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Skill shortage, Rapid Tech shifts, Scalability issues: Challenges impacting Indian Channel Partners

Skill shortage, Rapid Tech shifts, Scalability issues: Challenges impacting Indian Channel Partners

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Skill shortage, Rapid Tech shifts, Scalability issues: Challenges impacting Indian Channel Partners
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Channel partners in India, including distributors, value-added resellers (VARs), and managed service providers (MSPs), are pivotal in driving technology adoption and business growth. As the digital world expands, IT channel partners become the architects of seamless technology adoption. They give businesses the means to fully realize the potential of cutting-edge technologies. The IT channel acts as intermediaries between technology vendors and end-users and their role is not restricted to only just distributing products, but they provide valuable insights, support, and customization services.

However, with increasing customer expectations, accelerated cloud adoption, and mounting competition, Indian channel partners are navigating a rapidly evolving digital landscape and are facing significant challenges in achieving scalability during business transformation.

India’s channel ecosystem is diverse but fragmented, with misaligned priorities between vendors, distributors, and resellers. When thinking about scalability in business transformation for channel partners in India, the key challenges include digital enablement, supply chain inefficiencies, and adapting to rapid technological changes.

SOME OF THE CHALLENGES FACED BY THE CHANNEL PARTNERS ARE –

Digital transformation pressures: Many channel partners are struggling to evolve from traditional models to cloud-first or hybrid service offerings, often lacking the technical expertise or resources required for a smooth transition.

Scalability and Profitability: Maintaining margins while scaling operations remains a critical concern. Partners must find ways to offer competitive pricing without compromising on service quality.

Talent and Skill Gaps: The demand for skilled professionals in areas like cloud architecture, cybersecurity, and DevOps continues to outpace supply, limiting the growth potential of many partners.

Vendor and Technology Complexity: Navigating the diverse and complex vendor ecosystem, with constantly changing toolsand platforms, can be overwhelming—making it difficult for partners to align with the right technologies.

Customer retention and Value Addition: With customers expecting more personalized, outcome-driven solutions, channel partners must go beyond reselling to deliver tangible value, such as managed services, consulting, and post-sales support.

As demand shifts toward subscription-based and cloud-driven models, partners must modernize infrastructure, invest in skill development, and build stronger customer engagement capabilities. Scalability hinges on embracing digital platforms, enhancing operational agility, and forging strategic alliances that allow partners to evolve from transactional resellers to value-driven solution providers in a dynamic, tech-centric marketplace.

ROLE OF AN OEM

It becomes imperative therefore on the part of OEMs and vendors to remain committed to helping channel partners in India by navigating these challenges and turning them into opportunities. By providing access to scalable cloud-native platforms, training and enablement programs, and go-to-market support, OEMs can empower them to transform their businesses and thrive in a competitive digital economy.

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Iris helping partners unlock new value and revenue streams with robust offerings

SANJIV KRISHEN
FOUNDER CMD – IRIS GLOBAL SERVICES

Iris today is well-positioned to adopt and scale cloud-based and subscription-driven models. With the rising demand for cyber security and cloud solutions, it is proactively equipping partners with robust offerings that enhance their project capabilities while unlocking new value and recurring revenue streams.

“Our focus is on ensuring that partners can seamlessly integrate these cloud and subscription solutions into their existing and new projects—enhancing operational performance, improving security posture, and driving long-term profitability,” cites Sanjiv Krishen, Founder CMD – Iris Global Services.

Iris has implemented ERP integration as part of its automation framework. This system plays a key role in streamlining operations—it enables partners to load orders quickly and generate necessary documents such as proforma invoices and shipping clearances with speed and accuracy.

“Additionally, our payment portal is fully integrated within this digital model, allowing for efficient financial tracking, quick assessments, and seamless audits. Overall, these platforms significantly enhance operational efficiency, transparency, and partner satisfaction,” says Sanjiv.

CHALLENGES FOR PARTNERS

“Our biggest challenge today is evaluating appropriate credit for our partners. As government and federal spending continues to rise, our partners are increasingly participating in larger deals with significantly higher ticket sizes. This naturally leads to an expanded credit exposure for our partners and in turn, for us.

At Iris, we are a partner-first organization—we prioritize supporting our ecosystem in every possible way. We are committed to helping our partners scale confidently, even as deal sizes grow. To complement this, we are also strategically expanding our portfolio, adding a broader range of IT products and services across multiple categories to strengthen our value proposition and market presence,” says Sanjiv.

He further continues, “At Iris, our team is always prepared to take on the next level of challenges and opportunities. We prioritize continuous learning by conducting regular upskilling sessions to keep our workforce aligned with evolving market demands.”

OEM brands and vendor partners play a vital role by organizing periodic training workshops and certification programs, ensuring Iris teams stay updated on the latest technologies and industry practices.

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Training and skill development continue to be a constant initiative at Savex

ATUL GAUR
DIRECTOR, SAVEX TECHNOLOGIES

In the distribution landscape, whether one tries to grow business organically or inorganically, the key elements required always are having the RIGHT TALENT, which remains a scarce resource. The other areas include, lead generation, partner expansion, business enablement needs, certifications, inventory management etc. which are relatively easier to manage.

“Training and skill development is a constant initiative at Savex, more so as we live in an ever changing and a very dynamic IT industry where technologies such as Cloud, Data center usages, AI usage in hardware and software tools, Cybersecurity, Network, Server, Storage, Data management, UCAAS, virtualization etc constantly shape the landscape,” cites Atul Gaur, Director, Savex Technologies. “We have also invested in training tools so that training is available at the tip of a click at all times too.”

Besides, constant enhancement of our own ERP and digital tools to enable business also remains a priority investment area at Savex. Savex also uses multiple Tech and automation tools and digital platforms to support both hardware, software, subscription and cloud based businesses too. “Usage of technology to help ease of business operations is a key area of our business advancement,” points out Atul.

Usage of WhatsApp integrations in order management and application of Agentic AI in back office operations are some of the areas where Savex is investing. E-commerce tools are in advanced stages of operations while others are constantly being upgraded and supported to bring ease of order loading and information dissemination to our channel partner ecosystem.

SUPPORT FROM VENDORS

Vendors continue to advance their tools and systems to support business needs and requirements. Whether it is to do with PARTNER PORTALS to support partners for quote, lead, DR management or even detailing certification requirements and various partner programs too. Also supporting seamless service operations related to order management (EDI needs), post sales tech support (TAC centres) etc. continue to be prioritized. Some vendors are in advanced stages of these support attributes while others continue to consciously work to invest and grow the support here.

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Ingram Micro embracing a forward- looking digital transformation plan

VISHAL HEGDE
DIRECTOR – SALES, INGRAM MICRO INDIA

The technology distribution landscape is on the cusp of a radical digital transformation where every organization has a distinct set of digital priorities. While the focus is intact on achieving a higher level of agility, efficiency and organizational flexibility, evolving customer expectations have also impacted business decisions at a strategic as well as operational level.

“To remain afloat in this competitive era and ensure strict compliance with regulatory guidelines, it has become imperatively important to embrace a forward-looking digital transformation plan,” says Vishal Hegde, Director – Sales, Ingram Micro India. “That’s why we have been focusing on enhancing our digital capabilities and offering a wider range of cloud-first, digital-led business solutions to customers. Our ‘Digital Twin’ Xvantage has successfully helped us tackle the evolving challenges and scale our business competently.”

Ingram Micro launched its “Digital Twin” – Ingram Micro Xvantage – a couple of years ago, and it has completely redefined the way it interacts and transacts with customers. Xvantage is a digital experiential ecosystem that simplifies the overall process of technology acquisition. “It enables our partners to search for a product, generate a quote, place an order, track the consignment, and a wide range of tasks with a simple click of a button,” explains Vishal.

CLOUD-BASED VS SUBSCRIPTION-BASED MODEL

There’s no denial to the fact that the future of technology consumption will be driven significantly by the “as-a-service” engagement model. “Identifying this shift timely, we took multiple strategic initiatives to transition to cloud-based and subscription-based models. Our operations, trainings, and partnerships with leading cloud vendors are rightly aligned to meet these demands from customers. Over the years, our cloud-based services and subscription-based models have helped our partners competently accelerate their cloud transformation journeys. We truly understand that continued investment in enhancing digital infrastructure and the digital empowerment of customers will play a critical role in charting the course for success. That’s why we collaboratively take multiple initiatives to help customers realize the transformative potential of digital, cloud-native technologies through subscription-based models,” explains Vishal.

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iValue underscoring the need to work in unison with vendors to achieve common goals

R VENKATESH
CHIEF REVENUE OFFICER, IVALUE GROUP

One of the key challenges that iValue encounters is the varied  understanding  among  SaaS vendors of the distribution ecosystem’s role in market expansion. “Some vendors are still building direct-first go-to-market strategies and overlook how distributors like us can accelerate their reach, particularly in high-growth sectors and across Tier 2 and Tier 3 markets,” cites R Venkatesh, Chief Revenue Officer, iValue Group. “This lack of alignment limits their market visibility and growth potential.


As a strategic technology advisor, we aim to bridge this gap—by not just offering logistics and transactions, but by creating value through solutioning, co-selling, and lifecycle support.”

SUPPORT FROM VENDORS

According to Venkatesh, while the ecosystem is maturing, there’s still room for improvement—particularly around transparency and tooling. “Vendors need to offer more granular and timely reporting on subscription usage, renewals, and overages. The data is important for billing accuracy and optimization of resource consumption for our customers. When we have real-time insights, we can plan better, deliver faster, and drive higher satisfaction across the lifecycle. We also value enablement platforms that help with partner onboarding, training, and collaborative deal management,” he says.

At the same time, with the pace of technology innovation and the increasing complexity of digital transformation projects, skill development is becoming critical. “Our OEM partners continue to be instrumental in this area, providing us with product certifications, technical workshops, and hands-on labs. Through our iAcademy, we complement this with structured training tracks focused on high-impact areas such as cloud architecture, DevSecOps, cybersecurity, and information lifecycle management. 

Given the ongoing cybersecurity skill shortage in India, we have placed particular emphasis on closing that gap—training both our teams and our partners to manage modern threat landscapes confidently,” explains Venkatesh. iValue has been using a variety of automation and digital platforms across functions such as partner engagement, deal registration, compliance, and operations. These tools have significantly improved its internal efficiency and partner visibility. “However, digital maturity across the vendor ecosystem needs to be more uniform for the benefits to be fully realized,” points out Venkatesh.

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Spark Technologies strives to upskill its team in terms of technology and trends

KUSHAGAR BUDHWAR
EXECUTIVE DIRECTOR, SPARK TECHNOLOGIES

The market is rapidly evolving with technology cycles becoming shorter, and staying aligned with vendor roadmaps while educating partners in time is a constant effort. Additionally, finding and retaining skilled talent who understand both the technical and business aspects of distribution has become rather imperative.

“I wouldn’t call it a Challenge as for us being a value added distributor it is the need of our business and for us to being able to manage consistent growth while maintaining the high-touch, value-added services our partners expect,” says Kushagar Budhwar, Executive Director, Spark Technologies. “Also, we have to accept the fact that we are representatives of the OEM and hence a mutually agreed SOP should be in place to run that particular business. A SOP that can provide more structured enablement for partners in both technical and commercial aspects. Having this in place would also create clearer pricing models and better integration with distributor platforms, and faster onboarding processes which would significantly improve efficiency.”

For distributors, it is imperative to evolve as per industry trends and technological evolution. Spark Technologies always pushes its team to upskill themselves in terms of technology and trends.

“Our team also seeks continuous training on the latest technologies from our vendors particularly around cyber security, AI, and infrastructure modernization. Additionally, being a VAD, there is a growing requirement for consultative selling skills so our team can better support partners in aligning technology to business outcomes,” cites Kushagar.

Kushagar further continues, “I think in the evolving world of technologies it is also important for not just OEM but also distributors to adapt with tools that help with deal registration, automated quoting, and pipeline visibility which would eventually be highly beneficial in improving our responsiveness and partner satisfaction.”

CLOUD-BASED VS SUBSCRIPTION-BASED MODEL

Over the past couple of years, Spark Technologies has made conscious efforts to add verticals that offer revenue through subscription offerings. While there’s still work to be done in adapting certain backend processes, the company has already started onboarding vendors and partners who operate within these models. The challenge now is scaling this side of the business while ensuring traditional operations continue to run smoothly.

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Crayon helps ISVs and legacy SIs modernize their offerings into cloud-native, scalable services

VENKATARAMAN D.
VICE PRESIDENT -SALES & STRATEGY, CRAYON SOFTWARE EXPERTS INDIA

The Indian channel ecosystem is evolving rapidly, and while that creates opportunity, it also presents challenges. One of the biggest hurdles faced is the accelerated pace of digital transformation across industries. While customers are embracing the cloud, AI, and hybrid IT models, many partners are still in transition and grappling with aligning their traditional business models with the new-age subscription- and consumption-driven ecosystem. Additionally, the complexity of managing multi-vendor relationships and navigating compliance and regulatory frameworks further slows down growth for many in the channel.

CLOUD-BASED VS SUBSCRIPTION-BASED MODEL

Crayon has been at the forefront of the cloud and subscription economy. “Our entire engagement model with partners is already aligned with this shift—be it through our Cloud-iQ platform, our software and cloud cost optimization services, or our advisory-led go-to-market strategies. We don’t just enable the adoption of cloud-based models; we empower our partners with the insights, tools, and billing flexibility to succeed in a subscription-driven world. Our readiness is reflected in the way we are helping ISVs and traditional SIs transform their offerings into scalable cloud-native services,” explains Venkataraman D., Vice President -Sales & Strategy, Crayon Software Experts India.

Besides, automation is central to Crayon’s operations. “Our proprietary Cloud-iQ platform is a great example, it automates cloud subscription management, cost optimization, and analytics, making it easier for partners to deliver value to their customers. We also leverage CRM and partner lifecycle automation tools for demand generation, pipeline tracking, and renewals. These platforms have proven effective not just in improving operational efficiency, but also in providing actionable insights to scale smarter. The key is that these platforms are integrated, intelligence-driven, and partner-friendly,” explains Venkataraman.

UPSKILLING & ENABLEMENT

In today’s market, the competitive edge lies in consultative selling, cloud architecture expertise, and financial acumen. Crayon teams need to speak the language of business outcomes, not just technology. Therefore, training in areas such as cloud economics, FinOps, AI/ML fundamentals, cybersecurity frameworks, and vendor-specific certifications is critical. Moreover, soft skills like stakeholder management and customer success delivery are becoming increasingly important.


“At Crayon, we actively invest in continuous learning programs to ensure our teams and our partners remain future-ready,” concludes Venkataraman.

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Technobind steering forward with a focused partner strategy and sharp market alignment

HARIKRISHNA PRABHU
COO, TECHNOBIND

Scaling in today’s hyper-competitive IT landscape demands more than just  ambition;  it requires resilience and precision. One of the challenges faced is talent attrition, which, much like in large enterprises, disrupts momentum and consistency. Coupled with this is the scarcity of skilled professionals, especially in emerging tech areas. Another key hurdle is navigating the crowded vendor landscape—choosing the right technologies to back and promote is becoming increasingly complex.

“Lastly, expanding geographic reach and deepening account coverage remain ongoing priorities, particularly as we look to strengthen our footprint beyond metros into Tier-2 and Tier-3 markets,” points out Harikrishna Prabhu, COO, Technobind. “As a value added distributor, we realize that overcoming these challenges requires a focused partner strategy, constant skill-building, and sharp market alignment.”

Technobind has heavily invested in automation and digital platforms to streamline both its internal processes and partner engagement. From CRM systems that help to manage pipeline visibility to partner portals that provide self-service capabilities for deal registration and quoting, Technobind is leveraging technology for scale. These tools have significantly improved turnaround time, reduced manual intervention, and enhanced partner satisfaction.

CLOUD-BASED VS SUBSCRIPTION-BASED MODEL

“At TechnoBind, we have been at the forefront of enabling the transition to cloud and subscription-based consumption models. Our hybrid distribution model is designed to support both traditional and new-age solutions, allowing partners to pivot based on customer demand. We have already made significant progress in integrating SaaS, IaaS, and PaaS offerings into our portfolio. Cloud-readiness requires enablement, commercial flexibility, and lifecycle management, all of which we’re proactively addressing,” explains Harikrishna Prabhu.

UPSKILLING & ENABLEMENT

Staying relevant in the current market demands more than surface-level knowledge, it requires deep technical proficiency. The Technobind team continuously needs upskilling in areas such as cybersecurity, multi-cloud orchestration, data governance, and AI/ML integration. Equally important is sales enablement, understanding solution selling rather than just product pitching.

“We are also focusing on customer success management (CSM) training as subscription models demand a lifecycle approach to revenue.
Upskilling is not a one-time exercise; it’s an ongoing investment we are committed to making,” sums up Harikrishna Prabhu.

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Frux Technologies strives to strike a balance between agility and sustainable long-term growth

DALIP ARORA
CHIEF EXECUTIVE OFFICER AND FOUNDER, FRUX TECHNOLOGIES

The tech landscape is evolving rapidly, and while that opens up new opportunities, it also creates a lot of pressure to keep adapting—whether it’s to shifting market demands or evolving partner expectations. At times, there’s a disconnect in alignment between OEMs and partners, which can affect how smoothly things move forward.

“As a distributor, we are constantly balancing agility with long-term growth—and that requires clarity and collaboration across the ecosystem,” says Dalip Arora, Chief Executive Officer and Founder, Frux Technologies. “One of the biggest hurdles we face is maintaining consistency while trying to scale in a fast-changing environment.”

CLOUD-BASED VS SUBSCRIPTION-BASED MODEL

As the industry moves toward cloud-first and subscription-driven solutions, Frux Technologies has been aligning its offerings and backend systems to support this shift. “From updating our internal processes to collaborating with OEMs on subscription licensing and billing cycles, we’ve made significant progress. We understand that recurring revenue and service-led engagement is the future, and we’re positioning ourselves accordingly. What we now look forward to is continued support from OEMs—whether it’s through flexible licensing models, better integration, or ongoing enablement for our partner ecosystem,” cites Dalip.

VENDOR SUPPORT & SKILLING

“As a distributor, we act as a critical link between OEMs and partners, and to do that effectively, we need clear communication, timely information, and collaborative planning. Support from OEMs in areas like simplified deal processes, consistent pricing structures, and faster issue resolution makes a big difference in how we serve the market. We also value joint business planning, regular training, and marketing collaboration that helps us stay aligned with evolving customer demands. Ultimately, the more transparent and responsive the engagement from OEMs, the more efficiently we can enable our partners and drive growth together,” says Dalip.

While technical knowledge is important, the company believes that developing strong soft skills is equally essential. Skills such as effective communication, adaptability, problem-solving, and customer-centric thinking can help the team build better relationships and respond to challenges more efficiently. “Continuous learning—both technical and interpersonal—ensures our team stays flexible and ready to meet evolving market demands,” concludes Dalip.