By the time you read this, Microsoft will have once again announced major changes to its indirect channel, those “feet on the street” resellers that are the primary point of contact — and success or failure — for the millions of small and medium-sized enterprises that consume enterprise software.
This constant tweaking of Microsoft’s partner model, which last took place in July 2008 at its Worldwide Partner Congress, follows similar efforts at virtually every enterprise software vendor. In fact, regardless of the size of the prospective customer — small, medium, or large enterprise — if a vendor has a partner channel, chances are that channel is being reassessed as never before.
While channel reorganizations are rarely noteworthy, the ones taking place this year are different for two important reasons. The first is that most vendors are realizing they can no longer afford to let a mismanaged channel mess up their customer satisfaction, something that happens all too frequently. The second reason is that the recession has made vendors more emboldened to fix their channel problems, even if it means biting the hand that feeds the revenue stream.
This effort to rein in the channel and in the process make it more responsive to customer needs should be a welcome move for manufacturers. Behind it is the realization that the channel isn’t as customer-centric as it should be, and the vendors need to take greater responsibility for their partners’ activities. Channel partners are anointed, not born, and the vendors doing the anointing owe it to their customers to get the anointment part right. Or suffer the consequences.