Today, eSys is perhaps one of the youngest distribution houses in India that has overwhelmed big players of distribution game with its performance. The success of the company can be attributed to its innovative go-to-market strategies and channel-friendly policies that have allowed eSys to flourish faster than its competitors. The Indian operations of eSys started way back in 2000 at the time of Dotcom meltdown. At that point of time, the distribution of IT components was one of the hardest hit and the margins were very low. But, in spite of this, eSys has achieved sizeable growth coupled with high credentials in the market in a brief span of time. eSys started in Singapore as one-product, one-country company with one-room office with two employees. The first product was hard disk drives, and the first country was India being handled out of Singapore.Currently, eSys is a US$2-billion transnational with 117 offices in 38 countries. With more than 1,200 employees around the globe, eSys has 30,000 business partners who are catering to more than 85,000 customers. Currently, it is the largest desktop hard disk drive distributor with over 20-per cent market share. eSys has remained consistently profitable and rapidly growing ever since its inception with strong financial track record. The revenue of eSys increased by 86 per cent in 2003 to US$775.7 million, by 77 per cent to US$1.37 billion in 2004, reaching US$2 billion in 2005 with a target for US$10 billion in the next five years. The distribution house has also managed to metamorphose from the status of a regional distributor of several leading brands to that of a national distributor. Last year, eSys signed up with WeP Peripherals, Tally, ADC Krone, Acer, Polaris, Sun Microsystems, Xerox, Canon and many more as a national distributor.
Having global leadership position in the IT components distribution, eSys has successfully diversified into PC manufacturing, eSys branded IT products and IT & Business Process Services. Today, eSys growth and business success is attributed to competencies related to an efficient and process-driven business model, which transcends diverse product lines and geographies.
Operation in Indian market
The fastest growing economy of India has made the country the most desired destination for all the enterprises. eSys is not an exception in this respect. eSys considers India as an important place to do business from market standpoint as well as services point of view. Govindan Ramanujam handles the India operations as the CEO of the company. eSys’ investments are on the two fronts – one, to increase business, add more product lines, work on eSys brand, expand its geographical reach; and, secondly, to develop back-office services capabilities to cater to internal needs as well as service offerings to its TBO (Total Business Offshoring/Outsourcing) customers worldwide.
The company believes that, apart from increasing its distribution business, eSys growth drivers will be its PC business and TBO business. In the PC space, growth will be fuelled by OEM contracts with big MNC PC brands. At the same time, it also sees a great potential in the white box segment. Speaking about the eSys’ growing business, Vikas Goel, Chairman & Managing Director, eSys Technologies Pte. Ltd., says, “eSys PC brand has been growing steadily and will contribute to eSys band equity.“ In the TBO sphere, we see major growth, as more and more technology innovators would look for partners who can take care of their non-core functions – end-to-end. eSys is very advantageously placed to offer such solutions as we have capabilities through the technology spectrum right from the doorstep of Technology Innovator to the doorstep of Technology User.”
The core strength of eSys is its ability to deliver efficiently, on-time and at the right cost. Recently, eSys was ranked among the top 20 IT companies in India ahead of Oracle and other top names. This shows how fast eSys has grown and sustained in the Indian market. Today, eSys PC business has been growing steadily. The company has grown in the markets like UK and Singapore, while continuing positive trend in the Indian subcontinent. Apart from that, eSys has got big deals in the pipeline in Latin America and Russia as well.
In the end…
With its policy to move one step ahead of competition, eSys is leaving no stone unturned to develop upcountry markets and expand the reach at the locations where competitors have not yet approached. As the company progresses towards becoming a big player, the major challenge that the distribution house has to cope with is to deliver top-of-class support to its dealer partners and keep providing more value-added services to the vendors.
