Juniper to tweak focus of distribution partners

Networking vendor ponders territorial approach to minimise overlap

Tags: Juniper Networks IncorporatedMindwareRedington GulfWestcon Middle East
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Juniper to tweak focus of distribution partners Taj El Khayat says there will be a restructuring of the countries that its existing distribution partners are authorised to serve. (ITP Images)
By  Andrew Seymour Published  September 25, 2010

Juniper is scrutinising its distribution structure in the Middle East as part of a move that could lead to the geographic focus of each partner becoming more tightly defined.

The company currently has regional contracts with Computerlinks, Mindware, Redington and Westcon, but is evaluating whether dividing up the market would lead to greater supply chain efficiency.

Taj El-Khayat, Juniper's Middle East channel chief, stressed the networking vendor had no plans to axe anybody from its line-up, but confirmed it would be "rationalising" its distribution business. 

"There is going to be a restructuring of the countries, but in terms of terminations or cancelling contracts - or any of those rumours - that is not on the horizon at the moment," he said.

El-Khayat revealed the vendor had already begun assessing the market share and sales performances of its distributors and would consider such factors when determining the value that partners can offer in each country.

He added the vendor wanted to "limit any kind of overlap" and said that going forward it was unlikely that Juniper would have four distributors focusing on one country as it has done in the past.

"We have all the players we want, so it is now about how we divert focus for every distributor in the different areas that they can add value," he explained.

El-Khayat also revealed that since the economic downturn Juniper has initiated a number of measures to help Middle East distributors overcome the fiscal challenges they face, including added financial flexibility and larger credit lines.

"We have added a significant increase on credit terms to help them facilitate credit to their channels, and we have also become more flexible in stock rotation and RMAs to help them manage inventory costs," he said.

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