BANGALORE, INDIA: When it comes to IT, System Integrators (SI's) play a major role. They are the one's who mainly join the pieces of the jigsaw puzzle and make any product or solution more relevant. Basically an SI's role is to build a solution, integrating various applications or systems.

A session on System Integrators, 'Why System Integrators are Critical to the Success of Your Product Business' held here today as part of the two-day NASSCOM Product Conclave and Expo 2009 here, discussed this crucial role played by the SIs and the various challenges faced by SI and product companies while working together, and building meaningful engagements.

While moderating the session, NRK Raman, MD and CEO, Oracle Financial services said that they have chosen this topic on the role of SI's for the first time after looking at all business model criticality in the market overall.

Understanding the role of SI

The relationship between a product company and SI has always been at the complex edge. The panelists at the event highlighted as to how important it is for a product company to understand its SI.

“Indian companies are still evolving in understanding the role of SI companies,” said Raman. He further added that it is really important to understand this, as they act as one-stop shop for aggregating and consolidating products.

Harsh Mangalik, country head and CEO, Accenture said, “SI is not your enemy, they can be your friend. It is required to understand what they think and where they are trying to take your product as well as how can you work with them.”

During his presentation Manglik pointed out how SI perceives any product. He stated that they worry about the product's over all stability, scalability and ability to pass through the stress tests.

“If SI does not become comfortable with your product, he would be reluctant to take the risk. A company not only needs to think of its software or product, they also have to think about the business, as SI going to deploy the solution think on a long-term basis,” he added.

Manglik noted a few suggestion for a company to have good relations with SI, which includes clear go-to-market strategy, business models (licensing), financial structure, client delivery, etc.

Rajat Mathur, chief sales and operation officer – APAC, Wipro said the relationship is a win win for both SI as well as product companies. “The deal sizes are getting bigger and bigger day by day. Identifying such deals and engaging in partnership with SI active in such deals would help,” he noted.

The advantage of working with an SI is it would get you broader reach with larger customers, cross country and industry deals.

Clearing a few myths about SIs, Mathur further said that there are many wrong notions about working with an SI's which are untrue. The notions that while working with a global SI the profit would be creamed off, it would result in losing the value proposition of your product, or SI would deliver their own competency, are wrong, he asserted.

Building scalable products, proper knowledge management, having proper processes and methodologies in place are a few things that would help in building a sustainable relationship with your SI, as well as developing transparency and trust is also crucial.