2009 - "Copier Industry: Change or Die."

I was sitting in on a super-secret, MPS industry insider Webinar the other day.

I admit because I am all things MPS, little surprises me when discussing the MPS Ecosystem - except the freakin obvious and blatant issues that have been right in front of me all along.

I was half listening to the presenter answer the question, "how do we, as dealers, go from a Stage One MPS(equipment-centric) dealer to a Hybrid Dealer?"

Waiting for the inevitable, "you need Ownership buy-in" or the tried and true, "you need a strong infrastructure to support your MPS Team" and the ever popular, "retrain your Sales Staff", I was half paying attention.

Nope. Nadda, zip.

The answer was,

"CHANGE PEOPLE. It's too difficult to re-train from a transaction-based sell to consultative-based sell."

Shall I translate?

If you are selling copiers today, you had better change your ways and go with a company that still thinks they can train you into a consultative selling cycle before they figure out it's too difficult to teach old dogs new tricks.

But it's worse.

If the salespeople can't be changed then sales management can't be re-tooled, so they must go as well. Up the food chain, it goes until it ends with the King Bottle Washer himself, the Owner - on top, and all alone.

Granted, we should consider all factors. For instance, the fact that right now, there are likely 7,000 dealers, out of 15,000 or so, who have embraced MPS.

The old statistic (Photizo) stated that 50% of the folks who don't embrace MPS will be gone - but things have changed.

"CHANGE PEOPLE. It's too difficult to re-train from a transaction-based sell to consultative-based sell."

Now, if you aren't changing to the Hybrid Dealership model, not the iTex one, you will be gone.

That means that even if you do embrace MPS, if you aren't all in, you will be all out. Understand?

I know what you're thinking, "Sure, you big goof, copier sales are changing, but MPS is just the latest marketing scheme designed to sell more units. Everybody will need a copier, forever."

If you are a reader of mine, you may remember an article or two where I go off the deep end proclaiming that one day, HP won't sell printers. Yeah, right, I'm nuts.

A little History Lesson:

There once was a company, a global company, whose selling model included always sending at least 3 company representatives to every sales call. This company was the behemoth of technology. Large, foreboding, industry-defining - they told their customers what to order and how much to pay.

Nearly every person on the planet at one time or another had heard of this company. They were the barometer of American Technology - what was good for them, was good for the country.

America sent men to the moon and the back of this company's knowledge.

It seemed at times, that they would be around forever - selling bigger, faster, and more expensive devices. Devices are in high demand and built by only this company. Their equipment defined business processes and demanded their customers bend to the needs of the machines.

Who?

International Business Machines, Big Blue, Big Iron, IBM. In 1977, IBM had 300,000 employees.

The PS/2, ThinkPad, System 36, AS400 - OS/2, token ring...all gone. When IBM made the decision to move from the hardware business to business process and finally into Business Services - people thought they were nuts.

Manufacturing plants shut down. Divisions were sold off. Ten's of thousands of employees are gone.

How do you think those "big iron" salespeople responded?

Do you think the same people who sold these colossi one day just decided to offer business consulting?

No. No, they did not one day just decide to offer business consulting.

Sure, Big Blue tried to retrain. At the time, IBM's training regiment was known to be the best in the industry, the best anywhere; weeks were spent in Armonk, NY.

How do you think that went? Well, one day, somebody somewhere looked at this new business model, looked at all the training that had gone on, and then, glanced at the net new accounts list - it didn't add up.

So, did they redo their infrastructure or vamp up the marketing? Did IBM hire a bunch of consultants and try one more time to retrain the sales team?

Nope.

They CHANGED PEOPLE.

By the way, the one who let this cat out of the bag, was with IBM back then. Huh.

This has all happened before, in nearly every industry; technology, transportation, entertainment, hospitality, automobile...publishing, music...every niche...airports, filling stations, grocery stores, and retail.

Why should our little, 3 decades old, industry be any different?

I for one think we need to CHANGE PEOPLE. By CHANGE PEOPLE, I mean to change the way you are, not the members of the team.

Copier folks, anyone who sells in this crazy mixed-up world of output, are the most resilient and adaptive bunch out here, in the real world.

We can change. You can change.

Study history, or be doomed to repeat it.

12/14/2009

IKON, a Ricoh Company, Could Rule the Managed Print Services Ecosystem - Who?

At the bottom of the page, you may have noticed two graphs.

One showing the number of Managed Print Services Jobs offered and another reflecting Copier Sales jobs postings.

These graphs have been here for a while now.

The other day, I decided to drill down into these numbers and ran a quick query for "managed print services specialists IKON".

Boom. Twenty eight returns, from all over the country, posted within the LAST 23 DAYS.

Managed Print Services Specialst - IKON.

It's no secret I feel and have always felt that, on paper, IKON is the best positioned entity to jump into MPS.

Before RICOH, their position would have been stronger.

But today, with IKON's Facilities Management history and expertise, coupled with an absolutely stunning collection of supported Electronic Document and Workflow Management software packages, all IKON needs is to be a bit more hardware agnostic and shazam, MPS up to the Fourth Stage.

Check out my article back in July, here.

I know that was history - but, lately, for no apparent reason, IKON is popping up on my radar more and more - My MPS'dar, not copier radar.

What gives?

Well, looking at the locations where MPSS are about to be hired, I would say a national wave of MPS is what "gives".

IKON is on the MPS prowl.

Check it out, here.

The Printer and Copier Sales Decline in UK is "Over": Hurd's Word Tempered

Just over 1 million multifunction printers and standalone printers and copiers shipped during the 3rd quarter, in the UK.

This is down 3% from a year ago, but is not as bad as the 22% and 30% tumbles in the German and French markets, Gartner said.

Tosh Prabhakar, senior analyst at Gartner, was downbeat about short-term growth prospects.

"I cannot see things dramatically improving in the next six to nine months. The hardware is very mature and there are no compelling technologies that will drive the market forward," he said.

Remember Hurd's Words during HP's fourth-quarter financials meeting; he forecast a significant rebound in sales as companies upgraded ageing technology.

Pent up demand may lead to a call to that 800 number,(have you tried flicking it?).

Indeed, if Hurd's word is true, the inventory challenges of the LAST FOUR MONTHS, may be behind us by February, releasing the flood gates and fulfilling months of backed up orders.

Thus, resulting in an apparent, yet manipulated, rebound.

Not that there's anything wrong with that.

Source article here.


By the way, if you get the reference to "flicking" it, drop me a line.

Chattanooga Court: Judge Implements Behavior Modification, Reduces Copier Cost by 50%

If you are pitching MPS to the Chattanooga Court, the Judges have gotten you beat.

Assessment? We don't need no stinkin Assessment!

Judge Bales said,

"Our copier was breaking down once every six weeks before we restricted it to judges and our staff.

Since then our copier has not broken down in more than a year and we have reduced our maintenance and paper cost by more than 50%..."
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MPS can help you maintain HIPPA compliance:

"...We found one attorney xeroxing(ack!) 148 pages of medical reports that was not even related to any case in our court..."
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Don't forget how MPS can enhance your output security:

"We were able to restructure the offices of our staff this year securing our equipment and giving them a little more privacy and security."

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MPS reduces hard coffee costs and improves your ethical appearance, too:

"...Judge Moon said, "There are also major fiscal concerns as well as ethical concerns in closing access to our kitchen.

We have five judges and three staff members in our General Sessions Court. Only three of the eight drink coffee and yet we have previously had the highest coffee expense in Hamilton County for any office our size.

Our annual coffee bill was approximately $2,600 annually for only three people. After restricting our kitchen to judges and our staff and terminating a very expensive coffee service, the expenditure is now less than $500.

We have, therefore, saved taxpayers more than $2,100 annually..."

I am not making this up...here.

Self Promotion - Big DeathOfTheCopier Style...

I was asked early on by Ken Stewart, "Why do you write your blog?".

My answer was simple and honest, "Because I like to read what I write."

It was and still is the truth.

Since starting this little hobby, I have met great people, been published more than a dozen times, interviewed and quoted often, elected MPSA Secretary, queried about everything from SOW's to RFP's to MPS SLA's - indeed I seem to have a following.

Some call me an "expert" - believe me, I know the term is relative.

People say I am opinionated (DUUH), readers have challenged my views(always welcomed) and I hope I have ruffled my share of old-skool feathers.

Along this journey, I have met and commiserated with fellow bloggers - we, my group, my cadre of colleagues, have been at this "Internet thing" for just about the same amount of time. We are diverse, pertinacious and customer-centric.

Yup, even the guys who "aren't in sales".

Some readers at first, mistake this blog to be a tool to increase sales, bash Xerox, promote HP and poo poo differing views.

More typical, most get a kick out of dropping in, reading something about their industry and taking a chuckle with them. And that to me, is the best anyone can ask.

So, when recognition comes my way, I tend to tout. Why not?

There is a firm out here on the Left coast, Gap Intelligence, a marketing intelligence organization.

Jake writes their blog.

His latest entry starts with,

"...It is no secret that blogs have become a go-to source for topical news and entertainment in recent years. As both print and online media outlets struggle to monetize their products, the targeted insight provided by some blogs has changed the way that many people, including myself, find their news. Below is a review of my favorite industry blogs..."

Of course he mentions DOTC, but what's interesting to me is that 3 out of the 7 he likes, and one of the honorable mentions, are acquaintances. Some are part of my cadre.

So good company, indeed.

This is an excerpt from his post about DeathOfTheCopier,

”...opinions of writer Greg Walters can range from being a visionary to being dangerous. Regardless of the various opinions, Greg should at least be commended for finding so many pictures of women with copiers or women with fish (why fish?) to go with each and every post. He’s got to run out some day.

Plus he starts posts in ways that always crack me up. This one is classic:

“A couple weeks back, while off the grid, I had an epiphany of sorts.”

You can’t make that stuff up and I am sure he was serious. I’ve never spoken to Greg, but I can’t help reading that line in a Christopher Walken voice/cadence..."
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Well, Jake, my pic's HAVE indeed raised a few eyebrows. The source is limitless.

I have been compared to John the Baptist and called a Provocateur. Knowing how John found his end, I prefer the later.

The Fish Girls, some of the most popular Girls of DOTC, are window dressing for the Name the Fishie contest.

I give thought to the leads in my stories - the "epiphany" did happen, in the Sierra's, late at night, under the Milky Way, next to a fire, over a few Double Jacks, on the rocks.

Yes, there can always be more Cowbell.

And thank you, very much for mentioning this tome, this odyssey.

Also, I dedicate the above pic to you..."there's Gold in them-thar hills".

Ok, ok, you see, she's painted gold, like the Oscars and the Emmy's, get it?

Check out Jake's post here.

Gartner at the Print and Imaging Conference: Take Aways

"Companies are saying that managing print is one of the most effective ways to manage costs," - Frederico de Silva Leon, principal analyst at Gartner.

The Print and Imaging Conference was recently held here in LA and Gartner chimed in with some observations of the MPS Ecosystem.

Based on an article over at Channel Web, Gartner is illustrating information most of us have been living with for two years now.

For instance, Gartner reports,

"Customers are also looking for ways to improve their business processes. Up to half of a knowledge worker's time could be spent printing and looking for documents,...This is a an area where we could see significant improvements."

Huh, who woulda thunk...And welcome to the party!

Maybe I am a little, what's the word, jaded - but isn't this the third generation of "johnny come lately's"? Me being part of the second.

That's fine, the MPS boat has lots of room.

In a nutshell, according to the article, Gartner believes:

- Companies should move to a three year refresh rate on printers
- Employees could be spending up to 50% of their time printing documents
- It is better to purchase a color device if monthly volume is below 5,000
- Printing hardware cost is falling
- Color pricing is falling
- Purchasing color devices that emit 5,000 images a month could save $1,000.00 per year
- Less 11x17 and more A4 devices would be better
- Keep an eye out for "smart MFP's"

Additionally, another principal research ananlyst with Gartner defined MPS as,

"...as a series of steps for cutting print costs, including an assessment of a company's current fleet of devices and printing requirements, technology and processes to optimize the management of that fleet, break-fix and management services, management of the hardware and consumables, and training..."

- I guess we can finally put this little debate aside.

But why stop at defining MPS, why not endulge in creating, I mean describing, MPS best practices:

-Create a strong corporate governance environment
-Carefully manage the transition to managed print services
-Holistic management of the service

Huh, again, who woulda thunk...Yes, I am being very sarcastic.

To be serious, I only ask, "Hey Gartner, where ya been for the last two years? Getting wine'd and dine'd by all those Upper Right Quadrant dwellers?"

Gartner's Magical Quadrant and The Scales of Justice

On December 4, 2009, ZL Technologies filed an amended complaint against Gartner, Inc. in the United States District Court for the Northern District of California.

The Court granted ZL the opportunity to clarify and augment our earlier allegations of defamation and trade libel.

In the first round of ZL's legal dispute with Gartner, Gartner argued to the Court that its rankings and other statements in the proprietary Magic Quadrant Reports are merely opinions that are not based upon fact, and that they are understood as such by the readers of those reports.

However, Gartner's past statements in marketing materials, white papers, blogs and even the Magic Quadrant Reports themselves, assert that their research and analysts' opinions are based on a body of facts compiled through what is asserted to be a rigorous process.

The amended complaint clarifies ZL's contentions about the inaccuracy of Gartner's reports, the inherent conflict of interest arising out of Gartner's voluminous business with the vendors it reviews, and its subsequent bias towards large and established vendors. The amended complaint also adds new detail about Gartner's repeated claims that its research is based on objective facts a position exactly opposite to the stance forwarded by Gartner in court.

While this case is focused on ZL's dispute with Gartner over the erroneous statements in Gartner's publications, the issues here also implicate Gartner's larger business model.

Gartner plainly admits that it attempts to leverage value from its largest clients, many of whom are also vendors covered in the company's research.

ZL's legal filings describe how that business model causes Gartner to favor those large companies at the expense of identifying the best technologies, thus misleading not just the vendors who are inaccurately reviewed by Gartner, but the consumers who base their IT purchasing decisions on Gartner's biased research.

ZL is seeking injunctive relief as well as compensatory and punitive damages from Gartner.

The amended complaint can be found here:

http://www.zlti.com/courtdocs/docs/First_Amended_Complaint.pdf