Mandeep Gupta, Country Manager (Channel Business), Emerson Network Power India, in an interview with Sandhya Malhotra, discusses the present IT market scenario and offers some suggestions to channel partners for facing the adversity with opportunities. Excerpts...

What's your view on the current economic and IT market scenario?

The present economic condition is really bad, and it has affected the IT market too. Just a year ago, we were enjoying a smooth ride with new opportunities, and never thought of such a situation. These sentiments are going to continue, and will affect the overall business. With cash flow thinning, we can't expect buyers to go for more purchases. The market, however, will do certain corrections, and the growing sectors like government, education, and healthcare will drive the economy.

What opportunities do you foresee in year 2009?

I think this is the right time for any organization to go in for lean management. Such bad days help us identify the unwanted resources, and drive us toward self-optimization to gain cost control and focused approach. The short-term opportunities are managing working capital, controlling SG&A, optimizing marketing investment, etc. The long-term opportunities will focus on growing segments, customer relations and planning process for coming years.

In current slowdown period, what advice would you give to your channel partners?

Ideally, the channel partners must focus on certain areas, such as Customers, Outsmart Competitors, Spend Smarter and Invest in growing segments. As to customers, any business should double its activities and investments to current customers - instead of wasting resources in acquiring new customers. It must provide the current customers value offering.

This is right time to analyze the competitors' movements, and act swiftly to provide better value than others.

All investments need to generate better Return on Investment (ROI) and clear cut justification. There must be a compelling business need behind any expenses made.

Identify the growing segment for your products or service, and focus your efforts in that particular segment.

How's the channel changing, and what should be its approach to further grow in the coming days?

Nowadays, channel partners are identified as solution providers rather than just box pushers. Differentiation is a key for survival. There're opportunities in growing segments, and the focus needs to be shifted there. Also, the channel needs to improve its credit worthiness, and better customer relationship to get support from large organizations.

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