Buying Rock Stars
September 6, 2007

By now most of you know that EMC purchased BusinessEdge last week. For those of you who aren't familiar with BusinessEdge, it was a privately held Consulting-Systems Integration firm. EMC's press release defined its value proposition this way;

"With a world-class, blue chip client list and well established multi-year customer relationships within the Fortune 500, BusinessEdge's industry professionals add deep vertical industry thought leadership and business consulting and delivery capabilities in the critical areas of compliance and risk management, business process analysis and improvement, and information management".

EMC also says that the acquisition won't negatively impact its systems integration business partners. I quote: "We're a hardware business," said Tom Roloff, Vice President of Strategy and Business Development at EMC Global Services."We don't do services for services sake. We'd like to see our partners do more." Oh really? Then why has EMC acquired four solution providers in less than two years?

Now in the spirit of full-disclosure, we're not an EMC partner or a Systems Integration firm, but we have placed leadership within a number of them, as well as at Documentum itself in it's pre-EMC days. We also contract-out the world's leading Documentum professionals who want to choose their projects and keep a larger cut of their billing rates.

That being said, we've spent more than a dozen years building a database of Documentum Professionals and getting to know them all. We do know who's who, where they work, and what they're good at (and through the discovery process, we know who's not so good too.) And guess what? There's been an unprecedented migration to EMC. (and not all of them are A players.)

So, why is this company in the "Hardware Business" buying System Integration firms and hiring-up? Is it not to extend its services reach? I think Chuck Hollis tells the story in his post Do You Build ... Or Buy?

"From a strategic perspective, once you've decided you want to play at a serious level, you've got to figure out how to get there.

Lots of companies hire a few people, announce their new practice, and hope for the best. I call this the "four guys and a dog" approach to getting into the services business.

On a practical level, there's no way to achieve size, scale and proficiency using this approach. It rarely hits critical mass -- and, because the way services growth is funded -- it grows very, very slowly, if at all.

The other alternative is to go out and buy a rock star or two. EMC did this with its Microsoft Practice: We acquired three service specialists, and -- voila! -- we had impressive scale, scope and expertise in a very short amount of time.

Our approach to Information Management follows this second line of thinking. We acquired BusinessEdge Solutions, a privately-held company with amazing credentials that was doing very well in this space".

Isn't it interesting how Roloff's (Vice President of Strategy and Business Development at EMC Global Services) "WE'RE A HARDWARE BUSINESS" comment conflicts with Hollis' (Vice President of Technology Alliances at EMC) blog post?

My conclusion? EMC either doesn't trust its Service Partners to advise and implement their products OR they want to make money doing it themselves.

I'd prefer to believe the latter. But who knows? Look how Hollis describes BusinessEdge's value proposition in his blog.

"These are very cool guys. They know their stuff. They organize by vertical".

If that's all that BusinessEdge brings to the EMC table, then existing EMC-software partners and independent Documentum consultants have nothing to fear.

And if BusinessEdge really does rock, then the service partners and the independents can have the business EMC doesn't want or can't handle. I know that my team will be, and always has been ready to handle the latter.

Posted by admin at 7:30 PM | Comments (1) | TrackBack (0)

Comments (1)

I think the reason for the disconnect may be much simpler. In my experience, EMC (Hardware) still sees EMC Documentum as a separate (almost non-EMC) entity - at least in the subconscious. More than once, I have worked on projects where EMC Hardware team members would disown Documentum issues as EMC issues. While the customer would be going, "Isn't Documentum an EMC product?"

---

POST A COMMENT

BrilliantLeap! would love to hear your thoughts. Please join the discussion by signing up via TypeKey.

What's new in Enterprise Content Management, Regulatory Affairs Publishing, technology, and YOUR workplace.

Recent Entries
Documentum Partners- Wake-up!!!
An Antidote to SharePoint Gone Viral
Time to diversify?
Shift Happens
EMC is Going for a Double Play

Categories
Breaking News!
Time to diversify?
ECM 2.0 ?
Alfresco?!
A Different Sort of Release
Career Development
What's a developer anyway? (Part 1)
Posting your resume on the web? Think again!
Debunking Technical Career Ladders
Content Management Definitions
ECM Defined By Alfresco's Newton
What is Content Management Anyway?
Content Management Vendors
It's all good?
View from the Couch
A "New" Kid on the Block
What's Da Veather In Vendorland ?
"Surprise! Surprise! some more," says Gomer
Documentum Related News
Documentum Partners- Wake-up!!!
3D Blueprinting- Will it help sell Documentum?
Why not wikify Documentum documentation?
Slice 'n Dice
One Step Forward, Two Steps....
Emerging Trends in Content Management
Free, free, set them free
The Blissful Ignorance Effect?
Brilliant Outsourcing
Information? Content? Records? Buzz, Buzz!
A Conflict, a Ray of Light, and a Link to a Drink
Just Because We Think It's Cool
TWEET Lately?
A Midweek Treat
On Being Brilliant
On Being Brilliant
Regulatory Affairs
If It's Technically Deficient- It's Not Here
Timing is Everything. Or is it?
Regulatory Publishing Vendors
What Keeps Regulatory Professionals Up at Night?
Rumors
Sharepoint - Friend, foe or irrelevant?
What's Hot in the Documentum Marketplace
Outsourcing a Problem for Documentum Pros?
"Surprise! Surprise! some more," says Gomer
What's Up at EMC?
EMC is Going for a Double Play
Joe Tucci Shops Some More
Buying Rock Stars
The Evolution of Content Management- A Wide-Angle View
The EMC Lens
What's Up in ECM ?
An Antidote to SharePoint Gone Viral
Shift Happens
At AIIM- Simplicity produces challenges?
Not Quite a Top Ten List
Google Your ECM
Whats up with EMC!?!
Documentum and SharePoint- it ain't either/or, it's a new game


Bob Sutton - Work Matters
John Newton - Content Log
Subject of Work
DrunkenData.com
Information Governance Engagement Area
Regulatory Affairs Syndicator
Laszlo Letter
Ask Johnny! Documentum Guru

May 2008
S M T W T F S
        1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28 29 30 31

Blog Archives