Wednesday, October 28, 2009

IKON Delivers Ricoh Pro C900 Digital Color Printer For Grover Printing, A Consolidated Graphics Company

IKON Office Solutions, Inc., a Ricoh company, today announced that Grover Printing, a Consolidated Graphics company, has installed a RICOH Pro C900 digital color printer, giving them greater versatility and enhanced capabilities to better meet their customers’ wide range of printing needs.

Based in Houston, Grover Printing is a one-stop shop for all their customers’ printing needs. They also provide state-of-the-art online solutions and variable data printing, enabling customers to order customized marketing communication materials.

Grover Printing is a Consolidated Graphics (CGX) company – one of North America’s leading general commercial printing companies. With 70 printing companies strategically located across 27 states, in Canada, and in Prague, the Czech Republic, CGX offers an unmatched geographic footprint with extensive capabilities supported by an unparalleled level of convenience, efficiency and service.

“CGX has the largest and most technologically advanced printing capabilities in North America,” explains Ric Davis, Executive Vice President of Operations for CGX. “Our companies are very diverse and offer a full range of capabilities. CGX has the ability to respond to all printing-related needs no matter how large, small, specialized or complex.”

Grover Printing recently decided to make the move into digital printing, and felt the RICOH Pro C900 was a good fit for their needs, giving them more versatility, with faster speeds and excellent print quality. Davis stated, “My team investigated several different digital presses, and the RICOH Pro C900 stood out for several reasons. It produces great quality, giving Grover Printing the ability to offer more robust graphic design and customized collateral via variable data technology. The RICOH Pro C900 also features an attractive price point, from the initial purchase to the consumables.”

Engineered to meet the demanding needs of the production print environment, the RICOH Pro C900 represents an advancement in efficiency and productivity, combining consistent 1200 dpi output with 90 pages-per-minute speed. It utilizes Ricoh’s new image processing technology for unsurpassed quality and fast turnaround times, and can handle a wide range of media, including weight ranges up to 110 lb. cover. Its modular design enables a number of input and output configurations, and offers many production tools for advanced page programming requirements like tabs, inserts, covers and chapter breaks.

The RICOH Pro C900 is designed to have extremely low maintenance requirements, and is backed by IKON’s team of locally based service and support professionals, along with a team of color and production specialists. IKON has many years of experience in meeting and exceeding the demands of corporate print centers and commercial print businesses.

In addition, IKON customers can maximize their color solutions by engaging with IKON’s color and production specialists, and its Professional Services team, who can provide customers with a suite of services and application development, including variable data integration for marketing and personalized communications, advanced color management, forms design, data steam conversion and custom workflow solutions to help improve productivity, reduce turnaround time, and increase effectiveness.

It is IKON’s experience that led CGX to purchase their RICOH Pro C900 through IKON. “Our strong relationship with IKON was key in the decision to purchase the RICOH Pro C900,” says Davis. “We have worked with IKON for several years, and can trust them to come up with innovative ways to meet our needs.”

“The RICOH Pro C900 provides customers with exceptional color quality, extensive finishing options, and complete end-to-end workflow solutions,” says Spencer Adamson, Vice President, Production Solutions and Commercial Print, IKON Office Solutions. “In addition, through IKON’s experience in digital printing, we can help printers like Grover Printing expand their digital printing business and assist them in using technology and advanced solutions to develop and grow their business and offerings, leading to increased profitability. We are proud to partner with CGX and Grover Printing.”

About Consolidated Graphics
Consolidated Graphics, Inc. (CGX), headquartered in Houston, Texas, is one of North America’s leading general commercial printing companies. With 70 printing business strategically located across 27 states, Canada and in Prague, the Czech Republic, we offer an unmatched geographic footprint, unsurpassed capabilities, and unparalleled levels of convenience, efficiency and service. With locations in or near virtually every major U.S. market, CGX provides the service and responsiveness of a local printer enhanced by the economic, geographic and technological advantages of a large national organization.

Consolidated Graphics’ vast and technologically advanced sheetfed and web printing capabilities are complemented by the largest integrated digital footprint of any commercial printer in the U.S. By coupling North America’s most comprehensive printing capabilities with strategically located fulfillment centers and industry –leading technology, CGX delivers solutions that create a spectrum of value for customers. CGX offers the unique ability to respond to all printing-related needs no matter how large, small, specialized or complex. For more information, visit www.cgx.com.

Ed Avella is my counterpart in Houston and is quite a rock star down south. Ed and I were the 2 GAR's for Texas until North Texas gave up waiting for the program to work and moved me over to a specialist position. East Texas/Louisiana was patient enough to wait till he got the program ramped up.

Congratulations to Ed! Your doing a great job!

Happy Hunting,

Pirate Mike

Tuesday, October 20, 2009

Fruit from a poisoned tree; a look at employee turnover and how leadership contributes.


"There are seven things that will destroy us: Wealth without work; Pleasure without conscience; Knowledge without character; Religion without sacrifice; Politics without principle; Science without humanity; Business without ethics." - Gandhi


Once thing that I have learned is that what is bad at one company is good at another. By the same token once you get to the new company you find out that they have issues that were worse than the previous company just in different areas. This is often found out after the fact. Business technology companies often have tremendous turnover, I can attest that I have seen many heads come through the doors to do nothing but turn around and go home. A sales team of 5 will see 3 new faces by the end of the year and those may change out every 8 to 18 months. There is no loyalty from either employers or employees; what we have is an ever intensifying battle to pressure people to produce more for less or be replaced.


When I was at Minolta I felt like I was part of a local team and that team was part of the greater group that was part of the greater good. We were shunned to own anything but a Minolta camera, and at events no one would ever dare be seen with a Canon or Nikon. We were loyal to the products that our company produced even if they were in different divisions than we personally worked in. I worked in the office equipment division, and was part of the equipment sales group. This feeling of belonging allowed us to bare the intense pressure and competitiveness that is found in office equipment sales. When Konica and Minolta merged there was still this feeling albeit not as strong. The leader at the time Jun Haraguchi was very dynamic and was a leader among the men. After the merge he went to each branch office and made himself available. This type of exposure brought a lot of loyalty in tough times.


In contrast I have been at IKON for almost 2 years now and very few leaders inside the organization know me other than the ones that I have been bold enough to force myself on. I have watched top leaders show up, walk across the sales pit to the corner office, stay 45 minutes and leave just as quickly as they came. Most never knew that one of their greatest leaders had come and gone. In fact what you find in many organizations this size is a fear to reach up or to open up communication to those that we report to. In fear we do not want anyone with a relationship with anyone higher than ourselves. And when new information is presented we want to be the one to present it. One of the sad things that I have seen over the last 6 years is the great talent that has come and gone due to the lack of care from management.


Everyone is replaceable. That is the code by which we all live by. And from what I have seen this is a fallacy. This is what desperate leadership says when they have no other way to issue control to an unruly crowd. The fact is that not everyone is replaceable and in fact you do not want to have to replace people they are the lifeblood or currency of the business. People own the relationships that bring the business; what IKON has proven is that companies buy from people not brands. What IKON doesn't understand is that it is much more costly to pay someone to recreate the relationship than it is to just treat people with dignity and respect the first time. I guess they figure to do that might be taken as weakness rather than as strength. The cost to hire someone can be amazing both from a hard cost; ads, recruiters etc and from soft costs; personnel time during interviews and the on boarding process, not the mention the loss of productivity during the vacancy and during the ramp up period. So why does the leadership of companies not take a closer look at their turn over and seek to find out why employees leave their company? Do they just figure if you left then they didn't want you anyway?


10 Ways to Send Them Off!

  1. Salespeople don't leave companies they leave their management – The pressure on top salespeople is tremendous and they must feel that they are in a stable environment. Sales people leave companies when they cannot trust their leadership. Salespeople must be able to identify with the vision of the company and the cadence of the leadership that is in front of them. Good local leadership determines the longevity of the employee.
  2. Work/Life balance is nonexistent – When people are out of balance they burn out and become overloaded. People do not stick with a job that constantly pressures them over the edge.
  3. Compensation / Assignments Change frequently – 2 cardinal sins for any employer is to make changes to compensation or territory assignments. No one wants to feel like they will not get the benefit of their hard work. Long term people work harder if they feel that they will be in the assigned areas and that they will be compensated as they were expecting. There is nothing worse than having to fight for your commissions. Companies should avoid the pitfalls of saving a few dollars by creating complicated compensation plans and focus on what will it take to be successful by helping employees "sell through tough times."
  4. No emotional connection points – People do not work for a "concept." People work for people and work harder if they have a connection or feeling of commitment or obligation. Emotional ties can get top sales people through tough times. Without a solid connection salespeople will look for "greener pastures."
  5. Lack of development – No one wants to feel like they have nowhere to go. And we all want to feel like we are progressing and will "get to the promised land" eventually.
  6. The feeling of insignificance – Lack of recognition for a "deal well done" is another sure fire way to run off your best employees. Recognition is very important in the world of sales, and typically sales people love to be recognized by their superiors and peers.
  7. Being unable to get along with co-workers – Having someone that is unbearable or that doesn't fit into the team's culture is a deal killer for sure. No one is so good that they should be allowed to take down their peers.
  8. Being unable to get along with their boss – This is an age old problem and speaks to poor leadership. A good leadership should set a positive culture and maintain the office integrity.
  9. Politics overtakes the office – Especially during the increasing pressure of our economic times we find that everyone feels insecure. Offices start allowing "self propaganda," either to stave off would be job takers or to ensure our position within the organization. Most people do want to have to perfect being "fake," so providing a "politick free zone" will help your employees focus on what is important!
  10. Lack of respect and integrity – Everyone wants to be respected both for their individuality and for their contribution to the organization. An individual, office or organization cannot prosper long term without a strong sense of integrity.

Executive sales positions are very demanding and the local leadership of an organization has a responsibility to make their employees feel secure. Security comes from having ones needs met. Abraham Maslow was one of the first to look at these phenomena. "Maslow was an American psychologist; he has been most recognized for his concept of a hierarchy of human needs. He was really the leader of humanistic psychology, he was one of the first to look at what constituted positive mental health. Most of his predecessors were focused on the abnormal or ill." 1

Within the layers of the pyramid we find areas of need. A person's job can touch many of these areas and can be a part of someone's life that brings great rewards or can be what brings you to your destruction. The leadership team of an organization is what sets the pace for a great work environment or a total disaster. A great leader with only marginally talented people can always greatly out perform a poor leader with great talent. A good leadership team is what makes a group, whether it is a local sales team, an area branch or an entire group. Each level has leaders that are responsible for the culture and the success of the group is dependent on them. Far too often companies allow leadership to just "push out" employees thinking that "if we had the right people" instead of identifying what the root causes are for the group's lack of performance. Very rarely do leaders look at themselves as the reason for their group's failures. And from an organizational standpoint executive leadership all too often allows managers and local leaders to "blur the lines" between what is good business and what is bad.

This blurring is the death of any group. Especially in sales; the short term successes from this blurring does nothing but make salespeople lose respect for their managers, teammates and company. The deals that are won by this short changing of the process and the "blurring of lines" are what make companies appear sleazy and what earns the public's distrust. Mid level and executive managers and leadership sometimes fall into the trap of not promoting the altruistic vision of an organization and enforcing the rules so that the employees can feel secure that they are not going to get caught in this blurring. Sales people know that if they will blur the lines to win a deal they have no problem doing the same to dislodge you. You are only valuable when you are producing and any deviation could cause your loss of employment. Managers offer up their wins and star performers to leadership as proof of their success when really all they are offering is fruit from a poisoned tree.


This poison if left unaided is what can kill the team, branch or organization. The problem is all too often a leader will offer up these false offerings of success to move forward knowing that what he/she is leaving will be a mess for the next leader that replaces him/her. Many have tried to disprove Maslow's theory but only because it was presented as an absolute, no one would disagree that there is a hierarchy of needs and that we all share many of those needs although it would also be true that our needs may vary from person to person and that one level may be higher on one person's list than another. I would propose that there is also a hierarchy of needs within a sales organization by salespeople and that those needs are all very similar.


Fruit of the poisonous tree is a legal metaphor and I think it is fair to use in reference to a company's leadership. If the leaders are poisonous then any of the fruit of their work should be considered poisoned as well. What seems to be accepted in today's troubled times is that companies are willing to compromise themselves by hiring "snake oil salesman" in an attempt to attain short term success. I do not believe that anything good can come from a company that is willing to compromise their integrity just to gain some sales in the short term. Customers gathered from the orders of such poisonous leaders cannot be maintained long term nor can the salespeople that are brought up under such leadership be successful long term.

Companies that ignore the salesperson's hierarchy of needs are going to not see stability in their workforce because ultimately what you compromise to keep you lose! Just some opinions from a pirate that is getting older and wiser…

Pirate Mike…


1http://www.pbs.org/wgbh/aso/databank/entries/bhmasl.html

Monday, October 19, 2009

Trusted Advisor, the highest level that a salesperson can achieve…

In sales we are always looking for the ultimate sale. For our ship to come in, the mother load of all orders! I would question that supposition with another idea. I think that there are levels or depths that we can achieve in our relationship status that can better serve us long term. These levels or "bridges" if you will (yes I read "how to win friends and influence people" lol about 20+ years ago) bring us to places in our relationship with a client that ultimately will earn us not only the right to do business, but also the right to take the order of all times. There are quite a few levels that a sales person can go through and many exits to the hierarchy. If you progress up the ladder you eventually end up in a new place as the trusted advisor. This cannot be bought you can give all of the good deals you want. You can lose money on their business but until you start speaking the truth and performing your word you will never be in the position to take the "great order."

Here are the levels as I understand them to be:


Of no consequence – This is the first time you walk in; no one pays you any attention as they never believe that they will see you again.


Undesireable – This is the next level as they identify you as the dreaded "salesman"

Nuisance – this is the one that causes most salespeople the most trouble. This is where they recognize you when you call or walk in and do not want to talk to you as they have told you a hundred times, "we are not in the market." Or "we don't need anything." This is where call reluctance really sets in as you know who they are and you really don't want to be confronted.

Opportunist – This is your break. This is where they say anything that sounds like a buying signal no matter how remote.


Deal Maker – This is the level where you make all kinds of promises, get on your knees and beg for the order. You strip out any GP you had in the deal and promise that you can move the moon if they just will sign the order today!


Deliverer of the Promise – This is the second place most reps fall down. They fall for your persistence and now they believe all of your lies, I mean promises. This is where the rubber meets the road for most people. Do you do the work and become believable or do you just give up cash the check and walk on down the road to the next sucker.


Consultant – Ok you have passed the initial test now they call you for what tie to wear but you still haven't signed the "ultimate deal."


Trusted Advisor – At this level you are called in for every major decision. Now you just have to live long enough to see the big deal come through. If you walk through these levels with everyone you increase your change on standing next to the next big winner.


Personal Friend – This is the fringe benefit of being accountable for your words and living by the "code."


Most of our time is spent in the first 3 to 4 levels. Then only about 20% of our time is at deal maker to deliverer. It is the 1% that stay in the "Trusted Advisor" stage or ever get there. These are the relationships that we all fight over. These are the ones that you call and call and call just hoping that they read your email or return your call.


Remember everyone has someone at all of these levels. Every day that you do NOT call someone is getting closer to being the new "Trusted Advisor." This is a hard position to be de-thrown from so stay the course and make good on everything you say. I was once told: "It is better to over deliver than to over promise." Set the expectations properly and mean and do what you say!


Happy Hunting,


Pirate Mike…

Tuesday, October 6, 2009

Scary Times – Ricoh the one world leader succumbs to bad economy and is vulnerable like everyone else…

Now this is just hearsay, but I was just told that Ricoh is making employees take a week furlough without pay and has started lying off employees. This is a very similar situation that I am seeing across the boat I mean board with companies in our industry. From Konica Minolta's huge layoffs right after Xerox and Kodak cut roughly 20% of their global workforce. I'm sure it is not a shock to see HP step back and act cautious in new hires and expansion. Now with Canon in complete desperation to see them partner up with HP is almost funny. These types of partnerships are not uncommon in our industry, good bedfellows they make as they both struggle to assert their once top tier status. With Oce bleeding profusely to now even Ricoh showing their humanity we see salary's decreasing, employee benefits being cut or disappearing all together to sheer headcount reductions in almost every company.

IKON has even make changes and cutbacks in our company 401K matching program. The one thing I will say is that we are still expanding headcount and retooling our demo facilities and go to market strategy. We have not given up that we can be successful in such trying economic times. "Be Bullish In Production" our RVP says religiously. IKON is very bullish in times when even the greats are cowering. In fact we seem to have put on the war paint and run into the streets to meet our enemy head on. We continue the fight regardless of the naysayers.

I am getting nervous to see our "big brother" have such 'noise' coming from their employees. I knew many that went from Konica Minolta and others to over to RBS when they were the best looking for longevity; now what were long term stable employees they too are making the great pilgrimage to look for "gainful employment."

With everyone having such a knee jerk reaction it makes me wonder what is coming next. From everything I am seeing it appears that IKON is coming out on top and in a strong position to negotiate with the Ricoh first born. It would not surprise me to find that IKON becomes the "chosen one" and the pony picked to win this next horse race. I look forward to hearing the stories from my readers as I'm sure that many will find even uttering such a thing blasphemous.

If you have a Ricoh layoff story or more "inside information" I would love to hear. As for Pirate Mike I think we will see the true colors of Ricoh's intentions by April 1st 2010! Maybe I'm wrong but hide and watch as Ricoh retools their organization to come out fighting strong in the next fiscal.

Also be looking for the new Ricoh Pro C901 ( or whatever they will call it ) This new machine of destruction will be a great advancement of the C900 of today with no fuser oil, basing its strengths on a newly formulated polymerized toner? that will bring digital quality to new heights. If I had to guess with the speed at which they are developing products I would guess mid spring or early summer. With all of the great advancements of the Aegis product you can be sure that Ricoh is looking to show the world that "Ricoh knows production." Or at least the new horse they ride IKON>

What Ricoh knows is how to buy the best technology and engineers and then follow that up with a great distribution model which they did too buy. The IKON acquisition will show that their multibillion dollar purchase was not in vain but truly put them on the map in a way that they never could have done before the acquisition.

Ricoh is slowly learning the power of the weapon that she bought. But being able to wield this new weapon of destruction is yet another story. IKON is not an easy horse to ride, and this ride is surely to get very edgy in the short term as things build and the economy continues to falter. This is an "E" Ticket for sure!

As we get into 2010 I'm sure there are more cuts, layoffs, and changes to come. All we can ask is in the end that we are paid to the champions of the day. I for one cannot complain too bad as I have had record months and a record year! I am sitting somewhere around 120% of my budget with almost 400% of my yearly units. The Ricoh Pro 550EX, 700EX and the infamous C900 have taken me to the Promised Land!

Even in bad times the pirate of Lewisville Lake is showing that it can be done with no food or water and just on new business acquisition alone!

Happy Hunting,

Sunday, September 27, 2009

AlphaGraphics Western Center of Fort Worth, Texas Installs a RICOH Pro C900 Digital Color Printer From Pirate Mike

AlphaGraphics Western Center of Fort Worth, Texas Installs a RICOH Pro C900 Digital Color Printer From IKON

State-of-the-art color production system allows commercial printing company to better meet customer digital printing needs

MALVERN, Pa. - September 21, 2009 - IKON Office Solutions, Inc., a Ricoh company, today announced that AlphaGraphics Western Center of Fort Worth, Texas has installed a RICOH Pro C900 digital color printer, giving them greater flexibility and enhanced turnaround time in meeting their customers’ wide range of variable data and customized printing needs.

Part of the UK-based Pindar Group, AlphaGraphics has a network of more than 225 independently owned business centers, which provide a full range of solutions for design, digital, offset and large-format printing, marketing communications, promotional products, digital archiving and mailing services for small-to medium-sized businesses as well as corporate entities.

Since opening in 1997, AlphaGraphics Western Center has continued to expand their offerings and provides full-service offset and digital printing along with complete finishing and bindery services. They also provide design services, large format color and black and white printing and complete fulfillment services.

“We’re a full-service printing and visual communications company, and we help our customers communicate through state-of-the-art design, copy and print,” explains Jim Lombardo, Co-owner, AlphaGraphics Western Center. “We offer innovative solutions, including the latest in direct marketing solutions including variable data printing, 1:1 marketing and cross-media campaigns.”

As part of their commitment to innovation, AlphaGraphics Western Center recently purchased a RICOH Pro C900, giving them more versatility, faster speeds and better print quality. “Digital printing is the future in the commercial print market,” says Lombardo. “The RICOH Pro C900 gives us the ability to design creative, targeted customized solutions for our customers and helps us better meet all of their business needs. We’re building the future of our company around digital printing and the RICOH Pro C900 gives us the ability to offer more robust graphic design and customized collateral via variable data technology.”

An Editor’s Choice award winner in the 2009 High Volume Printer & Digital Duplicator’s Guide from Better Buys for Business, the RICOH Pro C900 is engineered to meet the demanding needs of the production print environment and represents an advancement in efficiency and productivity. It combines consistent 1200 dpi output with 90 pages-per-minute speed and utilizes Ricoh’s new image processing technology for unsurpassed quality and fast turnaround times. It can handle a wide range of media, including weight ranges up to 110 lb. cover, and its modular design enables a number of input and output configurations. The RICOH Pro C900 offers many production tools for advanced page programming requirements like tabs, inserts, covers and chapter breaks.

“I’m impressed with the RICOH Pro C900’s fast speed and outstanding quality,” says Lombardo. “Its color is brilliant and consistent, print run after print run, and its productivity thus far has been phenomenal. We’ve been very pleased with our results.”
The RICOH Pro C900 is part of the Ricoh Production Printing Business Group’s (PPBG) portfolio of state-of-the-art high-speed production systems that provide efficient document workflows with high-volume production printing and finishing. Incorporating superior engineering, service, reliable technology, and extensive software and finishing options. PPBG helps production centers to cost-effectively modernize and streamline their operations to meet today's rapid turnaround and high-quality demands.

As a Ricoh company, IKON can maximize color solutions for customers through its color and production specialists, and its Professional Services team, who can provide customers with a suite of services and application development, including variable data integration for marketing and personalized communications, advanced color management, forms design, data stream conversion and custom workflow solutions to help improve productivity, reduce turnaround time, and increase effectiveness.

“The RICOH Pro C900 will play an important role in our continued growth and success as it gives us more options to fulfill our printing needs through variable data and fast turnaround times,” explains Lombardo. “We plan on increasing our investment in digital printing and will continue to provide our customers with state-of-the-art visual communications that help them reach their target audience.”

What is not told is how difficult the entire sales cycle was considering that they were a current Xerox 5000 customer and that I had sold them on Canon imagePRESS technology. It was a lot of work but in the end I think that they positioned themselves for success in the long term and I am sure that we had a small part in all of it.

Well anyway just a little story in the life of pirate mike...

Wednesday, September 16, 2009

A disturbance in the force; reconciling our philosophical and business agendas during these difficult times.

Like all companies our leadership has business objectives that we are held accountable to. We are graded at every interval imaginable; daily, weekly, monthly, quarterly, and yearly. Over our career we are graded on how well we over achieve the objectives that are handed to us. No one cares about the economic climate, the stability of the environment how strong the credit market is or how much or little corporate leadership is going to invest into their infrastructure over a given time period. Really all they care about is did you meet your objectives and overachieve! Life is about revolving and ever growing budgets and making and meeting commitments.

At the end of the day I personally do not believe that anyone really cares if the “Solution” you provided company XYZ really worked or benefited them if all of the corporate objectives have been met appropriately. Now I may be wrong and I’m sure somewhere somebody will write to me and correct me. “Pirate, we are going to give you amnesty for your budget because you create the most successful business strategies and help so many people.” Well your right I probably won’t ever hear that from anyone above me. What I probably will hear is something like this, “Michael, the company is suffering along with everyone else in this tremulous time and we would like you to accept our offer of a 15% salary decrease and a 25% budget increase. You know that we are all being asked to do more with less.” This is probably a lot closer to the truth then the other.

So within the same organization we have different business groups or units and with them come different and varied objectives. One group may be focused on maximizing our return on Service and Maintenance. Another group may be focused on generating revenue in a particular area of competency like facilities management, production equipment, office equipment, printer fleet management, software solutions etc. So the question then becomes how do we “all just get along.” Well that is the question, how do managed services coexist with equipment sales division? Does the equipment sales division exist to provide hardware based solutions to the “solution wizards” in managed services? Surely the people in equipment sales are incapable of seeing the bigger picture and what is important in the overall solution. Or is it? If you are owned by a manufacturer what is more important, to keep assembly lines moving, keep their cost of manufacturing as low as possible by placing as much gear as possible or do they go with a more altruistic approach and maximize their profitability by increasing the wallet share of a particular client regardless of how little equipment is placed?

So what came first the Printer or Managed Print Services Rep?

And in every opportunity who should sacrifice their business objectives? What are the organizational goals as they are related to individual objectives? Is it greedy to want to stay off of the unemployment line? Is it rude to want to meet our individual budgets? Should we always sacrifice for the greater good of someone else’s success? When does a “good solution” become a “great solution” and when does a tomāto turn into a tomäto? And who is to say that there is not more than one path to the Promised Land? Retooling the departments in an organization and centralizing certain functions can be just as effective as outsourcing a handful of key functions to a third party!

The problem exists as we do not work independently. Managed business services many times may not have the technical background to truly create complex hardware based solutions. In fact it is not ever in my experience even desirable to have a business services rep know all of the bits and bytes of the hardware. They are the “big thinkers.” They leave that to us lowly hardware reps to push the buttons that make “their” brilliant solution work. As we see companies migrate to greater levels of automation their need for highly sophisticated solutions goes beyond what a typical manufacturer’s business services salesperson wants to memorize. As applications drive these complex solutions because of a companies need to “do more with less” we find that hardware reps are being positioned as “technicians or analysts with personalities.” I constantly am faced with the perception that I know nothing but facts. I have to convince my area leadership on a regular basis that I can create a compelling argument and win others over to that argument on a mutually acceptable time frame.

Every day I go to work and curse the day that I picked up the manual and learned how to network a copier or setup scan to email instead of just leave it for the technician that surely was going to show up when my client needed him to. Now I am the great “nerd with a smile.” I am used as an encyclopedia of all things printing. If I really wanted to live on 80 to 120 grand a year I would have graduated college and became an engineer. Instead I moved myself toward strategic sales only to find out that eventually I would be pigeon holed to be the guy to someone else’s “bad solution work.” In my humble experience “managed services” comes from the perspective that with their own “trained operators” they can do more with less so they are notoriously under equipped with the technology piece of their mantra “people, processes and technology.” “Big Thinkers” are also paid on the services that they sell not the hardware and software that go along with the overall solution. Because at the end of the day the technology piece is what costs the most and ruins the gross margin component of the puzzle it is also the first to be compromised. It is also the part that decision makers can quantify and everyone wants to see you “do more with less.” And because more and more companies are asking their vendors to take the hardware risk; manufacturers do not want to invest in placing new gear when it is not really sales treatable. No one wants to create “used gear” when they know they are going to have to carry it on the books and sell it later when all the useable life has been squeezed out of it.

What they do instead is use “off lease” gear which has a zero cost on the books, and assign a cost to keep margins inline with paying managed services reps and as part of the justification to the business owners on why the cost of their solution is what it is. Can you really save someone so much money that you can use the greatest that technology has to offer and still save them 30% on their current spend? Sure if there processes are so broken that they need to trash them and start over. Now does this happen, yes unfortunately many companies grow so fast or stick to their competency so closely that they do not take time to look at their business processes and keep them streamlined. For example a research firm may invent great chemicals but have a poor process of piling their documents in a corner in boxes. But for the most part today’s companies are hiring professional buyers and using ISO standards for typical business processes.

So what suffers? From what I have seen when you bring the entire elephant into the room typically most companies can not afford to eat it all at once. The overall picture becomes menacing. Sure we can implement a complex solution in stages but it still becomes overwhelming even too many “C” level executives when they now are facing large layoffs, financial cutbacks, compensation freezes, import/export restrictions, legislation, environmental initiatives, hostile takeovers, and technological obsolescence. With so much “noise” in the air it is many times hard to hear the important conversations that are directed to us.

These obstacles along with huge egos that the “big thinkers” carry with them can make such undertakings miserable for a hardware specialist. We diligently work to please the “big thinkers” but in the end tight budgets and anorexic timelines along with the normal pushback and reservation of key information from a client will allow something to happen and surely something will not work due to lack of discovery and it will fall on our heads.

Plus they would love us to be their “eyes and ears” but what is good for the “big thinker” is not necessarily good for a hardware specialist. Especially when their ultimate solution doesn’t involve hardware! In hardware we talk about efficiency, automation and cip4/jdf compliancy; we do not talk about “adding headcount,” and creating more hand work. In the “Big Thinkers” mind putting someone in the place of equipment that can fail is a good solution, where we feel that hardware is more reliable and less prone to “human error.” In hardware we trust, for each machine we place we save companies from under performance, workman’s comp, and manpower gaps over vacations, and sick leave. 

We look at having your own hardware as a solution to sending the work out and buying it back at 30% uplift, we feel the same way about people. Why send them out when all you are going to do is pay someone else a 30% uplift to not have to deal with them. Strengthen your process, put the right people in place and rely on hardware automation and technology refreshes to empower your people with the tools to accomplish more with less for less! 

Now that is a bit of an exaggeration but it underlies the foundational problem that I see with “team selling,” when each member has different objectives or when the meeting of one members objectives becomes a liability for another’s on the team. I am constantly asked to work with people that have different motivations and when one wins the other loses. What kind of “team” is that? The only way a “Team Sell” can work is when the objectives of the team are common. You can not ask someone to work on a project that will eventually turn out to be a non commissionable event. Why would I waste my time doing a study to hand over my findings and relationships over to someone else just to be pushed out of the deal?

Everyone must profit from a group project! Solutions must be designed to achieve corporate objectives and satisfy the client’s short term and long term needs. Anytime key players are pitted against others in the team to compete for compensation the entire project is compromised and the client suffers as no one can give their best when they have lost the financial incentive to keep focused. Sure there are many reasons to outsource and I believe in keeping to your core competencies, but handing off a department or important key function is not something to take lightly. It is dangerous at best and even worse if the consultants brought aboard are not in sync.

A long time ago I was simply a street walker and answered to myself. A day’s work brought a days pay, and I didn’t have any competitive forces to worry about but the enemy outside the organization. Now all too often I overtake the enemy outside only to be beaten by someone on my own team. Now the dance is more delicate and dangerous. Not only am I competing for larger projects and bigger cash prizes but I am also striving to maintain my competitive advantage and edge both inside and outside the organization. What ever happen to the days of walking down the street asking people, “want to buy a copier?”

Pirate Mike…

Sunday, July 12, 2009

RiKON, IKON’s struggle for the right to exist…



Ok, October 1st 2008 has come and gone. And so have the IKON fiscal year, and our Pantone 185 Red. Now we are the step child to the one world leader in business technologies and equipment manufacturing. Xerox's Anne Mulcahy mentions IKON/Ricoh as the new threat to Xerox's supremacy in one of her last talks to the corporate shareholders. So now that we are donning a new Red in our logo (Pantone 186) and have a new phase tagline on our business cards "IKON a Ricoh Company" what does the future hold for us?


I can still remember the year prior to the acquisition and the marching orders that we had. Looking back I can see the signs that should have signaled the takeover. Looking forward I am seeking the signs that will indicate my future. Now after a complete quarter in the new Ricoh fiscal year the signs that I see are not as descriptive as I would like them to be. The mantra of protect the base and explore the new world are really just warmed up battle cries from previous generation. What I do see is a lot of shuffling, maneuvering, positioning, and jockeying for the privileged positions in the new one world leader's house. As the days of IKON come to a end, so will the legacy of the world's largest independent distributer of end to end business technologies.


I see leadership poised to make quick and many times knee jerk reactions to the ever flowing economic hard times ahead. One thing that I have noticed about IKON is that they are not scared to make a quick decision. They will uproot you in a second. One day covering one account and another day another, in some senses this ability to move quickly has brought them to a position of greatness. But in another sense it is why no one seems to have any ownership of their own success. They are only successful in the task of the day not in the overall success of their position. Maybe I have a very narrow view coming from just one IKON marketplace. Now almost 2 years into this adventure I am one of the sales survivors. I am now a tenured veteran walking the hallowed halls quietly for fear that I might awaken the sleeping giant.


Now a Ricoh company we see that our chest beating over the Canon product was just another marketing ploy that we used on our clients and eventually came to believe. It is funny to spread a lie what is even funnier is when you actually believe it. What we have learned is that people really bought from us and not a product name? So what Ricoh really purchased was a network of people and relationships strategically located in 400 unique locations around the world. I was on an international conference call with the IKON of the UK and found that they too are just like us and are engaged in the fight for world dominance just like we are. They ask the same questions and provide the same solutions to their clients as we do.


Amazing how we all are fighting the same battles, with a lesser or greater degree of success. We are now learning to sell a new product (or at least new to us) this new world of Ricoh innovations. What I am finding just like I did selling Konica Minolta or Canon is that Ricoh has products that when placed in the right environment with the right enablers they do wonderfully (even in the print for pay market.) There I said it Ricoh products can be used in production environments, did you disbelieve? Did you really think that Xerox and the others we all have come to know and love were the only ones privileged enough to make good production equipment?


Watch the evolution of the engineering as the new 7 series comes out. Hide and watch as the group formerly known as IKON comes to market unified under the RiKON banner. Many rats have scurried and left what they thought was a sinking ship only to have their A*s' handed to them by what they said would be an inferior product. What I say is it must be embarrassing to those reps that fled to Canon to only be beaten like a red headed step child by the product that they swore could never grace the floor space in tandem with other greats like Xerox and Canon; only to find out that their new MIF is slowing going away to these new raiders of the lost copy machine.


So is it the product? Is it the people? Is it the process? Well I will let you figure that out. What I am interested in is what to expect in the next generation of RiKON. They are taking over our internal processes, Shipping etc. So how will this all shake out? What is to become of the IKON of old? How will the sales territories be realigned and divided up amongst the corporate raiders? Will IKON's leadership be incorporated into the Ricoh world or will they just cut the head off of the monster to let it die a quick death?


Watching the slaughter going on at Konica Minolta now that they have cannibalized the Danka people puts me in a bit of distress. They (Konica Minolta) have shown their Minolta roots. Minolta was a strong down the street company. They did not need fancy analysts and strategy sessions. What they needed was feet on the street and quick turn business. They were not interested in anything that couldn't be closed inside of 30 days. Really 21 if you expected it to get delivered in the same month. Konica's deep thinkers have all but been sacrificed and it looks as if they will do the same to Danka's people. If you do not have Minolta blue running through your veins your chance of survival in that pit of vipers is not very good, so be forewarned.


Now so how does that relate to IKON and Ricoh will PMS185 or PMS186 prevail? Will the darker red over take the pirates of IKON? One thing is for sure there are a lot of similarities in the Konica – Minolta merge and the IKON – Ricoh acquisition. Both engagements have a strong hunter and farmer component; although financially different Konica – Minolta was a merger, do not forget that IKON – Ricoh is an acquisition. We are an owned piece of property. So will the same be true here that IKON pirates will slaughter the pleasant farmers of Ricoh or will they show their teeth and push back the boarding marauders?


What I have witnessed is that everyone is scared for their job. No question that every employee has thought once or twice what they will do if their job becomes disposable. As we all are very well aware we all can be replaced in a second and without much thought. One thing I will say is that many have come to grips that this is the new program and they are executing. As we push forward we see how well this new equipment is holding up and that people really don't care whether or not they have a ball an X or red words written on their equipment. What they care about is when they call will anyone answer? And if someone answers will they be able to fix the problems that come us as they most certainly will (it is just a machine).


Before we were searching for the ultimate top line, now again we are concerned again with the bottom line, and soon we all will be walking the line as Ricoh puts the firing squad out to lean down into the fighting machine they will have to be to survive this economic holocaust. So are people still buying; of course they are, in upturns and downturns this business continues to provide alternative solutions to cost savings and automation with ultimately provides for real top line and bottom line revenues as productivity goes up and we learn to do more with less.


As for me I am glad to have a job that provides for me and allows me to continue the battle. Tomorrow again I will pick up the battle axe and let out a cry this time the name is different the red is darker but the result is the same; Victory! Stop at nothing less.


Just a bit of inspiration from the RiKON ship of warriors; from the man known all around the world as Pirate Mike…




Happy Hunting…

Tuesday, May 12, 2009

(Xerox, Konica Minolta, Danka, Ricoh, IKON, Oce, Imagistics, Lanier, Global) How good companies alienate great people – A story of bloodletting and corporate ignorance.

I have wondered how companies let such great talent walk out the door and end up at the competition to do nothing short of shut them down in a particular marketplace. I have watched so many people change hands over the last 4-5 years that it is truly amazing how fast the strength of a company can change. I have noticed that companies lose employees in 5 distinct ways.

1.Through lack of leadership.
2.Through lack of promotional opportunities, and poor positioning of their resources.
3.Through changing of the compensation plan or not insuring that the employees get paid as they should.
4.Through the changing of an established employees territory or constant switching of roles.
5.Through the lack of respect, recognition or pure disregard for the employees goals and dreams/desires.

I have survived now 2 distinctly different combining's, the merger between Konica and Minolta and the acquisition of IKON by Ricoh. Both were very different but had many of the same elements in them. I have witnessed several other acquisitions and mergers from the acquisitions of the Ricoh family companies like Lanier to the acquisition of Global by Xerox and Danka by Konica Minolta and Imagistics by Oce. One thing that they all have in common there was always a mass exodus of many great people during these troubling times. And in which affects the company's strength and positions the company for greater failures.

During Konica and Minolta's merger I witnessed many events that I wish would have ended up differently. One thing that Minolta and the later Konica Minolta were very good about is making sure that their employees got paid what was due to them and identifying what the employees dreams were and addressing their work to accomplish that dream/desire. Managers took special care to see that the sale reps got paid and that their livelihood was preserved at all costs. Although it seemed as if the sales people were spared the initial cuts, pay plans took dramatic cuts. Leadership was there to manage focus and readdress employee concerns. Konica and Minolta had their failures with processes and support structures. The companies were brought together without a good supply chain methodology. There were very few things that actually happened that made business any easier. In fact many of the processes that were solid become more flimsy as the companies came together. Research and new product lines were coming out quickly giving their people some great products to sell but there was no internal support structure to get them to where they wanted to be. The frustration had always been tolerated as salesmen knew that they were "paid the big bucks" to deal with it themselves. Now that the financial incentive had left the big hitters left also for a more fertile hunting ground.

There was very little emphasis that anyone was very important. In fact the exact opposite was quite true, we like you but we can replace you tomorrow with someone that wasn't here when we paid them properly was definitely the attitude. Promotional opportunities were available but limited to the local leadership's ability to keep you pinned down to what they needed you to do (sell if that was what you were good at). The branch I was at had probably 8-10 of the companies top 20 reps nationally and they all were gone within eighteen months of the formal merge. Territories didn't change for the Minolta employees but that isn't true of most of the Konica employees that ended up in menial jobs and eventually quit to find somewhere else to graze. Minolta had a strong culture of respect and that was only broken by raping the compensation plan to the point that one could see the writing on the wall (you are not getting paid the way you used to so just get over it). It was obvious that Konica Minolta didn't want a huge changeover but really did want to slowly change out all of their employees to new ones that would only remember Konica Minolta and not one or the other. The legacy employees were not good for morale and only brought strife and improper expectations. The original expectation was that if you don't make a six figure income we will fire you. The new expectation was be lucky to have a job and hope you make 65-80k.

IKON and Ricoh's situation was quite different. Ricoh tried to preserve the unique identity of IKONITES. They were very keen on putting value on their individuality and importance. Great steps were taken to try to keep key employees put until the changeover was complete. Leadership was lacking though as IKON had become weak and instable. How can the largest independent distributor of office products in the world get taken over? Who would let this happen? Hedge fund operators that were looking to plunder gold at any cost, that effectively were nothing but corporate pirates. These raiders and marauders slowly and methodically purchased stock and held it for ransom till they were able to manipulate the books till IKON looked like an attractive buy. Leadership had lost the desire to fight and had become fat, slow and lost the entrepreneurial spirit. IKON's growth pattern was like a dwarfed child with no way to grow into the fulfillment of the promise that it had once offered. As a result she became a victim of greatness. Her size and distribution model soon became the desire of others that didn't want to create their own but saw IKON as a cheap alternative since she had become so weak and unprofitable.

IKON was built on the conquering spirit and had become a fierce competitor to do battle with. Over time their success had created greed and sloth. (See the 7 deadly sins of a copier salesmen to fully understand this dynamic) IKON became vain and without potency. Something like 21 companies bid for IKON; Canon, HP, Samsung are some of the ones that I heard of. (If you know where I can find documentation on whom bid for IKON and how that went down please let me know) Now after the acquisition there is much restructuring being done to become the new Ricoh; the new one world leader.

One would have thought that promotional opportunities would have been wide spread as many of IKON's people did leave to places far off. But as the people left the leadership found it more attractive to place "new" talent in place that did not know of the IKON way. The compensation plan was very slowly adapted to a new way of thinking. This new "manufacturers" view of box placement and aftermarket preservation took a while to settle in and is still being implemented now as we speak. Territories have not changed that much as they really have tried to preserve IKON's identity and run it as a "wholly owned" subsidiary for the mean time. People were viewed as an asset and respect was placed on maintaining the integrity of the local branch and employees. But IKON really expects you to take care of yourself, they do not see the value in "getting you paid." If you cannot figure it out for yourself you are surely out of luck. They still believe in the "only the strong survive," and do expect that everyone that comes aboard has a sharp sword and is ready to use it. (Even if it means cutting a few throats in the initial onboarding) I almost find it funny sometimes as I have almost become accustomed to it.

Other employers love to hire IKON employees as they bring the "blood lust" to their people. We revitalize their troops in a way that we will never fully understand, but it is why we get so many phone calls. If you survive you are a "keeper." Leadership at IKON is much more methodical than Konica Minolta but the leadership at Konica Minolta was much more visionary. I can still remember seeing the President of Konica Minolta come to the local branch and taking time to meet and inspire the local people. IKON is the exact opposite they do not have time to be bothered. I have seen people I didn't know walk to the corner office and leave within an hour to only find out that it was the National VP of Sales or some other high powered title to watch them gather their things and leave as quickly as they came. They would rather do a "focus" group then actually meet the people and refocus the troops. This is the mistake that Konica Minolta did in the acquisition of Danka; they did not reach down and pull everyone up this time as they did in the merger.

But I have decided that "acquisitions" are much different that "mergers." In a merger everyone is more hey we are a team that is now stronger to take on bigger foes, in an acquisition you are more the conquered one and must be subservient. People look down but they do not reach down to pull you up. They look at their new purchase in a fish bowl and see how neat their new pet is. In a merger you look over at your new comrade in arms and hope he is carrying a big stick and extra ammunition as you go to slay goliath. Konica Minolta was a 'small' company that had 'big' dreams. Their dream was to become a tier 1 player in the game of office equipment and imaging/document services. Ricoh's dream is to be the 'one world leader.'

So in this I have seen many different approaches and cadences. I have seen good management and poor management, good leadership and poor leadership. I cannot tell you exactly what good leadership is but I know it when I see it. I can 'feel' it. It is the love – hate relationship that you have with overcoming your fears and taking new ground. It is the fear of taking the hill then rejoicing as the hill falls to your power. Good leaders empower their people to conquer and do not hold them back but send them out as berserkers. For those of you that do not understand the reference and its importance; "Berserkers (or Berserks) were Norse warriors who wore coats of wolf or bear skin and were commonly understood to have fought in an uncontrollable rage or trance of fury, hence the modern word berserk."

We now more than ever must come to grips with our fears, overcome our call reluctance and go forth with frenzy. We must take our market share by force and win friends and influence people with the sharp edge of the sword and the tactical advantage of a calculator and well worked spreadsheet. Some days I love the challenge and other days I wish I was dead. Today I was up for the challenge. I will probably reword this blog many times over so you can read it every day and it will change as the season and circumstances change. One thing that you will find out about Pirate Mike is that I am not stubborn in my knowledge. I fully bend and flow as my understanding changes. I hope to evolve my understanding of my circumstances and the events around me and hope to be a survivor and a thriver in this harsh economy and time in our industry.

So WHAT DO YOU THINK?


Pirate Mike


Here is to good hunting… May you kill everything that falls into your sights…




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Thursday, May 7, 2009

Credit in a wayward world; what you need to get a loan…

Yes my name is Michael and I work for IKON; I wanted to stop by and introduce myself. Can I get a fully completed credit application, your personal guarantee and social security card and a copy of your driver's license and maybe 1 or 2 years of your most currently audited financials?

Does this sound like you initial cold call in the frozen tundra of your business landscape? Well it will soon, or should. How do you expect to get any business done talking to decision makers of well intentioned companies that have plenty of needs but no cash or credit? Everyone I talk to tells the same story, ya I had to walk away from 3 deals this month as I couldn't get them approved. I have had deals take weeks when the company and principal had great credit with no negative information.


When the daily news looks like this: Xerox forecast down 80%, Kodak alying off 18% of their global workforce, Konica Minolta laying off 600, Cenveo shuts down plant, Vertis Communications consolidating, Consolidated Graphics Reports Loss on Quarter, RR Donnelley Q1 Net Down 92% On Changes, Southwest Color Graphics closes doors, United Graphic Equipment no longer, U.S. Postal Service posts $1.9 billion loss, Quad/Graphics to lay off another 140 employees, Domtar Reports Loss of $45 million, Kodak First-Quarter Sales Decline 29%, Additional Cuts. It is not hard to understand why no one with money wants to hand it out to our capital equipment investments.


In this day and age you had better have perfect credit, audited financials and a very strong personal guarantee (750+) if you really think someone is going to loan you anything especially if you sic code is something like 2752! Although commercial printers are not the only ones being picked on, it seems like no one is immune to the credit FREEZE. It is like the ice age after a nuclear holocaust. Everyone has put all their supplies together and are waiting it out. Each hoping that the other will go out and see if the radiation is gone, just to look at the window and see another drop from poisoning.


We are not out of the woods yet, in fact it looks like 12-18 months if we are lucky to see some light at the end of the tunnel, and that may even be too optimistic. Companies are slashing employees, cutting benefits/pay/travel, outsourcing everything, and looking for a sign that everything they are doing is working. The atmosphere at the office has become uber competitive, where anyone even the secretary could be plotting against you just to lengthen her job by a week.


I hope for all of our sakes that I am wrong. I hope that the headlines start to read, "Companies expanding, spending money and handing out pay raises to beat inflation and the cost of living!" But I fear that we are not there yet,,,


Any comments?


Pirate Mike..


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Monday, May 4, 2009

Ricoh expands its managed print services, is nothing sacred?

Everyone is in the managed print services gig, from all of the manufactures to dealers and specialty boutique offerings from consulting agencies. Ricoh announced April 27th that it is expanding its offerings to "initiate savings up to 30% plus additional timely benefits and improvements into the future." Well sounds like a better mouse trap to me. Although Ricoh is not new to managed print services it is obvious that the way that the industry is leaning it is part of the future growth of the company. Process improvement and a comprehensive approach to the entire document life cycle will bring Ricoh to the next level in competing with other major players that are already very strong in this arena.

From consulting engagements, to the effective analysis and deployment of hardware, software, maintenance, printer fleet management, facility management, professional services in the areas of office solutions and document imaging, archiving and disaster recovery Ricoh intends to become a dominant world leader in the last frontier of an already intensely commoditized industry. Leaning on its new found step-son, IKON to be part of the tool box that will bring this to fruition. Ricoh will continue its march for world dominance.

I am interested to watch this area of the business grow and expand as companies start to look at managed print services as the preferred approach. People, processes and technology, what a great mix to spice up an already stagnant marketplace and bring something fresh to the table. Managed print services will take office equipment manufacturers and their servants to the next level. Is there room in this brave new world for an old pirate? Only time will tell…


Pirate Mike…


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Saturday, April 25, 2009

Eastman Kodak, another one bites the dust…

Ok this is purely conjecture but I am starting to hear about push back when proposing Kodak products to high level clients. My local superiors are saying the typical, "business as usual." But we know what that means, "They dont know and they want us to keep marching without missing a step."

The rumors are that at the higher levels they are being told not to go forward with Digimaster and NexPRESS products as they will be going away soon. So I am putting my feelers out to get more feedback from YOU. Many times you know what is happening before the news hits the street. I had heard months ago that Ricoh was looking at Kodak for the high end production black and white and color and so they would not have to develop a strong workflow product.

I was recently in a position to be aware of a huge Federal deal that would involve thousands of machines, the word from the silver hair and black tie side of the business is a "no go" on the Kodak products the word coming down from their superiors in the fancy building with the pearly gates is that HP is making a play for Kodak and that that product line is going away anyway!

Going away anyway? What do you mean says the innocent pirate who sells the big iron? Yes going away says the silver haired man in his late 60's. Could it be that Ricoh the 'new' one world leader is coming forth with its own product to replace it. Replace it wow; that sounds well wow…

Could it be that the great minds that gave us the engine for the IBM infoPRINT have stepped down to create for us "the ants of the 'new' one world leader" a great and ultimately powerful multi-function of destruction?

The great destroyer of all that is Docutech, Varioprint and Digimaster? Wow, (for those of you that don't know better don't hold your breath.) I am very interested to see what we are going to replace these MaMaMaMillions of clicks a month Machines.


What could this new Multi-Function of Destruction look like? What will be its call to arms. Will it cost those that wield it their souls? Will it be like a cyborg and run itself? How far into the future do we have to look to get a small glimpse of what is coming down the pike from our engineering friends across the great oceans from our 'new' one world leader?

I do not know of what could be motivating people to NOT sell the Digimaster products especially since we have always been the largest channel for these products anyway I would rather us buy them than another competitor especially like an HP that already is whooping up on us with their Indigo sheetfed and web products I really do not need them coming down into my small shops and taking away all that which Ricoh has giveneth.

One thing that is very apparent is that Kodak is a bit vulnerable at the moment. After posting a “preliminary Net Loss of $137 million, or $.51 per share.” For the 4th Quarter of 2008 and watching their stock dwindle from a close on April 28th 2008 of $17.89 to $3.95 April 28th 2009 they have seen better days. Watching a company prepare to lay off 4500 people or almost 18% of their workforce could start a few rumors all by itself.


Hey if you have the inside track please feel free to enlighten me as this has become the great soap opera for all things pirate-like.

Pirate Mike…


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Monday, April 20, 2009

Global 100; Ricoh makes the list for the 5th year in a row…

In a press release that reads “RICOH MAKES "GLOBAL 100" LIST FOR 5th YEAR IN A ROW “Ricoh touts that they have earned this prestigious award for the fifth time. The Global 100 Most Sustainable Corporations in the World is a project initiated by Corporate Knights Inc. (a Canadian magazine focusing on corporate social responsibility) and Innovest Strategic Value Advisors, (research firm that sells information), and is a list of companies that are the world’s most sustainable. A sustainable corporation is defined as a company “that produce an overall positive impact on society and the environment."

“We believe that a company’s ability to manage its extra-financial aspects, such as those related to environmental, labour, and human rights, is a powerful proxy and a leading indicator for its overall management quality. Management quality, in turn, is the single greatest determinant of companies’ financial performance. The aim of this initiative is thus to promote better managed and better performing corporations regarding sustainability issues.” – Selection from the Global 100’s Mission Statement.

The list has been maintained since 2000 and this is Ricoh’s 5th year to make the grade. At first I was a bit leery about this list but after further review seen that Forbes and others have written about this list and its validity. “The list is not a ranking. It looks only at AAA-rated corporations that can be considered models of sustainability, and they are picked to cover a broad range of industries.” – Forbes Article 100 Corporations That Will Survive 100 Years

In Ricoh’s press release they talk about some of the factors that got Ricoh on the list and the importance that they put on sustainability. “One of the overwhelming factors in Ricoh’s favor was the company’s "Year 2050 Extra-Long-Term Environmental Vision," and how its current management strategies all support this initiative. Ricoh’s strong performance in the other three key indicators also contributed to its inclusion in this year’s list.” – Ricoh’s website

In a world where almost all competitive companies have an environmental policy, social responsibility policy it only makes sense that they parley this “mission statement” into a forward thinking sustainability movement. It is top of mind as workers that we seek employment from someone that is “sustainable.” Now more than ever newly unemployed are looking for somewhere to hang their hat that they can feel comfortable that they will not have to pick it up at the end of the day. Not only do workers want a safe place to work, they are also the same consumers that speak with their pocket books.

The sad thing is as applaud-able as a “Global 100” is it is very subjective and the organizations that put the list together didn’t give a methodology that is beyond reproach in fact it is a bit vague. The entire list could be pure hyperbole and an elaborate marketing scheme to help promote more products/services via advertising and elaborate analysis reports. One would hope that we would have enough real motivators to promote companies that can produce for the long haul but in a world of “quick thinking,” everything is suspect.

Ricoh on the other hand has had a long standing environmental policy and has actively been a forward thinking corporation that strongly thinks “green.” It will be interesting to see how this list produces against the Dow Jones industrial average and MSCI World Index over time. It is interesting to note that this list changes dramatically from year to year so one would wonder how sustainable the “lost companies” were. Although this list is more art than science there is a lot of “witchcraft” involved as everyone is being graded on a curve and not truly compared to each other and with no true standard set as a goal or “perfectly sustainable company.”

As companies look to “make a difference,” and to “make headlines” more and more we will hear of their efforts. As important as they are to the overall impact that a company has both good and bad to our environment they also impact the bottom line and affect their investors. Let’s hope this list helps to motivate corporations in the right direction and not just to spend more in “disinformation advertising.”

Pirate Mike

For more information on Ricoh’s sustainability efforts one can look to: http://www.ricoh-eco.com/

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Monday, April 13, 2009

So who do we blame for this?

After another tough week scrapping it out in the Dallas marketplace I thought to myself, "So who do I blame for this?" I find myself writing late and night and doing research at odd hours just to wake up at 6:00am to begin the war all over again. The battles rage on as the economy hits all time lows, and unemployment skyrockets. With the financial climate so hostile it is amazing that anyone is thinking about anything other than packing up and heading for the hills. Instead I look for the "new angle" on positioning people, processes and technology to help my prospects make more money! In the heat of the battle we cannot forget to continue to make and spend our money it is our duty. So who was it that stayed up long hours and late nights so that I could have something to write about?



Chester Carlson of course! Now you may be asking yourself who is Chester Carlson? Why he is the inventor of Xerography. If it weren't for his desire to copy patent papers quicker by having a piece of equipment that could make "instant copies" we would not have the luxury of selling imaging equipment. And what is interesting is how his patent ended up in the hands of a small company then known as Haloid. Haloid started in April of 1906 to manufacture and sell photographic paper. Now of course this small company is known as Xerox the grandfather of copiers.



So for those of you that didn't know or realize that you cared, In 1959 the Xerox 914 was introduced based on the innovations that were discovered by Chester. Fifty years later 2009, Pirate Mike tries to figure out how did I get here and whom can I blame for it? Well it is Chester's fault for sure. In a world that is accelerating and producing new ideas and technology faster than any other time in history I chose to get involved with the printing industry at the beginning of the personal computer boom. What is funny is that my grandmother felt so strongly about computers and my need to learn them that I can for as long as I can remember had a computer of my own. I have had every game console and personal computer as soon as they became available. From the Commodore 64 to the Coleco Adam computer I was prepared for the "Desktop Publishing Revolution" and the advent of digital printing technologies. So why you ask?



Why do I care? Well the interesting thing is that since I sell the big iron, I have always had a bit of disdain for Xerox, they after all were my primary competition and in fact many times the incumbent and the overall winner of many of the deals that I was in at the beginning of my career. I also was never really impressed with the docucolor 5000AP or its predecessor the docucolor 5000 they seemed clunky very inconsistent for color critical jobs and had an odd "image appearance" as Xerox calls it. I come from high end offset printing and no one wants the "greasy glossy" look or the "3d or layered look" and that is the sure signs you're looking at a CLC or docucolor print. The 5000, 7000 and 8000 do not seem to have much differences other than speed so if you are having issues with your 5000 at a particular volume then you don't have much choice but to look beyond the docucolor series and Xerox doesn't have a step between mid level production systems and their very high end the iGen.



I was just in a deal where the customer had a Xerox 5000 doing about 150k and were having lots of service issues, team Xerox rolled in and pitched an iGen. Now I'm sure the ones of you that know are laughing. You really cannot justify an iGen till you get over 250k and really it doesn't make good sense till 400k. Now this particular customer was a national account for both IKON and Xerox so we are obviously both supposed to be on our best behavior. So to be honest I was quite surprised that they went to the iGen at all. I think it was bad strategy as I of course came out with the Ricoh Pro C900 which can take them to 400k a month without any increase on capital investment. The 5000 maybe is 25 ppm on the thicker stocks and I am still at rated speed 90 ppm I can using 80# Cover settings duplex 100 and 110# Cover without loss of productivity in the turn like the Xerox. Plus really the docucolor is terrible both in color consistency, accuracy and in front to back registration. Those are not my issues at all. I do have a smaller color gamut, the C900 is almost exactly the same gamut as SWOP but if you're an offset house SWOP is good enough.



Also I had to fight the "image appearance" as my image is not the "greasy glossy" look but my sheet can be UV or Aqueous coated so you can still have the look and the abrasion resistance. So over the last couple years I got very comfortable beating Xerox with both the Konica Minolta in the light production (Although the doc 250 series is much tougher competition in my opinion) and then in the mid range beating Xerox with the imagePRESS and now the Ricoh Pro C900. So as I think about them I just don't get the feeling that I am dealing with a deadly foe. In fact if I didn't know the men that I compete against and have great respect for them I would really think they are clowns.



So where does that bring me? It brings me to the other day when I read about Xerox's 600 new patents (1000 in all if you add Fuji Xerox) and the feeling that they will not live long enough to see their new inventions come to fruition. And the thought that came to me about who is to blame for this. Then I start to do a deep dive into the history of my product and the legacy that Xerox has had over the last 50 years. Which in all honesty after learning about Xerox's past successes just makes me sad. How can a company with so much fail so miserably? Where do they go from here? All I can say is please do not unleash any of those new patents any time soon, as I am enjoying giving you the whooping that I am with my Ricoh Pro C900 and on the high end the Kodak NexPRESS. Please leave my real battles with HP's Indigo and beating the Kodak rep to the account first, that way I don't have to worry about what Xerox is going to do. Right now Konica Minolta cannot play in my realm and they are very late to market with their 90 ppm color system. By the time they bring theirs to market Ricoh will have released Version 2 of the C900 which will use a new toner system (Polymerized Toner) without fuser oil and will have the 120 ppm version using this new toner as well. (shhh its about a year away now)



In all seriousness, if you are reading this blog then you are "in the biz" and I hope that you take a moment whether you are brand new or a seasoned vet to look back and learn the history of our industry and how your company fits into it. We are all a part of making the digital printing revolution what it is and with all of its advances and trials we are in the midst of history in the making. I for one love it and hope that I can live long enough to see Xerox rise again and come to market with something that they can be proud of. Because I know they do not like losing to Canon and I KNOW they hate losing to me!


Happy Selling,


Pirate Mike…


Activity begets opportunity and opportunity begets success! Having a great product only makes it easier… - Pirate Mike…


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Friday, April 10, 2009

Amidst the slaughter rises Xerox Technology

Xerox has been considered a leader in document imaging equipment and software for many years. In a press release on Xerox's website claims that they earned "600 new patents in the year of 2008." Xerox Chief Technology Officer and president of the Xerox Innovation Group, Sophie Vandebroek says companies must keep the innovation pipeline flowing even in a lean economic climate or they will face huge product gaps in future years. In her quote, "You cannot sacrifice tomorrow to save today. Our investment in innovation guarantees Xerox leadership in our core business and creates opportunity to grow in new markets," said Vandebroek. "It's also a source of pride for us. More than 2,300 employees, past and present, have been granted five or more patents – an extraordinary accomplishment." Xerox has been issued over 55,000 patents worldwide since it was founded. They mentioned that 18 scientists have earned the 100 patent mark. That is a tremendous feat. In our economic environment technology companies live and die by their research and development. Those that quit developing and forging on quickly go by the wayside.

I am always amazed at Xerox's tenacity and sheer bulletproof-ness. The old saying, "no one ever got fired for buying a Xerox," is one of those phrases that I have actually had someone say when they were not going to buy from me and didn't know why. It is a fallback statement your prospect uses when you didn't do a good enough job building your "Value Proposition."

As the economy tightens up and the financial markets "right size" themselves we will see true competitive natures come out. The only people that can survive such environments are true warriors. Many will be sacrificed over the next few years as the "great consolidation" occurs. With so much talent on the street jobs will go to the "lowest bidder." Companies are looking to "upgrade" their talent and cut costs while doing it. I have seen jobs offered at 30-40% of what they were just a few years ago.

As the number of competitors decreases the quality of our competitors gets more intense. It seems like I get closer to all of my enemies every day. Over the next year I am sure I will meet the rest of them face to face as I dig my feet deeper into the sand and prepare to get down and dirty with them.

All the while I am also meeting people that I admire and can learn from. As I get closer to the sources of information I am learning much more about the business that I could ever imagine. Innovation and the ability of a company to package that innovation and convince others of how it can benefit them is the key measure of their potential of success. Xerox is no stranger to a "good package." I have always been amazed at "team Xerox's" ability to sell iGen's. Almost everyone that I run into is grossly underutilized. And not only did they up sell the customer they got their asking price in many of the older examples. Canon, Ricoh, HP, and Konica Minolta are making them think twice about their pricing strategy and how they "brainwash" their new and current customers.

They must have a good training program, I have not had the benefit of such training other then the down the street training I received at Minolta. I am ready to put my thinking cap on and become a student of the business again. I am interested to what mother Xerox does in such trying times. After Xerox lowers their profit forecast by 80% and cuts 3000 jobs in 6 months worldwide in an attempt to get things under control. Even the company's executives are starting to "right size" along with the markets. Top level executives including Chief Executive Anne Mulcahy's have come down considerably, Anne's 2008 total pay fell to $10.9 million from $13.5 million a year ago.

So what does that mean for the global giant? Can Xerox live long enough to bring their new ideas to fruition? Or will the ideas die along with the inventors as they enter the market as over qualified Walmart greeters? As one of their competitors I have mixed emotions. Just as bad as I would like to be the one to slay goliath, it will be a sad day in history as well. Will the reorganization make Xerox leaner and meaner? Will they bring these new innovations to market instead of hide them in research journals and patent office's?

Only time will tell if they have what it takes to rise from the fire once again. As a warrior I love a good competitor. Just a few thoughts from your favorite copier pirate…

Pirate Mike

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Leading Pirate Style...

Leaders are created and not born just like salesman. Some have more of a propensity for greatness than others. Good leaders have many traits that we can admire and adopt for ourselves. I have had some awesome examples of leaders. I feel like I am very fortunate to have had and still have some great mentors at many different levels.

I believe that leadership can come in many forms, and can be very personal. I take leadership very seriously. I have a tendency to exhibit my individuality in my leadership style. I like to let others know that I am unique and enjoy sharing my passion. I like others to see this through my lifestyle and by the way that I act and react.

I like to extend my hand to those around me to identify myself as one that embraces their humanity. I like to celebrate people’s diversity and be a guiding factor to their success in the endeavors we engage in. I like to lead in little ways. I enjoy being the odd duck and am not afraid to be counted when there is a confrontation. I encourage disagreement and discussion. I do not want anyone to give me a pat answer, when I ask for their opinion I want it as honestly as they can deliver it.

I try to play devil’s advocate in most of my thought processes so allow myself to see both sides of an issue. I am very opinionated, but open minded enough to change my opinion when new facts are evident. I try to participate in the lives of those around me; I do not want to be seen lying around and failing to act. I make decisions quickly and react to my environment as thoughtfully as I can.

I lead by doing; when those that see me respect my thoughts and actions they have given me the greatest gift. I thrive on excellence and cannot stand it when I allow myself to settle. I make plans, plot my actions, hold myself accountable, measure my progress and reassess the situation as often as I can when in a project.

I will do what others will not. This is the key to my success. I will do want YOU will not, this is my advice to you. Look around and see what the masses are doing, then turn about face and go the other direction. As a pirate I tend to be a bit aggressive in my actions at times. Sometimes I do not ask permission. There are many days that I would rather draw a sword than a pen. Not that I forsake the pen, as that would be grossly inaccurate as well. But rather I am not shy to embrace the rule of the sword and understand and comfortable with the eventuality of my fate.

I put the war pain on every day and am grateful for my time that I have to sail and fight. I work in an environment where only the strong survive and where many a want a be warrior gets sacrificed. Over the last 4-5 years I have seen many a college graduate fail do to lack of leadership and lack of passion. You must live with passion and let it fill every area of your life.

Struggle as I may, I enjoy the fight and the feeling of victory. I am no stranger to tragedy and can cope with an emergency with the best of them. I am strong when I need to be and soft as I really am. I do not see the benefit to living as a rogue with no emotions. But yet I love to hold a lady bug as she forages along my hand. I like to watch the sun rise and fall into the water. I am not a stranger to the darkness as it shields my progress toward a common goal of overtaking my enemy.

I never let my goals or enemies out of sight or mind. I keep them close to my heart. I love a good battle and encourage competition from a formidable foe. I will take my steps without looking and draw my arm with passion. I love to put a face with my battles and a name to my failures.

I allow passion to carry me like the winds of the ocean as they sweep me off to my destination. I let emotion riddle me with fleeting thoughts. I like to sit on the bank and think great thoughts. I love to discus great mysteries and allow my mind to discover new avenues of contemplation. A great debate is a treasure. To live with passion is to be an addict to the one of the most powerful drugs of all. To let adrenaline set in is to feed the monster like a junkie.

I am quick to draw a sword and just as quick to lay it aside to embrace friend or foe. I do not take advantage but yet do not allow for mistakes from my competitors. I celebrate a victory and morn a great defeat. I allow myself to make mistakes and support others in their endeavors. I believe in the team concept and am not unfamiliar with taking the bull by the horns and wrestling him to the ground.

I have starred a tiger down and out struck a viper. I have out run a lion and rode an ostrich. I have walked and talked with the animals, and have waited quietly for their responses. I commune with nature and love to teach another my secrets. I do not cast my pearls before swine but am not stingy with the truths that have been revealed to me. My mouth carries my voice loudly but my heart quietly waits the responses of others. I listen as intently as my emotions show my intensity.

I like to lead in the small things and let the large things take care of themselves. I like to be first, and charge the door of uncertainty with the vigor of a dea agent. I believe in others and only seek their respect in return. I like to be the first into battle, and will stay until it is over. I go out in the face of a storm and take off the raingear to be one with my fears. I love to lay by the shore and watch the clouds drift by in mindless shapes.

I love to lead pirate style.


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