Arrow Readies Management Shakeup In HP Business Unit

Just one day after shaking up the IBM side of its business after the close of its acquisition of KeyLink Systems Group, Arrow Enterprise Computing Solutions is set to make management changes within its HP business.

Michael Haley, who headed Arrow ECS' HP group and his counterpart at KeyLink, Pete Montana, are both out, according to solution provider sources and sources close to Arrow. Solution providers speculated this means Arrow ECS co-president Kevin Gilroy will likely bring in outsiders to run ECS' HP business.

An Arrow ECS spokeswoman confirmed the changes and said a replacement for Haley and Montana would likely be named within a week.

Solution providers speculated that possible candidates for the ECS HP post might include David Booth, former HP senior vice president and U.S. country manager in HP's Technology Solutions Group, and former Avnet Partner Solutions president Steve Tepedino.

Gilroy could not be reached for comment. But some solution providers, when informed of the changes, were disturbed by the abrupt management shift in ECS' HP business after the KeyLink acquisition.

"You know they promised no changes, and here you go -- first Michael Haley, and now Pete Montana. So much for making this an easy transition," said Don Richie, president of Sequel Data Systems, an HP enterprise solution provider in Austin, Texas.

"I have no doubt that because now there is no competition in the HP distribution chain for enterprise, we will see the partners get the short end," Richie said. "It is Avnet or Arrow, and that's it. I hope HP realizes the problem that is created by this and opens up to other distributors to offer the entire line and allow partners a choice."