Dell Technologies, an IT hardware manufacturer, is undergoing a significant shift in its sales strategy, which is resulting in layoffs within its sales teams. The company is pursuing a partner-led go-to-market strategy, with the goal of selling its products, particularly storage solutions, through collaboration with partners. This strategic shift represents a significant shift in Dell’s business practices.
Dell’s decision to downsize its sales teams demonstrates the company’s determination to align its workforce with the new strategy. This action demonstrates the company’s proactive approach to aligning human resources with changing business objectives. The decision’s significance is evident in its broad ramifications, emphasising its sincere commitment to change. Notably, the company promises to support affected employees as they transition to new opportunities.
This shift in sales strategy is consistent with Dell’s goal of optimising its sales processes by incentivizing direct sales personnel to focus on selling storage solutions through partners. This is a departure from the traditional direct sales model. The company’s leadership, including Bill Scannell, president of sales and customer operations, recognises the significance of this change, calling it the ‘biggest change ever’ in Dell’s GTM model.
According to Rob Tomlin, Dell Technologies’ VP of the UK channel, this transition emphasises a significant shift in the company’s customer approach, with partners becoming the primary focus. The strategic shift demonstrates Dell’s dedication to a collaborative sales approach. In addition, it will increase compensation for sales representatives who facilitate sales through partners, a departure from previous practices.
