Two Big Opportunities for Microsoft Partners

In the next few weeks there are two very important opportunities for Microsoft partners to participate with key executives in Redmond and get first hand information about the direction and strategy of the company. I encourage you to make this investment of time and join one or both of these events. It is not often that we can interact directly in this manner - so don't let it pass without your attention. Far too often partners complain they have no part in the discussion, or are not informed of what is happening. You can't use either excuse if you don't get involved and participate.

Microsoft Partner Network Interactive Leadership Forum

March 10, 2011 - 7:00-8:30 am Pacific Time

Presented By: Eric Ligman - Microsoft Director of Partner Experience

Jon Roskill - Corporate Vice-President, Worldwide Partner Group

Julie Bennani - General Manager, Microsoft Partner Network

Ross Brown - Vice-President, Worldwide Partner Sales

Karl Noakes - General Manager, Microsoft Partner Strategy & Programs

Join the Microsoft Worldwide Partner Group leadership team for an interactive partner forum webcast on the Microsoft Partner Network. During this session, we will be discussing topics, questions, concerns, misconceptions and more that we have heard from partners around the world regarding the Microsoft Partner Network to help address and answer these for you, the Microsoft partners. This session will also include an open forum Q&A session where you will be able to ask questions of the leadership team regarding the Microsoft Partner Network.
This session will be moderated by Eric Ligman.

A sample of some topics included:
• Small business focused partners in Microsoft Partner Network
• Which is right for you: Action Pack, silver competency, or gold competency?
• Microsoft Partner Network and market awareness
• Revenue requirements in Microsoft Partner Network
• Partners, cloud, and Microsoft Partner Network
• And more…

Register for the event here.

Join the Conference at this attendee URL:
• Toll-Free (Within US & Canada): (877) 505-6621
• Audio Pin: 7912


Session #2 - Meet the US Partner Team for HTG members only

We heard your feedback and wanted to introduce you to a few people at Microsoft who live and think about Microsoft partners each and every day.

Why? Because our relationship with our partners matters. We know that we can’t meet all of you individually, so we’re going to put technology to work and invite you to join us on a Meet the US Partner team held via Live Meeting on Monday, 4/4 from 2:00 -3:00 pm cst. We want you to know that we value the relationship we have with our partners and want to make sure you know who to contact and when. Some of the team members who are eager to meet you include:

• To Partner Communications Lead – Diane Golshan
• Microsoft Partner Network Lead – Sharon Collins
• Compete Lead – Alistair Cloke
• Incentives and Solutions Incentive Program (SIP) Lead – Hany Adeeb
• Partner Capacity Lead – Michael Pearson

And a few more of our key partner leads who care about the success of our partners.

Check with your Microsoft HTG Champ or watch the newsletter or portal for the live meeting logon information. I would be glad to send you the invite as well if you drop me an email.

Two great opportunities to connect with the people who make things happen at the largest vendor for most of us. Don't let this slip between your fingers! See you on the calls!!

A Great Opportunity to Expand Your Options to SMB Customers

I don’t normally write about specific technology products, but last week Microsoft released to manufacturing a great new product called Windows MultiPoint Server 2011. This product has been revved from the previous version and I think has a great application for those of us serving small businesses. The previous version was only designed for education users – but this version – while still designed with education in mind – has a significant play for us in SMB.

With Windows MultiPoint Server 2011, the licensing and purchase model has been simplified. There are still two versions as before, with similar restrictions:

• Windows MultiPoint 2011 Standard – still cannot join a domain and still has a max of 10 work stations
• Windows MultiPoint 2011 Premium – CAN join a domain as before and can have up to 20 workstations

The most important piece of information to note in the SMB space, is that BOTH of these MultiPoint editions are offered in multiple Microsoft licensing channels. So now you don’t have to be a large school to actually purchase the more useful edition of MultiPoint. And that is where our opportunity comes in.

Imagine going to your small business customer with this solution. You walk in the door and are told they don’t have any money to upgrade their network. Their equipment is 5-7 years old and you have been holding things together with baling wire for the last couple years. They have a dozen XP workstations and a server that has run out of space so it is eating you alive on your managed service program as you have to clean files weekly just to keep it up and running.

The way that conversation normally goes is trying to coax enough funds out of them to replace the server and maybe a critical workstation or two. With Windows MultiPoint 2011 Premium – we now have some real options to help these businesses refresh in a less expensive but very impactful way. We still need to get a new server to do the work – but rather than also have the battle over replacing workstations – we can extend their life with MultiPoint. They become end terminals that don’t need to be upgraded from XP to Win 7. That happens as a MultiPoint client.

But wait, there’s more. The 2011 version of Windows MultiPoint Server has support for thin clients. Here is where I think the big win for Small Business can occur. If you have 12 XP workstations, you can simply obtain 1 copy of MultiPoint Premium and now each of those XP workstations have another 5 years of life but yet, they get a full Windows 7 experience when used as a MultiPoint workstation over the network. And when they finally begin to die – you can replace them with thin client devices rather than buying a new PC. It all runs over the current Ethernet network you have in place. And the real deal – it runs in a virtual session on a Windows server too.

We have been testing Windows MultiPoint Server 2011 in one of our education clients for the past few months. Our engineer has four virtual servers running WMS 2011 and serving thin clients and older desktops and notebooks alike. It has great management features for the teacher or business owner – the ability to shadow users – block activity – really keep track of productivity on the network.

It is essentially a turnkey TS server on steroids. Just show the business owner the console where you can get a thumbnail of each individual workstation. Business owners will love that they can now watch their employees desktops for use of Facebook or selling something on EBay, or other non-productive time wasting tasks on work time.

You owe it to your customers to take a serious look at Windows MultiPoint Server 2011. Combined with the new SBS product line – this will be a killer opportunity for us in the SMB space to refresh our clients to a level of productivity where they can use all the current technology without having to battle with them to buy all new hardware. It is a win for all of us in the mix. Check it out, and let me know what creative ways you come up with to deliver this technology to the marketplace!

Here are some resources for those of you interested in more:

1. The main website just went live today with WMS 2011 content. http://www.microsoft.com/multipoint
2. WMS 2011 Premium Eval is on the download center. This is a 180 day eval. It can convert to full product by entering a key. http://www.microsoft.com/downloads/en/details.aspx?FamilyID=3188a587-3542-4dda-99b3-551cdabe581f
3. WMS 2011 Premium full product is also on technet for technet subscribers. https://technet.microsoft.com/en-us/subscriptions/securedownloads/default.aspx?PV=42%3a433%3a---%3aen%3ax64
4. And it’s also on MSDN for MSDN subscribers. https://msdn.microsoft.com/en-us/subscriptions/securedownloads/default.aspx?PV=42:433:---:en:x64

Some Misconceptions about Microsoft's MPN

As we approach the new year - there are a number of things on the plate for all of us. We need to close 2010 and finish the current year strong. We need to plan and put on paper our goals for 2011 - to have SMART goals that can be measured and watched over time so we can be accountable to execute them consistently and completely. We need to celebrate our blessings and be grateful for all the good things we have experienced. A new year is a time of new opportunity.

Unfortunately I have been watching with some amazement the reaction, or lack there of, to the new Microsoft MPN partner program. I wrote about this back in August and encouraged partners to begin planning and putting their strategy in place. It seems many have ignored or failed to take any action, and now as we move into the key season of partner renewals, there is panic and frustration that partners are not ready for the transition. This program has definitely raised the bar - but that is not news either. In fact, it has been the plan and came at the request of partners from around the world. This has been in planning stages for some time, and was covered in my blog post back in April as well as dozens of communications from Redmond as well.

The landscape has changed and it is time for true Microsoft partners to jump on board and embrace MPN. Diane Golshan wrote a great blog post last week addressing some of the key misconceptions. Putting things off is not the right answer. Just living under the grandfathering of benefits is not the same thing as embracing the program and putting your strategic plan in place and becoming fully engaged with MPN. Take a read of Diane's post - check out some of Eric Ligman's posts as well. This transition is a change - none of us like change - but it is the future and we need to get on board - embrace it and take advantage of the differentiation that all of us desire. Don't miss the boat on this important opportunity. Spend some time - leverage the resources available - and put your company in a place that will be different than most of your competitors who are just sitting back and waiting. We don't see a lot of chances like this in the channel to really be different. My advice is to get after it and do it quickly.

The Microsoft Partner Network

The amount of discussion around the new MPN is increasing, and the information available to help explain it seems to have settled out, so I am going to take a little time to address the coming changes. There are a series of common questions and whines that seem to be consistent, so I'll share my take on what is to come from what I believe to be true.

The first question regards when the new MPN takes effect. October is the launch of the program broadly, although some aspects have been slowly intergrated into the current program over the last months. But October is the official date, so that is when things kick into gear. I have had lots of questions and confusion around why we continue to get the report cards monthly with points listed on them. These are informational and are important for companies whose renewals are happening prior to October. The information is valid under the current program, but will go away once we reach the October launch. No more points. Note: your renewal date will actually be the transition date from the old program to the new. Everyone does not make the switch on October 1, but as your renewal date comes you will be moved to MPN.

A very common discussion is around the gold level. The new gold in MPN is not equivalent to the current gold in the program today. My perspective is this, and my disclaimer is that this is my opinion only so take it for what it is worth. I think the current gold level becomes roughly equivalent to the silver certified level in the new program. Gold in the new MPN (formerly called advanced competencies) is a level that is not available today. But it is very much like becoming gold in the current program was some years back. It is designed to be a differentiator, and it is designed to be difficult, and it is designed to keep most partners from being at the new gold level. It is supposed to be hard to achieve. Just because you are gold today you SHOULD NOT expect to be gold at your next renewal. They are not equivalent levels. So many partners are voicing displeasure (whining in my vernacular) about the fact that they can't or at least are not planning to make the investment required to remain gold under the new program.

Here is the reality. If being gold in the new MPN is important to you - it really is not unattainable. It takes 4 engineers and some sales to achieve it. That allows you to be at the highest certification level that Microsoft offers a partner. I don't think that is too much to expect. Some will say "easy for you to say since you have so many employees". The hard truth and reality is that a company with less than 4 people cannot expect to be equal to a company with 75, nor can we at 75 expect to be equal to companies with hundreds or thousands of engineers. All IT companies are not equal. Microsoft has taken a good shot at making differentiation possible. I would never say that we have the same level of expertise that our larger competitors have. We are not as deep, don't have as many resources, etc etc. I know it is a hard pill to swallow but we at HTS will move from a half dozen competencies to one or two in this program. It is a reality that change is coming. And that is the design.

Change happens. It always has, and it always will. The speed of change continues to increase so that means we have a few choices to make:

• Resist it, fight it, refuse to participate
• Grumble about it, drag our feet, grudgingly move toward it
• Embrace it, support it, lead others through it

Which of those describes your approach to change? The train has left the station so I encourage you to embrace it and figure out where you will fit into the new MPN. There are some resources available to you:

You can create a customized transition plan to the Microsoft Partner Network by calling the Microsoft Partner Network Experts at 1-877-254-6825. You can work with an MPN Expert to develop a customized transition plan to help you understand your current partner status and identify what actions your organization will need to take to meet your membership goals under the Microsoft Partner Network:

• Your organization’s status toward achieving new silver or gold competencies based on the competencies you have currently achieved
  – Microsoft Certified Professionals (MCPs)
  – Exam requirements for those MCPs
  – Training and Assessments
• Licensing Assessment
• Sales & Marketing Assessment
• References
  
  If you prefer to work on it yourself, the new transition tool is now available. You can find it here. Eric Ligman wrote a great blog post to lead you through using it that can be found here. Lots of resources to begin the process. But the message is to get started now. It will require some tests to be passed and some planning to be done in most cases. Don't sit back and wait. Find out where you are today, and then you will know what your options are and what needs to be done to move to the place in MPN you desire to be.
  
  There is another piece of great news from Microsoft that you should be aware of. This week the US SBSC team has made $500 available to their partners. Microsoft Small Business Specialists (SBSCs) have access to rebate funds reserved exclusively for them! SBSCs are eligible to receive up to $500 back on marketing investments.

Funds are available for you to drive demand generation efforts through Ready-to-Go Marketing (includes Events, Campaigns, and various Marketing Services). We want to help you to grow your business.

Don't wait: These funds exclusive to SBSCs are valid until December 31, 2010 or until supplies last. More information is available here. To get your reimbursement, submit your invoice at www.mspartnerdirect.com/rebate. Your special promotional code is: 'SBSC500H1'.

Get started today. Spend the marketing money. Use the online tool. Call the toll free help line. Just start the process and work toward your goal. Planning makes this happen. Remember that vision without execution is hallucination. And if you don't think it is worth the effort - that is your choice - just remember who made it. Don't complain about Microsoft if you choose not to participate in the new MPN. That is something you will decide, not them!

WPC Day One

I am in Washington DC to attend the most important vendor event of the year - Microsoft's WPC. The attendance is touted at 14,000, and there certainly are a lot of folks here. Not bad considering the registration fee was $1795 for the four day event plus hotel and travel. For many, who come overseas for the week, this is a pricey event to attend. But it is worth every penny from my perspective. There is no other event one can attend where you can get access to as many people in one spot with a very well designed way to connect - called ironically WPC Connect. A decent web portal to create appointments and hundreds of tables that are assigned to enable people to connect the old fashioned way - communication between four eyes. In this day of social media, email, and cell phones - talking to one another face to face is sort of a treat. And the way I spend my week here is taking advantage of that very opportunity - making as many face to face, eyeball to eyeball, connections as I can fit in.

I have to admit I skip the keynote addresses - they are recorded and available online. Plus the bloggers, tweeters, and media do a great job letting me know what was said. I have gotten over the need to sit with 10,000 of my closest friends to watch demos and hear execs give a glimpse of the future. It is valuable information - I certainly don't ignore it - but from a time use perspective - I am going to use the time to be face to face with people.

Today's key messages can be defined in one word: CLOUD. Microsoft has been talking about the cloud for at least three or four years. It is coming, it is real, and I certainly don't believe we should stick our heads in the sand and pretend it doesn't exist. It does and it will impact how we do business. Ballmer is quoted as saying: "We’ve been shouting about cloud for about four years but 2010 is the year when the opportunity and transition to the cloud is absolutely clear." The message has been coming for some time. Had we moved four years ago we would be doing something differently for a living right now. I agree it is slowly progressing. But it is still a very immature technology in terms of how it fits in a VAR business model.

My major question is how a partner who still makes a significant amount of margin from implementation of solutions including hardware and software sales can make the transition. I am yet to see how we can take our 16M business - about half of the margin coming from selling hardware, and half from managed and project services - and generate that on 6% BPOS margins. Do you know how many $10 per user sales at 6% margin it takes to generate the replacement margin to keep our company in business? It is millions of users. Sure in three years we are all good. I can do the math and see that there is a point at which the cloud model actually becomes more profitable. But how do I make payroll for the three year transiton? Do I just stop doing payroll while we make the change? When I checked last with my staff if they love coming to work enough to come if I stop paying them - the answer was no.

Any time there is a disruptive technology it creates opportunity. That has been the case the dozens of times we have re-engineered our companies as VAR's over the past few decades. And it has been the history of our industry - we will again find a way to make the transition and stay relevant and in business. But it isn't going to be a shift from our current state to a new world of cloud overnight. There are lots of reasons that doesn't even work technologically, let alone financially. So the hype is a bit over the top. VAR's own the last mile of the customer relationship. VAR's will decide when the transition to cloud occurs in the SMB. The real need to move this along is to create transition models that enable VAR's to create business models that enable that transition. New technical skills, a need to become sales organizations, marketing and pipeline growth, and many other areas have to be addressed for us to make that change.

So thanks for continuing to push us along Microsoft. We are moving, not at your speed probably, but the more you help us figure out how to transition successfully, the faster we will embrace the model and make cloud the thing 2o1o is remembered for.

Can't Miss Events for 2010

We are just about a month from the Microsoft Worldwide Partner Conference, and I thought it would be a good time to remind you why events like this are so important to us as partners. I wrote an original post on this topic in 2009, and have updated my thinking here based on my focused role as CEO now. There are only a few events on my “cannot miss” list any more:
1. Quarterly HTG meetings
2. ConnectWise Partner Summit
3. Microsoft Worldwide Partner Conference
4. CompTIA Breakaway

Certainly there are a number of other quality events that occur in the channel each year, but to be honest, if I don’t pick and choose I will be attending an event or two every week. And as my role has matured, it has become more important to select the events that will make the largest impact on our company from my seat as CEO. There is a real cost, and a significant opportunity cost to be out of the office, on the road attending events. So why are these my picks and what has changed?

First, let’s talk about roles and how that should impact the events we attend. From my perspective – there is a vast difference between the role of CEO and President/GM. I am finally figuring that out. The CEO role should be heavily focused outside the company – on relationships and industry – externally looking. The President or GM is more internally focused and responsible for the day to day management. CEO’s are strategic while President’s are responsible. Those differences should drive the types of events we attend. Another role we have within companies as they grow is managers. These are the folks who carry out the tasks and make sure the work gets done. They own execution and need to be in the weeds figuring out how to make it happen. As a CEO I stay out of the weeds as much as I can. That is not where I belong.

That said I realize that maybe as many as 90% of the people reading this post don’t have the model of CEO and President as roles split between different people. I know that the singled-bodied CEO/President/GM has to serve many masters. As we celebrate our 25th anniversary at HTS, we have finally moved to a place where we have a different person responsible for strategy vs. operations. I remember all too well how it was when I went to events as the lone leader with strategic and operational focus. So understand – my focus is now from the seat of strategy – that of a CEO.

I have really not spent any time attending operational meetings for a while now. It didn’t fit my job role even as President. That is where we need to start as we determine how to make investments in meeting attendance. I may be unpopular with some because of these views. Everyone wants to attend every meeting. Every meeting sponsor wants you at their event. But it just doesn’t make sense to do them all. So what will I be doing for the balance of 2010?

HTG quarterly meetings are the backbone of my community involvement. At those meetings each quarter I get updated on our business. Connie now owns the responsibility to prepare and present as President but I try to sit in and check out the benchmarking numbers that show how we did relative to the group we participate in, HTG as a whole, and the industry. This also gives me a big batch of fresh ideas to evaluate, as well as a quick pulse on the industry and marketplace which is becoming increasingly important for my role of strategic leader. I also am able to bounce ideas off the best and brightest about pending business model hurdles and required changes – like the cloud – a sort of think tank environment to help solidify thoughts and directions because of deep relationships and an environment that is tailored for those kinds of activities. The days spent at HTG are the best investment I can make in terms of working on my business from a strategic vantage point.

One of the new wrinkles for HTG this year has been the CEO Forum where a handful of companies are gathering every 6 months to focus solely on strategy and the role of CEO. Our next meeting is next week in Denver – and we will be diving deep in to strategic planning and preparation for the next big thing in our industry. I find the chance to sit in a room with 18 brilliant other CEO’s as stimulating and valuable as it gets.

Since ConnectWise is the platform we run our business on, attending their partner summit is a no brainer. There is no one single thing that can impact my business as deeply and quickly as tweaks made to the PSA tool we use. So attending their event, rubbing shoulders with the other users there, and learning how to get the most from that product is a great investment of time. But realize that my time is spent primarily in advisory council, presentation, vendor meetings, press and other modes – while we have other members of the HTS team there focusing on the actual utilization of the product. ConnectWise is the operating system of our business, and I need to be close to all aspects of that eco system to assure success in our business. We need to have a strategic relationship with the company on as many levels as possible as no other part of our infrastructure has the impact that ConnectWise has.

Microsoft WPC – the next large scale event I will attend – is all about building relationships broadly across a large organization. It would take weeks of time on campus in Redmond and airplanes flying back and forth across the country to be able to see and meet with the number of people I am able to connect with during 4 days at WPC. There is no other gathering where I can get access to the quantity of a vendor’s staff that Microsoft provides at WPC. Mornings allow access to executive keynotes that provide a roadmap for the future. Afternoons are filled with breakouts, but sprinkled in all of the open spots are one on one’s and small meetings with program managers, product folks, field team and a variety of others from Microsoft. If you just attend WPC for the content delivered from main stage and breakouts, it is a good value. But if you really take advantage of the time to connect with people, it is an unbelievable opportunity to build relationships with key people across that organization that can be fantastic resources for you to leverage and work with to grow your company.

CompTIA is a new focal point for me as I sit in the the role of CEO. CompTIA provides a lot of great content, but the reason I feel strongly the need to connect is all the things they focus on in an advocacy role for our industry. They are working in politics and thought leadership and will be a significant force in defining what the IT industry looks like. I want to be involved and part of that process. I see it as a significant part of strategy.

HP and SonicWALL are also key partners for HTS and thus on my list of must attend events except when they either don’t hold them or lay them over other events that are more strategic. This year SonicWALL has not held an event, and HP held theirs right on top of the HTG Summit so I skipped it in lieu of what I felt was far more important. That is happening more all the time which forces us to make choices and the need to change how we spend our time. And that is really the message of this blog – you have to really think about what you are going to invest your time in and not just attend an event because it is offered.

Distribution affinity groups like VTN are bubble meetings for me as a CEO, but must attend for those in the day to day roles within a company. I attended VTN for many years, but now have passed that torch to my management team in most cases today.

So the real question is – which events are on your “must attend” list? Mine has changed over the years as my company has grown and my role has changed. My advice is to take a hard look at what your job really entails for your company and then be sure to send the right people to the right events to get the information first hand they need to achieve their job success. Sometimes, often in fact, that is not likely you. I realize it is hard for many to send an employee to a conference or training. Who will monitor them and make sure they are actually doing what they are supposed to? How can I be sure they won’t sleep in or make the company look bad? You can’t know, but if you hired the right people that is not an issue.

The New Microsoft Partner Program (MPN)

While there is some buzz of discontentment about the new MPN program, I applaud the moves that Microsoft is making to revamp their partner program and create some differentiation once again among their channel partners. Under the current model – there are far too many gold certified partners, and it has become impossible to create any differentiation. The new model creates three levels with very different requirements that definitely not all partners will be able to achieve. SBSC was on the chopping block for a while, and through the determined support of some inside the walls at Microsoft, and a number of us as partners, it has survived and will play a vital role in providing community for all partners serving SMB that want to be part of it going forward. That is very good for the partner community as it gives all a place to fit in the new model.

The Small Business and Midmarket Solution Provider competencies allow differentiation one step up – and will fit many serving the SMB marketplace. The stakes are a bit higher but the benefits of having two different places to fit are very good. When you add the Advanced Competencies for these two areas, you really begin to differentiate the channel. Purely the required number of staff to even qualify here is one major separation point. And the levels these folks need to achieve is significantly higher than the old gold certified requirements. Throw in some of the other requirements and you have a level that is once again a challenge to achieve. I personally have lobbied for this for some time now – to allow companies that have some scale and have made significant investments in their team to be able to differentiate in the SMB channel. This level is not designed to fit all – only a small minority will be able to achieve this level. But that is not a turning away from the SMB – it is a matter of Microsoft listening to partners and creating a tiered partner program that allows companies to make investments and commitments to set themselves apart in the chosen areas they want to focus.

IMHO – Microsoft is showing a real commitment to the SMB partner by adding these two areas as full fledged competencies. After all, previously we only had SBSC to serve as the SMB banner and it wasn’t a real level – sort of some hybrid less than full certification. Now we are finally seeing the SMB treated just like the enterprise competencies with the same kinds of requirements and ultimately the same ability to market and focus on specific targets we want to build practices around. Requiring current version tests to qualify is just another of the very good decisions that have been made in rolling out MPN.

I believe Microsoft has done their job well and thought through the needs of the channel – from small partners who still have their home in the SBSC – to larger partners who can now build a practice and leverage their huge staff investment and be able to differentiate themselves from others in the channel. Some will feel it is unfair because they can’t get to the top level after being gold certified under the current program. I don’t think that is a ratcheting down of focus – I see it as a very positive ratcheting up of creating a partner program that will get larger partners more interested in being part of the SMB and Midmarket competencies again. Tiering of partners is critical to make any program of value. I applaud Microsoft for making it happen with this MPN plan.

If there is a downside - it is the delay in making the requirements known and creating the gap analysis tools that most every partner will need to use to determine their best fit in the new MPN. It is nothing like the current program where resources apply broadly across many competencies. In the new world, we need to map our staff to specific tracks and testing so we can get the most bang for the literal buck as the cost to participate has gone up. With these things kicking in fairly soon - partners need time to put their strategy together and get their team trained and tested. Every day the guidance is not available makes it more difficult for companies desiring the Advanced Competencies to achieve those. I hope there is some major haste made to get the tools in place to guide us to success. Otherwise the hard work and value will be pushed off as partners try and figure out what to do.

Many vendors are moving the opposite way - trying to add more partners and create a bigger pool. In HTG, we are taking a similar approach - focusing on depth and differentiation rather than breadth and the same old stuff. Great job Microsoft for making this move to the next generation. It fits right along with the other major shifts we will have to make addressing the reality of the Cloud.

Microsoft Worldwide Partner Conference Awards

Have you delivered innovative customer solutions built on Microsoft technologies? Submit your company’s nomination for the annual Microsoft Worldwide Partner Conference 2010 Awards program today! http://www.digitalwpc.com/awards Deadline is April 2.

Why not tell the world about the great things you are doing with Microsoft technologies in serving your client's needs. Not only can you submit an application for these awards, you can also create a case study around your nomination and use it for marketing to your current and prospective clients.

Every partner has delivered value that is worth writing about. Far too many never tell a soul, and miss one of the greatest tools you have in your arsenal, customer success stories. Take some time and apply for these awards and then repurpose your efforts and create a valuable marketing resource you can use for your clients.

Don't wait - do it today. Time goes quickly. http://digitalwpc.com/awards

The Next Three Years For HTG

I was blessed to spend a couple days this week with the HTG team and advisory council in a strategic planning session in Phoenix. Our mission was to step back and take another look at our course and make sure we were on track. It was a great exercise as we turned over every aspect of the HTG program and took a look at where we were, and more importantly, where we were going to be in 3 years.

After all, we continually press our members to do strategic planning. That has to drive every part of our businesses. It comes down to answering the "why" question. Why do we do what we do? What is the driving force - the end game - the desired outcome? Far too many businesses and organizations go through their lifecycle without ever really knowing why. They get up, go to work, take on risk, hire people, go through the motions day after day without ever really answering the question of "why". That is not the case for HTG.

HTG has a very clear answer to that question. It is the same answer we have had for a number of years: "HTG exists to help our members experience business and personal growth driven by execution". That is our mantra - our ONE GOAL - our castle on the hill. We will have succeeded if we are able to get ALL our members into a continual cycle of growth that aligns with their plans. That growth happens in many ways, at different speeds, across many different facets of our members. But the key is to identify where you want to go, to pursue it with passion, and to reach that goal only to set the next one that will define how you live and lead for the next period of time.

HTG identifies the need for that growth to happen in four areas: business, leadership, life and legacy. That is why our FOUR PLANS will continue to be central to helping us achieve our mission. We are not content to help members drive EBITDA alone. We want people to not only succeed in business, but to also have success in their relationships, in their personal lives, and in creating the future impact of their life driven by their legacy. This differentiates us from most other peer programs who focus on driving bottom line income. We don't ignore that need - it is primary in our mission - but to have a fantastic business without a balance - to lose the important relationships in life because of a single focus - well to us that does not define success and certainly will not produce happiness. Without life/work balance the money really is unfulfillng over time.

HTG will continue to drive our groups and members to leverage their peer relationships. The most important part of HTG is the peer group meetings each quarter. The QBR format (quarterly board review) with deep feedback from fellow peers is key to helping our members really grow. It is that accountability that keeps every member on course. We all face plateaus in our growth process. It is a lifecycle when running a successful business and to be able to lay it on the table and allow others to provide their guidance and share their wisdom is very valuable in driving growth. Benchmarking our financials through our partnership with Service Leadership, and building deep profiles and scorecards will take us to the next level in our reporting and feedback focus.

HTG will work more strategically with vendors and our distribution partner (Ingram Micro) to drive business and member success. We have had some great progress with a few of our vendor partners - notably ConnectWise, IBM, Microsoft, SonicWALL and HP - and we will be focusing on finding ways to work hand in hand to build methods to drive business for all. The good news about this environment is that it is very much a shared goal and in everyone's interest to drive more business. This becomes critical as we begin to deal with the transition that cloud computing will bring to our industry. We need deep partnerships and the ability to leverage the intelligence, data and direction of those who define what our industry becomes. Our partnership with Ingram Micro and CompTIA will be a key part of guiding us through the transition ahead.

There are many more details that will be shared in Dallas in April at our HTGALL lunch on Monday, and in the peer group meetings that will happen that week. But the reality is that our direction remains the same. We have more clarity about the details than ever before, and we will review those as we lay the plan out for our members in Dallas. HTG will remain focused on one thing: business and personal growth driven by execution. We are about helping our members go from good to great - to removing the roadblocks to their growth - and providing an environment through our program that allows us to build the premier set of business leaders in this industry. We are well on our way. Our pursuit of that goal will continue and our team is passionate about getting us there. As Edison said, "Vision without execution is hallucination". We are not hallucinating - we are on course and heading for the end zone. We are looking for a few good partners who want to join the journey. Only those with a passion to grow need apply. http://www.htgpeergroups.com/ for the application.

Beyond Facebook - Where the rubber hits the road with Social Media

IT Professional turned Social Media and Online Marketing consultant, Stuart Crawford is hosting a special Microsoft 5W25 seminar on Feb 24th at Noon Eastern/9 AM Pacific. Register today at http://www.mssmallbiz.com/training/.

Stuart promises this to be an action filed 60 minute webinar and will not be a "death by PowerPoint" type of webinar. He promises to get down and dirty about why many of us in the IT industry need to start looking seriously at the role social media plays in our overall communications strategy. Yes, that is right, once just thought as a marketing activity, online services is now critical to our overall corporate communications. How we communicate with clients, prospects, the community and even our staff.

Check it out on Feb 24th.

Do You Have a Newsletter?

Microsoft currently has two sources of funds for select partners to spend on RTG (Ready to Go campaign) Marketing Services:

For “Managed Partners” only ( i.e. those who have a Partner Account Manager or Tele-Partner Account Manager)
$1,000 rebate offer, expires March 31, 2010
Promotion code: 2010
Please note terms and conditions page at: www.mspartnerdirect.com/2010

For Small Business Specialists (SBSC) Partners only ( i.e. those who have the Microsoft SBSC Certification )
$1,000 rebate offer, expires March 31, 2010
Promotion code: SBSC
Please note terms and conditions page at: www.mspartnerdirect.com/sbsc

HTS' popular e-newsletter service is one of the options for partners to use these funds toward. There are rules - see the links to the t's and c's - but it is really very painless to participate and get your newsletter service under way. Feel free to call Mary Petersen at our Harlan Office - 712-744-3619 - and ask any questions you may have. To get details on the Microsoft partner portal about the e-newsletter service - go here.

Do You Have Your Plans Ready?

I will be hosting a live meeting on March 24th for Microsoft as part of the 5W50 series on the four plans that we use in HTG to provide a well rounded look at life and business. The plans we will discuss are:

- Business plan
- Leadership plan
- Life plan
- Legacy plan

The event is code WES36PAL and it will be held at 9:00 AM Pacific that day. Register at www.mssmallbiz.com/training. The session is titled Four Plans That Can Change Everything and that is exactly the potential outcome from the session. If you learn to use these plans, you can change the result of your life and business. Without planning, you leave things up to chance and quite honestly have far less opportunity to achieve your dreams or succeed. Invest an hour and join me for this webcast. To register go to www.mssmallbiz.com/training and select the appropriate session. There are many other great sessions available as well. Hope to meet with you online that day!

Microsoft Offers That Are Too Good To Be True

Get a FREE Microsoft Office 2010 "Launch-in-a-Box" Kit!
This spring, Microsoft is releasing the next version of the Microsoft Office suites. Get in on the excitement! The Office 2010 Sneak Peek campaign is here to help you give your customers and prospects a special preview of the upcoming release. Be one of the first 500 partners to host an event using MicrosoftPartnerEvents between January 25 and June 1, 2010, to win a Launch-in-a-box gift. You can show the attendees all the exciting new features, tricks, and cost savings they can have with Office 2010. For complete terms and conditions, click here.
The kit includes:
• One Office 2010 2x8-foot banner
• 30 Office 2010 notebooks
• 30 Office 2010 logo pens
• 30 Office 2010 T-shirts
• 30 Office 2010 product datasheets
• 30 event evaluation forms

Windows 7 Event Marketing Campaign
The Local Engagement Team can help you drive attendance through local partnerships, and support your event with giveaways. Contact your Local Engagement BDM with the details of your event.

Microsoft Webcasts To Explain eOpen and MVLS Migration

Microsoft® recently migrated eOpen and MVLS to the new Volume Licensing Service Center website (VLSC) in order to provide a convenient, online solution for customers and partners to easily manage their licensing agreements and Microsoft products. As a result of the initial upgrade, a number of Partners experienced some access and usability issues. We know this has been both inconvenient and frustrating in some cases and we appreciate your patience and assistance during this transition.

To address many of the common questions and provide a review of the new features and procedures of the site, Microsoft’s VLSC team is providing an in-depth training, including tips and tricks, on how to access and navigate the VLSC site so you can more easily access and manage the information you need to provide the best experience for your clients.
Topics will include:
• VLSC registration and site navigation
• How to request or acquire site permissions
• Self-service tools
• Proper support paths if you experience issues

A Question and Answer session will be held at the end of the Live Meeting session.

This event should not only provide you with a better understanding of how to accomplish the licensing management tasks you need to do, but will also provide a better understanding of how the VLSC enhancements can improve the licensing experience for you and your customers moving forward.

There will be three Live Meeting sessions occurring Feb 3rd at 8:30am, 1:00pm and 6:30PM Pacific Standard Time. Event registration information is included below. You will only need to attend one event; please choose the one most convenient for you.
For additional resources please visit the VLSC site on the Microsoft Partner Network.

Partners who are registered with the Partner Learning Center may register here.

If you are not registered with the Partner Learning Center or do not wish to register for the event, please Join the Webcast by clicking the link below:

8:30 a.m. Pacific Time Session:
• Webcast Link
• Passcode: S'`2{C_[c
• Telephony: 1-(866) 294-0201 or 1-503-295-8000 (International)
• Pin: 7086

1:00 p.m. Pacific Time Session:
• Webcast Link• Passcode: 4s%x'{Sq8
• Telephony: 1-(866) 668-7265 or 1-503-295-8000 (International)
• Pin: 9062

6:30 p.m. Pacific Time Session:
• Webcast Link
• Passcode: p6S;>s#)g
• Telephony: 1-(866) 556-5724 or 1-503-295-8000 (International)
• Pin: 1469

Are You Part of Microsoft's SBSC Program - You Need to Be!

Microsoft had brought back an almost unbelievable offer for SBSC members. $1000 dollars to use for marketing that is simple to access and take advantage of. And you can use it for the HTS e-newsletter service as well as well as a number of other options. I wrote about that here last year when the funds were available.

Microsoft Small Business Specialists (SBSCs) have access to rebate funds reserved for them and the timeline has been extended! SBSCs are eligible to receive up to $1,000 back on their marketing investments. Those funds are available for you to drive demand generation efforts through Ready-to-Go Marketing (includes Events, Campaigns, and various Marketing Services). We want to make it easy for you to grow your business.

Don't wait: Those funds exclusive to SBSCs are valid until March 31, 2010 or until supplies last.* To get your reimbursement, submit your invoice at www.mspartnerdirect.com/rebate. Your special promotional code is: 'SBSC' (This CANNOT be used in conjunction with the 'LAUNCH' promotion code).

Here's how to get started:
1. Find a Ready-to-Go Marketing Service that's right for you here.

2. Once you've received the invoice for the service, submit the rebate request here.

3. You'll receive your rebate check in the mail within 4-6 weeks!

If you have any questions, please feel free to contact the Ready-to-Go Marketing Help Desk:

Send an e-mail to a team member at rtgmktg@microsoft.com, or call toll-free at
(866) 441-0237.

If you are not an SBSC member, I have just 3 questions for you today:
• Do you sell to small and medium-sized businesses (SMBs)?
• Do you provide your SMB customers with Microsoft technologies and related services?
• Do you want to differentiate yourself in your marketplace?

If you answered Yes, have you considered joining the Microsoft Small Business Specialist Community, a group of 6,500 trusted technology advisors focused on selling to Small Business customers. Benefits of joining include access to exclusive marketing dollars, recognition from displaying the SBSC logo, support from an Online Technical Community, and increased exposure to partners and customers through the Microsoft Partner Finder and Solution Finder.

As an SBSC Advisory Council member, let me tell you why I am part of this Community.

The Microsoft SBSC program has been valuable in helping us differentiate our company in the markets we serve. We not only get a designation that sets us apart, but we also gain access to marketing and sales tools that help us drive business and reach out to prospects and customers. The SBSC program has been a valuable part of growing our business and our relationship with Microsoft.

You too can become a Small Business Specialist in just 2 easy steps, as an Action Pack Subscriber:
1. Take a Small Business Sales and Marketing Skills Assessment

2. Pass one of five technical exams

Currently, Microsoft is offering a 100 percent off voucher applicable to exams
70-653: TS: Windows Small Business Server 2008, Configuring and
70-654: TS: Windows Essential Business Server 2008, Configuring.

Alternatively, we are offering a 50 percent off exam voucher to complete the other three exams.
Join the Community Button

Call 877-254-6825 or send a message to msppexp@microsoft.com to pick up your voucher, and an expert agent will guide you through the sign-up process.

Please don't hesitate to send me an e-mail message so I can help answer any questions you may have on the value that the Small Business Specialist designation adds to my business.

Are You Using Assessments to Drive Sales?

Tomorrow - Wednesday January 13th - at 10AM central join me along with
Derek Kuhr, Lead Engineer of HTS, and Danielle Aronstam, Core Infrastructure Partner Marketing Manager to learn more about the FREE tools available to Microsoft Partners to help assess customer needs and find them the right server solution. You can register here.

Do you know how partners are using sales tools to deliver deal close rates of almost 70%? There are a wide range of Server, Virtualization, Management, Hosted Services products available to meet the needs of all your customers’ – regardless of their shape or size! Ensure you are recommending the right Server Solution to your customer and become their trusted business advisor. Join this webcast to learn how to assess customer needs and utilize the Business and Technology Assessment Toolkit (BTAT) and the Recommend the Right Server Solutions Tool (RRSS) to help you target the right products for each individual scenario. If you are not already using an assessment process to build strong relationships with your customers, you are leaving business on the table.

We have just updated these tools and will give you a sneak peak at what is new and all the opportunities that assessments will give you to drive business in 2010. Hope to see you online!

Microsoft Opportunities Too Good to Pass Up - Must Act Now

Opportunity #1

Microsoft Community Connections?

Microsoft Community Connections is a national project designed to bring awareness and adoption of the Windows 7 product through Local Business Community Organizations (Chamber of Commerce, rotaries, associations, diversity groups, etc. ).

What does the Local Business Community Organizations get?
- 2 free copies of WIN 7 for Local Business Community Organizations
- $150 Microsoft partner (VAR) services implementation voucher (Microsoft partner to be selected by the Local Business Community Organizations)

What does the Local Business Community Organizations give in return?

- Local Business Community Organizations holds a Windows7 live event (lunch/learn) promoting Win7
- Local Business Community Organizations selects a local Microsoft partner to present Win7 content and invites additional Microsoft partner members to be onsite to interact with the attendees as table hosts
- Microsoft provides $125 in event funding to the Local Business Community Organization
- Attendees receive a $150 VAR services rebate voucher for the implementation of Win7 by a local VAR, redeemable upon the purchase of Window 7 via Volume Licensing (minimum 5 seats). The coupon is intended to offset some of the cost of the installation.

Call to Action = Have your Local Chamber register here!


There is a sense of urgency – as the program is nearing capacity.


Opportunity #2


HTG Flex Funds


This is an HTG only opportunity to get $500 for marketing, sales or demand generation activity of choice. As a member of HTG, Microsoft has created an exclusive opportunity called Microsoft Flex Funds. You have the opportunity to apply for $500 from the Microsoft Flex Funds program when you participate in one of the focus campaigns. Spend your funds on any marketing or sales activities of your choice you like, and then report your results to Microsoft! Click here to request more information.


Opportunity #3


Big Easy 3


Big Easy promotion ends 12-31-09. If you have licensing deals that are close to closing - take advantage of things now. Check details at the website here.


Opportunity #4


HTS Newsletter Service


If you are a Microsoft Partner, you can save $500 on our newsletter services!! We’ve been listed on the Microsoft Ready-to-Go portal as one of the choices that you can use for the $500 LAUNCH rebate. If you are already a subscriber, all you need to do is CLICK HERE and have a copy of your invoice (no more than 30 days old). The promotion code that must be included is LAUNCH and the Service Provider is Heartland Technology Solutions.


If you are not a subscriber and want to get set up so you can take advantage of this code, you have to move quickly. The HTS team will work with you to assure you have an invoice and can take advantage of this $500 offer. HTS just got added as a vendor for this promotion and the deadline is December 31, 2009. Sorry for the late notice on this but it is a great opportunity to get a free quarter of newsletters – on Microsoft!

Opportunity #5 and #6

Frontline and SBSC funds

I wrote about these a month or so ago and you can check the details here if you haven't already taken advantage of these two programs.

Lots of opportunity. Some are time sensitive so you need to act now. Don't miss the boat before it sails!

Will the Real Partners Please Stand Up?

I wrote a blog post about a year ago when partners were going crazy around a mistake SonicWALL made (http://peerpower.blogspot.com/2008/12/when-things-dont-go-as-planned.html) that caused some pain for folks when their units were not updating and working properly. Over the past 12 months there have been posts around issues at Ingram and ConnectWise. Things happen that cause pain for partners and it seems more and more that the response is to react and start blasting out emails and complaints rather than trying to understand what is happening. The most recent of these involves another great partner of the channel – the folks at HP.

HP has made a corporate decision to take compliance very seriously. They are addressing some legal and regulatory compliance requirements proactively. There is a tendency by many of us in the channel to forget that our vendor partners don’t make the rules under which they have to operate as a corporation – they are dictated to by the government or in the case of many – governments all around the world who seem to focus on making it difficult for large corporations to succeed. HP, and Compaq before them, have been very strong channel advocates. They are not perfect, and have made plenty of bone headed decisions in the past. But the thing about HP that has always impressed me, particularly in the past few years, is that when there is a mistake, particularly in channel conflict, they take the appropriate action and side on behalf of the partner to correct the error. At least that has been my experience and why we have all our eggs in their basket. The same is not true from some other hardware providers who claim to be channel friendly. If there is a conflict, they default against the partner and deliver the “too bad” message. But that is for another day and time.

HP has been tasked with meeting compliance requirements. They have chosen to use an outsourced vendor to handle this process – recognized in the compliance industry as a best in class screening service provider. Using a third party also provides some separation by HP in case there is ever any investigation or question about the process. Partners have received faxes and emails with the message that they need to register on a secure portal, take a short training module, review the code of ethics, and then complete a questionnaire to assess compliance risk. The process is fairly painless. It took us two and a half to three hours. Yes it cost $120 to complete it. There are certainly things about this process that are poorly done:

1. Communication has been very poor – receiving notice of this via fax is a pathetic method – this is the 21st century after all
2. There is plenty of the training that does not apply to an SMB partner – not a big deal but an aggravation
3. There does not seem to be any connection between the communication and whether a partner has done the training – some get notices after completion while others still have not heard about the need to do it at all
4. Communication has been very poor – worth repeating again since it is soooooooo bad

OK – now that we have agreed that the process leaves something to be desired, let’s talk about the other side of the coin. There always are two sides to consider although partners tend to only want to see it their way. HP is setting a standard here. They are going to require partners to be compliant and follow the rules. They are setting a standard around business conduct that should give us some assurances that things will be done properly. In a way, they may be setting themselves up for some unfair competition from competitors who opt not to play so fairly. But bottom line they are making a statement about their desire to be a thought and industry leader and that is a very good thing indeed.

So what is the bottom line. As I see it, HP has a cost of doing business that they are passing on to their partners. They also are taking a proactive stance on being sure partners are compliant. Should we like it? Maybe not, but guess what, that is exactly what I do when I have an increase in my cost of doing business. It gets passed on to my customer. I am willing to bet you do the same, or soon will be out of business. Besides - $120 is an aggravation not an expense to be a partner. You pay $1500 or more to be a Microsoft partner. Many vendors are a lot more than that. Those that truly are HP partners have expressed over and over that this is not a big deal. It is part of being a true partner. Many have expressed the wish that the cost to be an HP partner be significantly higher. Those that are making a big issue of the matter likely aren’t really partners but looking to have access to things without being willing to truly step up and partner. Sitting on the HP small business advisory council allows me to see the reality of their partner channel. Less than 10 percent of their partners sell well over 80 percent of the product. So will there be tears in Houston if a bunch of people who carry the name of HP partner but don’t sell anything decide that spending 3 hours and $120 is too much to ask go away? I wouldn’t be shedding any tears. That is not the intended purpose of this compliance process, but it may well be one of the benefits. And quite honestly, when I have conversations with other HP partners who are invested and understand what it means to truly partner talk about this, they hope the herd is thinned by a significant percentage. Less people to compete with means better things for those who understand that partnership is give and take and requires everyone to work together.

Could it be done better? Absolutely. Is it a real issue? Not from my perspective. We are a very spoiled bunch in the IT VAR channel. They didn’t call and close a bunch of our shops like they did in the auto industry. They are asking for some true partnership and it is time for the real partners to stand up and differentiate yourself from the pack. Time to grow up and get down to the business of talking to customers and selling solutions rather than whining about something that doesn’t matter.

Traveling to Minneapolis to Meet with Microsoft

Yesterday I was privileged to head to Minneapolis (12 hours round trip) to meet with Phil Sorgen, corporate VP of SMS&P (basically the SMB partner community among other responsibilities). He moved into this role replacing Michael Park earlier this year who moved on to a new assignment. It was my first opportunity to meet and discuss HTG and the state of the channel. We had a good discussion and were joined by two great supporters of SMB partners, John LaLonde from the Local Engagement Team (LET) and Lisa Hughes, the North Central Partner Community Manager (PCM). I was honored to be able to explain a bit about our peer to peer interactions and then to discuss the SMB channel and some of the challenges I see. Here are the key blockers to growth for many companies that I expressed:

1. Cash flow. Far too many partners are undercapitalized and don’t manage their cash well. No matter how you try and cut it, cash is always king. The companies who are able to consistently grow know how to manage their cash. That involves timely billing, collection and management of accounts receivable, cost containment, management of accounts payables and all things cash. It also means that partners are not running their business month to month on credit cards. Only one simple missed payment can start a spiral of disaster if that is the only source of outside capital. Every partner needs to have established lines of credits with distribution partners and also a local bank. At least any partner that really wants to grow. If you are going to leverage other people’s money to grow you company, which is a very acceptable approach if managed correctly, then it can’t be done with credit cards. Provide the needed documentation to your distribution partner and get a line established. And go find a local bank that you can establish a line of credit with and build it up by using it and repaying it regularly. Credit capacity is something that has to be earned by careful use and payment. It is not a right or a gift – it is a privilege that is harder than ever to earn. And you don’t typically get it when you are desperate, so be working on it while you don’t think you need it so when you do it is available. I see partners make a mistake here over and over.

2. Sales. Very few partners have a true sales process. They typically can engineer and implement solutions to any problem a client may have, but when it comes to replicating that and selling it to others, they get deer in the headlights looks and don’t know what to do. Sales requires a system. There are so many moving parts. You have to hire, onboard, manage, compensate, reward, motivate, train, and build their ego’s. But if partners want to grow, then they have to become a sales organization. Nothing happens until a sale is made. Vendors typically don’t provide good training and support in this area. They may provide bits and pieces, but that provides very sketchy success. You need to establish a true start to finish process that captures every step and document it and create a system to manage it. ConnectWise is the tool we use, along with QuoteWerks and some great leadership from our VP of Sales Larry Hedin. Building and managing a sales team is a never ending challenge. But it is critical if you want to grow through that barrier to growth. I often see it rear its head when companies are 1 – 1.5 M in revenue or have 7-12 employees. It won’t fix itself, so sticking your head in the sand and hoping it just gets better does not work. You need to find a way to conquer this area. There are some great consultants that can assist. There are peers that have it under control. But pretending you have it will not work over time and you need to make it a priority and just get it in place.

3. Marketing. This is like magic to most partners. There are lots of options here and it seems that if you ask around enough you can find someone who swears by them and others who swear at them. Telemarketing, drip mail, direct mail, cold calling, buying lists, event marketing, ready to go campaigns – they all work sometime and if you get lucky. But put them in combination with a sales process and system and the odds of success go up exponentially. Marketing by itself is really nothing more than advertising. When combined with a sales process where follow up occurs and pipeline is tracked and contacts are managed – well it suddenly starts to work. Too often partners want to sign up for and throw a little money at some activity and then just sit back and wait for the prospects to come running or sit and wait to answer the phone. More often than not, that is not the response at all and then the assumption is that it doesn’t work. Marketing is a waste of time and money. It isn’t the marketing that is the problem, it is the execution. In and of itself it is not a magic bullet. It won’t get a line of people knocking your door down. But teamed with a sales engine, it can prove to be very valuable. In fact, once you have a sales system that works you have to have a marketing engine to keep the prospect pipeline filled in order to take your business to the next level. It isn’t an optional activity if you intend to keep growing as a company. You have to figure this one out too.

4. Leadership. Most partners get so wrapped up with the first three they totally miss this one. But here is the reality – you cannot grow your organization if you are the sole person leading the pack. That works until you have 20-30 people and are very effective, but a growth company has to have other folks step up to manage and lead. While it would be wonderful if there was an unlimited pool of trained and effective leaders available in the employee pool for most partners – that is not typically the way it works. You need to invest in training leaders. It is a process that takes time. You have to make investment – spend time and money in fact – and build into those that will help lead your organization to the next level. This kind of training is not some sort of vendor certification. It is not the typical course that you pick up online. It is about people and relationships and requires hard work and study to learn it. Then it takes some on the job mentoring to put it into application before it is ready for prime time. But the key is you need to start building this far before you want to put it into place. You can’t send a potential leader to a class one week and expect them to take on a leadership role next week. That is not how it works. So identify your leadership needs early and invest in the appropriate people so they have time to learn and prepare to step in and be successful.

5. Strategic relationships. If I were to pick one area that differentiates partners from the pack, the ability to build and manage strategic relationships would be the key factor. Most partners never get this truth. They insist on focusing on adversarial relationships with distribution, vendors, other resellers and often their own employees and customers. Success is not based on being in constant tension with the entire world. It is rather built upon creating successful relationships that provide win-win scenarios where everyone is bettered by the results. Our company and HTG has made strategic relationships a key focal point and strategy. We spend time learning about the resources and programs available to us from distribution and vendors. We participate in their programs and leverage their investments. And we buy and sell their products, not based on beating them down to the lowest possible price, but by focusing on the value of the solution we are able to deliver to our clients. We focus on building beneficial relationships with our peers as they are a wealth of experience and critical information to help us accelerate growth. There is absolutely no reason we need to make every mistake ourselves. We can learn much by listening to and sharing with peers. And there is no shortage of customers that need to be served. Fighting over customers in a market is a less likely way to succeed than working closely with other peers that share our approach and want to work with us. And those that want to see their staff and customers as adversaries – well you are in for a long life. We need to serve our team and customers well, and exceed their needs and expectations. When we get over ourselves and focus on serving them we can truly find success. Strategic relationships will separate you from all your competition if you learn it and live it well.

_

I want to express thanks to John and Lisa for helping make my visit possible and enlightening. Microsoft is making some significant changes in how they serve partners in the SMB space. The revised partner program, the transition of TPAM’s to distribution, the reinstatement of the Frontline marketing funds, the SBSC campaign funds, LET team, the new Var Champion program – there is a host of great things that are being done to enable us to succeed. With the creation of a role to focus on HTG, IAMCP and other peer to peer groups this fiscal year, Microsoft has put their money where their mouth has been and given us a great resource in Tina Hanson to help navigate our partnership. Already Tina has been able to generate more investment through the Windows 7 challenge and the soon to be released flex marketing campaign. John and Tina are helping us pilot some sales and marketing training in the North Central region that I think will be a game changer for partners. Arnie Mondloch in Redmond has been a consistent voice in helping us get the tools we need, like an extensive SharePoint site for collaboration. I am encouraged and excited about the investment that Microsoft is once again making in the SMB channel. And most of all, I am grateful for the opportunity to spend some time with Phil Sorgen and understand a little more of the vision for SMS&P. There is a great leadership team in place and as they listen and partner with us, we all succeed. So thanks for the time and the ear, and I look forward to our mutual success in 2010!

HTS Annual Vendor Planning Meeting

Today we held our 5th annual HTS planning meeting. We huddled in the KC Microsoft office with our field reps from Microsoft, SonicWALL, Ingram Micro, HP and Altigen. The goal was to review our performance from 2009, evaluate what we could have done better, and then create a joint plan across all our vendor partners for 2010. When we started doing this 5 years ago, there was a lot of question and concern. "You really expect us to sit in a room with competitive vendors and share our thinking and plans for next year?". I have always had a simple answer. "It is up to you. You only have to participate if you want to do business with us next year." This is not an optional activity. It is about partnering and creating solutions across our vendor partners to drive business. No one has ever failed to show up. And each year it gets better and better and the walls have come down and we are working to build cross vendor solutions we can take to our markets.

We come away with joint training plans, joint sales models, joint marketing programs - just a unified approach to making HTS and our vendor partners successful. We started our event last night with a dinner for all our vendor participants to allow some pre-game activity - tailgating if you will to help warm up the crowd. Had a nice time at On the Border eating and sharing about life. Today we dove in early - reported on our YTD status - and shared specific information with our vendors. In fact, we give them all our data on our customers and sales activity. Many would say we are crazy to trust a vendor with the keys to our kingdom. Our feeling is that it is only when we truly partner and work together that we will succeed. Jane Cage, our COO and pivot table queen, is able to slice and dice our data in dozens of ways. Our vendor partners can see things in that data we would never see because they work with many different partners in many different markets. We look to them for guidance and best practices they learn from watching others. It is a very valuable experience and well worth the risk in our opinion.

Our team left today with a list a mile long for us to consider as we write our 2010 business plan. And our vendors left with a list we had for each of them for commitments we expect them to execute for us next year. It is a two way street. Both of us are accountable in this, and we will review mid year to make sure everyone is executing. If you aren't planning with your vendors and distribution partners, you are really missing something special. It truly can propel your business. It will put you in a very elite class of partners - not many are willing to be transparent and go to the work of pulling together an event like this. But it is well worth the effort and can help you grow in ways you will never be able to do any other way. As I say over and over - the differentiator between partners is not sales or technical skills - it is understanding the power of strategic relationship management. That begins with planning with your vendors and disty partners. If you want to be status quo - try and do it yourself. If you want to be one of the elite partners in the channel - get over yourself - reach out and work with the folks who can propel you to the next level!