Expert Speak

AMTRON Issue: An Eye Opener for Associations, CPs

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I cannot help but draw parallels between Elcot and AMTRON, and also the manner and maturity with which the respective state associations handled the issue.

Not taking for granted the fact that all of you have read the AMTRON story that my colleague Soma Tah broke in ChannelTimes yesterday, let me brief you about it. Assam Electronics Development Corporation Ltd. (AMTRON), the nodal agency for the state IT department in Assam has distributed PCs among 17,331 students securing 1st division in the HSLC and High Madrasa examinations. AMTRON has been distributing branded PCs for the last four years in Assam under the state-run Anundoram Borooah Award Scheme (ARBAS) project.

AMTRON has been inviting OEMs to bid for the project, clearly sidelining the channel in the state. And the OEMs are gleefully participating, notwithstanding the fact that they can channelize their partners in some areas of the project, such as distribution and services.

While the Elcot issue was a different matter altogether, the areas where I am drawing parallels are 1. The nodal agencies have directly connected with the OEMs, and 2. They have not tried to involve the local reseller community in the project.

While one may argue whether to involve the local reseller is AMTRON’s prerogative, I do not understand why it did not utilize its own distributors and post sales service partners! Also, why were the partners in Assam so callous about the whole issue? Why did they allow direct deals between OEMs and AMTRON? This year, the slowdown is already impacting channel businesses across India, and such omission from projects can further impair growth.

North East Computer Traders’ Association (NECTA), the local reseller association in Assam is now making efforts, as Soma reports will raise the issue in its March 10 AGM. Meanwhile, HCL, Wipro and Acer have already fulfilled their promise for 2008. All the computers/cheques have been distributed (early this week). It now remains to be seen how aggressively NECTA addresses this issue, and what is the solution its members arrive at?

I understand that comparing two associations and their style of functioning is not fit, but NECTA has to understand that its decisions/action/inaction impact the 500 strong reseller community in 28 districts across the state.

The OEMs say that the channel partners are not equipped enough to handle such volume business, plus they are not skilled enough to offer post sales services. Why is that so? Does that mean that the OEMs, vendors do not take keen interest in the growth and development of channel partners in the state? Since the state is distributing computers to students, I assume that the specs would be basic, something where in the students are able to use the computer for basic R&D and other educational purpose. Now this is not rocket science in terms of service for any channel partner. I think it is high time the OEMs and vendors take the local channel seriously. Training is the most basic they can do for the channels. Also the associations, on their part, have to be more pro-active. Instead of waiting for opportunities to come and fall in their laps, ask partners to get aggressive, fight for their rights, and the change will be for all to see.

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