10 To Watch

Oracle's New Oracle
It's been more than a year since she left BEA Systems, but Rauline Ochs' new role as group vice president of North America channels for Oracle still raised eyebrows. Perhaps it's the fact that she has a direct line into Bernie Dennis, group vice president of North America channels and strategic initiatives, who sits at the leadership table with the likes of Larry Ellison.

Among her early moves, Ochs delayed the rollout of Oracle's new North America Open Model, which provides deal registration guidelines, until she could gather more partner feedback. Her goal for the next 12 months: "to provide a predictable and reliable partnering experience." For a hint at how she may work toward this vision, take a peek at the Lotus Development Partner program circa 1995, which Ochs cites as a benchmark for excellence.

Novell's Transition Driver
Despite several strategic shifts over as many years, Novell still claims more than 11,000 partners worldwide, and roughly 63 percent of its product revenue is generated via the channel.

Novell Vice President of Worldwide Sales Mark Hardardt, who reports directly to Novell CEO Jack Messman, had a hand in Novell's decision to set aside its ill-advised flirtation with direct sales. "Although painful, it was very apparent that the direct-sales model was just not viable, and the longer we waited, the harder the change," Hardardt wrote in response to questions submitted for this report.

Although its vaunted Platinum ranks are smaller than in the past at 375 globally, that is by design as Novell balances its channel ecosystem to account for evolving models, such as "demand agents" who influence and service a sale even if they don't have a hand in fulfillment.

Hardardt's other major goal: build a Linux-ready channel as the kernel becomes more acceptable in enterprise accounts.

3Com Looks Outside
The networking vendor went to the channel last June when it hired Nick Ganio, former president of Bell Microproducts' Enterprise Division.

Now 3Com's executive vice president of worldwide sales, reporting to President and CEO Bruce Claflin, Ganio hopes to build enterprise partnerships through systems integrators, service providers and VARs while maintaining 3Com's traditional momentum in the SMB market.

"Going forward, I am intent on driving 'campaigns',comprehensive demand-creation programs aimed at both end users and partners,spanning an extended period of time as opposed to just the current quarter," Ganio wrote in an e-mail.

Macromedia's Magician?
Mike Menegay made waves this summer when he left security vendor Network Associates to become senior vice president of channels worldwide at Macromedia. To many, it was a signal that the Web tools vendor had become a whole lot more serious about the value-added channel.

Although Macromedia already generates close to 70 percent of its U.S. revenue via partners, one of Menegay's goals is to execute a segmentation strategy that better delineates the roles of its 750-member U.S. partner ecosystem, which ranges from enterprise VARs to direct marketing resellers to developers and designers.

As a model, Menegay looks to the automotive industry, which has created a complicated web of segmented partnerships,along with the specialized programs to support each constituency.

Network Associates' Trojan Horse
It is worth noting that Donna Troy, Menegay's replacement at Network Associates, comes with a bigger title than her predecessor.

As executive vice president of worldwide channels reporting to her counterpart in sales, Troy seeks to build a deeper business with existing partners that spans more of the security vendor's product line and to recruit new allies from the systems integration and enterprise VAR world. "We need to move to a value-added strategy that takes a look at the whole ecosystem, the end-to-end solution," Troy said.

Among new products Network Associates launched this year are Netasyst Network Analyzer, a network security and management solution for the SMB market; Magic HelpDesk IQ, a browser-based service desk product; and McAfee SpamKiller for Microsoft Exchange Small Business.

Troy also plans to publish clearer rules of engagement for Network Associates' channel and internal sales team to squelch channel conflict. "Anything over 20 percent is not good. Anything less than that means you aren't getting good coverage," she said.

Gateway To The Future
Any doubt that Gateway's business model is transforming dramatically should have been erased when high-ranking IBM executive Jocelyne Attal jumped ship to join the underdog systems vendor as executive vice president of business.

Her channel chief, Steve McAllister, vice president and general manager for alternate channels at Gateway, is busy unfurling a new program dubbed Gateway ProNet to the vendor's roughly 1,300 partners. With that program, focused on commercial IT solution providers, home network VARs and professional audio-visual integrators, the vendor plans to create a tiered channel structure. With only about 5 percent of sales currently attributable to partners, McAllister hopes to grow that figure to 10 percent by the end of 2003.

For a hint about the direction in which that program may evolve, one need look no further than Cisco Systems. "Cisco has a great channel program because overall the organization has embraced the channel," McAllister said. "It has made investments in infrastructure to support an effective indirect-sales channel."

Intel's International Bid
Sophia Chew spent most of the past decade in leadership roles in Intel's Asia-Pacific region before joining Intel Sales and Marketing Group Vice President Jason Chen's team about four months ago.

Now, the new general manager for Intel's reseller channel operation visits one of the vendor's geographic regions every month. When information for this project was submitted in late September, Chew's travel itinerary included Argentina, Paraguay, Brazil, Russia, Germany, and the U.S. cities of Chicago and New York.

Chew's challenge, of course, is to build on an already expansive channel empire that touches more than 115,000 partners and 1,000 elite solution providers,trying to ensure a higher level of consistency and loyalty around the world. A clue to her philosophy lies in Chew's response to a question about which channel programs she most admires: "Lexus. Regardless of which dealers and where they are, potential buyers get the same experience,they make you feel good."

Three More For Good Measure
Gateway's archrival Dell also continues to make formal overtures to the channel, especially to custom-system builders. That program is headed by Mark del Thompson, director of SMB marketing. In January, Thompson expanded the number of systems available to that channel and changed a clause in the vendor's contract that now enables them to use the Dell name with their customers.

Another person to keep tabs on is ex-ViewSonic executive Matt Gill, who is helping his latest employer, Philips Business Solutions, assemble a serious value-added channel program to take on several rivals in the crowded display market. Among other things, Philips has tripled its channel investment under Gill's direction and has developed a strategic sales plan to build presence in commercial verticals.

Meanwhile, Apple Computer is quietly assessing its channel options, especially on behalf of its server line. In August, the company took out a booth at the Solution Provider XChange event in Orlando, Fla., hosted by CRN parent CMP Media. Tim Cook, Apple's executive vice president of operations, sales and support, is leading the charge.