The Market Potentials of Azerbaijan are Tremendous and Prospects for Development are Outstanding
On February 1st, 2012 Inara Gulieva has been assigned Director General of the Azerbaijan HP Representation Office (RO). In 1997 she graduated the Azerbaijan State Oil Academy as specialist in Automatics and Technical Systems Control and has been working in IT market of our country for more than 13 years. Over the past one and a half year she not only managed to preserve the leading positions HP take in Azerbaijan but launched several new development lines as well.
The market share of the company has grown virtually in all the segments; the number of partners has increased and quality of partnership has improved also. As of now, the Representation Office employs almost 20 persons and each of them is a professional in a particular field. For the vendor local office, that is a significant number that proves great interest of HP to the potentials of Azerbaijan. So, today Infocity talks to Inara Gulieva on the changes in HP policy in our country.
- Has the mix and number of HP partners in Azerbaijan changed within this year? How much partners do you have and what is their status?
- The list of our partners and their status is presented in the HP official web-site. I should say that their number has increased and contracts with new partners (Bakinity, Caspel, AzTS и Smartek), have been signed. Before, those companies promoted solutions of our competitors. Today this process is still on. That proves that HP decisions become more attractive, both technically and economically. Very soon three more local companies are to receive partnership status since their performance within 2012 FY was excellent. Not only the number of our partners increases, the resources share is re-distributed also.
Together with its partners, HP takes active participation in development of local expert arbitration. We never stop the process of companies’ specialists training; the partners receive expertise and demonstrate professionalism in solving tasks of any level of complexity. Apart of partner co-operation, we develop the distributor network as well. For example, we are going to sign a contract with one more distributor. Following the needs of our clients and to meet the demands of increased consumption of our products we have significantly expanded the network of HP service centres. Negotiations with ULTRA and AzTS companies are in progress. The market share of HP grows, and we shall do our best to provide our clients with servicing of higher quality.
Presently some our partners develop their regional representation offices. We actively participate in this process and help them to implement projects of various level of complexity irrespective of their location and remoteness from Baku. Such a tendency will evolve since re-distribution of resources is in progress and concentrating in one city is not effective if one has a strategical vision.
- Within the recent Partner Workshop in HP data storage, it was mentioned that this year the HP training centre will be opened in Azerbaijan. Could you indicate when it would be open and what kind of courses would be presented?
- We have already signed the contract with EduCat and the first courses have been already launched. To meet the requests of our partners and clients and significant demand in HP educational packages we have done our best to satisfy the market expectations. We have selected EduCat centre not sporadically. That is a company of good experience in the market; they are quite capable to provide training in HP products. We have called for tenders and understood that EduCat is the best option with respect to customer base, material resources, level of service, and experience. That was welcomed by all our clients since for them it is a possibility of reduction of costs for training of their personnel in the centres abroad.
Now they can receive in-service training, and training schedule is flexible and adjustable. Our intention is to provide the local market with the courses that are currently in demand. In other words, if a client or a partner would need some specific course I am sure that HP would organize visit of appropriate coach and arrange training at the level required.
- What spheres of activity HP sees as priority in Azerbaijan now? Are you going to start development of new trends in our market?
- Now we focus on promotion of software and our security systems, construction of DPC’s and implementation of cloud solution. Security of electronic data is the major trend in the world. No doubt, HP is one of the leaders in number of the solutions provided and their quality as well. In Azerbaijan, this market is just emerging but we take certain steps in promoting of these products. We have planned a series of workshops, meetings and consultations that would visit not only representatives of the local office but the specialists from HP offices in the Russian Federation, Ukraine and some European countries as well. We are going to run a series of workshops to demonstrate advantages of HP solutions to our partners and clients.
Our company has vast experience and we would by happy to share it with the Azerbaijan companies. HP has a vast package of solutions that include not only information security but system analytics as well. In 2011, HP has purchased Autonomy that is the leading company in raw data processing. Thanks to that we got an opportunity to promote such solution in the Azerbaijan market with a proactive approach. As a whole the portfolio of software solutions available in Azerbaijan has been significantly developed within the last months. I mean system monitoring software, backup systems, and security systems and so on.
The primary hardware products HP is currently promoting in the Azerbaijan market are server platforms, data storage systems and network solutions. As per the IDC Report, HP share in Azerbaijan market in the segment of x86 servers is about 80% and the figures of the main competitors are significantly less. I believe this tendency will be kept demonstrating certain growth in some periods. By the way, the network solutions by HP are quite novelle at the Azerbaijan market. We focus our efforts and draw attention of our partners to this product line since that have already achieved one of the leading positions in the world. In Azerbaijan, HP proposes a large number of complex solutions, including construction of DPC’s and advanced cloud computation systems. These are our primary trends and we are going to promote them further.
- All over the world, vendors try to convince their corporate clients to purchase package solutions that include high-quality services, tools and software. This is a universal tendency, and what about Azerbaijan? When you work with corporate clients what is more popular: equipment delivery only or package solutions?
- We have constant relationships with large corporate and public clients at the territory of Azerbaijan. Those include O&G and telecom, major private companies, various ministries and, last but not least, financial companies. For me, it would be easier to name the organizations that do not yet use our solutions rather than list all our clients. We highly appreciate the credit of trust from our clients and grateful for that. I hope we would continue to satisfy their expectations. In particular cases, any decisions could by provided. The main point is that the strategic plans are discussed and developed in a multilateral format, with participation of client representatives, our Azerbaijan partners and HP office specialists.
All over the world, tendencies aiming cost reduction are of high priority. That requires combined solutions including network infrastructure, data storage systems, licensing, power supply, ventilation and cooling, and so on. In this regards, the experience HP accumulated throughout the years of presence at the Azerbaijan market are invaluable advantage. We are asked for complex solutions more and more often. In such requests the shares of private companies, financial institutions, cellular service providers and public companies are practically equal.
- How do you solve the problems related to availability of particular equipment at our market? The stocks of HP local distributors can not list all the products possible. The same question may be applicable to servicing run by vendor.
- Now, we provide practically all the product lines that HP portfolio currently has. Otherwise the company would not be able to accomplish certain current projects. As far as remote support, this function within HP is global and very strong in Azerbaijan. In other words, if there are tasks that can not be resolved at a local level, an appropriate specialist of HP (from 300,000 HP employees worldwide) can come to Azerbaijan within 1 to 3 days and tackle an issue. The local RO of HP also has specialists in charge of technical support of the systems installed. They are high-qualified specialists who ensure 24/7 support for the acting contracts. As an example, I would like to mention Samir Khalilov certified as HP Blade System Matrix Master - the first specialist who got this nomination at the territory of the CIS. The same is applicable to the hardware solutions of HP. If required they can be promptly delivered to Azerbaijan.
- Who of HP global partners is now presented in Azerbaijan market and how do you build relations with them?
- It goes without saying, in Azerbaijan we maintain close relationships virtually with all our global partners like Microsoft, AVAYA, VMWare, APC, Symantec an others. In this regard we arrange a big number of joint events and major part of the proposals to the clients are prepared jointly. Even convergent structure of HP that presumes ready hardware-and-software complex ensuring solving of business-tasks with maximum performance and with higher speed is impossible without licensing, UPS, conditioning and other in-line devices used for life-cycle support. In this case we call for assistance of our global partners and create joint convergent structures. We believe that cloud technologies have excellent future and we already propose complex solutions of providing high-quality service.
- Now, the world economic recession is not much spoken about. In Azerbaijan, has HP come across falling demand for computers, laptop and other products?
- We have not faced such trends in our country. Moreover, I can say that that throughout these years we have witnessed growth of demand of personal devices from the side of household, private and public companies. Of course we were quite happy with that. HP had a stable growth in this sphere in all the product lines of the Printing and Personal Systems Group covering various devices from jet printers to desktop systems and corporate laptops, though the group was created just last year. However, I am more satisfied with achievement in the market of Enterprise-solutions, server and network technologies, data bases storage systems and critical business systems. The growth in this sphere indicates that HP strengthens its leading position at the Azerbaijan IT market, in its high-tech solutions segment that is extremely competitive.
- What kind of activities HP is going to undertake in Azerbaijan this year to find new partners and clients, and maintain relations with existing ones?
- Our activity has also been at a high level. We constantly run workshops that give an opportunity to know about cutting-edge technologies, meet the leading architects of HP and resolve the acute problems our partners and clients face in their every-day work. The last issue of your magazine highlighted one of them that was focused on new HP data storage systems, 3PAR, for virtual and cloud environments. The schedule of events planned for 2013 is vast. Every time it would be something new, something that would meet current business demand of the market.
As a rule, we arrange events at least every three months, if not oftener. I can not but mention the IT club that was established by our RO. Every three months we arrange events trying to engage leading specialists in various IT domains. Informal format of such meetings helps our clients to communicate with the representatives of HP and our partners, discuss acute problems, and exchange experience. For example, at one of the recent events we had a chance to meet an officer from Kazakhstan HP RO, who told about implementation of major regional projects like KazakhTelecom and Kazakhstan Railways DPC.
I would like to express gratitude to the Ministry of Comms and IT. Our cooperation brings only positive results and we appreciate thorough understanding of our business needs. The Ministry provides all-round support to all the vendors at the territory of Azerbaijan, including HP and maintains high standards for IT development. Of course, we labour to adhere to them. In close cooperation with the local partners we continue to implement the Popular PC project; that is a unique initiative not only for the CIS countries but for Europe as well. Such initiatives are undertaken not in every state, in some courtiers they are still under consideration though in Azerbaijan that project has been already implementing for several years, and its stage accelerates the process.
As far as other activities in the Azerbaijan market I would like to highlight our desire to take part in all the projects run in the territory of Azerbaijan that contribute to strengthening of out country in the region. Presently we run intensive negotiations on HP participation in establishment of the IT Academy that was initiated by the president of the Azerbaijan Republic. Within its framework we would like to suggest some interesting software and hardware solutions and launch a series of educational projects like free workshops and webinars for the students. HP understands that it is necessary to work with the rising generation, fledgling specialists. That is why we create a program aiming to train the young people and provide access to HP information base and our technological resources. We do our best to make the young people, especially the tertiary students, receive certain education and become certified specialists that would facilitate job selection and career progress.
One of the major events HP is taking part this year is BakuTel 2013, Telecom Exhibition and Conference. Last year we have drastically changed the format of our participation; HP products were placed on the company stand. That had a very good result because the potential clients have an option to test the systems and find out their capabilities. I think this must become a tradition, we should continue to exhibit our leading technologies and new equipment; as you now it covers practically all the spheres in demand at the Azerbaijan market.
- Are the top-managers of HP, including Meg Whitman, aware of the achievements in our country or they monitor at the regional level only?
- Of course, HP knows that the solid position HP takes in Azerbaijan was won by hard work of our team. That is why I would like to express my gratitude to the Azerbaijan team of HP and to my predecessor, Rufat Gadjialibekov whose activity enabled such high results at this market. In February this year, for the first time ever, in the city of Anaheim (California, USA) HP has held a congress of all the vice-presidents and regional RO’s directors. The congress was presided by Meg Whitman, CEO of HP. For me, being in the midst of HP top management is a significant event. It is impossible to describe that vigorous atmosphere. Such meetings are a good spur to work and make new achievements. Throughout the last year, HP has undertaken a number of reforms and now you can see that stock value increases, new technologies and solutions come up. The said event also focused on consolidating the company at all the levels. It was a place where managers, representatives of various countries and vice-presidents could communicate casually, exchange experience and obtain vision for running competent policy in their regions. The representation of the CIS countries, including Azerbaijan, got one of the central places in Anaheim Convention Centre. This very fact proves that HP management keeps close tabs on business in every particular country of our region.
- If interest to our country is so intensive why the leading analytics agencies like IDC do not provide comprehensive reports on our market?
- Presently we take many efforts in this regards to ensure annual investigation of Azerbaijan and regional market. It would be great if the figures are real and competently obtained from the reports. This year GfK will launch its operations in Azerbaijan. Their reports are made basing on resellers’ market research; we can see the results of their activity only in half a year. The advantage of such reports lies in the fact that all the major tendencies are vividly demonstrated even if some companies provide under- or overscorred data. In this case one can see the scale and position of any particular brand. We respect our competitors and wish them success but we want to face sound and fair competition. It does not give us any chance to relax, it constantly speeds up. Any how, it is not easy to work without proper tools of market analytics. However, we do cope with our task and explain to the management of the companies and IT-specialists what advantages using HP equipment could give.
- May we hope that one fine day the gray market would be overcome in our country?
- I can say that HP suffers the gray market activity like no other vendor in Azerbaijan. The most critical problem is supply of poor-quality consumables to the Azerbaijan market. We never stop working in this direction and I believe that very soon we would be able to say about certain achievements. Now we are busy with authorization of several partners that will work directly for development of consumables market. They undergo certification and thereafter their joint efforts are to shut the gray import. HP also fights for consumer via competent pricing policy and regular monitoring in order to minimise damage that could be caused by poor-quality consumables. We are responsible for our customers and for the solutions we provide. Our specialists have vast experience and provide with preliminary, project and after-sale support of HP equipment that is impossible if gray equipment is delivered. Otherwise all the risks are born by the client. That is unreasonable from the financial point of view and could lead to severe technical problems.
- And the last question. What do you think about perspectives of HP development in Azerbaijan, in view of the fact that the requirements of the companies to their IT infrastructure become more and more strict and sophisticated?
- I think that the tendencies would be same. The market is evolving, HP assesses it as one of high potential, and we hope to expand presence of the company at the territory of Azerbaijan. That could by realized by spreading the office, providing new services and solutions, and expanding our partner base. I would like to cite the Deputy Minister of Comms and IT, Elmir Velzade: The amount of investments allocated by the government into IT sector can not be neglected by vendors, customers and partners. I absolutely agree with this and I think that in years to come we shall witness spree in the technologies market. By today, the Azerbaijan RO of HP has already got contracts for construction of huge data processing centre (DPC). Those DPC’s meet the requirements of the local market, but they may fit to scale that of regional one. We are running works in deployment of cloud technologies, IT security, analytics, and so on. Those technologies are the things of the future and now we implement the first stage of such projects. The market potentials are tremendous and prospects for development are outstanding. The fact that our government focuses on IT development would strengthen the leading positions of Azerbaijan. From my side, I am happy that HP contributes much to development of our market.
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