My Afternoon With Michael Dell
Bob Venero, the CEO of Future Tech Enterprise, a Holbrook, N.Y. solution provider recently honored with a regional growth award from close partner Hewlett Packard, broke bread Wednesday with a long-time channel antagonist: Dell founder and CEO Michael Dell.
Dell's visit to Future Tech was in keeping with his strategy of winning support of solution providers skeptical that the company's run for the channel roses is for real. After a two-hour-session with Dell himself, Venero says the Dell channel assault is more than empty rhetoric.
"We definitely were leery," said Venero, who sent Dell an email with an offer to meet the legendary entrepreneur face to face and was excited to get a response. "I wanted to hear from Michael their direction and commitment. And we have seen it and heard it. From one entrepreneur to another we will go and do business together."
"I believe he (Michael Dell) is committed to the channel and that he is committed to growing the channel business," said Venero.
Venero said the Dell visit lasted from about 1:45 p.m. to 3:40 p.m. and included a tour of Future Tech's 65,000-square-foot-facility. "He walked through the lunch room and said hello to a couple of folks," said Venero. Dell didn't stop for lunch, but did have some fruit, said Venero.
"He (Dell) is a legendary entrepreneur running a $62 billion company who responded to an email from an entrepreneur of a $100 million company. That shows a certain amount of respect."
Venero was a reseller of both Equallogic and Everdream before Dell bought the two channel exclusive vendors. Now both those Dell divisions are going to market with Dell's direct sales reps in addition to channel partners. That doesn't bother Venero. He says that is no different than HP or IBM.
"There are going to be opportunities where we are going to be aligned with Dell and there are going to be opportunities where it doesn't make sense for either company (to partner)," said Venero. "We have those same decisions with HP and with IBM. Because at the end of the day, there are opportunities where we compete with the HP and IBM direct models."
NEXT: Comparing Dell And HP CEO Mark Hurd
"I am optimistic about continuing our relationships with Everdream and EqualLogic," said Venero. "We have already seen enhancements to the Everdream product portifolio wth the tie in of SilverBack. That is enhancing the offering into the customer set. EqualLogic is fairly new but we hope to see the same investment in research and development and enhancement."
All the talk of the Dell visit aside, the Dell business at Future Tech represents only about several million dollars, including the Everdream and EqualLogic business. Future Tech's HP business, meanwhile, amounts to more than $20 million.
"This is not a slap in the face to HP," said Venero. "This is a directional-based growth initiative to support the customer base and grow and gain new share within customers with a tool that we might not have had in the past. That tool being Dell. At the end of the day, what I see in this is the value of corporate America having access to two large companies that have breadth in product and software and solutions to choose from"
Venero said his session with Dell was a "relaxed, comfortable conversation about business growth and goals. He wanted to know about our business and the good and the bad of Dell and how he could help with what we need to see as a partner. He is saying all the right things. There is no question about it.
"He didn't come here and blow smoke," said Venero. "There will be times we compete with Dell and times that we don't."
"There is no question that we see our Dell business growing," added Venero. "We have been working with Dell for the last seven years, just not in the traditional channel perspective but from a one off opportunity. This gives us the opportunity to focus and grow the relationship and the revenues."
The next step for Future Tech is to put together a Dell business plan, said Venero. "From what I am seeing it is going to be a dual investment strategy," he said. "Dell is committed to investing in us and vice versa. That investment will be in multiple areas including sales and support."
So how would Venero, who recently was part of a roundtable session with HP CEO Mark Hurd, compare Dell and Hurd? "They are very similar," said Venero. "They are both very sales driven and focused and both extremely down to earth and approachable."