Partner to Partner Collaboration

[in the Cloud Tsunami]

Channel Focus Western Europe Working Group, P2P Project : Veerle, Eskil, David, Wolfgang, Rod, Loic

We want IT to become a strategic asset for our Customers…

… which requires that Vendors & their Partners help solve real Business Issues…

… by providing Business Value through Business Solution offerings…

… which pushes us to focus and specialize…

6

ToBroaden your,Appeal

Narrow yourPosition

Harry Beckwith

« Rapid technology advancements mean VARs must specialize rather than generalize, so they can't expect to simply add competencies as customers' new needs emerge » Lisa Terry, VSR

http://vsr.edgl.com/magazine/May-2010/Think-Global,-Act-Local43520

… and to Partner with Partners…

… to bring a Whole Solution to the Customer…

… especially in the Cloud…

« Everything as a Service »

2 KEY P2P Approaches :

[1] Become Full Service IT Trusted Advisor, offering End-to-End Business Solutions to Customer

[2] Utilize P2P to expand Geo Coverage

P2P is already happening among our “Channel Partners” !

P2P - Collaboration - Research Results - 2007 - Channel Focus

Reason for P2P

Securing & Growing Rev & Profit– Protect Trusted Advisor role on

existing customers– Win New Customers: Reach

and coverage

Different Partner Types

• SI’s– Specialists by Vertical– Generalists

• ISV’s– Large customers– SME and midsize customers

• MSP’s

Reasons to partner

Technical skills

Geographic coverage

Demand spike

Downstream channel

Vendor Partnering

Specialist SI’s

√ √ √ √ ×

General SI’s

√ √ × × ×

ISVs – SME customers

√ √ √ √ ×

ISVs – Large customers

√ √ × √ √

MSP’s × √ × √ √

Reasons to partner

Technical skills

Geographic coverage

Demand spike

Downstream channel

Vendor Partnering

Specialist SI’s

High High Medium Medium ×

General SI’s

High Medium × × ×

ISVs – SME customers

Medium High Medium High ×

ISVs – Large customers

High High × High High

MSP’s × High × High Medium

One off vs strategic• Strategic partnerships most

valuedBut• One off partnering significant• Less validation of one-off

partnering

“On a one off, you have to go on gut feel - You just don’t have the time or money”

Boston ISV

The process – priority order

Identification– Personal networks– Customer recommendation– Vendor site/Vendor rep– Vendor events– Google

The partner view

“It’s hard time-consuming and painful”

Boston ISV

“I wish there was something to help – but their isn’t!”

Toronto SI

“I talk about building a channel to my CAM’s - and they are no help”

Houston MSP

Engagement types

• Lead partner– As a single or as multiple entities

• Shoulder to shoulder– This is what each party will do

• Customer Driven– Customer decides on the partners

• Downstream channel– Traditional Partner arrangement– Finders fee– Agency

Most admit major problems

• Who leads?– Lack of clear project management

focus

• Formalization of agreements– Between partners– With the customer

• Rules of engagement• Common customer face• Margin issues

– Who makes the money?

What do they have

• Partnering expertise• A desire to partner• A formalised Partner

Structure– Contracts, processes etc.

• A few have Channel Managers– Mostly a partial role

P2P by vendor vs multi vendor

Must be multi-vendor

“One vendor can’t do it – 50% of my current and 80% of my future partnerships will involve organizations with skills outside those of my major vendor”

Minneapolis SI

Core competencies – hard info

• Years in business• Verticals• Size of customer• Size (revenue bands)• Capabilities/business type

– Staff by dept• Geographies covered• Languages spoken• Key vendors• Certifications/Accreditations

– How many?/How long ago?• Partnering desired

Core competencies – soft info

• Owner bios• 5 min video• Demo’s• Mission statement• References and

testimonials– Customers and partners

• Press releases

Rating systems – hugely contentious

• Open to abuse• What info would they

provide?• Open to all vs submitted to

the site• P2P ratings• Customer ratings

Must be 2 way

• Partners I want to find• Partners I want to find me• Need to enable both• Listing and notification

Restrict who can join

• Restricted access• Not open to anyone• Verification essential

– Most important aspect missing on current offerings

• Must complete fields• Only key personnel allowed in• Must balance elitist vs too easy• Rules to be set with Partner

Council

“Partnering is the way of the future – if you don’t master it you’re dead” Toronto SI

Should Vendors facilitate & foster P2P ?

And if Yes, HOW ?

Vendors TRY to facilitate P2P…

…with LITTLE

Success !

Vendors see P2P as important to THEM !•Strategically align the partners, their competencies and capabilities in order to fulfill customer requirements and offer a better business proposition.

•Create an advantage towards the vendors competition, by creating unique solutions through P2P entities.

•Create to some extent less competition and price pressure for the vendor

Partner A

Partner B

Cloud Broker

Regional Presence

Integration Skills

SaaS ISV

Industry Solution

Powered by VendorVENDOR

Large Vendors run P2P PROGRAMS [and innovate with Web / Social !]

Cisco

BUT, none of these PROGRAMS have REAL traction... WHY ?

DEBATE !

Should Vendors facilitate & foster P2P ?

Answer HAS to be YES! 1. Customers demand it

2. Partners struggle to overcome Today‘s P2P Challenges

So, what should be Vendor’s role to effectively foster P2P and overcome today’s challenges ?

Just let P2P Happen ?

Go it alone as a single vendor?

Build a Flexible Partner Ecosystem ?

Get together to Build a Multi-Vendor Capability?

A list of “recipe components” for a Vendor to foster P2P

4.P2P Online Platform: - Intelligent „Search“ Finder- Intelligent „Quality & Capability “ Assurance

5.Vendor „P2P“ contract guidebook- Legal guidance on P2P contract- Mutual compensation model

3. What else?

Suggestion : Top IT Vendors should evaluate way to commonly define and execute an Industry “ToolKit”… … TOGETHER !

5.P2P Online Platform : - Intelligent „ Quality & Capability “ Assurance

6.Vendor „P2P“ contract guidebook- Legal guidance on P2P contract

3. What else?

DEBATE !

Additional material online :

http://partner2partner.blogspot.com

THANKS !

Photo credits :

http://www.flickr.com/photos/marcobellucci/3534516458/

http://picasaweb.google.com/lh/photo/wGdC1nM1_QCGUk42RWhJkQ

http://www.flickr.com/photos/rahims/2119329979/