The Fourth Of July and the American Way - Wal*Mart

July 4, 2008 -

Celebrate the 4th - go buy something, go sell something, anything...just like Wal*Mart...

I was disparately seeking a timely and interesting subject for a Fourth of July post - and two of the sites I visit most, provided me with WAL*MART.

Cory Smith's "I love Walmart but I hate them too." post resonated with me as well as Ken Stewart's Global-nomics At Work In Your Backyard. Excellent work, gentlemen!

But I think this all started over here. A great site mixing Technology with Politics(YIKES!) I love the mix, I love the argument - Tsudohnimh is the author, go check it out.

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You may ask, "What in the world does Wal*Mart have to do with Managed Print Services, Edgeline, or printing?"

Good question. On this blog, we talk specifically about printing - but in a "galactic" sense, I am really talking about the application of technology in the business world and the impact/results of that application.

So how did Wal*Mart get so big? The answer, my friend, is through the application of technology - something we Americans do quite well and should be more proud of.(U!S!A!)

History Lesson - Back to the Future

Do you remember Mr. Kresge? No?

Ok, to be fair, I know of the Kresge name because I grew up in his "back yard" and the library at my University had his name on it. But Sam owes Sebastian everything - and Sam knows it.

"Sebastian Spering Kresge opened a modest five-and-dime store in downtown Detroit...and changed the entire landscape of retailing. The store that Kresge built has evolved into an empire of more than 1,500 stores and an Internet presence that reaches millions of customers...

"When Kresge opened his first store in 1899, he sold everything for 5 and 10 cents. The low prices appealed to shoppers and allowed him to expand to 85 stores in 1912, with annual sales of more than $10 million..." - 

sound familiar?

Happy Fourth!

We hold these truths to be self-evident... that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.

Konica Minolta - The Next IKON

Know thy self-

Today, Konica sells boxes, and they do it very well... yet their portfolio of EDM is growing and the phrase, "Konica Managed Print Services" is starting to hit the streets.

Konica/Synnex/PrintSolve -

One company, a copier company, can offer clients total print management. Konica reps can first place copiers, gaining credibility and determining their client's internal decision processes. Once this is done, in addition to gaining more "share of wallet" by adding new machines, the Managed Print Services angle can increase profits, account control and establish Konica as a partner intent on helping the client reduce costs.

From the Konica Minolta website, " Konica Minolta, together with SYNNEX Corporation, offers your business a way to enjoy precise control of printing costs, the latest in printing technology, better workplace efficiences, and improved total cost of ownership."

The Managed Print Services selling process may go like this:

1. Establish relationship with Purchasing/Facilities by selling Konica copiers.
2. Build upon the initial relationship by offering up a "free" print analysis.
3. Run PrintSolve's USB audit tool to obtain monthly average volumes.
4. Send inventory report to Synnex
5. Synnex determines which devices to support, the number of toner cartridges, maintenance kits, etc. required for the total volume of the MPS agreement, generating a total cost.
6. Synnex gives Konica the cost per copy, who in turn adds a margin and proposes to client.

The client signs agreement with Konica Minolta. The program is a cost per copy which includes all supplies and service for the life of the agreement. The customer calls Konica- or may even call Synnex directly for service and supplies - dependent on how Konica works with Synnex.

Now the above scenario may not result in a Managed Print Services Agreement as I define it, but in a Managed Print Supplies Services Agreement - I am not sure who would provide the actual service or maintenance work.

But wait - there's more.

If we look at Konica's EDM portfolio you will see companies like Captaris, E-Copy, Planet Press, and Digital Storefront. Now look at IKON's portfolio and you will find, Captaris, E-Copy, EFI, Westbrook, EMC, etc. IKON's portfolio is more robust. But Konica Minolta is growing and adding staff - IKON is not.

The bottom line here is K/M is growing into the services space at a controlled and managed rate - with what appears to be a plan. True, "full blown" Managed Print Services should include Electronic Document Management Solutions as well and the company that can articulate the value and support a multi-faceted, longterm, combined MPS/EDM strategy will elevate beyond the box and truly help clients save money.

If we apply the Photizo Group's "Three Stages of MPS Adaption" EDM is within the 3rd stage of the three stage process and if correctly marketed and implemented, Konica Minolta could position itself as the "Go To" MPS/Copier provider.

Watch Konica Minolta.

SideBar:

Synnex and Kyocera, Konica Minolta, Edgeline: Konica is not the first to position Managed Print Services through distribution -

Kyocera - October, 2007

"The Fairfield, N.J.-based vendor said it was teaming up with Synnex, Fremont, Calif., to combine its EcoPro lineup of printers with Synnex' Printsolv managed services offering -- an offering that provides assessment, tracking and management functions that solution providers can deploy in print MSP deployments.

In jumping into the space, Kyocera Mita executives are hoping the company can broadly expand its channel footprint beyond its direct sales, office products channel and retail, as well as change its business model to cost-per-page from hardware and supply sales."

70 Years of Xerography -

I caught this article from The Sunday Times by Benjamin G. Defensor

- "A few weeks back, the Xerox process celebrated its 70th anniversary at the Drupa 2008..."

The author summarizes Xerox copier history fairly well.

E-Automate and PrintAudit

Most copier dealers know e-automate but what about PrintAudit?

Nice post here about the integration of these two tools.

A Week In The Life of Managed Print Services

June 2008.

One thousand miles and so far, yet to go.

Day One Victorville, California

Pre-Proposal Meeting - To review an RFQ for a small (30) fleet of copiers. Imagine if you can, a room full of copier people, all of them competitors asking questions relating to an RFQ. I sat in the back of the room and bit my tongue so many times I still talk with a lisp.

I swear, the copier guys still don't get it - but unfortunately, I don't think the prospective client gets it either - so it could be a match made in heaven for someone other than me. No worries.

Day Two - Santa Barbara, California - Initial Client meeting and printer fleet survey -

Ok, this is the "eat your heart out" part.

The drive to this client takes me past the Rose Bowl - yeah, the one you see around New Year's Day when Michigan comes out here and loses. Seeing the stadium always kindles something inside me - I remember watching the Rose Bowl on TV in Michigan looking at the sun and the short sleeves and shots of the bright, warm beach. Then looking out my window at the cold, post-x-mas, snow. LOL!

And then I remember the drives into Detroit or Flint in February - these cold, delayed stress-inducing visions are scattered as the turn in the road reveals the shimmering sunlight dancing off the Pacific Ocean! (yeah, that the Pacific Ocean).

Up the PCH to talk about Managed Print Services. 

The meeting is with all the right people - C-Level, facilities, operations.

During the meeting, I was instructed to "just inventory the fleet, so I can get a handle on what we've got here". Simple.

Same Day - Onward to Diamond Bar

Stopped in to review an Edgeline install. The client is 'stuck in a lease for a Konica - the Konica has never performed to spec, and for the last few months, prints with a "pinkish hue". Unfortunately, most of the reports printed are customer-facing documents reflecting important and revenue-generating information.

The lease has around 20 months on it still and of course, there is no easy way out. So the client is taking the Edgeline and moving the Konica off to the side as a backup that will act as a reminder to never do business with a copier dealer again...delicious.

Day Three - Imperial/El Centro, California. Four miles from the Mexican border.

Driving past the Windmills - you've seen them on MI:3 and many other movies and to the 86. The highway winds through the desert next to the Salton Sea. Point of fact, the Salton Sea was formed by accident; I have never seen swimmers in or boats on the Salton Sea.

I am currently engaged in a study of approximately 30 machines. This is a Mini-Assessment - a partial look at a subset of 400 copiers and nearly 100 single-purpose laser units. At the first look, we may be able to save 10's of thousands of dollars the first month after initiating a program.

Day Four - 210-bed Hospital - Mini Assessment

Meeting with IT director to interview and survey two departments. We end up looking at 4-5 departments and discussing strategy - the appointment takes 3 hours. Interviews with nurses uncover volumes of issues some out of scope but influential on the overall possible Managed Print Services project.

Primary findings indicate an "over-exuberance of selling prowess" in the last copier salesperson's delivery. The current fleet is over spec'd and underutilized - and machines are just too big(physically).

Same Day - The Hurd Meeting
After spending time at a local Starbucks sending emails and making phone calls, I head out to Hollywood(yes, that Hollywood) to meet a colleague before he meets with Mark Hurd and one of my clients.

We decide to meet at the Beverly Hills Hotel(yes...the hotel that inspired the Eagles', Hotel California) in the bar, The Polo Lounge.

Point of Fact: The Beverly Hills Hotel was built before the city and the city was named after the hotel. The hotel is nestled in a residential area and is the heart of the city.

The Polo Lounge is world-famous - with celebs sipping Martini's almost daily. It's four o'clock in the afternoon - ordering a Martini I ask the bartender to "surprise me" - she delivers the best adult beverage I have had to date - I have no idea what is in it. Prior to walking in, I had never heard of the Polo Lounge - I am such a cad.

My colleague walks in and promptly orders water - oh 0h - I tell him, "don't feel uncomfortable with me drinking a Martini", he responds, "Please don't feel uncomfortable with me ordering water." we laugh and get down to business. We are reviewing the RFQ from our meeting four days ago.

Same Day – After 5

My client’s meeting with Hurd is concluded and as a special treat, one of my peers has invited a select group to accompany him and our client to the Magic Castle. I had heard of this establishment before – lots of magic, exclusive, club members only, great food, and libation.

But before we meet for dinner, my peer inflicts upon our small convoy “Mr. Toad’s Wild Ride” through the Hollywood hills (Bob Seger). Just when I think all is lost, we pull off into one of those “scenic” view spots. We scramble out, jog up a few steps, and BAM! The view is of the complete L.A. basin.

Starting on the left and rotating clock-wise we first see the Hollywood sign, then Madona’s old house,  Griffith Observatory recently seen in Transformers, the L.A. skyline dominated by The US Bank Tower they blew up in Independence Day, the Capitol Records building that was destroyed by tornadoes in The Day After and over to Century City and Santa Monica the areas destroyed in the movie Volcano.

And now - to the Castle. The dinner was great, the entertainment was world-class and business was discussed – a good time was had by all.

and with that...another week in the life fades to black...Ho Hum…

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