An exclusive interview with Charles Lew, President of Fujitsu Malaysia, explains the company’s global SELECT Partnership program in Malaysia. This interview gives insight to the requirements from local IT channel distributors, and the benefits they can gain. Fujitsu’s SELECT PARTNERSHIP PROGRAMME.
1. What is the background of the Fujitsu partnership program?
Fujitsu SELECT Partnership program has been introduced in Malaysia a couple of years ago. In line with Fujitsu’s partnership tagline of “Let’s grow together”, the company committed towards building a community of local IT distributor and resellers who are able to capitalize on Fujitsu solutions to grow their business.
Fujitsu SELECT partnership program categorizes the partnership levels into 3-Tiers – that range from the level of “Fujitsu Partner”, to the higher “Fujitsu SELECT Partner”, and the highest rank as “Fujitsu SELECT EXPERT Partner”.
a) Fujitsu Partner: The most straight forward method for resellers to work with us is on a ‘case to case’ basis without the need to be certified by Fujitsu technology experts.
b) Fujitsu SELECT Partner: This level signifies a more ‘technologically ready’ partner – having to complete the business profile and the said Fujitsu certification programs (ie. PRIMERGY/ETERNUS, PRIMERGY and ETERNUS) to be qualified to drive sales opportunity at a higher level and entitlement to better discount privileges.
c) Fujitsu SELECT EXPERT partner: The highest recognition within the Fujitsu global partnership program. The partner is required to fulfill the requirements for a complete business profile, the certification programs and having appointed dedicated Sales and Pre-sales team members.
2. Will channels be the main sales strategy for Fujitsu Malaysia? If yes, how do you differentiate from direct sales?
Channels form a key strategy to advocate the sales of Fujitsu Malaysia’s Enterprise Products such as scanners, PRIMERGY servers, and ETERNUS storage products.
Apart from the above, a significant part of Fujitsu’s business is in the provision of IT services such as Infrastructure Integration Services, Network Services, Applications Services, and Managed Services. Requirements on enterprise products through named accounts are generally fulfilled through direct sales. Our SELECT partners will then obtain the products from Fujitsu appointed distributors ACA Pacific and ECS Pericomp.
3. What is the biggest benefit from embarking on a channels business model?
To widen Fujitsu’s business coverage within a highly competitive and commoditized market while enabling the business to focus on its core provision of IT services.
4. What is your biggest advantage for the local channel partner as compared to what other international IT vendor brands?
SELECT Partnership Program means that the channel partner is ‘carefully chosen and selected’ by Fujitsu and given the privileges to enjoy benefits accorded only to SELECT partners, i.e., guaranteed the right level of support, service and most importantly, price and project protection. Our SELECT partner model is based on trust, integrity, relationship and the strong attributes of our Asian heritage.
IT Channels contributions to Fujitsu Malaysia
1. How many channels do you have now and what is their contribution?
Currently, Fujitsu Malaysia’s channel partners are contributing a significant 60% of total sales to Fujitsu’s key Platform Products business unit. We intend to increase this by 30%.
To date, we have 25 carefully selected partners in Malaysia. On 20th Sept 2011, Fujitsu sealed a new partnership with a local leading technology integration solutions provider, Infotech Distribution System Sdn Bhd (IDS) as the first highest ranked Fujitsu’s SELECT EXPERT partner in the country.
We’re looking forward to work with IDS to drive a higher level of cooperative business success. Fujitsu Malaysia sees great value in having IDS as a partner in Malaysia as we value its network and good reputation with local organizations..
2. Which industry in particular that Fujitsu is targeting to penetrate – especially with channel partner model?
Government/Education, Telco/Healthcare, Enterprise (Global, Oil&Gas), FSI and of course the Japanese Oriented Companies (JOC).
3. Who are some of your key partners?
Fujitsu partners include local players such as Mesiniaga, HeiTech, CSC, IDS, Radmik, to name a few.
4. The expected number of Fujitsu Malaysia’s partners by next year?
Fujitsu are currently growing our Channel Partner program by formalizing more partnerships, with an aim to establish a minimum of 30 partners including the SELECT Partners so as to increase the current Channel Partners’ contribution by 30 percent.
5. How much must a potential channel partner invest in order to be Fujitsu-partner ready? How do you KPI your partners – sales, how much quarterly?
Each partner agreement is designed in accordance to the mutual needs of both Fujitsu and the partners’ business objectives. Apart from the requirements depending on the various levels of SELECT partners, there is generally the potential to grow beyond the enterprise productions towards providing consultation for the higher, value-add services.