Executive of the Year Award Winner: Rick Kearney

Choosing one executive among the many that had banner years in 2003 is, to say the least, a challenge. More than a dozen enjoyed triple-digit growth last year, while it was a recovery period for most. But executive Rick Kearney, CEO of Mainline Information Systems of Tallahassee, Fla., also had a particularly good year indeed. For starters, his company, No. 90 on this year's VARBusiness 500 list, grew by 25 percent to $411.4 million. It was the third year in a row that Kearny drove top-line revenue growth of $100 million or more, lifting Mainline from its 109 position last year.

Moreover, the company, one of IBM's largest independent Premier Business Partners in the country, picked up a coveted IBM Beacon Award bestowed by the hardware company on its best partners. (Mainline was awarded one of Big Blue's Distinguished Blue Diamond Beacon Awards for excellence in the Americas based on its impact on the marketplace, loyalty to IBM and customer-satisfaction scores.)

So, how is Kearney doing it? Simple, he says: "We've decided to go narrower and deeper with [IBM]." Well, that and a few other things. Here's his story.

Kearny founded Mainline Information Systems in 1989. At the time, the company focused on a variety of hardware technologies from a variety of companies. IBM, of course, was one of the companies Kearney's company sold. But it wasn't the only one. Back then, he felt the brand diversity gave his company strength. It wasn't beholden to any one vendor, and it could offer customers flexibility. But it wasn't until Kearney decided to concentrate his energies on IBM that the company really took off. That allowed him to accomplish several things: It let him consolidate his sales to one company, which helped greatly when it came time to securing the maximum product discounts available and the maximum respect from IBM. The latter helped when it came time to get IBM support on technical problems and sales challenges. Suddenly, Mainline was on a fast track within IBM's partner circles. That led to increased field engagement and increased opportunities. Sales growth quickly followed, landing Mainline a spot on Inc.'s list of the 500 fastest-growing privately held companies in America for the past five years in a row.

Today, Mainline sells only IBM hardware. And most of the software it works with--it sells to 4,000 customers in banking, manufacturing, state and local government and other markets--is IBM's, too. Today, the company boasts that it is IBM's No. 1 zSeries Partner, No. 1 Storage Partner, No. 1 pSeries Partner, No. 1 Software Partner and No. 1 IBM Global Services partner. It's also a top five iSeries Partner and a top five xSeries partner.

Mainline delivers software, hardware and application solutions, as well as a comprehensive suite of services. As for Kearney, he has distinguished himself in the Southeast as a capable CEO. Most of the people he hired in the 1990s to help build the company are still there today, he points out, which is important as the company continues to expand. Kearney says he could not contemplate the growth plan he is currently in the middle of without the foundation of a solid leadership team beneath him. Together, they are attempting to distinguish the company's services group, called simply enough the Mainline Services Group and the company's newest venture, Mainline Global Systems. The latter provides consulting and support to Mainline's growing base of international customers in Brazil and elsewhere and oversees its growing offshore capabilities in China and South Korea.

So how will Mainline continue building up its business to become an even stronger channel company? By staying close to its top partner and riding the wave of new solutions and technology coming out of Big Blue, Kearney says. That will likely include an increased commitment to IBM Software brands, storage and Linux solutions.