Channel giants Computacenter, SCC and Morse last week attempted to move one step closer to their services goals, as all three reorganised and refocused their businesses in a move that will include some redundancies.
Mike Norris, chief executive of Computacenter, said the majority of the redundancies at the firm, believed to total about 40, would be voluntary. "We employ more than 10,500 people in Europe, so this is not a big number. We are most definitely not going through a redundancy programme; this not about cost cutting.
"Computacenter is going through a change, from a technology and industry alignment to a regional realignment. We will continue to focus on services, but we are trying to make sure our product business does not get lost under our services business, which it is in danger of doing."
Norris said the company hopes to complete its reorganisation by 1 July.
SCC is also realigning its business to put greater emphasis on services and solutions. A representative from SCC confirmed that a small number of staff had been made redundant, believed to be fewer than 15. "Our long-term strategy is to be positioned as a service and solution provider. This repositioning means we have lost less than one per cent of our UK workforce in total," the representative said.
CRN also understands that Morse has made a number of staff redundancies, although the firm was unavailable to comment.
Alan Norton, head of intelligence at credit reference agency Graydon, said the VARs were making a wise move, changing their strategy to be more services-led. "Just shifting tin is dying a slow death; there is no margin in it. Channel players have got to add more value into sales to survive, and they have to change to keep up. If they don't, they will not be around for much longer.
"Morse, Computacenter and SCC are the big three in the UK. They service blue chip companies and have multicontracts, so the future for them is bright," Norton said.
Additional reporting by Sara Driscoll.
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