CDW is gearing up to invest in its local services offering via organic and acquisitive means, UK&I MD Penny Williams has revealed, adding that she has spent the last nine months “getting closer” to this part of its business.
Williams was in October promoted to lead the UK arm of the world’s largest IT VAR amid a wider local leadership shake up.
The $21bn-net sales, NASDAQ-listed giant hasn’t made a UK acquisition since it entered the country ten years ago next month via its purchase of Kelway.
But talking to IT Channel Oxygen, Williams hinted that M&A is now on the table as CDW looks to bolster its managed services business here.
“We’re going to be investing in our services business through organic investment and acquisition,” she said.
“I don’t want mediocre”
Williams joined CDW UK predecessor Kelway in 2010 via its acquisition of ISC Computers, having before that nearly left the IT sector altogether.
“I came out of tech for six years, and never thought I’d go back into it,” she said.
“I set up a garment business out of India.
“That experience taught me so much. It’s much harder than this market. Honestly, no one should ever moan about tech, because manufacturing garments and selling them to retailers is one of the hardest things I’ve done.”
That varied experience has informed Williams’ leadership recruitment strategy since taking CDW’s UK&I reins. Her refreshed A-team includes leaders who have spent time at other large IT providers including Computacenter and SCC.
“I’m a great believer in experience, not just internal experience but from across the channel,” Williams said.
“If there’s one thing that can get you through a challenging market, it’s people’s experiences, because you’ve all got different ideas and narratives that can go into the thinking pot – or brainpower – to drive the business forward.
“My passion is talent and people. I’ve always said that with every business I’ve ever run… right people, right roles. It’s as simple as that.”
Williams is “always looking” for expertise.
“I don’t want mediocre,” she said.
“I needed to get closer”
Williams has yet to recruit someone to lead its service business, however.
“That’s been very deliberate,” she said.
“I needed to understand it. I just needed to get closer to it, because I won’t make decisions until I understand the facts…. the complexity for a customer, the markets we serve, what are the services, how do we need to mobilise and who do we need to acquire?”
CDW’s UK managed services business is based out of Peterborough, where Williams said she has spent extensive time since her promotion.
It is one of four sites that compose CDW’s near-2,000-employee UK operation, alongside its HQs in Manchester and London, and newly upgraded Logistics and Technology Centre (LTC) in Rugby.
Although CDW doesn’t break out UK numbers in its earnings statements, its combined UK and Canadian operations registered net sales of $2.48bn last year.
Public Sector, Enterprise and Midmarket generate an even third of the UK top line apiece, Williams said.
“Many of our competitors don’t service all of those markets in such a significant way. I would say that is a clear differentiator for us,” she said.
“I get very excited about it”
CDW will officially open its new northern HQ in the heart of Manchester’s Spinningfields next week.
“Historically, a lot of our graduate programmes have worked out of the Manchester facility, hence the reason for a lovely new HQ that can attract the right type of talent,” Williams explained.
CDW’s Rugby LTC was upgraded in December in a move Williams claimed means its logistics capability is “far more sophisticated” than the competition, meanwhile.
A quarter of the 200,000 sq ft hub is dedicated to configuration and its fully secure status has been “hugely important” for CDW’s defence customers, Williams said.
“I love it; I get very excited about it,” Williams said, as she recounted the frenetic weekend it opened.
“We didn’t let any of our customers down,” she said.
“The hair on the back of my neck stands up when I think about the care and dedication of those individuals.”
Williams characterised leading CDW’s UK business – which was singled out for praise in CDW’s market-busting Q1 results – as a “privilege”.
“People ask me about how I always have a spring in my step and why I’m so energised,” she said.
“I love what I do, and if people love what they do, it’s not work.”
Asked about her priorities for the second half, Williams said it is ‘BAU’ – or business as usual.
“We’ve made huge investments with the LTC, we’re opening our northern HQ and we’re investing in and modelling our Peterborough services business,” she said.
“We are modernising how we serve our customers.”
Doug Woodburn is editor of IT Channel Oxygen
