Enterprise expertise

Miguel Villalonga, CEO of Emitac Enterprise Solutions, tells CME how the company plans to leverage its longstanding expertise in the region to extend its reach and diversify its portfolio

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Enterprise expertise Emitac Enterprise Solutions is looking to diversify both in products and territory, says Villalonga. (ITP Images)
By  Mark Sutton Published  March 23, 2011

Miguel Villalonga, CEO of Emitac Enterprise Solutions, tells CME how the company plans to leverage its longstanding expertise in the region to extend its reach and diversify its portfolio.

Channel: Emitac has undergone a long period of transformation over the past few years, with the creation of the four business units and so on, where is Emitac Enterprise Solutions today?

Miguel Villalonga: Emitac Enterprise Solutions has been able not only to grow in the top line, but actually we have seen a very, very significant growth in the bottom line, which means that we have been able to manage our operations. In our specific unit, the growth in 2010 from 2009 for you to have an idea in the top line, the sales growth has been 9% approximately. The gross margin growth has been double digit, 12%, the net profit growth has been 75%. We’re very, very well positioned for growth in the next couple of years.

The overall idea we have been relying on is a very strong strategic relationship with HP, for the last 30 plus years, which we are very keen to continue. But we realized that if we want to really be a player in next 5 to 10 years, we have to have a certain critical mass in the region. So that leads us to go into two directions. One direction is the portfolio diversification. HP is diversifying their portfolio so we are diversifying with them. There are some complementary offerings that we are bringing into the portfolio. We have decided to work with Microsoft more aggressively and strengthen our overall relationship. The other dimension is geographical expansion. Emitac Enterprise Solutions is basically focused on the UAE, so the idea is to go with our customers wherever they are and try to expand in the region, initially in the Gulf.

Channel: Will you be setting up new offices in the region?

Miguel Villalong: In the systems integration business, our primary role is to be close to our customers, and to have appropriate service delivery capabilities close to our customers. That means that we will have to open offices and have real presence in those countries. We need to have direct presence, especially from a professional services point of view, it is very important to have the people deployed where customers are.

Channel: Are there any particular countries where you think you are going to be moving first?

Miguel Villalong: We have been analyzing several countries, mainly in the Gulf and North Africa. Due to the North Africa situation, we might take that a little bit more cautiously.
For the rest of the Gulf, we have a partnership in Qatar, QDS that is growing as well and we are very keen to work with them to help them grow. Saudi is a very clear market where we have a very good opportunity. At the end of the day we are a fully local company, we’re fully GCC-owned company, so the boundaries that we have in the GCC should not be much of a problem.

Channel: Will you be able to expand with existing customers into new markets?

Miguel Villalong: Our enterprise business is focused mainly on three growth pillars, government, telco and banking, although we touch all the pillars. Normally these organizations in the Gulf are quite constrained in their geographical reach, so we will try to leverage our relationships from here, but I think the main strength would come from the references that we have, from the experience that we have built over last 30 years that we have been in the market.

Channel: EES has been appointed as a direct large account reseller for Microsoft, do you have any other plans with vendors?

Miguel Villalong: We’re looking at expanding the portfolio and I think that’s something which is a natural risk management measure for us. We cannot rely on one partner going forward.

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