale of a product and that is where every organisation is tested in terms of its service mechanism. We offer a 600 and 1000 watt power hub.

It is the first to take into consideration the health hazards of computing stress and has a health mouse based on nano technology. We have also delivered the ‘Concerto headphones’. Exclusively designed for enhanced musical experience, the Concerto with its gold plated jack offers a distortion free sound, also making it a preferred choice for Internet chatting. We further provide four exciting series of capsule range for superior performance, with an option of choosing from around 20 capsules at a time. n

july 2009

DIGIT CHANNEL CONNECT

I NS I G H T S

Champakraj Gurjar, CEO of Maxtone Electronics

Evolution of channel business It is important to understand the evolution of an industry. Growing for a dominantly grey market scenario, Indian IT channel business is today a matured and legal one, claims Champakraj Gurjar, CEO of Maxtone Electronics

he Evolution of Channel Business in IT has been very different from other Industries, from the earlier days when it was mostly dominated by Grey market and now it has become very legal and matured today. The various aspects attributed towards the evolution and Growth of Channel Business: 1. Rapid computerization in the Country

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by Honâ&#x20AC;&#x2122;ble Prime Minister Late Shri Rajiv Gandhi 2. Economic reforms 3. Cut down on duties on Major components down to Zero (4 percent SAD being refunded against payment of VAT) During the years 1984-85 when business of computers had just began, most of the businesses were unorganised and

happened through illegal channels. These illegal suppliers were controlling the markets. There were unlimited challenges to be faced by channel doing authorised business such as price cuts, dummy bills, warranty issues, etc. In the long run people have realised the importance of channel business, its survival, maintaining reputation of the business, etc. They had no option but to choose genuine and authorised suppliers. With majority of the principals already present in India, it further helps the channel community to provide better solutions, after-sales warranties and support to their customers. This in turn helps the channel community to get repeat business from their set of customers and better relationship between vendors and the channel partners as well as their customers. It is a win-win situation to be in. With the support of media and customeroriented attitude of vendors, customers are better aware of various products and technologies available, and are now very demanding for right product and service. To give them the best, channel partners take utmost care to serve their clients with better products and services which helps then to retain them. A single wrong commitment or experience may cost them their customer and nobody wants such situation in highly competitive markets. Also, the support from government in restructuring taxes and duties to make authorised business more affordable has enabled them to easily compete with unorganised illegal suppliers. The outcome of this has been very healthy and positive for the channel business, as it has become more professional and service oriented and enjoying its benefit with almost all the vendors providing services at turn around time of 48- 72 Hours. There is a long way to go. It is to the benefit of the channel community to keep an ear close to the ground and understand the changing nature of their customerâ&#x20AC;&#x2122;s business. This I think is the key to the further evolution of this community. n

FUTURE

ADITYA BACHHAWAT, Partner, Arihant Mercantiles

Countering the economic downturn The major objectives of the business during such situations should be to conserve cash, protect assets, reduce cost, increase efficiencies and to grow the customer base ADITYA BACHHAWAT

n economic downturn is a phase of the business cycle in which the economy as a whole is in decline. This phase basically marks the end of the period of growth in the business cycle. Economic downturns are characterised by decreased levels of consumer purchases (especially of durable goods) and, subsequently, reduced levels of production by businesses. While economic downturns are admittedly difficult, and are formidable obstacles to small businesses that are trying to survive and grow, an economic downturn can open up opportunities. A well-managed company can realise the opportunity to gain market share by taking customers away from their competitors. Resourceful entrepreneurs capture the available opportunities, from an economic downturn, by developing alternate methods of doing business that were never implemented during a prior growth period. As we see around the major economies are shrinking, the growth is less than two percent of the GDP. Number of unemployed has increased to unimaginable levels. The amount of impact of recession might be different but itâ&#x20AC;&#x2122;s a global phenomenon. There is no denying of fact that India has been affected by the slowing up of growth in economy. The dependence of all countries on each other has increased in every aspect including trade and ripple in developed economies can be felt millions of miles away. The primary goal of any business owner is to survive the current economic downturn and to develop a leaner, more cost-effective and more efficient operation. The secondary goal is to grow the business even during this current economic downturn. History shows that economic downturns do not last forever. Remain calm and act in a rational manner as you refocus your attention on resizing your company to the current economic conditions. The major objectives of the business during such situations are : to conserve cash, protect assets, reduce cost, increase efficiencies and to grow the customer base. By forging a strategic pathway to success, ones business can overcome any challenge. During challenging economic times, businesses should focus on communication skills to explain new strategies across the organization and provide executive management training for the skills necessary to create a high performing environment. To counter the economic downturn one should diligently monitor their cash flow. Forecast your cash flow monthly to ensure

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that expenses and planned expenditures are in line with accounts receivable. Include cash flow statements into your monthly financial reporting. Project cash requirements threeto- six months in advance. The key is to know how to monitor, protect, control, and put cash to work. Convert excess, obsolete, and slow-moving inventory items into cash. Convert excess, obsolete, and slow-moving inventory items into cash. Consider returning excess and slow-moving items back to the suppliers. Close-out or inventory reduction sales work well to resize your inventory. Also, consider narrowing your product offerings. Well-timed order placement helps to reduce excess inventory levels and occasional material shortages. The key is to reduce the amount of your inventory without losing sales. Timely collection of ones accounts receivable. This asset should be converted to cash as quickly as possible. Offer prompt payment discounts to encourage timely payments. Make changes in the terms of sale for slow paying customers (i.e. changing net 30 day terms to COD). Invoicing is an important part of your cash flow management. The first rule of invoicing is to do it as soon as possible after products are shipped and/or after services are delivered. Place an emphasis on reducing billing errors. Most customers delay payments because an invoice had errors, and therefore, will not pay until they receive a corrected copy. Email or fax your invoices to save on mailing time. Post the payments that you have received and make deposits more frequently. The key is to develop an efficient collection system that generates timely payments and one that gives you advance warning of problems. Re-focus our attention on our existing clients. Make customer satisfaction your priority. A regular review of your customersâ&#x20AC;&#x2122; buying history and frequency of purchases can reveal some interesting facts about your customersâ&#x20AC;&#x2122; buying habits. Consider signing long-term contracts with your core clients/ customers which will add to your security. Offer a discount for upfront cash payments. The key is to do what it takes to keep your current customers loyal. To re-evaluate ones staffing requirements. This is a very critical area. Salaries/wages are a major expense of doing business. Therefore, any reduction in the hours worked through work schedule changes, short-term layoffs or permanent layoffs has an immediate cost saving benefit. Most companies ramped up hiring new employees in the good times, only

to find that they are currently overstaffed due to slow sales during the economic downturn. To review our other expenses. Target an across-the-board cost-cutting initiative of 10-15 percent. Attempt to eliminate unnecessary expenses. Tightening your belt in order to weather the downturn makes practical, financial sense. Through business coaching, one can realise maximum potential for obtaining their goals while keeping spending in check. With business coaching, one can lay out their organisation strategically for competitive advancement when economic times become better. One sure strategy should be relying on business consultants and executive management training to ride out the bad times and set forth a healthy recovery. Pro-actively managing your business through an economic downturn is an enormous challenge and is critical for your survival. However, through well-planned initiatives, an economic downturn can create tremendous opportunity for your company to gain greater market share. In order to take advantage of this growth opportunity, you must act quickly to implement the above best business practices to continue realigning and resizing your company to the current economic conditions.n The author is partner at Arihant Mercantiles

S ER VFIUCT UERSE

Sanjay Mehta, CEO, MAIA Intelligence

Business Intelligence to address recession Business Intelligence (BI) is made for times like these! “When cash runs out that’s when thinking starts.” This statement is very true in downturn or recession times Sanjay Mehta

h i s ye a r h a s b e e n a ye a r o f economic slowdown and recession. The current scenario is like cost of operations are escalating, financial markets have tanked, liquidity crisis is prevailing, growth demand is at lowest, sentiments are shaken, uncertainty is felt, fear factor is visible, inflation growing. Overall it’s a global meltdown. Everybody is searching for direction in these uncertain times. It will be stupid to predict how the economy will move. Enterprises can surely control how their company will move. It is possible to grow in economic recession times. It is possible to insulate the impact of downturn to your company. Today you don’t have time to introspect all of the business and you also cannot ignore even the smallest action in your company. In the current time where every action is happening so fast you need technology solution which do not your waste time and resource and help you grow. It’s more important than ever to see what the data says and indicates. The decisionmaking process requires human thinking, but when supported by technology it generates far more value in multiples than gut felt decisions The business pressures in the recession times are highest. Efficiency, cost control, effective decision support, accountability, transparency, regulatory compliance, rapidly changing conditions are some of the business pressures. BI Technology helps understanding data for actionable information. BI makes data visualisation easy for quick decisions. BI has the answer for most of the business pressures. Rapidly changing conditions How can I accelerate my planning and decision cycles? How do I monitor conditions and take early corrective action?

Accountability, transparency H o w d o I c o m p ly w i t h c o r p o r a t e governance requirements?

The decision-making process requires human thinking, but when supported by technology it generates far more value in multiples than gut felt decisions How can I ensure accurate, timely reporting?

BI solution that delivers reports anytime, anywhere, in the format you require. Data value within transaction based application like ERP; CRM will be unlocked by BI. Support decision making across entire enterprise at every level: strategic, tactical & operational. BI technology will be the critical catalyst lever for growth. BI provides an early-warning system around key indicators of exposure and risk. Implement BI with a compelling user experience that requires little / no training and no reliance on IT to write reports / queries for business users. Forbid use of spreadsheets for MIS report publishing in meetings and presentations. BI Technology helps understanding data for actionable information. BI makes data visualisation easy for quick decisions.

Effective decision support How do I filter extraneous data and focus on relevant information? How can I access and rationalise disparate, fragmented data?

Efficiency and cost control How can I sustain / improve profitability? How do I keep information current? BI is going to be the foundation for fighting back & insulate from bad economic times. CEO Creative thinking kick starts in economic downtur n by implementing BI. It’s more important than ever to see what the data says & indicates. Implement

july 2009

DIGIT CHANNEL CONNECT

FUTURE Trade spend analytics One can’t spend money like crazy to catch a few customers. One really has to think about which customers he wants and which products will carry him through. - S egmentation and differentiation of customers is important for trade spend analytics. It is not about saving cost it is about getting best possible value on every penny spent on customer acquisition - Trade spend efficiency and ffectiveness - Trade Send Uplift – Sales & margin - Spend by Merchandise Method - Promotion ROI - Promotion Over/Under-spend - P romotion Impact – Cannibalization& Halo effect Roles: Marketing Manager; Customer Account Managers; Sales Execs; Finance; Promotional Analyst; Business Unit Heads; Category Manager; Brand Managers

Metrics and dimensions Volume; Revenue (and growth); Total Promotion Profit; Targets; Market (volume $s); Market Share; Price; Margin percent; Trade Spend; Promotion ROI; Promotional Uplift; Order Fulfillment percent; Consumer pass throughpercent; Stock Cover Customers; Events; Sales Channels; Products; Brands Categories; Promotion; Media types; Time; Locations

Financial management analytics: Asset efficiency - Balance Sheet Goals: Capital Employed Value, precentages of debt to Equity Ratio, ROCE. - Cash Flow Goals: AR in Days, Net Cash Flow Value perecentage and working Capital Ration percentage - Treasury Goals: Borrowing Cost percentage, Investment Yield percentage, Net Liquidity Value

Customer profitability analytics (Customer = King or Customer = Liability) - F ind which customers are destroying profits, eating away your earnings - Incorrect information about customers’ profitability, efforts to grow sales directed toward customers that are unprofitable. In reality, earnings will be low even with growth - The real value is not in the money saved, but how you use information to adapt in challenging environments such as today’s economic situation

Expense management analytics Supply Chain Cost Index - On Time Delivery Goals - Average Lead Time in days

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Sanjay Mehta, CEO, MAIA Intelligence

- Order Fill Rate - On Time Unit Delivery

Operations cost index – IT vendor management goals - IT Contract Cost Value - IT Project Completion - IT Lead time in days - IT Vendor On time - SLA Performance

Overhead cost index – Benefit cost goals - Benefit Cost Increase - Benefit Cost Value - Benefit Payroll

Inventory management - Inventory Aging Days - Inventory ABC Analysis Value - Inventory Turns Ratio Decision-makers can have access to speedier responses (information) from data. Companies who can understand their customers and their suppliers can use

BI offers a wide range of reporting and analysis interfaces for Precision, providing insights into business performance across the company that knowledge to negotiate skillfully, and use knowledge of their products to reduce service costs have a big advantage. BI makes it possible. Companies can reuse operational data to one-up the competition with better marketing and branding. With BI, businesses can not only cut back operations, but they can provide a smart and powerful analytics in the hands of the business users across the organisation. With BI, one can quickly come up with a single view reporting from disparate datasources. Whatever the economic cycle, there is always a need to reduce cost and maximize profit. By understanding business through the data generated on a daily basis, organisations are more efficient and better equipped to re-engineer the company for competitive edge. With BI they can have better understanding of the operations and fine tune the processes for cost efficiency. By understanding the business better they can re-engineer it for competitive edge.

With BI, executives can look internally at their spending patterns to find greater efficiencies and cost savings. Executives can overcome the major obstacle of access to relevant, timely and consistent data with BI and analytical systems in place. The sheer quantity of data captured and analyzed by organisations has grown exponentially, and many of them are unable to successfully compute extensive data sets in sync with a quickening market. Another issue stems from data being broken up into many disparate IT systems. Not only does this hinder firms’ ability to get a single point of truth of its exposure at any given point in time, but it also has a negative effect on customer service – as it’s hard to take a holistic view of a large enterprise or high-net-worth customer, and they are demanding that kind of 360-degree service these days. BI can determine what to cut, trim and scale back from operations while, hopefully, minimizing adverse impacts on the business. Organisations in the channel (traders, dealers, distributors, wholesalers and retailers) with BI can be well-armed with reporting, dashboard, KPI, what-if modeling, interactive visualization, and other analytics for sifting through operational data and identifying promising areas for business optimization. Indeed, with BI financial consolidation (FCM), CFOs can have an increasingly sophisticated tool for determining where to apply the budget scalpel. BI offers a wide range of reporting and analysis interfaces for Precision, providing insights into business performance across the company. BI analyzes the effectiveness of Sale to Customers, Stocks & Inventory Analysis Profitability Analysis, which need to be continuously monitored & controlled for increased profitability. Likewise, for supplier relationship management BI can let companies understand their options for dropping marginal vendors in favor of those that can offer preferential pricing. BI delivers similar optimization benefits across the full range of business functions. Clearly, BI is a key asset in the ongoing business optimization struggle, both in good times and in bad. There are many BI initiatives that can help organisations consolidate, spend modestly and tweak existing processes within fiscal constraints. Today, companies need to access vital customer data, including order histories, delivery information, and pricing histories, in order to have a competitive value. Those companies that invest in BI get a competitive edge. It is the action time now. Let’s act and beat the recession and make our growth certain with BI technology. n The author is CEO, MAIA Intelligence

S ER VFIUCT UERSE

Surendra Kumar Choraria, CEO, Jain Infosys

The future of Green Computing

Illustration: Shrikrshna Patkar

omputers today are an integral part of our lives but at the same time it severely damages the environment. This very fact is responsible for the emergence of green computing which is broadly the study and practice of minimising the environmental damage caused due to the computers with the help of efficient manufacturing, maximum use and proper disposal. This article aims at underscoring the future and scope of green computing technology. Environmental changes and global warming have always been the main cause of worry for almost all of us. Now-a-days computer and electronic waste has further aggravated the situation by contributing to 70 percent of the hazardous waste. Computer waste has high amount of toxic heavy metal and flame-retardant plastics, which accumulate and sweep into ground water. The process of chip manufacturing further needs huge amount of resources and use deadly chemicals and gases.

One astounding fact has come up after a survey that a mere14 percent of the total computers that become obsolete are donated or reused. The rest are dumped or put into temporary storage for deciding later. Dead laptops are used in landfill or in some countries it becomes a toy in the hands of children as they tear it apart using their hands for recovering traces of valuable metals like gold by melting it. A computer while running consumes approximately 120 watts. While manufacturing a computer uses 1818kw/h of electricity even before it is turned on. Most PCs today are left idle and powered on continuously without considering the waste of electricity. Electricity is generated mostly from burning fossil fuels which emit sulphur and carbon dioxide into the air which can cause respiratory disease and global climate change. Manufacturers are now using lead-free solder, fully recyclable plastic cabinet and also offer to take back the old computer for recycling. Even devices to share one computer using up to 10 monitors, keyboards and mouse are becoming popular to save both cost and electricity. People are buying “energy-star” products and even TFT monitors which use half the electricity over CRT monitors, and inkjet printers which use 80 percent less electricity than laser printers.

We as channel partners are not here to merely sell our products and provide efficient sevices, our purpose goes beyond that. In the rat race we have forgotten to take care of our mother nature which should be of prime importance to us. This article might seem futile and many of the reader might end up saying, “We know that but what do we do with it”, this article aims at attacking the very mentality that do knows everything but doesn’t bother to take any step further in that direction. I agree that people out there are educated and they know about technology but we at the same time are very much aware that there is still a very large network of customers and dealers who don’t kno about the efficient techinques like green computing. We as channel partners should take this opportunity to reach every single customer and other partners and help them implement the technology that not only serves them ad users but also benefit the mother nature. I am not here to bombard the general readers with any high-flown flowery language. I would just like to make a simple appeal We have only one earth; let’s treat it right!! n Surendra Kumar Choraria, CEO, Jain Infosys

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DIGIT CHANNEL CONNECT

FUTURE

Meeting today’s challenges to seize tomorrow’s opportunities With new economies and industries unfolding around decades-old companies with traditional business models, companies are being forced to become more responsive to address a wide range of challenges

hallenges faced by organisations in a dynamic world and market place are diverse. Some of the broad level challenges can be categorised into: Higher service expectations: Increasingly savvy customers and employees demand continuous service availability and highquality experience across an expanding range of assets, applications and services – T he average cost per hour of unplanned downtime is $42,000 per 1,000 transactions – The average new application can take up to six to nine months to deploy – The digital economy cannot sustain power outages or unreliable power • Rising cost pressures: Complexity and inefficiency drive up costs and stifle innovation. – 40 percent – 70 percent of electrical energy is lost due to inefficiencies in the grid – In distributed computing environments, up to 85percent of computing capacity can sit idle – On average, for every 100 units of energy piped into a datacentre, only three units are used for actual computing • New risks and threats: Unprecedented security, resiliency and compliance challenges are created by the accelerating pace of business change. – Weather-related events inflicted one trillion dollars in damage from 1980-2003 – S ince 2006, the US, alone, has experienced a 158percent increase in cyber attacks – 30 percent worldwide increase in cyber attacks over the second half of 2008 – 33percent of consumers notified of a security breach will terminate their relationship with the company they perceive as responsible In addition to addressing the challenges of today, organisations need to lay a foundation for the enablers of growth and success for the future.

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86 july 2009

The world is changing The world is becoming more instrumented: We now have the ability to measure, sense and see the exact condition of most everything. Consider:

• By 2010 there will be 1 billion transistors per human

• By 2010 there may be 30 billion

Radio Frequency Identification (RFID) tags produced globally, embedded in products, passports, buildings – even animals

• Nearly four million RFID transactions are emitted daily

• Nearly one-half of all sensors in trans-

portation, facilities and production equipment are smart sensors. The world is becoming more interconnected: People, systems and objects can

Expectations include: • B reakthrough productivity: Since almost any person, object or service can become digitally aware and connected, executives and customers will expect greater possibilities for access and availability of resources. • Accelerated value creation: Companies will begin to utilise more adaptive capabilities like cloud computing to create new opportunities. • Increased velocity: The faster pace of business and society demands a more responsive, agile infrastructure that drives down costs, provides greater security, and propels insight and information across the organisation. In order to achieve these objectives, it’s time to start thinking differently about infrastructure. It’s time to build a more dynamic infrastructure that: • Creates linkages between physical and digital resources across the organisation • Enables businesses to adapt to changing conditions for competitive advantage • Aligns and manages all assets to address business requirements

communicate and interact with each other in entirely new ways. For example: • We are heading toward one trillion connected objects – comprising “the Internet of things” • Worldwide mobile telephone subscriptions reached 3.3 billion in 2007 – one for every two people on the planet • 1/3 of the world’s population (approx. two billion) will be on the Web by 2011 The world is becoming more intelligent: We can respond to changes quickly and securely, predicting and optimising for future events. Some proof points: • H undreds of satellites are in orbit – generating terabytes of data every day • 1 5 petabytes of new information is generated every day • 64 billion credit card transactions were processed in 2008, up 35percent from 2007

Even in the face of global uncertainty, it’s the infrastructure that continues to enable commerce and communications – the roads, networks, utilities and technologies connecting and differentiating organisations, competitors and customers. These public and private resources vary in value, condition and status, but all have two commonalities – they bring companies and countries together, and they are themselves connected. Millions of chips, sensors and RFID tags are in the roads, vehicles and machinery that power and connect our world, all interconnected, making the world smaller, flatter – and smarter. The ability to leverage and utilise this information and intelligence is within reach. Embracing this opportunity can enable faster, better management of a wider range of devices and systems than ever before. Businesses can now focus on delivering superior business and IT services with agility and speed while also keeping a keen eye on improving service, bringing down costs and managing risk in this new environment. n

S ER VS ER I CVEI CSE S

Satish Villait, CEO, Bitsy Infotech

“Our company helps customers’ decide what to buy, when to buy and how to buy” Satish Villait, CEO of Mumbai-based Bitsy Infotech shares with DCC the key reasons for the fast growth rate at which the IT services industry is evolving. He further talks about the business challenges he is facing. Excerpts: DCC: What are some of the key challenges that you currently face?

The biggest challenge before us is to keep in sync with ever changing technologies. Being a service provider, it is critical to keep oneself updated. Today, there are so many service providers available in the market that it has become really important for us to be backed with multiple skills. I believe this will help us to stand apart in the market. DCC: What are the entry barriers of the IT services market in India?

Though the IT industry is booming drastically, the lack of skilled service providers has always been a threat to the industry. The market is full of uneducated people who have no knowledge and experience about the field and the kind of expertise required in the same. We have witnessed that only two or three percent of service providers are educated enough to handle the desired work. Apart from education, lack of infrastructure is also a major entry barrier for the IT services market in India. There are hardly any service providers that are fully equipped or that serve all the technology needs of the customers. DCC: What are some of the best practices to succeed in IT services market?

Best practices to succeed in the IT services market differ from person to person. For us, the customer is of prime importance and customer satisfaction is all that we strive for. The service providers should not consider their customers as mere serial numbers, the way MNCs do. It is important to show commitment but one should not be over committed because that produces adverse results. One of the most important aspects that need to be kept in mind is that the service provider has

to be really young at heart as well as efficient. In addition to this, he should not shy away from taking risks. If one wants to succeed in the IT services market, you should always have a zest to explore the untouched areas. DCC: Which, according to you, are some of the emerging IT services areas that channel partners can explore in 2009-10?

Well, I would strongly recommend that the channel partners should go ahead in the field of software solutions. The field of hardware solutions is already pre-occupied and therefore it does not offer much opportunity for further exploration. On the other hand, the software solutions provide ample

space for exploration and one can expect fruitful results in this field. DCC: How have the IT services industry evolved over the years?

The IT industry has evolved drastically over the years. Indian IT sector has been growing rapidly and the technological innovations in the space have helped us improve and strengthen our offerings in the IT services space. We are now better prepared to become an information society. Moreover, initially there were very few service providers but today one can literally notice a huge network of service providers mushrooming. DCC: What are some of the benefits that you bring on the table for your consumers?

Bitsy Infotech was established in 1989 and since then has steadily grown in the market of IT distribution and services business. We at Bitsy, provide various solutions to our customers, following the best possible service approach with trained technicians. We also provide the IT consultancy services. We help various organisation in ascertaining their present and future IT needs and help them decide critical buying solutions and services. To start with, our company not only takes care of the customers’ technology needs but also helps them decide what to buy, when to buy and how to buy. We at Bitsy, make sure that our customers are attended on time and apart from that we also put in our best to maintain transparency with them. When it comes to services, our motive is to be very straightforward to our customers and not to make fake promises. We completely focus on our client’s organisation to provide them with a compatible environment. We are not only the service providers but we are responsible for providing complete satisfaction to our customers. n

july 2009

DIGIT CHANNEL CONNECT