CHANNEL AND BUTTERFLIES: OF ZOMBIEStheimagingchannel.com/print_issues/Apr_15.pdfAND BUTTERFLIES: THE NEED FOR CHANNEL DIVERSIFICATION HP ROLLS OUT COMPLETE LASER PRINTER REDESIGN FEATURING

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THE NEED FOR CHANNEL DIVERSIFICATION

HP ROLLS OUTCOMPLETE LASER

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4 www.theimagingchannel.com

April 2015 volume 6, no. 2

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24IN EVERY ISSUE

6 Editor’s Letter Contributors 8 The Imaging Channel Online

10 Executive Corner: Kurt Schmelz, Xerox by AMY WEISS

12 HP Rolls Out Complete Laser Printer Redesign Featuring JetIntelligence Technology by ROBERT PALMER

16 Channel Evolution, Channel Opportunities: A Guide to Going Paperless by CHRISTOPHER ZYBERT, NEW ENGLAND DOCUMENT SYSTEMS

20 Retail Shopping Provides Great Disservice for Printers by LARRY JAMIESON

24 Of Zombies and Butterflies: The Need for Channel Diversification by WEST MCDONALD, PRINTAUDIT

28 Using LinkedIn to Gain Trust and Attract Leads by LINDSAY KELLEY, DEALER MARKETING

32 Collaboration and Services Take Center Stage at Ricoh Convergence 2015 by ROBERT PALMER

36 Channel Evolution in Action: Trade Shows Represent the Changing Industry by AMY WEISS

39 Channel Chat: What Does Channel Evolution Look Like?

IN THIS ISSUE

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Volume 6, Issue 2theimagingchannel.com

from THE EDITOR


Proposed logo revision, 07/2010, EH

PUBLISHER & EDITOR-AT-LARGE Patricia Ames

EDITOR-IN-CHIEF Amy Weiss

CHIEF ANALYST Robert Palmer

ART DIRECTOR Susan Kidwell

REACHING THE STAFFStaff may be reached via e-mail, tele-phone or mail. A list of contact informa-tion is also available online at http://www.theimagingchannel.com.

E-MAIL: To e-mail any member of the staff, please use the following form: [email protected]

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CORPORATE OFFICE (weekdays, 8:30am – 5:30pm PT)Telephone: 702-720-4889Fax: 440-625-5556

The Imaging Channel is published quarterly by BPO Media. Inquiries, back issue requests, and address changes: Mail to: 840 S. Rancho Dr., Suite 4-558, Las Vegas, NV 89106

© Copyright 2015 by BPO Media. All rights reserved. Printed in the U.S.A. Reproductions in whole or part prohibited except by written permission.

The information in this magazine has not undergone any formal testing by BPO Media and is distributed without any war-ranty expressed or implied. Implementation or use of any information contained herein is the reader’s sole responsibility. While the information has been reviewed for accura-cy, there is no guarantee that the same or similar results may be achieved in all envi-ronments. Technical inaccuracies may result from printing errors and/or new developments in the industry.

Media Kits: Direct your Media Kit requests to 702-720-4889 or [email protected]: For information on single article reprints contact [email protected]

WE HAD SOME FUN with this issue of The Imaging Channel, because “channel evolution”

is a fun theme. There are just so many ways that the channel has evolved and continues to do so over the years, and we felt that one way to gain a good look at that evolution was to ask those who are deeply enmeshed in various areas of the channel.

That decision resulted in the “Channel Chat” article you’ll find on Page 39 of this issue, but because the people in this industry are, among many other things, a verbose lot, there are a few responses that didn’t make it into print.

One of those was from Brad Roderick, executive vice president of TonerCycle/InkCycle. Brad has been in this industry longer than I’ve been alive (I kid, I kid) and has seen all kinds of evolution. One of the answers he gave hit home with me, because it’s one of my favorite topics to rant about: Mobile print. When asked “What was the most overhyped trend you’ve seen not live up to expectations?” he answered “home photo printing and mobile print.” Let’s skip over home photo printing, which is a can of worms I don’t have room to open on this page. But mobile print — that’s a topic I must have had 10 separate conversations about during the recent

two-day ITEX show alone. And the general consensus is, it ain’t happening. Sure, we want it to happen, because mobile devices are everywhere. A stat I heard recently from another one of our favorite contributors, Lindsay Kelley, is that 50 percent of Americans own a mobile device. Using my own (admittedly questionable) math skills, if just a quarter of those people printed just once, that would be somewhere around 40 million prints. Assuming those people printed more than just once — well, that would be a lot of printing, so it’s no wonder we continue to hold out hope.

However, I have never talked to a single person who has printed mobiley (and don’t get me started on the fact that “mobiley” is not a word, making it that much harder to encourage people to print in such a manner). I’m sure it happens — OEMs continue to build the functionality into their devices, and honestly, I think it’s a functionality that should be available. I can see where it would be useful at times. It’s just not a trend that’s taken hold.

Want to find out what trends are taking hold, what industry leaders think is the “next big thing,” and more? Check out the rest of this issue.

Sincerely,Amy Weiss

Editor-in-Chief

LARRY JAMIESON Larry Jamieson is an independent consultant of the printing markets, having spent more than 30 years in the high-tech industry with research firms Lyra Research, BIS Strategic Decisions and Photizo Group, and manufacturers NEC and Panasonic. He has consulted with major printer and supplies manufacturers, written reports on the industry, conducted

both qualitative and quantitative research of the markets, forecast both hardware and supplies markets, and has spoken at industry events across the world.

LINDSAY KELLEY is the chief marketing strategist with Dealer Marketing, a full service marketing agency focused on copier and managed IT services dealers. She has served in a marketing function

for over 17 years including working with the marketing lead for a large copier dealer.

WEST MCDONALD is the VP of Business Development for Print Audit and the owner of FocusMPS. He is also the current Chair for the CompTIA Managed Print Community.

CHRISTOPHER ZYBERT is the marketing and media coordinator for New England

Document Systems, a document scanning, storage, and workflow automation service provider. With a background in social media management, inbound marketing, and SEO, Zybert has married his passion for digital advertising and writing with his knowledge of business process solutions and the document management industry.

contributors

BPO Media strives to be an environmentally friendly company. Please help us by sending address corrections

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ONLINEtheimagingchannel.com{ }

Visit The Imaging Channel Website For Exclusive Blogs and Product Profiles

� HP Alums Take On 3D Printing World by Jim Lyons

� Music and Laughter at the Konica Minolta Dealer Event by Patricia Ames

� OKI Data Americas and Art Institute of Philadelphia Collaboration by Jim Lyons

� Equipment Quotas Do Not Evolve, They Conquer by Greg Walters

� gapForecast: What to Expect From the Print Industry in 2015 by Jake Fishman

� Best Practices for MSPs in 2015 by Dave Sobel

Connect With UsWe want to stay connected with you, and we love to hang out on Twitter! In addition to the @ImagingChannel Twitter feed, follow us individually: @atweiss (Amy Weiss), @palmerrg (Robert Palmer) and @OTGPublisher (Patricia Ames). We look forward to building a rapport with you both in print and online.

Miss an Issue of The Imaging Channel?Full issues of The Imaging Channel are available in a digital edition at http://www.theimagingchannel.com/index.php/getting-started/ digital-editions

Industry Blogs

� Toshiba Rolls Out New MFPs Aimed at Enterprise and Light Production

� Ground-Breaking Partnership Between KMBS and MWAi Signals New Era for Imaging Channel

� Xerox Revenue Dips Again as Document Technology Business Continues to Struggle

� Epson Targets Office Workgroup with Replaceable Ink Pack System

� Canon Pushes Mobility and Usability With New imageCLASS MFPs

� Xerox Decision to Sell ITO Unit Signals Continued Focus on High-Value Services

Analyst Corner

Insights and thoughts from members of the imaging industry

� CPP Comparison of Four Entry Level Business Inkjets: Brother MFC-J470DW, Epson WorkForce WF-2630, HP Officejet 4630 e-AiO, and Canon PIXMA MX492.

� CPP Comparison of A4 Small Workteam Black-and-White MFPs: Ricoh SP 4510SF, Lexmark MX510de MFP, Xerox WorkCentre 3615/DN, HP LaserJet Pro 500 MFP M521dn.

� CPP/CPC Comparison of A4 Workgroup Color MFPs: Samsung MultiXpress CLX-8640ND, Canon imageRUNNER ADVANCE C350iF, Lexmark X792dte MFP, and LaserJet Enterprise Color Flow MFP M575c.

The gapTCO Report

The Imaging Channel’s Chief Analyst Robert Palmer breaks down the big stories

Each month gap Intelligence and The Imaging Channel bring you the gapTCO, an intuitive, graphical user experience designed to

allow simple and easy analysis of the total cost of ownership of printer and MFP devices.

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KURT SCHMELZ WAS appointed president of the newly formed U.S. Channel Group (USCG) within Xerox’s Channel Partner Operations in January. We sat down with him to learn exactly what that means, where he came from, and where he and the USCG are headed.

The U.S Channel Group is new to Xerox and Kurt, you’re new to the U.S. Channel Group. What is the background on both of those things?USCG was created out of two separate channel organizations, the North American Agent Operations (our branded partner organization)and the U.S. Solutions Providers (our multi-branded partner organization), which I headed prior to the merger.

Bringing the two organizations together as one partner-facing channel organization makes it easier for our partners to do business with Xerox. It also allows us to increase our investment in critical areas of growth, such as managed print and focus on

what’s most important to our partners.

How have you converged the two organizations – what does the USCG look like now?The merger allows us to become one partner-facing organization for what were previously two separate channels.

Where do you see the MPS mar-ket right now? Is it still a viable market, a growing market? How are you coping with some of the changes in the channel?We definitely see MPS as a continuing, growing market. We know that more than 80 percent of end-user decision makers prefer to work with a single provider for IT managed services and managed print services – that’s had a big impact on the business.

With more providers entering the MPS space there’s more choices, which puts pressure on partner margins. But, end users are also looking for higher-level offerings. We believe the partners that are going to succeed as MPS providers need to offer additional print-related services, as well as advanced offerings, such as workflow, document management and vertical-specific applications. That fits in well with our managed print portfolio. We have offerings from entry level to advanced services.

What do you think the success-ful dealer looks like in 2015, and what might the successful dealer look like in 2020?The successful dealer, from the MPS perspective, will provide a higher level of services. The price of admission is to be able to reduce costs, but it has to go

beyond price, such as offering IT managed services as well.

Are you seeing more conver-gence between imaging and IT, or do you see a barrier to adap-tation there?We are seeing convergence; many are IT partners that moved into the MPS business, and other traditional print-oriented, document technology-oriented partners are either acquiring IT managed services type partners, or starting their own businesses.

What is the greatest challenge you face today?Our biggest short term challenge – which is more of an opportunity – is providing more pre-and post-sale support for our partners. We are also continuing to evolve our portfolio from a MPS and print perspective.

Why do you hold your current position today?My career includes sales management experience at IBM and GE Capital IT solutions. From there, I went to Global Imaging, which is a subsidiary of Xerox, where I utilized IT solutions and learned the document technology business. That experience was instrumental in being asked to lead the U.S. Solutions Provider group.

As a customer of the U.S. Solutions Provider group, I have that perspective to understand how partners think and what motivates them, and we’ve been able to implement that in our strategy.

Do you think the paperless office will ever happen?That’s not what our customers or

Executive Cornerby AMY WEISS

Kurt Schmelz, President, U.S. Channels Group, Xerox

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April 2015 11

end-users are saying. I know I’m not paperless and I’m a pretty efficient guy who loves technology. I’ve been in IT my entire career and I can’t get by in a paperless way. I think that certainly people born after 1992 are probably utilizing technology differently, using tablets and apps in ways that some older people would use paper-based solutions. But, I don’t think that’s having a tremendous impact on pages printed in a business environment, which is primarily where we focus.

What do you see as your biggest opportunity?

The growth of managed print and the potential for providing our partners with a recurring revenue model as they go forward. If you look at the industry, whether it’s the document technology industry or the IT industry, it was really built on selling products to customers and achieving a good enough margin with the sale of the products to have a sustainable business.

As certain products have become commoditized on the lower end, as margins have shrunk, as business has become more competitive, our partners are looking for real, robust, added value solutions to differentiate themselves from their competition. I see tremendous growth for our partners.

What qualities do you look for when you’re making new hires?

I’m more interested in someone’s character, not necessarily specific experience in the industry. For example, competitive backgrounds catch my attention as it tells me this person has a really strong desire to win. Core intelligence is also important - someone who can sort ideas and concepts and take processes they’re taught, and execute them.

What do you consider your greatest achievement?Staying married for 26 years! Aside from that, I don’t think a lot about that; I just try to do the best I can every day, whether

it’s as a husband or father or an employee of an organization. The achievements kind of take care of themselves – if you’re working hard at being the best you can be at all of those things.

Where will you be investing most within your division this year?There are a few key areas, managed print, of course. We will look to broaden and improve our portfolio of offerings from entry-level through mid-level, as well as advanced level of services.

We will also invest in our partner-led managed print offerings. We’re putting a great deal of time and capital into our partner relationship management tools, such as our new global partner program. Those are key – from a corporate level, the company continues to invest into its portfolio of products

from production to entry-level technology.

Do you think that trends exist in this industry?Less and less. As technology continues to change so quickly and end-user adoption rates are happening much faster, it’s harder for trends to exist due to the rapid nature of the industry.

How would your employees and coworkers describe you?I think they would describe me as a fair, collaborative person and a strong leader who leads by example. I’m always looking for

our employees’ input on how to do things better and I always give credit where it belongs.

What words or phrases do you most overuse?There’s really one only word and that is growth. The majority of conversations with partners or my team include growth: “What are we doing to grow; How are we going to grow; Will this lead to partner growth if we do these things?”

Who are your favorite writers?I’m a big reader. I’ve read every Ernest Hemingway book. Most I’ve loved, some I haven’t. I wish Salinger had written more.

We know that more than 80 percent of end-user decision makers want to work with a single provider for their IT managed

services and their managed print services.

on the webXeroxhttp://www.xerox.com/ about-xerox/partner-programs

0415_EC.indd 11 3/25/15 8:26 AM


AT A PRESS and analyst event in New York City, HP unveiled its latest laser printers aimed at SMBs and small workgroups. The one-day event began with a press conference led by Pradeep Jotwani, senior vice president of HP’s LaserJet and Enterprise Solutions business, followed by a hands-on product showcase featuring HP’s newest technology. The showcase allowed time for in-depth review of the new machines and provided

attendees with direct access to many of the engineers and product managers behind HP’s latest products. Attending this event brought back fond memories of the good old days in the printing market, when hardware announcements used to matter.

Why would a launch showcasing four new printer/MFP models require such a lavish event with invitees from around the world? Simple. Underscoring the announcement

of the products themselves is a significant re-engineering of HP’s laser printing technology, setting the stage for the firm’s next generation of laser-based printers and MFPs. According to HP, the announcement “represents our most significant laser printing re-engineering since the introduction of the first LaserJet in 1984.”

That is a bold statement considering HP’s heritage and the number of technology advancements it has fostered

HP Rolls Out Complete Laser Printer Redesign Featuring JetIntelligence Technology by ROBERT PALMER

PalmerHP_0415TIC.indd 12 3/25/15 9:23 AM

April 2015 13

jetintelligence

since the very beginning of the laser printing market. According to Jotwani, HP is focusing its R&D efforts in the laser printing space to address key trends that are shaping the future of the office: costs, environmental sustainability, space limitations, mobility, and security. HP’s latest technology delivers on all fronts.

HP JetIntelligenceAt the core of the announcement is new technology built into the latest toner cartridges, which HP is branding as JetIntelligence. While it is somewhat unusual for HP to actually fold the

inner workings of its toner cartridges under an umbrella brand, the firm believes that the advancements in printing technology are significant enough to warrant the additional attention. “This is a big deal for us,” Jotwani explains. “We don’t always add in a brand but JetIntelligence merits its own branding.”

The JetIntelligence brand encompasses several aspects that involve fundamental changes to HP’s cartridge technology, beginning with the toner itself. HP’s ColorSphere 3 toner utilizes a new formulation that is comprised of a softer particle core surrounded by a more durable outer shell. As a result, the soft core melts at a much lower temperature, which translates to less heat to melt, lower fusing temperatures, less overall energy consumption,

and faster print speeds. At the same time, the more durable outer shell allows HP to maintain print quality across the entire life of the cartridge. “This is not an easy thing to do,” Jotwani proclaims, referring to the effects of increased toner durability combined with a lower melting point.

HP’s new toner cartridges have also been re-engineered to support what HP calls Page Maximizer technology. Essentially, the components and parts used in the new cartridges have been redesigned to be smaller and more durable.

Additionally, the new cartridges have an auto seal removal feature, which eliminates the need for the user to remove the pull-tab seal from the cartridge before inserting it into the printer. Instead, the toner seal is removed during the installation process and is actually wound up inside the cartridge itself. These features allow HP to add more toner into the same size cartridge, producing higher capacity toner cartridges that require fewer interventions. The result is higher page yields from a more compact and more energy-efficient printer or MFP.

HP’s JetIntelligence cartridges also feature new print gauge technology, which intelligently predicts toner levels to help IT departments manage devices and maximize toner usage. New anti-fraud technology built into the JetIntelligence cartridge

provides enhanced protection by identifying counterfeit cartridges and non HP-branded supplies. At the same time, HP provides new features that allow customers to manage self-imposed anti-theft or other printing policies. For example, once a cartridge is installed it can be tied specifically to that device, preventing users from moving cartridges from one printer to another. Or, IT managers can implement a “Genuine HP Only” mode, which means that machines across the fleet will only work with HP-branded supplies.

From a security perspective, standard support for HP’s JetAdvantage Private Print helps prevent unauthorized access to confidential print jobs and reduces waste from unrecovered print jobs. With Private Print enabled, each print job is securely stored in the cloud until the user authenticates and releases the job at the device. HP JetAdvantage Private Print also provides support for HP Common Card Reader for fast authentication, as well as a mobile app available on iOS and Android devices to manage and print from tablets and smartphones.

New Color LaserJet MachinesHP introduced four models based on the JetIntelligence cartridge technology: three printers and one MFP. Each of the new models features a

Underscoring the announcement of the products is a significant re-engineering of HP’s laser printing technology, setting the stage for the firm’s next generation of laser-based printers and MFPs.



significantly smaller footprint compared with its predecessor, while delivering much faster speeds, lower energy consumption, and higher yields. The HP ColorLaserJet Pro M252 is a single-function printer that operates at 19 ppm. The Color LaserJet Pro MFP M277 series is based on the same engine as that used in the M252 but is marketed as the smallest laser MFP with the fastest duplex printing in its class.

The HP Color LaserJet Enterprise M552 and M553 series are designed for workgroups of five to fifteen users printing up to 6,000 pages per month. With print speeds up to 40 ppm for color and monochrome, HP claims that these machines offer the lowest total energy consumption and fastest double-sided printing speed in its class. HP says these devices are also the first to include Google Cloud Print 2.0, supporting Google’s new local printing standard for Chromebooks and Chrome OS applications.

As already stated, HP’s new machines offer several distinct improvements over previous products, and also seem to be well positioned against competitive models in the same class. Yet, there is one important element that HP has not addressed: price. According to Jotwani, HP’s new models will not feature any dramatic changes in terms of lower hardware pricing. “We are not driving on cheaper to be quite honest,” he explains. “This is about putting more value into the products. So, you will not hear anything about pricing being directly cheaper, but they are indirectly cheaper because of less power

consumption and higher yields.” Jotwani also points out that the latest announcement includes certain product configurations that did not exist in HP’s lineup previously, so there is no direct comparison for those models.

The Bigger PictureGiven the importance of the technological achievements and the role JetIntelligence will play in HP’s long-term product strategy, it would seem that this announcement would garner significant attention. Yet, many pundits and industry analysts have downplayed the announcement. The general sentiment seems to be that the technology itself is interesting, but does any of this really matter to the customer—or to the market as a whole? Are customers really demanding products that are smaller, faster, and easier to use than those that are already available?

It is a fair question, but one that really does not consider all

of the central issues at play. If you dig a little deeper there are some important aspects to HP’s latest announcement. First, the firm has clearly demonstrated that it will continue to funnel R&D investment into its printing business in general, and more specifically into printing hardware. For some time now, many have speculated that printing is becoming more or less an afterthought for HP, moving from a core segment to wind-down status as a cash cow business. The planned split between HP’s printing and enterprise services businesses has only added fuel to that discussion. HP has dispelled that notion with this announcement, demonstrating that it has long-term plans to continue to drive innovation through printing hardware.

Another noteworthy consideration is HP’s overall marketing strategy. As the clear market leader, HP has consistently charged a premium

PRADEEP JOTWANI, senior vice president of HP’s LaserJet and Enterprise

Solutions business, led a press conference on the new JetIntelligence line.


April 2015 15

jetintelligence

for its brand—essentially commanding a little extra for the added reliability and performance that comes along with the HP moniker. That strategy has served HP well over the years. Through its partnership with Canon, HP has fostered endless innovation in laser printing technology and engine design, a leading factor that has helped set the firm apart from competitors. As a result, HP’s go-to-market strategy has consistently been based on a “more for same” philosophy: improvements in functionality and capability

at prices similar to or in some cases even higher than those of previous products.

Nevertheless, one has to wonder how long HP can depend on this strategy. The office printing market has matured to the point where hardware differentiation is difficult to achieve. Meanwhile, office users today clearly place less emphasis on the hardware itself and more on the solutions, services, and applications that surround the device. The printing industry has reached a point where users are demanding “more for less” from the hardware, and the more is typically associated with attributes that have little to do with speeds and feeds.

Nevertheless, too much emphasis is probably being placed on the first four products. The fact is, anytime

HP makes an investment such as the one it has made with JetIntelligence technology, there are long-term strategic implications that will play out in future products and product categories. When you think about the capabilities provided through JetIntelligence, it is easy to see how more significant benefits might be realized in office workgroup products, specifically in areas such as high-capacity supplies, reduced user intervention rates, lower CPPs, and more compact products that move increased functionality even closer to the user.

The most important aspect of the announcement, however, is that it further demonstrates the lengths that HP is willing to go to protect its most important asset: supplies. In an interview with analysts prior to the actual press conference, Pradeep Jotwani made no bones about the strategy behind JetIntelligence. “Today’s announcement is about fortifying our position in the transactional space,” he said. Indeed, JetIntelligence is designed to further strengthen the bond between HP’s hardware and HP-branded supplies.

This is not new. HP has been in “fortification” mode for quite some time—both on the laser and ink sides of its business. Even so, the firm faces more threats to its supplies business today than ever before. In the

office space, the transition to MPS has hit HP particularly hard. Because of its undeniable leadership position in the market, MPS represents a bigger threat to HP than to any other vendor. Ask any competitor out there and they will tell you that their MPS business is built on the premise of targeting HP printers and bringing them under contract. There is no question that HP has lost a significant number of transactional pages to competitors that have taken HP devices under contract and shifted to non HP-branded supplies.

The strategy with JetIntelligence is not only about making it more difficult for competitors to use third-party supplies. That is part of the equation, but HP is also baking in advanced functionality that can only be supported with cartridges that are based on HP JetIntelligence. That is the real motivation behind the move, and the primary reason behind the decision to brand JetIntelligence. In the long run, HP wants customers asking for JetIntelligence just as it would ask for an HP branded printer. The question is: will it work?

Anytime HP makes an investment such as the one it has made with JetIntelligence technology, there are long-term strategic implications that will play out in future products and product categories.

on the webContact Robert [email protected]



GOING PAPERLESS is far from a novel idea. In fact, the concept of going paperless has been around for quite some time. The origins of the paperless society can be traced back to 1978, when Frederick Wilfrid Lancaster, a British-American information scientist, first envisioned a future in which all paper is replaced by electronic documents and storage. He understood that technology would eventually eliminate the need to handle

print documents, and that record keepers would instead become information specialists.

It is generally understood by the business world that going paperless plays an integral role in reducing costs and improving services. However, it is important to note that becoming paperless should not be the main focus. Instead, the ultimate objective is to optimize processes – and eliminating paper is the first step in doing so.

It has been almost four decades since Wilfrid’s original prediction, and yet we are still nowhere near achieving a truly paperless society. Fortunately for Wilfrid, and for the environment, we stand on the cusp of a paperless future – driven by modern technology and the desire to cut costs, automate processes, and enhance security. Companies of all sizes, across all industries, are beginning to realize the true potential that going

Channel Evolution, Channel Opportunities:A Guide to Going Paperless by CHRISTOPHER ZYBERT, NEW ENGLAND DOCUMENT SYSTEMS

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April 2015 17

going paperless

paperless can provide. In a multi-part series of

articles and blogs here and on WorkflowOTG.com, we will be providing you a detailed transition guide for any company considering a paperless future. Throughout this guide, we will be covering the entire process of going paperless – from understanding the benefits, to planning and executing your first document conversion project. We will include tips and best practices to help

ensure your success as you look forward to implementing an Enterprise Content Management system and reaping the rewards.

Benefits of Going Paperless: In an ongoing attempt to improve efficiency, reduce costs, and reduce environmental impact, companies are beginning to transform their operations to paperless processes.

While document management plays a large role in a paper-free workplace, there are plenty of reasons to go paperless beyond just eliminating your dependence on physical files. Whether you would like to make your documents more accessible, free up costly storage space, or streamline paper intensive processes, there are plenty of reasons to consider implementing a paperless

business solution.In this article, we will

be taking a closer look at the potential benefits that electronic document management and going paperless can provide for your organization.

SECURITYWhen it comes to managing

your sensitive information, security should be top of mind. Depending on the document management software solution you choose, there are a wealth

of security benefits to be found when going paperless. These security benefits can include:• User Level Security Controls: Administrators are able to set user level controls, such as read-only access to certain files. For additional functionality, users and permissions can be grouped by job title, department, function, etc. • Password Protection: As with any type of information security, paperless security starts with a great password. With the right paperless system, administrators will be able set passwords and password requirements, such as complexity and/or length requirements. Passwords are often encrypted for additional security. • Account Lockouts: Administrators can schedule lockouts after a number of invalid sign in attempts to ensure security.

• Session Timeouts: Users are automatically logged out after a certain period of inactivity. • IP Address Limiting: Access to information is limited to specific IP addresses. This ensures that access is only obtainable in authorized locations. • Function Level Verification: Each application function is verified before any access is granted. This means that security is evaluated and verified for every single exchange within your system.

• Data Encryption: Any and all secure data is encrypted at all stages (in storage, transit, etc.)• Disaster Protection: Are your physical files safe from natural disasters or internal threats? Files stored digitally in the cloud, or locally on a server, are far more secure than physical paper – and less prone to the dangers of the physical world. When paired with regular backups, digital storage can just about guarantee the safety of your documents. • Disaster Recovery & Automated Backups: With automated backups, disaster recovery is made simple. Backups can be stored locally, offsite, or even in the cloud. • Audit Trails: Audit trails provide you with a complete history or log of document activity. This can include the creation, modification, copying, sharing, or deletion

Depending on the document management software solution you choose, there are a wealth of security benefits to be found when going paperless.

NEDS_0415TIC.indd 17 3/25/15 1:07 PM


•

of a file. Administrators are able to view these history logs and identify any and all changes made to their records. This is particularly useful when undergoing an audit or investigating any potential security issues. REGULATORY COMPLIANCEAND AUDITS

In today’s world of heavily regulated businesses, there is a pressing need for

organizations to remain compliant and reduce friction when undergoing an audit. Not only is going paperless great for reducing costs, it is also fantastic for helping maintain regulatory compliances. From HIPAA to ISO, it is easier to minimize risk of litigation and stay compliant with a paperless filing system.

Regulation and audit related benefits can include:• Auditing Costs: With an electronic system, auditors are not restricted by geographic location. This enables companies to find competitive pricing for auditing services and expand their reach to new pools of auditing professionals. Additionally, finding, compiling, and presenting documents can provide large savings in regards to auditing labor costs by enhancing and streamlining access to documents. Furthermore,

having detailed logs of your files and the changes they have incurred is a great way to speed the audit process. • Create, Manage and Destroy Documents: Most paperless management systems will enable you to automate document retention policies. This includes scheduling the destruction of documents based on a pre-defined set of rules. Having a consistent retention policy is imperative

to any successful document management strategy. By going paperless, you are creating an environment in which consistent document retention standards can be easily implemented.• Monitor, manage, and Reduce Risks: With a document management dashboard, record managers or administrators have the ability to watch for, address, and reduce risks without the limitations that physical files pose.• Decrease Regulatory Response Time: With an electronic filing system, changes to your document management system or policies can be implemented with ease. This will enable your organization to be faster, more flexible and adaptive when overseeing new changes to compliance sensitive regulations.

Some common regulations that benefit from going paperless include:

• Sarbanes-Oxley (SOX)• International Organization

for Standardization (ISO)• Security & Exchange

Commission (SEC)• Health Insurance

Portability & Accountability Act (HIPAA)

• Department of Defense (DoD)

• Food & Drug

Administration (FDA)

POTENTIAL COST SAVINGSNow for the most important

set of benefits that accompany going paperless – cost savings. When evaluating your potential for return on investment, be sure to consider the following costs and how going paperless might alleviate them. • Labor Costs: Time spent searching, filing, accessing, and processing documents can all be reduced with a paperless solution. Minimizing time intensive tasks like data entry and filing can significantly reduce labor costs.• Cost of Paper: Toner, reams of paper, and photocopier costs are all attributed to paper-based filing systems – and can be eliminated with the proper paperless solution.• Space: Imagine if you could free up the space where you have filing cabinets? By

• on the web

Time spent searching, filing, accessing, and processing documents can all be reduced with a paperless solution. Time intensive tasks

like data entry and filing can significantly reduce labor costs.

NEDS_0415TIC.indd 18 3/25/15 8:51 AM

April 2015 19

going paperless

eliminating physical paper, you are able to increase space availability. Floor space once allocated for storage can be repurposed for more productive equipment/personnel. Additionally, if you are currently storing files off-site, you can reduce storage fees by converting your backlog of records. • Errors, Misfiling, Lost Documents, Fines, and Fees: A lost or misfiled document can cost your organization quite a bit of cash. Between potential regulatory fines and the hours of labor associated with replacing just one lost document, there is a large benefit to having your files stored, backed up, and secured digitally.

OTHER BENEFITS• Improved Efficiency: In addition to the security, cost saving, and regulatory related benefits, there are still more boons to be found when going paperless. Chief among these benefits is the ability to improve overall efficiency. Increased productivity means more work can get done, which helps to improve your bottom line. • Improved Customer Service: In line with improved efficiency, your ability to provide superior customer service will also be enhanced with the right document management solution. Being able to address your customers’ questions, comments, or concerns with

speed is imperative in providing a quality experience. By going paperless, you can provide your customers with unmatched customer service.

Now that you are aware of the benefits that going paperless can provide, you are ready to begin evaluating your current processes. Be sure to watch for our next installment of the Paperless Transition Guide on WorkflowOTG.com, in which we will discuss how to measure your current paper processes, organization, and policies.

on the webContact Christopher [email protected]

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ONLINE SHOPPING HAS grown by astronomical propor-tions over the past decade, and it sometimes seems a little mind boggling what we can now purchase with a click of the computer keyboard. It is the old mail-order paradigm on steroids as we can find what we need today and have it on our door-step tomorrow if we are willing to pay for overnight shipping. It works pretty well for most products, especially ones that are repeat purchases or whose operation we know and under-stand. Where it breaks down a

bit is on products that we need to see in operation or have cer-tain aesthetic values. We really do want to “kick the tires” on a new car, try on clothes for fit and look, and we do like to see how printers operate and check that the print quality meets our needs. It is particularly important for small businesses considering whether to buy a desktop laser or business inkjet. Is the quality on the business inkjet truly good enough for their applications?

The most obvious way to do this is to find a local retail outlet that has the products of interest.

That is no problem in a large metropolitan area, but I live in a backwater of Florida where office superstores are pretty scarce, with the closest about 13 miles away and in the opposite direc-tion from the next closest com-petitor. Sure, there is a Walmart within four miles, but I make it a point not to darken its door and Walmart doesn’t carry the print-ers of interest anyway.

Eventually, this requires an expedition to OfficeMax/Office Depot and Staples to try to gain additional product information and some print samples for a more informed purchase deci-sion. Perhaps we can throw in Best Buy, though that is more consumer-oriented, but may have the needed information and print samples.

This project, however, is easier said than done. In every store, there was a wide ar-ray of products, but little use-ful information. Sure, there are speeds, feeds, and some other bits of information about Wi-Fi and paper capacity, but nothing about ink cartridge capacities or cost-per-page. Worse, several of the products were flashing error messages or just shut off because of they were out of ink or had a paper jam. Though employees outnumbered shop-pers, everyone seemed to be scurrying in different directions, desperately avoiding eye contact with customers. Only in Best Buy did an employee engage in a greeting, though he was helping

Retail Shopping Provides Great Disservice for Printers BY LARRY JAMIESON

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April 2015 21

retail shopping for printers

another customer at the time. I might add he was among the oldest of the store sales staff. Perhaps he was a throwback to an earlier, pre-millennial era.

So it appeared getting print samples would be a do-it-yourself proposition. The print-ers of interest did not have any instructions as to how to create a print, so instead of prints, I made copies of a convenient “Printer Protection” upsell brochure. Retail does have its priorities! Nobody can be bothered to help run through the basic printer op-eration, but they are more than ready to add on to the sale.

Regardless, I began the do-it-yourself operation, but what I discovered was hardly encour-aging. The output quality of the copies from several devices was abysmal, with low-quality graphic images and severe banding problems. Only one device pro-duced high-quality inkjet — an HP OfficeJet Pro X476 in Staples had a thumb drive for making print samples, and the samples provided a method to output an email or document from your phone. The instructions were not too clear, but persistence paid off. I might add that at no time while I was pushing buttons and opening printers did any sales staff venture near, lest I asked them a question.

Rather than giving out failing grades to the devices that pro-vided the terrible print samples, however, let’s make it an incom-plete. I’ve seen much better print quality from all of these devices tested and I am willing to take another shot. However, most business printer buyers may not be as forgiving. Even if they do go back for a second chance, how likely are they to buy? Perhaps one of the store

personnel will venture into the aisle and actually help the cus-tomer get a representative print sample, but will that really make the customer want to commit to this device? Printer vendors have just lost their chance to make a good first impression and buyers who were on the fence about inkjet and laser have just been shoved into the laser camp.

The retail “customer experi-ence” has been declining consis-tently over time. Assistance on the retail floor is virtually non-existent, and when a customer does finally get someone to pay attention, the help is extremely suspect. Does the person who sheepishly came over really know anything about the product or are they just reading the bullet points off the shelf?

Let’s say, however, that while the customer may have had a difficult time in the aisles, he really needs a printer so he chooses one and brings it to the front to check out. Now the retail outlet will shine in the “customer experience” category as the “guests” (no, I am not booking a room for the night) are herded into checkout lines to be elec-tronically summoned to the next available cashier. Not only will the customer be subject to upselling of useless services such as extended warranties, the cheery checkout person will ask “Did you find everything OK?” (Will they miraculously locate the item that I needed if I answer “No”?) and “Please take this survey?”

Retail is one of the most obvious examples of issues with lower staffing rates, but it is rampant across virtually all industries. Businesses have been cutting staff for years in an effort to boost quarterly profits, and relying more on “big data”

and “analytics” to run their businesses. There are certainly gigantic mounds of data available now as all processes move to digital workflow from old paper based systems. While there is a lot more data, who is left in the business to actually analyze and make sense of the information? What does it really mean?

Pundits may claim that we have moved from an industrial-based economy to service-based economy, but where is the ser-vice? It seems more of a self-ser-vice economy because no one is there to give you an answer that isn’t on the basic script. There is very little help in making a truly informed purchase deci-sion, but retailers demand from their “guests” e-mail addresses, phone numbers, surveys, assur-ance that their analytics put the right products on the shelf, and additional revenue streams from useless extended warranties. It is no wonder that brick and mortar stores are virtually devoid of customers. If there were a way to get print samples to potential customers in a timely manner, all printers would be bought online.

The printer market is already facing a difficult situation in declining printer sales and page volumes, which is being exacer-bated by an incredibly bad “cus-tomer experience” in retail. This may just push small businesses and consumers to find alter-natives to printing altogether, unless there are improvements in getting critical information to the customer on a timely basis.

on the webContact Larry [email protected]

Jamieson_0415TIC.indd 21 3/25/15 8:32 AM


http://mwaintel.com


http://mwaintel.com


ANYBODY WHO WATCHES “The Walking Dead” understands that transformations aren’t always fun, nor do they always result in something better than the original

product. Zombies are evidence that unwanted change can result in some not-so-positive results. You start your day drinking or-ange juice and whisking the kids off to school only to be bitten by some grey-skinned member of the zombie apocalypse. Next thing you know you’re drooling, walking with a limp, and looking for some juicy brains to snack on. Talk about a bad way to start the first day of the rest of your undead life.

The converse, however, can also be experienced. Anybody who has ever seen a butterfly un-derstands that transformation and diversification can be life-altering

and beautiful in all the right ways. Butterflies are evidence that fo-cused change can result in some amazing and wonderful things. You start your morning as an awk-ward pupae, spin up a silk chrysa-lis and come out a few days later with wings to take on the world. Going through that probably hurts like hell but who said anything worthwhile was easy?

In both scenarios change has occurred but the results are entire-ly different. I know a few people

who think the zombie apocalypse would be the coolest thing ever. Most people, I think it is fair to say, would rather see a world filled with monarchs fluttering their way around the garden. I don’t have any stats on this but I’m feeling pretty confident here.

What do zombies and butterflies have to do with the managed print services space? Let me flesh that out a little. At the ITEX Show this year I hosted a debate on whether or not cost-per-seat billing could replace cost-per-page billing. I wasn’t really sure how attendance would be as it is a fairly new topic and one wrought with opinions on both sides of the fence. As it turns out I needn’t have worried: The presentation was standing room only! People were lined up at the back of the space to get a piece of the action. The question is, why? I don’t think it was my name on the billing, although the thought of that makes me grin. I think the session was a block-buster because dealer principals are getting serious about expand-ing what their businesses offer. I think that dealers are looking at ways to bolster their businesses for growth in the next five to 10 years. I believe that whether they are doing it deliberately or not they are looking for ways to transform what they do for their customers. I think they are looking at diversifi-cation and they are looking to do so in the very near future.

What evidence is there that channel transformation is upon us? Plenty. I’ve heard secondhand

Of Zombies and Butterflies: The Need for Channel Diversificationby WEST MCDONALD, PRINT AUDIT

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April 2015 25

channel diversification

stories of some very prominent OEMs offering “per-seat billing” for managed print to their enterprise and direct customers. At ITEX I saw a ton of software vendors on the floor that had nothing to do with managed print. I have first-hand experience with dealers that are either investigating or imple-menting some form of managed services offering. Channel diversi-fication is happening whether we want it to or not.

Why transform at all? Because the managed print services space

is in the middle stages of com-moditization. Doubtful? Pages per user are in slow decline according to both Photizo and InfoTrends. Paper mills are closing all over the country. Margins are increas-ingly under pressure. Customers are demanding “three quotes” no matter how we try to frame out the competition. If you haven’t seen these facts for yourself I commend you and your man-aged print practice. No need to listen to me. If, however, you have witnessed many of these things yourselves I think we can agree that the commoditization of managed print is well in hand. With commoditization comes low margins and increased competi-tive pressures. If we plan to grow our managed print businesses or to sell them in the next few years we need to ensure that people view what we have as a growth opportunity.

What are the benefits of transforming early? There will be

a land grab for taking a larger piece of the customer pie in new and broader ways. The bad thing about being a pioneer is that you can get a lot of arrows in your back. The good thing is the land is cheap. Yes it will require effort, but the rewards have the potential of mirroring those of the early years of managed print services.

What kinds of things should I be looking at if I decide to transform my business? This one is really hard to answer. Some think it might be enough to just transform

how you offer your managed print services to customers. A dealer could do this by just billing per-seat instead of per page. I think doing this simple thing would lead to a lot more diversification into things like document manage-ment, managed IT services and other customer-centric offerings. Once you start billing by seat or user the world of things you can sell opens up dramatically.

Who will help me to do this? Some of your existing partners may already be doing some of the heavy lifting. Print Audit, the com-pany I work for, has developed an entire program built around train-ing dealers to offer per-seat billing to their customers. Great America has diversified into managed IT services with their Collabrance offering. Supplies Network has taken their proven logistics management for printer supplies and expanded it into Distribution Management (DM) for all kinds of products. Digitek and Synnex

both offer a full line of computing products outside of print related items. MWAi has developed an entirely new ERP called FORZA based on SAP’s Business One platform. Many OEMs like Xerox, HP, Lexmark, Ricoh, Kyocera and a host of others have partnered with leading solution providers for document management options. You may have already partnered with some of these folks or others on the things I have touched on. All that’s left is for you to reach out and ask them what they are doing

beyond managed print and see what they come at you with.

To really get ready for the future I think we will need to look at providers of services and products that we have yet to even think about. What are they? Telephony, VOIP, 3D printing, digital display technologies, and connected “Internet of Everything” manage-ment systems are just a few that come to mind.

Who are the new competitors? It’s not who you might think. The managed services and managed IT services channels are expe-riencing the same kind of pres-sures we are and they are eyeing up managed print services as a diversification strategy. I person-ally have worked with software companies like ConnectWise that are developing integration with managed print software provid-ers for meter collection and other monitoring capabilities. I have spoken with managed service providers directly who have

What evidence is there that channel transformation is upon us? Plenty. … Channel diversification is happening whether we

want it to or not.



partnered with managed print vendors already. We are selling into the same customer base every day. We walk by each other in the corridors, smile politely, and get on with our business. Meanwhile they are looking to take our business! We’ve seen this before in the early days of managed print when A3 and A4 providers serviced print-ers and copiers separately. As we all know too well those days are long gone and we fight for every given page, no matter what kind of device produces it.

What are the risks of chan-nel diversification? The risks are enormous! Your business could get caught in a dangerous cycle of “shiny new object chasing” which could take your eye off the ball where it counts today. You could experiment with some of-ferings that lead to a dead end.

You could decide that no matter what you do it simply isn’t worth the effort. The reality of “risk” has always been there, including when we got into MPS in the first place. Many did not survive the transi-tion to MPS and many businesses we know today won’t survive the changes required to grow into the future. We know that there will be risk, but without risk there is no potential for great reward. I think we just need to decide how much appetite we have left for “yet an-other transformation” and get on with it one way or the other. We should also ask ourselves this very important question: What are the risks of doing nothing at all?

For those that commit to the need for channel diversification it is going to involve a good deal of sweat and risk. What will deter-mine those of us that become

brain eaters versus those that take wing and conquer the skies? I think it all boils down to the amount of directed effort. The amount of energy that could turn a managed print business into a zombie will be fairly light. Just cruise along doing things the way we always have for the last 10 to 15 years. Becoming the butterfly will require some Herculean effort. I know we have it in us to do this right and to reap the benefits of our efforts. The only questions left to ask are, when do we get started and which diversification strategies do we pursue? Be the butterfly.

on the webContact West [email protected]

Join the MPSA and help shape the industry.

By becoming an MPSA member you participate in the development of standards and best practices that will bring order to document chaos and build stronger business models.

Visit www.yourMPSA.org today and let us support your MPS business

growth.

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IN OUR LAST article, we focused on your prospects and their preferred new language — digital. To begin with, we gave tips and insights into building your profile up in the right way so that you look like the Wolf of Wall Street (only trustworthy!) on your LinkedIn profile, not The Dude from the Big Lebowski. Now, let’s discover how to take that freshly polished LinkedIn profile and suc-cessfully generate qualified leads.

First, look at your existing LinkedIn connections. Of that list, which folks would you categorize as “ideal customers”? They are

the ones who love you and you love them and together, you have a great partnership. You provide them with high-level managed services and they love to tell you how grateful they are for your solutions. Go ahead. Click on their profile. Now, if the number of connections they have is blue then it is linked and you can click on that number to see all of their connections.

From those connections, which ones look like viable prospects? Who can you provide value to? Identify the top folks from that list and connect with them. To get in

touch with these folks, you have two choices:

1. Connect directly2. Ask for an introduction from

that original connection. Here’s how you can ap-

proach each type of outreach. Regardless of which way you choose, BE PERSONAL! Don’t attempt to connect with someone new using only LinkedIn default email text. An example of a direct connection might look like this.

Hi Charles, Happy Monday to you. I’m

reaching out to connect on LinkedIn. I enjoy connecting with like-minded folks and I see we share a connection whom I think quite highly of, namely [insert that person’s name here], and I believe I would enjoy following your posts and updates. Please accept my connection request.

Many thanks, Lindsay

If you’d prefer to ask your con-nection to introduce you to their connection, simply click on the “Get Introduced” button and ask your connection to introduce you. That ask might go something like this:

Bob, Hope you are well! I noticed

that you are connected with Charles. I would like to be able to connect with him to build an online relationship. Over time, I believe Charles and I might be able to bring value to each other

Using LinkedIn to Gain Trust and Attract Leads by LINDSAY KELLEY, DEALER MARKETING

Dmktg_0415TIC.indd 28 3/25/15 8:23 AM

April 2015 29

gain trust with LinkedIn

as you and I have. Would you mind making that connection? I would be most appreciative.

Many thanks, Lindsay

Short, direct, and asking for absolutely nothing in return aside from an online relationship from either request. This will work for many of the requests you make, but not all, so just know that going in, especially if you are looking to connect with C-level executives.

So, Bob makes the connec-tion or you reach out directly to Charles, and he accepts your request the next day. What’s next? The thank you message of course (or two of them if Bob makes that introduction). Once someone has let you into their LinkedIn connection group, you should consider that a privilege. Do not immediately begin to pil-lage their connections. Begin with a thank you. It should be simple and to the point and build value. For example:

Charles, Thank you for accepting my

connection request. In look-ing at your profile, I see we also are both members of the CEO Technology group. I really enjoy the discussions that happen in that group. Would you like to connect in the next week and grab a cup of coffee? I’d enjoy chatting with you about some of the recent discussions within the

group. I’m available on Thursday this week around 10 a.m. Does that work for you?

Looking forward to connecting. Cheers, Lindsay

Lo and behold, Charles is happy to connect for coffee — the CEO Technology group is his favorite place to learn from other CEOs in the technology space. Good sleuthing!

What happens next? You begin positioning yourself as a trusted

advisor — as the industry expert you are! You share relevant information via reputable articles, blogs and long format posts (we’ll get to these in short order). As the next week progresses, you share original long format posts wrapped around some of the technology issues that most likely resonate with Charles as well as reputable third-party articles with your thoughts within the post.

When you log into your LinkedIn account and you look to the top right of your LinkedIn page, you’ll see the email, flag and silhouette symbols. Focus on the flag in the middle. There’s likely a red number there, alerting you that something interesting has happened with your connec-tions. Check on the following:

1. Who has viewed your pro-file. Why check this? Because if someone is checking out your profile, they have been attracted to something about you (and no, more than likely it wasn’t your

stunning good looks). Something made them look at you — a busi-ness connection, a keyword from your summary that was served up as a result from a Google search … something. So check those folks out and if they seem like good connections, send them a personalized invitation to connect.

2. Long format posts. LinkedIn will alert you if someone has pub-lished a long format post. Here’s an example of one of mine for ref-erence: http://bit.do/long_format.

See if any customers of influential connections have published a long format post and comment on or like it.

3. Anniversaries. LinkedIn will notify you when someone is hav-ing a work anniversary. Be sure to congratulate them and send well wishes. It’s a touch point that is unobtrusive and shows you are thinking of them.

4. Comments. Folks love to share their thoughts and opinions online. If you post an engag-ing post on an article, folks may comment on it. Be sure to reply.

What is a Long Format Post? LinkedIn long format posts are a fantastic way to build up your credibility as an industry influ-encer and trusted advisor to your connections and followers on LinkedIn. The long format posts are similar to blogs in that you are able to create your own original content and post it on LinkedIn’s publishing platform, complete

Which folks would you categorize as “ideal customers”? You provide them with high-level managed services and they love to tell you how grateful they are for your solutions.

Dmktg_0415TIC.indd 29 3/25/15 8:23 AM


with images and links back to sources and your own website.

To get started, look at your update status bar. There’s a small pencil icon on the right hand side of the update bar. Click it. Now you’re ready to begin.

How Do I Post My Article? I’d recommend writing the post in Word or your favorite text editor of choice, then pasting it into the

LinkedIn long format post area, just in case there’s a loading issue with your page. You don’t want to lose all your hard work!

Once the article is pasted into the editor, go through and bold, italicize, and link your article in the relevant places. You ultimately want to drive folks back to your website to learn more about the topic you’re discussing.

Pick an image to accompany your post and upload it to the area at the top where it reads: “Upload

an image to bring your post to life.” It’s just above your author photo at the top of the post. Find a relevant image from any stock photography website or something you may have already in your library. Just don’t steal any images from the Web without licensing them.

Let’s go over some best practices:

1. Original content — make sure that this is something you

wrote. The content has to be an article written by you. This is not the place to share an article with a short comment, this is a multi-paragraph blog post. This does not replace your blog post for your company, this enhances your individual credibility as a thought leader in the office technology space.

2. Don’t sell — this is a plat-form that wants to provide helpful, educational information. Do not post your monthly copier specials

or toner deals. Your post will be ignored. However, if you want to offer tips on how an office manager can change simple settings on their copier or MFP to save dollars throughout the year, that’s mean-ingful. That has value. If you end your post with “Call us today to buy a copier with these features” you’ve just lost your credibility. The purpose is to build trust so when your audience sees your post,

they begin to trust you and think of you over your competitors when it comes time to upgrade their fleet.

3. Stay on top of the com-ments — regularly check and reply to all comments (email alerts and checking the flag icon on your profile page are both great ways to do this). Sometimes, folks have great questions or insight-ful comments. It is best practice to reply to them and keep the conversation going! It’s not much different than a typical dialog with a prospect, only now, the plat-form of choice is digital, so meet them where they’re hanging out and talk to them there. Online. On social channels.

Overall, there are so many ways you can engage with your target prospects via LinkedIn. Learning to harness the power of this platform can result in more highly qualified leads that trust you. And that is a powerful thing.

This is a platform that wants to provide helpful, educational information. Do not post your monthly copier specials or

toner deals. Your post will be ignored.

on the webContact Lindsay [email protected]

POSTING YOUR ARTICLE will look something like this

Dmktg_0415TIC.indd 30 3/25/15 8:23 AM

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EACH SPRING MARKS the beginning of the annual dealer meetings for many printer/MFP manufacturers, and Ricoh was one of those, welcoming its dealers to the Wynn Hotel in Las Vegas for Convergence 2015 March 2-4. Convergence 2015 offered several noticeable differences compared with previous Ricoh dealer events. With a theme of “Collaborate.Succeed,” Ricoh is obviously look-ing to position itself as a true part-ner investing in the future of the dealer channel. It was clear from the opening session that Ricoh continues to take great strides toward strengthening its dealer re-lationships. Opening remarks from Ricoh executives were met with resounding applause at various in-tervals, which has not always been the case at previous events.

Ricoh’s troubled past with the dealer channel extends back sev-eral years, when the firm began to aggressively build out its direct organization and focus intently on direct sales. The acquisition of IKON in 2008 put additional strain on dealer relations, caus-ing some dealers loyal to Ricoh in the past to shift their allegiance to alternative brands. A lack of trust had come between Ricoh and its dealers, and many felt that the independent channel was not well represented within the Ricoh organization.

Steadily, Ricoh has been working to bring dealers back into the fold by strengthening its product line, further engaging dealers through programs such as CHAMPS, and

working hard to establish clear rules of engagement between dealers and the direct organization. The re-sult was clearly visible at this year’s Convergence event. For the most part, dealers were highly engaged

and anxious to hear about the new technology, products, and services that Ricoh is bringing to market.

More importantly, dealers are moving Ricoh product in ever increasing numbers. Senior VP Jim Coriddi noted in his opening remarks that the dealer channel now accounts for more than 37 percent of Ricoh’s total unit sales, which is a significant achievement for Ricoh. At the same time, a core set of dealers has remained loyal to Ricoh and contributed greatly to the firm’s success. Ac-cording to Coriddi, 80 percent of Ricoh family dealers, including Ricoh, Savin, and Lanier brands,

have been so for more than 20 years. He also pointed out that almost half (47 percent) of the firm’s 436 dealers are dedicated Ricoh dealers.

Ricoh backed up its progress

in the channel with a firm com-mitment to help dealers drive profitable growth for their busi-nesses. To do that, Ricoh says it will continue to listen to dealer partners and deliver solutions that will foster increased collabo-ration and long-term success. CEO Martin Brodigan put Ricoh’s recent success with the channel in perspective. “We will never be good enough,” he proclaimed. “However good we get we want to get better. We are listening to the channel.”

What About Hardware?Another element that separated

Collaboration and Services Take Center Stage at Ricoh Convergence 2015by ROBERT PALMER

AT CONVERGENCE 2015, Ricoh introduced Cloud IT services delivered through

its acquisition of mindSHIFT.

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Convergence 2015 from previous Ricoh dealer meetings — indeed from most other dealer events — was a clear lack of hardware discussion during the opening sessions. Like most OEMs these days, Ricoh has embarked on a services-led strategy focusing less on products and hardware and more on solutions, services, and other adjacent businesses to help drive new revenue and profits — both for itself and the channel.

As a result, the mantra at virtually every dealer meeting these days is fairly predictable: “we are no longer a box company but instead a solu-tions company focused on solving customer problems.” Typically, that statement is followed by a 45-min-ute presentation showcasing the latest and greatest hardware with an emphasis on faster speeds, more capacity, improved usability, and the list goes on. That was not the case at Ricoh’s event. There was barely any mention of upcoming products, no slides showing where holes have been filled in the product line, not even a picture of an actual MFP until fairly late in the program.

Nevertheless, Ricoh did talk about its performance in various hardware segments, and for good reason. Coriddi noted that sales of Ricoh A3 MFPs climbed 16 percent in FY 2014, and 20 percent of that growth was color. Perhaps more telling is the fact that revenue from sales of hardware grew 8 percent, which is not easy to do considering the maturity of the market and the fact that pricing pressures continue to push ASPs lower and lower.

Coriddi also touted Ricoh’s performance in the production print space, stating that production color units grew 19 percent in FY 2014. Indeed, Ricoh claims it is now num-ber one in production color with a 25 percent share of the market, and in fact number one in production

print overall. Once again, this is a significant achievement for Ricoh considering it was not even a player in the production market 10 years ago.

Obviously, Ricoh’s position in the production market was bolstered significantly by its acquisition of InfoPrint a few years back. Since then, Ricoh has rolled out a steady progression of new technologies and products targeting a variety of commercial, graphics, and enterprise segments. Production hardware and related services rep-resent important revenue oppor-tunities for the channel, and there is no question that dealers are moving to production print in ever increasing numbers. Ricoh placed significant emphasis on its produc-tion machines at the product expo, attracting a constant stream of interested attendees.

CHAMPS Gains MomentumUnderstandably, Ricoh put a great deal of emphasis on its CHAMPS program at Convergence 2015. As a tiered certification program, CHAMPS provides a comprehensive set of tools and infrastructure to help dealers expand into various services businesses. Leading up to the event, Ricoh offered a variety of solutions through CHAMPS grouped under three different service modules: Managed document and business process services, digital imaging services, and production print services. At Convergence 2015, Ricoh introduced a fourth module: Cloud IT services delivered through its acquisition of mindSHIFT.

Providing an engagement path for mindSHIFT came as welcome news to dealers — especially those who have been struggling to break into IT services. Since the acquisition last year, Ricoh has

been relatively quiet as to how it would deploy mindSHIFT services to the channel. By folding IT ser-vices into the CHAMPS program, dealers will have a clear path to become educated and certified to deliver IT services to customers.

This is an important part of Ricoh’s overall services strategy. Competitors such as Konica Mi-nolta (through its acquisition of All Covered) and others have made significant strides pushing IT ser-vices through the dealer channel. At the same time, mindSHIFT offers distinct advantages for dealers — particularly for those who have hesitated to jump into IT services because of the major investment required in terms of service delivery and business model transformation.

With its powerful cloud infra-structure and remote management capabilities, mindSHIFT can ease the implementation burden for dealers. Indeed, once a contract is established, dealers can offer certain cloud services to custom-ers literally in minutes. Even the business model for dealers is fairly unobtrusive. According to mindSHIFT’s CEO Mona Abutaleb, services billing is basically a pass-through process that is transparent to the customer. Ricoh will give the dealers a monthly bill with an online report and the dealer will decide how to charge for those services and present the bill to the customer. Managed IT services could be offered standalone or perhaps folded into an existing ser-vice or MPS contract.

While mindSHIFT currently offers a fairly broad portfolio of managed service offerings, Ricoh is taking a phased approach to rolling out services to dealers. The initial rollout will include server man-agement, IT help desk services, hosted exchange e-mail services, and e-mail archiving. Since the

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acquisition, mindSHIFT has been working to educate Ricoh’s dealer support group so that training could be made available to the dealers through the CHAMPS program. As a CHAMPS service offering, deal-ers will need to attend training and become certified in order to offer mindSHIFT services. According to Martin Brodigan, the mindSHIFT acquisition will help Ricoh surpass $170M in IT services this year.

Ask the PanelOne of the more interesting points of the opening day occurred when Jim Coriddi, Martin Brodigan,

and SVP Dave Green took center stage for a Q&A session. Using the Convergence app that was available for download prior to the event, attendees were able to submit questions for Ricoh executives to address directly. The format obviously allowed Ricoh time to filter through and choose the desired questions and to formulate a response. Nevertheless, the session came across as fairly unscripted and it did not seem that responses were all that rehearsed.

Ricoh actually deserves some kudos for coming up with a creative approach for taking questions directly from the dealers. It is almost impossible to conduct an open Q&A during large dealer events because the audience is so large that it could become a scheduling nightmare. An open forum would also put executives in the pre-carious position of being forced to answer some uncomfortable ques-tions submitted by those seeking

to undermine the entire process, which is why it rarely happens.

The first question posed during the Ricoh event came as no sur-prise: What is Ricoh’s position on 3D printing? The answer, however, was frank and to the point. Brodi-gan basically responded by saying that Ricoh is not ready to address the 3D printing market in the U.S. “The one thing that 3D printing has in common with our business is the word print,” he proclaimed. “Other than that, there is not a lot.” Brodigan added that Ricoh is closely investigating opportunities but has no plans to enter the 3D

printing market in the U.S. until it can do so with a proper and profit-able business model — both for itself and the channel.

The topic of 3D printing has reached overhyped status in the dealer channel these days. With great fanfare and the promise of double digital growth, many traditional printing vendors have jumped into the 3D printing market over the past couple years. Even Ricoh Japan is attacking the mar-ket with its own business to sell 3D printers and related manufacturing and fabrication services. Entering the 3D market is a natural step for hardware OEMs, which have invested huge sums in imaging technology and related assets central to the core of 3D printing. Translating that opportunity into a profitable business model for the traditional MFP dealer is an entirely different matter.

Dealers are naturally drawn to the idea due to the high margins and incredible hardware profits. A

single 3D printer can sell for hun-dreds of thousands — even millions of dollars. Nevertheless, 3D printing is not like other adjacent business opportunities. In most cases, it re-quires significant investment in new skill sets, sales tools, and overall business strategy. It also com-mands a very deep understanding of vertical markets and the existing needs within the regional customer base. Laying low is a difficult stance for Ricoh U.S. to take given the momentum competitors such as Konica Minolta, HP, and others are creating in the 3D printing market. Even so, a more cautionary ap-

proach could permit Ricoh to take advantage of better opportunities in the future.

With the topic of 3D printing out of the way, most of the remaining questions covered during the Q&A session were fairly common. What is Ricoh doing to support dealer growth? How will Ricoh improve order and parts fulfillment? How does Ricoh stack up against the competition? These were fairly basic questions with what seemed like standard answers. Perhaps more interesting was the question not asked. According to Brodigan, there was no question submitted by any-one regarding rules of engagement between Ricoh direct and the dealer channel. Once again, this speaks volumes as to the progress Ricoh has made with its dealer partners.

SummaryThere was a lot to appreciate at Ricoh Convergence 2015. Dealers are clearly happy with Ricoh, not only with the firm’s hardware and

According to Martin Brodigan, the mindSHIFT acquisition will help Ricoh surpass $170M in IT services this year.

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solutions but also with the level of support and strategic direction. It is good to see Ricoh making traction with CHAMPS. In the past, dealers have expressed some apprehension and confusion with the program, mostly related to the complexities of various service levels and requirements for education and certification. CHAMPS requires commitment and investment from the dealer, and many had expressed some uncertainty as to how, when, and where to engage with the program. Those issues are waning as more and more dealers are coming into the CHAMPS program, and some at very high levels of engagement.

Make no mistake, CHAMPS is a major component in Ricoh’s overall services-lead strategy. Ac-cording to Brodigan, the transi-tion to services is key to driving

profitable growth for the dealers, and CHAMPS is the engine that Ricoh will leverage to facilitate that growth. What Ricoh is doing with mindSHIFT is another important cog in that wheel. It is interesting that Ricoh is only allowing dealers to engage with mindSHIFT through the CHAMPS program, especially when you consider that many deal-ers have yet to sign up.

In a separate conversation with Jim Coriddi, we were told that roughly 30 percent of Ricoh’s deal-ers have become certified at some level in the CHAMPS program. It is also worth noting that mindSHIFT has a good history of selling IT ser-vices through its own reseller chan-nel. Given these two factors, it might seem that Ricoh could broaden its coverage by allowing dealers to engage directly with mindSHIFT for IT services. Ricoh, however, believes

that dealers will be better served in the long run by leveraging the sales tools and other resources available through CHAMPS.

From a hardware perspective, Ricoh is making great progress in a number of areas. It has achieved market share and unit growth at a time when the overall market is flat to declining. The firm has expand-ed its A4 product line significantly, while continuing to push improve-ments in the areas of performance and usability across the entire lineup. Meanwhile, Ricoh has be-come a major force in the produc-tion space, which is paying huge dividends for the office channel. Ricoh is not only helping dealers expand into the production print market, it is also providing a clear path to production print services, which is an area that is seeing great margin and profit.

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IT SEEMED TIMELY that our “channel evolution” issue was scheduled to go into production as we were returning home from the ITEX conference. A frequent comment regarding trade shows is that they are a microcosm of the industries they represent. That has commonly been the case in the imaging channel, as trade shows have evolved along with the trends in the industry. Large OEM presences, a plethora of Chinese supplies companies, a focus on managed IT services – you name it and industry trade shows have been exemplary of the trend.

This was certainly the case at ITEX 2015, held in Ft. Lauderdale March 10-12. Once known as “the copier show,” ITEX has gone through a series of changes over the years, and in 2015, ITEX was as much an indicator of the chan-nel evolution as its exhibitors and attendees.

As evidence of the continued importance of managed print to the channel (although the impor-tance of the “print” portion of that title continues to be subject for debate), the Managed Print Services Association (MPSA) held its board meeting and inaugurated its new board of directors and executive committee at the event. To welcome its new officers and thank its members, the MPSA held a reception on the first day of the show at the nearby Bimini Boatyard. Hosted by MPSA cor-porate member Epson, incoming and outgoing officers mingled with

MPSA members and guests, and the mix of members at that event was again indicative of the mix within the industry. Independent dealers joined hardware OEMs,

software firms, consultants, VARs, supplies manufacturers and resell-ers, and more.

The evolution continued on the show floor itself, where one of the most striking examples of the changes in the industry could be seen in UniNet Imaging’s booth. UniNet, known historically as one of the major aftermarket components manufacturers, was showcasing not drums or toner, but printers. The company has evolved in a huge way to become an OEM, and is now producing label printers.

We will be exploring UniNet’s story more fully in a future article, but suffice it to say that this is a

very big deal. The aftermarket has been struggling with any number of forces, causing the companies that operate within it to become stronger, smarter, and more flex-

ible in order to survive, never mind thrive. We have seen a number of evolutionary shifts from these companies, but UniNet’s may be one of the most dramatic. UniNet demonstrated the LED-based iColor printers, which print in full color, white and fluorescent on T-shirts, cards, envelopes and other media and surfaces.

This is a revolutionary move for an aftermarket equipment manu-facturer, but it is representative of the type of evolution we saw at ITEX. Green Project, another aftermarket stalwart, had a line of economy 3D printers marketed under the company name GP3D and selling for under $600. With a

Channel Evolution in Action: Trade Shows Represent the Changing Industryby AMY WEISS

REVOLUTIONARY EVOLUTION: UniNet Imaging, a traditional player in the

aftermarket components space, introduced its new label printer line.

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April 2015 37

channel profile

small footprint and at the cost of an iPad, the Sprout printers, while not designed for industrial-strength manufacturing, could easily fall into the “hobbyist” category and make for an interesting alternative market for Green Project.

Another example of the shift in the remanufacturing and supplies segment of the industry was the Clover Imaging Group. If that name sounds only semi-familiar, it’s be-cause its launch was announced just as ITEX began. Clover Im-aging Group brings under one marketing umbrella the numerous devisions developed or acquired over the years: MSE, West Point Products, Dataproducts, Clover Environmental Solutions, OPRA, Axess Managed Print Services, MPS Engineered Solutions, Depot International and Latin Parts. From an industry perspective, it’s a major evolution, although from a trade-show sales perspective, it repre-sents a significant loss in number of booths. Consolidation has many effects depending on where you stand in the industry, both good

and bad, but it’s a reality that has become part of the environment in which we work.

Document management and workflow are also becoming an important part of the channel evolution. A section of the floor designated “document manage-ment” yielded an interesting mix of software providers, traditional

OEMs promoting their scanner lines, and companies like Plustek doing the same. Plustek, just a cou-ple of booths down from industry behemoth Fujistsu, was promoting its less expensive standalone scan-ners, which do not require connec-tion to a computer (the firm also offers larger, faster devicesa).

Education sessions, always a good indicator of the temperature of the industry, were many and diverse as well. Included in the lineup were tracks for document management, managed services, and perhaps most tellingly, “trans-formation.” In “Transformation by Example: A Dealer Case Study,” BPO Media’s own Chief Analyst Robert Palmer led a discussion between PERRY proTECH’s Jeff Boate and MWA Intelligence’s Mike Stramaglio, exploring fun-damental shifts in technology and workforce dynamics. The session examined how PERRY proTECH transformed its model to capture new revenue streams and reduce its dependence on print and print-related services – a definitive example of the quickly evolving channel.

JEFF BOATE of PERRY proTECH explains the evolution of the company’s

business model.

PLUSTEK’S ESCAN A150 – a standalone scanner that was one of many

scanning devices evident on the show floor.

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magazine website e-bulletins research

Channel Profile Profiling an independent channel dealer or VAR and how their corporation is structured

to support managed service offerings. Executive Corner Interview with a noteworthy industry executive

discussing the industry, their program and what managed print services means to their business. Features In-depth looks at the cutting-edge topics, timely issues, products and technologies that make the industry tick. Vertical Profile Analysis of managed print

trends in a specific vertical market, complimented by a case study of an individual company within that market and tips on how dealers can approach

companies in the target vertical. ertical Profile Analysis of managed print trends in a specific vertical market, complimented by a case study of an

individual company within that market and tips on how dealers can approach companies in the target vertical. Channel Pulse Summary of the

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April 2015 39

WHAT DOES CHANNEL evolution look like to those from within? We decided to find out by asking a few questions of some industry leaders, giving them the opportunity to answer some or all of the questions. The answers, like our panelists, are diverse, surprising and informative. Our panel this month:

When and how did you begin working in this channel?Dennis Amorosano: I’m in my 21st year at Canon and I was in the computer industry prior to com-ing here. I actually worked at both NCR and AT&T Global Information Solutions after AT&T had ac-quired NCR, my path to Canon was driven by me wanting to move from a direct sales-type role to a marketing role. But when I entered Canon, Canon was just beginning the process of bringing our first digital multifunction technology to market. So I

had the opportunity to get here at a time when we were bringing a technology that was completely foreign to what most copier dealers had experience with. Having been in the computer industry for four years, and coming to the copier industry where very few people had any detailed background in terms of IT technology and networking, I got in on the ground floor when I came to Canon. We were very fortunate in that we had a very successful standalone analog copier business and we really used that business and the revenue we were creat-ing there as a way of incubating the digital busi-ness. Over time the digital business expanded and we were very successful in driving that business expansion, and of course today it is our core busi-ness. It was a really amazing evolution to see what took place over the 20 years that I’ve been involved in this channel.Jennie Fisher: I began working in this channel in 1990 with GE Capital. I was there for two years prior to joining Tony (Golobic, chairman and CEO) as he started GreatAmerica.Lance Hale: I began working in the imaging chan-nel in 2004. Troy Casper, founder of Compass Sales Solutions, introduced me to the need that sales rep-resentatives had for gathering print volumes to use as a basis for contract proposals. The first version of Print Tracker Pro shipped in July 2004.

What is the most positive change you’ve seen? What is the most negative change you’ve seen?Jennie Fisher: The most positive thing I have experi-enced is the evolution of technology and solutions that have provided additional opportunity for our dealers. GreatAmerica is a value-based company for a premi-um price. This makes it tough for us to compete when all we have to compete on are rates. Technology and solutions allow us to focus on the real value we bring to the market and that is helping dealers manage their portfolios, helping them gain efficiencies through sys-tem integrations and offering flexible invoicing options. Today it feels like more dealers are focused on provid-ing high-value, high-margin solutions that are allowing

Channel Chat:What Does Channel Evolution Look Like?

Dennis Amorosano,

VP, Marketing &

Professional Services,

Business Imaging

Solutions Group,

Canon U.S.A

Jim Coriddi,

Vice President,

Dealer Division,

Ricoh Americas

Kay Du Fernandez,

Vice President,

Strategic Business

Development,

Konica Minolta

Jennie Fisher, Senior

VP/General Manager,

Office Equipment

Group, GreatAmerica

Financial Services

Lance Hale, Owner,

President and Chief

Software Developer,

Print Tracker

Mike Stramaglio,

President and CEO,

MWA Intelligence

ChannelChat_0415TIC.indd 39 3/25/15 12:11 PM


them to separate themselves from the competition.Lance Hale: I believe that Managed Print Services (MPS) has caused dealers to focus on providing additional customer service and care. End-user focus has increased as well. On the negative side of things, dealers face a tougher business environment and more challenges with the increasing number of diverse imaging devices that are encountered onsite.Mike Stramaglio: If I had to land on one posi-tive thing I would have to say the explosion of the Internet was the first time that the world of knowl-edge was made available for every human being and every business. It creates innovation by the minute with everything from connecting machines to people, or machines to machines, or social media taking communication that used to take days or weeks and reducing it down to the moment you need it. Every business and every businessperson has all of the knowledge of the world at their finger-tips and you can adjust your thoughts, plans and actions in a moment. We are no longer inhibited by geographic boundaries or technology barriers and your reach is as far and wide as you wish to take it.

What single piece of technology do you feel has had the biggest impact on the evolution of the channel?Jim Coriddi: Without a doubt: digital. Beyond the obvious of how it’s changed the industry and what it does for paper, it also enables you to work on the customer’s network and opens up many opportuni-ties. Digital technology has provided the on-ramp and off-ramp, the entry to the customers’ net-works. Without digital, there would be no services. Furthermore, those dealers who embraced and mastered digital are the ones who are now able to move forward with services. Jennie Fisher: Mobile technologies and cloud solutions – it gives dealers the option to implement solutions at a more desirable price point. It has also highlighted the need and desire for the office equip-ment dealer to move down the managed IT path – exciting stuff!Lance Hale: Smartphones and tablets have had the biggest impact. Before their use expanded, the need to print was more prevalent. Now the need to scan documents and present data in a concise manner is a more visible business requirement. In addition, remote assistance tools and monitoring software with its ability to collect meters and device status electronically, have significantly impacted

the channel. Nothing happens until accurate device information is gathered. A simple, non-invasive collection agent that doesn’t tie up print processes or become a drain on customer resources is the underlying technology vehicle. In today’s business environments, the gathering of status information and metering detail helps dealers determine the placement of new equipment and the services they will offer.

What was the most overhyped trend you’ve seen not live up to its hype?Jim Coriddi: The paperless office. We’ve been hearing about the paperless office for decades, and we’re not seeing anything near the predictions. While we need to continue to evolve and expand ourselves to be more services focused, a drop in page volumes is not what was originally forecasted. That has a huge impact, since we’re heavily invested in the aftermarket. Our aftermarket has been rela-tively flat, if not a slight decline, but again, nothing compared to what was originally forecasted.Jennie Fisher: From time to time I have to ask the question – is print really going away? Many dealers I have talked to in the past month say they have more pages under contract than ever before and continue to see a nice increase. Lance Hale: While it sounds strange, I would say MPS in general has not lived up to expectations. I talk with people who have stumbled getting out of the blocks with an MPS program or are still reluctant to get involved. At times there seems to be as many flavors of MPS as there are dealers. Some even refer to their offering as MPS when it really isn’t MPS at all! The MPSA defines MPS as “the active manage-ment and optimization of document output devices and related business processes” and the definition is dynamic and continues to change over time. MPS is not meter capture. MPS is not putting meters into an ERP platform. MPS is not determining print volumes, yet that’s all some dealers do with their collection tools. Rather, MPS takes shape when dealers help their customers take control of their printing pro-cesses. Businesses that offer MPS in this manner rise above the hype.Mike Stramaglio: I still have a hard time with the whole MPS strategy. I was personally a big ad-vocate of MPS because in the beginning I think it presented a lot of possibilities for the imaging chan-nel, and of course many dealers have indeed made it a successful strategy. Yet I always believed MPS would be an intermediate step toward a much more


April 2015 41

channel chat

lucrative opportunity with managed services as the ultimate landing zone. However, I always believed in order for the imaging business to enjoy long-term success a few important factors would have to come together. The supply chain must be auto-mated with a viable open architecture ERP capable of embracing the ability to actually employ a new standard of enterprise where everything speaks to each other with relative ease. This would allow for “service” type sales that include digital signage, se-curity, medical equipment, copiers, MFPs and other adjacent technologies capable of growing legacy business and creating new growth.

What innovation have you tried that’s failed? Jennie Fisher: Our InTune product, which was an online survey tool that allowed you to gauge the customer satisfaction of those that had either recently received new equipment or service from your company. The InTune program would compile and deliver the survey results to the dealer, allow-ing them to easily identify their current strengths, areas for improvement and opportunities to provide higher customer satisfaction. I really thought this would take off, understanding that the percentage of dealers that survey their customers is very low. I see the value we get from doing our annual customer satisfaction survey, and feel this could have been very valuable to the dealer community.Lance Hale: A few years ago we generated a report for sites that [listed] devices needing supplies that also included other devices that would soon be needing supplies. Although the report was accurate, the process was not adopted because tracking of alerts that had not yet occurred proved more difficult for dealers than anticipated. It’s much like Thomas Edison said when he talked about his failures to make the light bulb: “We know lots of ways that don’t work!”

What innovation have you tried that’s succeeded?Kay Du Fernandez: My personal favorite, cool evolutionary product innovation was the creation of the the bizhub MarketPlace for MFPs. Think of Apple iOS apps on the control panel of the MFP. Dealers, developers and manufacturers have the power to create innovative solutions that directly benefit customers and end-users. It offers a tremendous opportunity to monetize and create completely in-tegrated solutions. I recently attended the South by Southwest (SXSW) Interactive conference in Austin,

Texas, and further recognized the visual power of design. In addition to developing great products and solutions, our job is to keep customers engaged and forge lasting connections. When something looks at-tractive, works right, and is easy to use it sparks an emotional connection.

Think of all the apps you can’t live without; my “go to” apps are United Airlines, Waze for out-smarting traffic, Flipboard for news, and Twitter. They simplify my life, are well designed, and keep me engaged and connected as a customer. We’ve created this same type of engagement on our MFPs. The Konica Minolta bizhub MarketPlace has a number of apps that simplify scanning, rout-ing and workflow into many popular hosted and on-premise solutions. Our apps include connec-tors to Box, Dropbox, Google, Sharepoint and FilesAnywhere, to name a few. The MarketPlace provides a platform that designs beautiful images and corporate announcements to display on the bizhub control panel, access a library of forms/templates, and further optimize workflow around the device. We’ve taken our products and solutions one step further and are developing and designing for engagement.Jennie Fisher: Collabrance – becoming a managed services provider. Again, many dealers are moving in, or interested in moving in this direction. This al-lows an option for them to partner with a company that is not tied directly to their customer base. This, combined with our SL-GAMIT Groups, SLIQ and Pathshare, are powerful tools that are expediting the education and tools to move down this path more efficiently and effectively.Lance Hale: Utilization of the Print Tracker One-Click deployment feature has been the most successful recent innovation. With this “simple” approach, administrators create “One-Click” de-ployment emails that can be sent to customers for self-installation of the collection software. Because most installations take just a few minutes, going onsite to complete a two- to three-minute job is not cost effective. Simple installations, requiring noth-ing more than the acceptance of a few prompts, are easily completed with this tool. “One-Click” also allows dealers to re-establish communications when their customers change out servers, worksta-tions, or operating systems. When dealers notice an installation has stopped sending information, they simply send the customer an email with a link. When clicked the collection software is installed and service is restored.



What’s the next big thing?Jim Coriddi: What’s exciting is that the next big things stem from businesses we’re already in; for example, production, services and other forms of communications. Production continues to expand, and it opens opportunities for the dealer to go to a wider base of customers. Services is still in its infancy and there is much opportunity to grow there as well. Other forms of communications include Visual Communications, Signage and other forms of communications at Ricoh technologies that we’re bringing to our dealers to help them further expand their relationship with their customers.Kay Du Fernandez: Technology is changing the way we interact with those around us—especially in the workplace. As the mobile working popula-tion increases, there will be more enterprise col-laboration tools to bring remote workers together. Our Business Innovation Centers are working with strategic partners that are reimagining and rethink-ing the workplace and workforce of the future. They are focusing on smart office technology including sensor-based technologies and workplace automa-tion and leveraging presence sensing technology to define the future of the workplace. The company is already working with 150 organizations and opened up its application programming interface for other companies to develop new and interesting uses with its smart office technology. Jennie Fisher: For us, it is seizing opportunities to finance emerging technologies – software, digital signage, 3D printing, etc. Though it may take sev-eral years to gain much traction here – it will come and we will be able to provide our dealers with financing options that help them close the deal!Lance Hale: Intelligent data mining from scanned documents will likely be the next big thing. So much information can be stored electronically now. Data will need to be extracted to provide insights on how to best manage business processes.Mike Stramaglio: The only way I can possibly even begin to answer that question is to use a phrase I don’t even like to use because it is so cliché and overworked. With that as a backdrop I have to point to “the Internet of things.” Everything today is headed toward speed, mobility, workflow; automate everything. … Specifically in the imaging channel I believe the next big thing in the near term will be driven by the adoption of a fully automated supply chain capable of quickly facilitating everything with highly innovative and true e-commerce functionality, creating the impetus for what will finally lead to the creation of the first level of de

facto standards … for an industry that has been frus-tratingly slow and literally incapable of adopting what is an imperative in most industries today. Everything must be real time, real data, trending, using predictive buying patterns, anticipated analytics and services rather than just providing “service.” The value-add or the brand distinction can no longer be managed by “controlling” the industry but rather by who can adopt it better, faster and with greater focus on being first with innova-tion, client care, ease of doing business and providing the best big or little data with which your client can im-prove his/her business opportunities and effectiveness. MWAi is playing a major role in the the development of the imaging channel’s “Internet of things” because we are indeed the new open architecture who can fan the fire of all other adoptions, making it easy for other companies to rally around curing pain thresholds and establishing new ways of doing business.

What single evolutionary advancement would help you and your business succeed? Jennie Fisher: I am not sure, but it is going to have something to do with integrations!Dennis Amorosano: At the time we were making the transition from analog copying technology to digital network connected, I can vividly recall us sitting in headquarters and saying to one another how hard it was to make the transition. Then of course we made an additional transition to layering on software and then layering on services.

When I look back now, going from analog to digital technology was a walk in the park by comparison to the transitions that followed. I think this next transition is going to be harder than the last. The business in many ways is getting more complex — I think more complex just given the nature of the kinds of technologies and solutions that are entering the market and more com-plex in terms of the ways in which customers want to use the technologies.

We are very rapidly moving to a point where many of the things we’re delivering on behalf of the customer are mission critical because they’re ultimately intimately entwined in the way in which the businesses work and responsible for driving key operations that help those customers generate revenues.

We need the channel to be making investments into technology and innovation and accelerating their busi-ness model transitions so that they are more prepared and more equipped to take on these new areas as they emerge. The recipe for success will be having a robust delivery mechanism to the channel for Canon’s innovations.


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