HP announces cull of 'unfocused' partners

Vendor plans to clean up its UK Business Partner programme

Written by Sara Yirrell in Amsterdam

Up to 2,000 Hewlett-Packard (HP) Business Partners could be facing the axe as the vendor looks to clean up its UK channel.

The vendor said it will cut ties with all partners that are not sufficiently focused on HP, as it prepares to batten down the hatches in the battle against arch-rivals Dell and IBM.

Speaking to CRN at HP's Solution Partners Organisation (SPO) event in Amsterdam last week, Jos Brenkel, vice-president SPO EMEA at HP, said: "In the UK we have had a lot of issues [with the channel] and we have had our own issues as well.

"We have only ourselves to blame, because we took our eye off the ball and lost our sense of loyalty to channel partners.

"We have changed management and want to fix things. We need partners that are motivated to sell our products, not those that are selling our products opportunistically.

"We have to be bold enough and say, 'leave us' to those partners we can no longer work with. We need to clean up our Business Partner programme. In the UK we have about 5,000 partners, but I guess we need only 3,000."

Brenkel revealed that the vendor, which also announced the merger of its Imaging and Printing Group with its Personal Systems Group last week, is rolling out a number of initiatives this year. This includes a crackdown on the grey market, a pay-per-use model, customised pricing for selected channel deals and more joint marketing funds.

Sue Richards, managing director of VAR EBM, welcomed HP's announcements. "We are investing a huge amount in HP training and it doesn't come cheap," she said.

"We are paying extra all the time. It's unfair that there are some resellers out there not making any investment at all, so it is right that they should no longer be partners.

"We have been let down dramatically by HP in the past, so this is fantastic news."

Mike Kontowtt, chief executive of distributor OpenPSL, said: "Vendors often have some partners that add more value than others. Some of the weaker resellers that are more into box-shifting need to be policed to ensure they deliver."

sara_yirrell@vnu.co.uk

See also:

reader comments

related articles

VARs risk missing out on HP special pricing

As SSP contract deadline looms, some partners still want clarification 21 Feb 2005

 

HP lay-offs in UK 'inevitable'

Firm states it has reserved $200m for global job cuts 07 Feb 2005

Hewlett-Packard in channel clean-up operation

HP is committed to changing its channel model to accommodate the needs of its partners. While most Business Partners welcome the news, others fear its tough-love approach 31 Jan 2005

Channel wants extra HP help

Partners hope to receive more attention as vendor reshuffles resource allocation 06 Dec 2004

Dell woos resellers for PartnerDirect scheme

Vendor admits it will have to work hard to gain channel trust for new partner programme 07 Dec 2007

latest news

Resellers hit by delivery disruption as Amtrak fails

UK courier company Amtrak has entered receivership due to financial difficulty 29 Aug 2008

Dell’s profits plunge 17 per cent

PC vendor's net profit takes a tumble as turf war with HP in EMEA hurts bottom line 29 Aug 2008

Avnet upgrades and expands Bracknell demo centre

Distributor refurbishes five-year-old centre to provide vastly expanded proof-of-concept opportunities 29 Aug 2008

poll

A new Linksys era?

A new Linksys era?

Will the Linksys brand fizzle out when Cisco folds it into its SME operation?

Previous poll results

In The Studio With CRN: Josh Claman, Dell

In an editorial coup for CRN, Josh Claman, vice president of EMEA channels at Dell, talks to CRN TV about the vendor's channel plans

CRN Fight Night bouts are LIVE!

ALL the bouts from CRN's first ever white collar boxing event at The Brewery in Chiswell Street, are now online in their full glory for CRN readers to watch.

events

CRN Golf Challenge 2008

CRN Channel Golf Challenge 2008

CRN's annual golfing day will this year be held on 16 September at a championship course in East Sussex

CRN Reseller Leadership Forum logo

CRN Reseller Leadership Forum

An exclusive channel conference from CRN, to be held over one action-packed day in September 2008

Newsletter signup

Sign up for our range of FREE newsletters:

Existing User

Newsletter user login:

Advertisement

White papers

Search white papers

Top categories