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CONTENTS Volume 23 • No. 12

FEATURE ARTICLES 10

Managed IT Services Dealers share insight into this new journey

P R I N C I PA L I S S U E S The Rise of Ransomware Threat discussed at Executive Connection Summit

by Brent Hoskins Office Technology Magazine

Technology United hosted the fifth annual Executive Connection Summit May 7-9 in Scottsdale, Arizona. During one of the summit’s 11 educational sessions, Henry Washburn of Datto provided insight into the rise of ransomware and ways to confront the threat.

As the worlds of managed services providers and the BTA Channel continue to collide, office technology dealers are increasingly turning their eyes to the managed IT services opportunity.

Curb Appeal Is your website hurting your dealership?

Digital Transformation DocuWare hosts annual conference in Orlando

by Tim Votapka PPMC Inc.

by Elizabeth Marvel Office Technology Magazine

If you have not been doing much to manage your website, it could be costing you revenue every time a prospect lands on your site and leaves quickly because he (or she) did not see any reason to look deeper.

COURTS & CAPITOLS 22

Can You Hear Me Now? Educate end users on the threat of ransomware

With a look at how businesses are moving forward in today’s digital world, DocuWare hosted Docuworld 2017 May 15-18 in Orlando, Florida. DocuWare Presidents Thomas Schneck and Jürgen Biffar took the stage to speak to attendees about the future of documents and the cloud.

SELLING SOLUTIONS Name Dropping When is it good in the sales process?

by Robert C. Goldberg BTA General Counsel

by Troy Harrison Troy Harrison & Associates

On Friday, May 12, 2017, a massive ransomware attack infected more than 75,000 computers in 99 countries. This is an opportunity for BTA members to distinguish themselves as trusted advisors.

P R I N C I PA L I S S U E S 25

Toshiba’s LEAD 2017 Manufacturer hosts dealer, end-user event May 2-5 by Brent Hoskins Office Technology Magazine

Toshiba America Business Solutions (TABS) and Toshiba Global Commerce Solutions (TGCS) recently teamed up to host a dealer and end-user event — LEAD 2017 (Learn Engage Act Deliver) — May 2-5 in Orlando, Florida.

Without exception, when someone is dropping someone else’s name into the conversation, he (or she) is attempting to establish his own credibility by borrowing some from the person whose name he is using. This technique can be appropriate or downright annoying.

D E PA R T M E N T S Business Technology Association

• BTA Highlights

Executive Director’s Page

BTA President’s Message

Advertiser Index

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EXECUTIVE DIRECTOR’S PAGE

Registered for BTA’s National Conference?

ave you registered at www.bta. org/BTALasVegas for the 2017 BTA National Conference, to be held Aug. 16-18 in Las Vegas, Nevada? If not, here are 10 great reasons to do so: (1) An excellent opportunity to network with your fellow dealers, gathering new ideas, strategies and insight that will help you take your dealership to the next level. (2) A compelling, high-energy keynote session sponsored by Static Control Components, “Vision, Strategy, Execution: More Than Just Business Knowledge,” to be presented by Meridith Elliott Powell, president and CEO of MotionFirst Inc. (3) An outstanding lineup of educational sessions: “Sales Evolution: Delivering Results From Both Transactional & Strategic Sales,” with Mitch Morgan, Growth Achievement Partners; “Selling to Gen X,” with Darrell Amy, Dealer Marketing; “Is 52-Percent Aftermarket Profitability Realistic for Your Organization?,” with Ken Staubitz, Modern Office Methods; “Assessing the Health of Your Dealership,” with Jim Kahrs, Prosperity Plus Management Consulting Inc.; “Services-Focused Selling: Is It the Right Approach for Your Company?,” with Doug Johnson, LMI Solutions; “What’s Happenin’ in the Imaging Industry,” with Andy Slawetsky, Industry Analysts Inc.; “Effective Sales Management,” with Tom Callinan, Strategy Development; and “Manage the Process, Not the People,” with Gil Cargill, Cargill Consulting Group Inc. (4) An insightful dealer panel discussion, “A Strong Culture’s Impact on the Implementation of New Solutions & Strategies,” moderated by Jennie Fisher of GreatAmerica Financial Services Corp. The panelists: Brett

Butler, Excel Office Services, Los Angeles, California; Debra Dellaposta, Doing Better Business Inc., Altoona, Pennsylvania; and Gary Harouff, AIS, North Las Vegas, Nevada. (5) The opportunity to learn about the latest products and services of the exhibiting sponsors: Accram; ACDI; AgentDealer; AMETEK ESP; BEI Services; Brother; Carolina Wholesale; Clover Imaging Group; Collabtic; Compass Sales Solutions; Continuum (Lunch Sponsor); CoreDial; Crawford Thomas; ECi Software Solutions; Epson; EverBank; GreatAmerica Financial Services; HP; Innovolt; Laserfiche; Lexmark; LMI Solutions; Miracle Service; Muratec; OKI Data Americas; Panasonic Scanners (Breaks Sponsor); PHSI; Plustek; Polek & Polek; ProcureIT; Q2; RISO; Royal Imaging International; Supplies Network (Breakfast Sponsor); SYNNEX; Tigerpaw; TonerCycle/ InkCycle; Toshiba; Wells Fargo Equipment Finance; and Xerox (Dinner Sponsor). (6) The announcement of the 2017 Channel’s Choice Award winners, based on the balloting of independent dealers, rating vendors in a variety of performance categories. (7) Great entertainment. On the first evening, humorist Devin Henderson will present “When Life’s Hard, Laugh Harder!” during the opening night dinner. On the second evening, attendees will enjoy Cirque du Soleil’s Mystère performance at Treasure Island Hotel & Casino. (8) The opportunity to enjoy the Mandarin Oriental, a Forbes triple five-star luxury hotel located at the heart of the Las Vegas Strip and ranked third among 263 hotels in Las Vegas on TripAdvisor.com. (9) Two-for-one registration for BTA member dealers. (10) The opportunity to enjoy August’s most appreciated air conditioning. I look forward to seeing you in Las Vegas. n — Brent Hoskins

Executive Director/BTA Editor/Office Technology Brent Hoskins brent@bta.org (816) 303-4040 Associate Editor Elizabeth Marvel elizabeth@bta.org (816) 303-4060 Contributing Writers Robert C. Goldberg, General Counsel Business Technology Association Troy Harrison, Troy Harrison & Associates www.troyharrison.com Tim Votapka, Prosperity Plus Management Consulting www.prosperityplus.com

Business Technology Association 12411 Wornall Road Kansas City, MO 64145 (816) 941-3100 www.bta.org Member Services: (800) 505-2821 BTA Legal Hotline: (800) 869-6688 Valerie Briseno Marketing Director valerie@bta.org Mary Hopkins Database Administrator mary@bta.org Teresa Leerar Bookkeeper teresa@bta.org Brian Smith Membership Sales Representative brian@bta.org Photo Credits: Bigstockphoto. Cover created by Bruce Quade, Brand X Studio. ©2017 by the Business Technology Association. All Rights Reserved. No part of this publication may be reproduced by any means without the written permission of the publisher. Every effort is made to ensure the accuracy of published material. However, the publisher assumes no liability for errors in articles nor are opinions expressed necessarily those of the publisher.

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BTA PRESIDENT’S MESSAGE

It Has Been an Honor to Serve as President

hat a year it has been. It seems like just yesterday that we were in Kansas City, Missouri, for the Business Technology Association’s (BTA’s) 90th anniversary celebration, as well as the 2016 BTA National Conference. It was there that Dave Quint began to pass the proverbial reins to me as I prepared to assume my year of service as BTA national president, which began July 1. At that event, it was such a pleasure to meet so many of the previous officers of BTA who were in attendance (15 past national presidents), listen to their stories and learn about the history of this esteemed organization. These past 12 months have been a whirlwind; it’s difficult to believe my term is coming to an end. I have enjoyed meeting so many of you during this past year at BTA’s events in Las Vegas, Boston, Asheville and Orlando. Thank you for your membership in the association. Like me, I know you recognize the incredible value BTA membership offers to those dealers seeking to grow and strengthen their dealerships. It has been humbling to have the opportunity to lead an organization that has such a rich history and has made so much of a difference in our ever-changing industry through the decades. While the industry — and BTA’s leadership — changes, the one thing that remains constant is the humility and willingness of the BTA staff and volunteers to want to do what is best for the membership and office technology industry in general. Egos are checked at the door and we collectively work hard every day for the betterment and success of BTA. This is certainly a testament to the guidance of our executive

director, Brent Hoskins. To see firsthand the passion that Brent has for this organization cannot be overstated. He is, without question, the best steward we could ask for to lead our association. Brent works alongside a staff comprised of top-notch individuals. Allow me to acknowledge and thank each of them: Valerie Briseno, Mary Hopkins, Teresa Leerar, Elizabeth Marvel and the employee who calls each of us regularly — the “voice of BTA” — Brian Smith. Collectively, this team of dedicated employees works hard to ensure BTA continues moving forward smoothly, while also managing the benefits and programs that make the association great. And, of course, I also need to emphasize what a gem we have in BTA General Counsel Bob Goldberg. Bob is a consummate professional and true ambassador for BTA. Thank you, Bob, for all that you do for BTA and the dealer channel. I would also like to express my appreciation to all of the other association volunteers I have served with since I first became a BTA East volunteer back in 2011. The relationships I have forged with the BTA staff, members of the BTA Board of Directors, and fellow dealers and vendors will remain with me for years to come. I know that as Dan Castaneda transitions to the national BTA presidency on July 1, our association will remain in good hands. I know, too, that he will have the utmost support in his new role. My parting request: Take full advantage of your BTA membership. Visit the BTA website (www.bta.org) and review the broad range of member benefits. If you are not already aware of all of the association’s programs and services, I am confident that you will be surprised by how much BTA has to offer. Thank you for the opportunity to serve as the association’s 82nd national president. It has been an honor. n — Rob Richardson

2016-2017 Board of Directors President Rob Richardson Allied Document Solutions & Services Inc. Swedesboro, New Jersey robr@ads-s.com President-Elect Dan Castaneda International Copy Machine Center El Paso, Texas dan@icmc-elp.com Vice President John Eckstrom Carolina Business Equipment Inc. Columbia, South Carolina johne@cbesc.com BTA East Jim Donnellon Donnellon McCarthy Enterprises Cincinnati, Ohio j.donnellon@absproducts.com Greg Gondek ACT Group Cromwell, Connecticut greg@advancedcopy.com BTA Mid-America Erik Crane Copy Products Inc. Springfield, Missouri ecrane@copyproductsinc.net Bob Evans Function4 Sugar Land, Texas bobevans@digiteconline.com BTA Southeast Brian Snow Tallahassee, Florida Advanced Business Systems bsnow@a-b-s.com Tim Renegar Kelly Office Solutions Winston-Salem, North Carolina trenegar@kellyofficesolutions.com BTA West John Hines Copiers Northwest Inc. Seattle, Washington jhines@copiersnw.com Cathy Dimon Northern Business Systems Fairbanks, Alaska cdimon@acsalaska.net Immediate Past President Dave Quint Advanced Systems Inc. Waterloo, Iowa dquint@asiowa.com Ex-Officio/General Counsel Robert C. Goldberg Schoenberg Finkel Newman & Rosenberg LLC Chicago, Illinois robert.goldberg@sfnr.com

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Managed IT Services Dealers share insight into this new journey by: Brent Hoskins, Office Technology Magazine

s the number of printed pages in the workplace continues to wane, and as the worlds of managed services providers (MSPs) and the BTA Channel continue to collide, office technology dealers are increasingly turning their eyes to the managed IT services opportunity. They are likely driven, in part, by the precept that if you control the network, you control the customer. Office Technology magazine sought three dealers willing to discuss their managed IT services offerings, providing insight to their fellow dealers. As it turns out, each of the dealerships profiled below works with — or has worked with — Collabrance, the managed IT services subsidiary of GreatAmerica Financial Services Corp., which provides remote monitoring and help-desk remediation. There are, of course, other options to consider, such as Continuum Managed Services. Perhaps the insight from these three dealerships will provide guidance as you consider the managed IT services opportunity. Kelly Office Solutions About four years ago, Tim Renegar, president of Kelly Office Solutions, Winston-Salem, North Carolina, began looking at managed IT services. “I had determined — just looking at the industry and understanding what was going on with prints and copies, while also seeing the opportunities within managed IT — that it was definitely an additional revenue resource for us that needed to be explored,” he says. “We looked at a variety of ways of going about it, and we decided to partner with Collabrance because of their expertise, time in the business and overall customer care.” In addition to its relationship with Collabrance, Kelly uses software from SolarWinds Worldwide, a provider of IT management, automation and MSP business transformation solutions. “We don’t really work with them, per se, to the

same level we do Collabrance,” Renegar emphasizes. “SolarWinds developed the software that we use. Collabrance is more of a business partner.” Kelly’s managed IT services operation is managed by Renegar’s son, Blake Renegar, managed services specialist. “Right now, we have three individuals who are dedicated to managed IT,” Blake says. “We are looking to add a fourth person, but we haven’t done that yet. So, it’s me and two engineers. They manage all of the on-site support, as well as the remote support for some of our accounts.” Collabrance was an important source of guidance at the onset, “you know, the initial talk track, proposal layout and so forth, but I learned the sales side just from doing it,” Blake says. “As far as from a technical standpoint, it is very important to have engineers who are highly educated in what they are doing, since the customer is really putting everything in our hands. If you can’t figure it out, nobody can. So, your engineers have to be well-trained. One of our guys has more than 25 years of experience in the IT realm. It’s important to have a good technical team behind you.” As time has passed and the team at Kelly has developed more experience, Blake says, the dealership now has some managed IT services accounts where Collabrance is not involved, providing customers a more affordable option and the dealership greater margins. “It works the same way as if they wanted to place a service call on a copier,” he says. “They log in to our site to request service. Within our service agreement, we guarantee a certain response time. Most of these issues we will address within three hours. So, our guys handle the remediation; if we can fix it remotely, we do it and if we have to go on-site, we do that.” When Blake first joined the dealership, Kelly was seen as a “copier/print company” and “there were few ‘solutions’

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being offered,” he says. “Since handling 93 percent of then, we have transformed the our calls,” he says. “It’s “Since then, we have Kelly brand to be much more been an improving pertransformed the Kelly of ‘your office provider.’ We centage, based on our onbrand to be much more don’t brand ourselves as ‘your boarding practices with of ‘your office provider.’ ... copier/printer provider.’ Look at Collabrance and how We now explain that we our website; look at everything we have really followed are ‘all-encompassing.’ about us. We now explain that their script. We’ve standwe are ‘all-encompassing.’ We ardized the technology We can do all aspects of can do all aspects of whatever is stacks at customer locawhatever is necessary in the office.” necessary in the office.” tions and have ultimately — Blake Renegar Blake acknowledges that reduced our truck rolls Kelly Office Solutions the “biggest problem” getting on the back end.” Kelly’s managed IT services opThe company has eration underway was a common question from prospects: come a long way since those early years. “Today, we of“Who else are you managing?” Since the dealership didn’t fer a full managed IT solution that includes managing our have any current managed IT accounts, “we transitioned customers’ technology vendors, including phone, Internet, from using an outside provider at Kelly to using our own line-of-business software, as well as the traditional email, team; at that point in time, we had 40-some users,” he says. antivirus, servers and workstations,” Breard says, noting “We would also explain our relationship with Collabrance, that managed IT services currently accounts for about 11 which has a large team of people manning the phones, able percent of the dealership’s revenues. “We also have a plan to answer within two to three rings. So, that was a real sell- that covers the hardware as well.” ing job at first, explaining that, yes, we have the wherewithCovers the hardware? “When I say ‘covers the hardware,’ al and the capability. Now we’ve done it and we have several I mean, one of our offerings actually covers the cost of recustomers that we use as references.” placing the hardware, should it be necessary during the Today, managed IT services only accounts for about 2 contract period,” Breard explains. “We’ll take a customer percent of Kelly’s total revenues, Blake says. “Within the that has, say, 20 workstations and if we determine upfront next three years,” he says, “it will be 15 to 20 percent of our that five of those workstations need to be upgraded, we will business revenue.” sell or lease them five workstations. We’ll take on the service for the other 15 workstations. So, if the hard drive fails, MOEbiz we’re going to be responsible for buying the hard drive and It was “customer demand,” but with a twist, that led MOE- installing it in the machine. Our goal is to never have to send biz to pursue managed IT services in 2012. “It was primarily the customer another bill, unless it’s for project work.” because we felt like we were already in the IT business, but Breard likens the offering to the copier business. “For a we had no revenue from it,” says Chap Breard, president of penny-and-a-half each, you get all of the copies you want, the Monroe, Louisiana, dealership. “Approximately 18 to 20 toner, parts and all the labor,” he says. “So, for the IT portion, percent of our service calls were network-related calls and we’re trying to market it the same way. It’s ‘all-you-can-eat,’ customers didn’t care whose fault it was — they wanted us unlimited service calls, 7 a.m. to 7 p.m., five days a week. You to fix it.” can call us every hour; you’re not going to get a bill.” It took some time to successfully enter the managed IT areThe addition of managed IT services also presented na, Breard says. “At first, we partnered with a low-cost vendor an opportunity to transition the image of the dealership. and sold some deals, but did not have a good experience,” he “The name of our company had been Monroe Office Equipsays, noting that the dealership also initially made some bad ment since 1923,” he says. “We knew that we were still perhires. “We hired at least three people who were just looking ceived as ‘the copier guys,’ so we hired a company to help for a job. We didn’t know how to interview properly, the skill us rebrand our company and we came up with MOEbiz. We set we needed or the questions to ask and, so, we hired people changed our website, logos and signage, and increased our who weren’t good for our long-term relationship.” advertising. We probably doubled our advertising expense Fast forward a few years. The company moved all of its the first year, just to really focus on rebranding the company managed IT services customers to the Collabrance model and as a technology vendor and not as a copier company.” replaced the bad hires with more qualified personnel for onThe rebranding effort included the release of a “bunch of site service and support, Breard says. “Today, Collabrance is videos,” Breard says, citing one video in particular, which 12 | w w w. o f f ic et ec hno lo g y m a g.c om | June 2 0 1 7

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features the personnel workdesk from 8 a.m. to 6 p.m., ing in the network operaMonday through Friday,” “At the outset, don’t try to go tions center (NOC) at ColHertzberg says. “We also it alone. It makes sense to labrance. “We produced the have an after-hours protocol partner with a Collabrance video and put it on the web, if there is an emergency.” or Continuum. I would also all with the goal of making Gary Sockel, president of say that if you make up your the customer say, ‘They may Nauticon, praises the dealmind that you’re going to be in Iowa, but they are a ership’s IT division, now get into it, then get into it ... phone call away and might with eight employees and as well be in my backyard,’” generating more than 10 There’s no halfway with this.” he says. “It doesn’t matter. percent of the dealership’s — Carter Hertzberg ‘There are more than 30 peorevenues. He notes that the Nauticon Office Solutions ple in that NOC and the Colcompany started where labrance front office; why do many start when launching you care if they are in Monroe or Cedar Rapids?’” a new offering — with current customers. “We have been fortunate enough to identify some talent, so that they could Nauticon Office Solutions have a talk track to go out to some of our trusted 20-year The initial reason to enter the managed IT services arena customers and explain our new offering,” he says. “It’s lowat Nauticon Office Solutions, Gaithersburg, Maryland, ech- hanging fruit, but you’ve got to start somewhere in order to oes that of MOEbiz. “We noticed that we were doing a lot of get this moving. We needed some references. We were forwork for free around networking,” says Carter Hertzberg, tunate enough to get a foothold in some pretty decent acCFO. “Every copier dealer in the country will tell you they counts and have been pleased that they actually took the are doing stuff for free around the network, because we pick time to send an email, letter or video customer testimonial.” up the phone when our customers call. We also noticed that, Even with the benefit of loyal customers as champions of in many instances, when we were installing a new delivery, if Nauticon’s managed IT services offerings, the division conthere was a third-party outsourced IT provider and there was tinues to evolve, Hertzberg says. “For example, we are still some sort of conflict, the IT provider would always blame us struggling with how — or even if — we should cross-sell and the customer would always believe the IT provider.” with MFPs,” he says. “That doesn’t mean we won’t sell to the Nauticon had a few “false starts” with managed IT ser- same customer. It’s just, ‘Do we want to sell concurrently usvices, Hertzberg says. “We hired a guy who had no idea how ing the same salesperson?’ What we’ve found is that keeping to scale an IT offering,” he says. “There wasn’t as much gen- the two separate helps to maintain a little bit of that identity eral knowledge then about the tools available to help scale as a service provider. It also helps you maintain identity on the business. So, we didn’t know and he didn’t know. We the MFP side.” just kind of floundered around for a little while. Then, as we What is their advice to dealers just getting started? “At the learned more about the ways that you can scale the busi- outset, don’t try to go it alone,” Hertzberg says. “It makes sense ness and what other MSPs were doing, we started putting an to partner with a Collabrance or Continuum. I would also say actual strategy together. We got into the business feet first that if you make up your mind that you’re going to get into it, about three years ago.” then get into it. That’s what your customers are going to exFor the first year or so, Nauticon partnered with Col- pect. There’s no halfway with this. Otherwise, you open your labrance. “The Collabrance people really helped educate yourself up to reputation damage and potential liability.” us about the strategies and tools available to get into the The service has to be “seamless, spot-on and immedibusiness,” Hertzberg says. “But, we learned more about the ate,” Sockel says. “People cannot do their work and their business during that first year and got lucky with a couple companies can’t operate efficiently without this type of of good hires. They said, ‘We’d be more comfortable doing support. We take it very seriously when these customers this in-house; even though we like the Collabrance people, call in, and we’re doing everything we can we want to be able to control it from start to finish.’ So, we to keep them up and running — just like it’s rely on the people who are actually customer-facing, now our own business.” n charged with the day-to-day running of our help desk and Brent Hoskins, executive director of the our remediation.” Business Technology Association, is editor Like Kelly Office Solutions, Nauticon uses software from of Office Technology magazine. He can be SolarWinds for 24/7 remote monitoring. “We staff our help reached at brent@bta.org or (816) 303-4040. 14 | w w w. o f f ic et ec hno lo g y m a g.c om | June 2 0 1 7

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Curb Appeal Is your website hurting your dealership? by: Tim Votapka, Prosperity Plus Management Consulting Inc.

et’s imagine that your best friend has invited you to go visit his (or her) summer house on the water. He tells you about the place, its waterfront view and the cool, clear mountain air. It all sounds great. Then, on the day you arrive, the weather is cold, grey and dank with a thick fog that obscures anything beyond the end of his dock. Not a great first impression, is it? You traveled some distance to get to the house and you had more pleasant images in mind prior to arriving. As far as the view is concerned, at best you have a vague idea that beyond the mist there is something else to be seen if you are willing to wait for the fog to clear. This is how people get put off; while it may prevent unwanted guests from dropping by his lake house, it does not leave him (or his place) as a source for pleasant destination information. Your website is subject to the same natural laws. If you have not been doing much to manage your site, it will be overlooked when customers are researching products or services in your field. Small businesses are more susceptible to this since many of them lack the staff, the expertise, the budget and the time to provide enough attention to their websites. Those are no minor barriers and I hear them brought up time and time again among business owners — especially those who are on the phone selling and servicing machines for customers in the field. These folks find articles like this one a bit difficult to confront, particularly if they have lived by the “squeaky wheel and oil” method of prioritization. It is far easier to accept the existence of a mediocre website that simply languishes online for a nominal monthly hosting fee than it is to have a frantic customer who is calling your cellphone with a system malfunction. I get that. On the other hand, what could it be costing you in lost revenue every time a prospect lands on your site and leaves quickly because he did not perceive any reason to look any deeper — or, at the very least, submit an inquiry? It costs a great deal, because you do not know how many times that visit/exit has occurred and you have no way of presenting the case for your business over your competitors’.

In today’s game, new buyers are in the catbird seat. They can conjure up an entire reality on who or what you are with just a few glances at a laptop screen, phone or tablet. If your website fails to impress them, they are going to leave the home page before taking time to learn more. From their points of view, your site failed because you did not have the right message in graphics or words in plain sight. Maybe you did not have anything compelling written on the “About Us” page. Perhaps your copyright date stamp reads 2009 or your navigation has too many dead ends. The list of common problem areas can be significant in many companies, despite their years in the business. So, what do you do to keep customers engaged on your website long enough to make a good impression? How do you avoid making expensive mistakes with your website that adversely affect your reputation and your revenue stream? Following are four honest tips to consider. (1) Drop the idea that money is the barrier. Many smallbusiness owners have the idea that they cannot afford to have a website created and managed by anyone who does not charge less than $10,000, plus hosting fees. While there are resources out there — including graphic design boutiques,

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font readability and color application — agencies and freelancers playing only at Your website is vital all of which pertain to desktop and mothat level — there are many other more bile sites. economical ways to have a fresh, innovato building your curb (3) Step out of your own way. You tive design and new content for a third appeal among your have a business to run and you are alof that cost. You can use web-builder customers — both ready wearing more hats than you ever services that do not require any practicurrent and new. thought you would at this point in the cal knowledge of HTML coding, which So, ask for an history of the company. Redesigning or makes it easier to grant more control updating your website should not be one to you or someone on your staff. Typiassessment of your site. of them. It is far more efficient to have cal hosting fees range from $150 to $600 someone else handle it for you — somea year depending on which one you use one who can stitch the necessary pieces together within a and what package may be necessary. (2) Do not put all the pressure on your IT guy. Trouble- short period of time and have an eye on what will work best shooting a network connection and crafting your company’s based on current standards. The rules of engagement for story in words and graphics are completely unrelated skill websites today are not the same as they were a few years sets. Do not try to combine the two or use your IT person for ago. Many typical B2B websites operate outside these stanthis simply because he has figured out how to manipulate dards and, thus, lose prospects to their competitors a few HTML coding in order to poach a free image off of Google clicks away. (4) Get an objective assessment. If your lawn at home and have it appear alongside some text on a landing page. While it is better than having no website at all, it still falls is not greening up as well as it used to and your neighbors short of a designer’s knowledge of white-space utilization, are shaking their heads in disapproval, you would not hesitate to get some advice from a lawn-care specialist. Why? Because you know that you do not know anything about soil chemistry and how pH can affect the overall health of your grass. All you know is that you want it to look great and have maximum curb appeal. Your website is vital to building your curb appeal among your customers — both current and new. So, ask for an assessment of your site. You are not asking anyone to submit comps or mock-ups. You are asking for someone to tell you the truth about your site from an objective point of view. If the person is truly experienced enough, this will only take about 30 minutes over the phone. Now, if you are completely satisfied with your website as it exists today, you are in a good place because you have spent the time and money to get rid of any old clip art and there is nothing missing in the navigation. This is terrific because it means there is no fog anywhere on your website. On the other hand, if are you looking at a site that was last updated two years ago, there is a good chance it is already outdated and behind the trends. Do not let time, money or any other considerations stop you from making your website the destination it needs to be for your customers, your prospects and anyone else who may be helping you grow your business. n Tim Votapka is vice president and director of marketing services for Prosperity Plus Management Consulting Inc. He can be reached at (631) 382-7762 or tvotapka@prosperityplus.com. Visit www.prosperityplus.com. 20 | w w w. o f f ic et ec hno lo g y m a g.c om | June 2 0 1 7

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COURTS & CAPITOLS

Can You Hear Me Now? Educate end users on the threat of ransomware by: Robert C. Goldberg, general counsel for the Business Technology Association

y Courts & Capitols column in the December 2016 issue of Office Technology was titled, “The Ransomware Threat: How much is your data worth?” On Friday, May 12, 2017, a massive ransomware attack infected more than 75,000 computers in 99 countries. The weekend and the beginning of the workweek revealed even more infected computers using unpatched Microsoft software. The malware, called “WannaCry,” locks out users and threatens to destroy data unless the ransom is paid. This is clear criminal conduct that will continue to evolve and threaten end users. This is also an opportunity for BTA members to mine deeper into end-user businesses and distinguish themselves as trusted advisors. The initial ransom demand for WannaCry was $300, to be paid in bitcoins. Subsequent demands were increased. It was unclear whether the ransom payment would release a single computer or an entire network. Although law enforcement advises against paying any ransom, many companies had no alternative due to their lack of cybersecurity measures. Regardless of whether end users were attacked, businesses are clearly aware of the risk and need to take precautions. As noted, the attack was on vulnerabilities in Microsoft software, so the first step in approaching an end user is to determine the version of the software being used and if it is properly licensed. Many of the systems attacked had pirated software that had not been maintained with necessary patches. Microsoft was quick to release a patch for WannaCry, however patches for future threats may not be available for unlicensed software. Next, determine if the end user has a cyber insurance policy. Many polices offer ransom or extortion coverage, which includes the cost of a ransom payment. Cyber policies also typically provide coverage for the cost of investigating and responding to a ransomware attack, and for lost business income arising from an attack. Identify a broker in your area that offers cyber insurance, learn about its policies and establish a referral relationship. Certainly, the broker will receive inquiries and can suggest your company as a trusted advisor to examine and support a system. Likewise, you can refer uninsured companies to the broker. To avoid paying a ransom, an end-user company can rely on its backup with minimal data loss. Many companies have

backup systems that are not used properly or regularly. Cloud backup systems are a good solution and dealers can resell these services, establishing a recurring revenue stream. At the same time, antivirus software can be examined, as well as upgrades to Windows 365. Paying the ransom does not ensure the data will be released. You are dealing with a criminal who cannot be trusted. The end user also does not know whether the system has been infected with additional malware. Many law enforcement authorities suggest that the payment of the ransom invites additional attacks and demands. An attacked system needs to be carefully analyzed and that is a service BTA member dealerships can provide. As a trusted advisor, you should also be in a position to offer advice on any legal notices that must be given in the event of a breach. Notices vary among states and there are also federal requirements. Forty-eight states have data breach reporting obligations. In New York, notification of a breach for certain entities must be given within 72 hours. If the system contains HIPAA data, a ransomware attack must be reported as a breach within 60 days. The exception is if an end user can prove that its data was not compromised because it was encrypted. Encryption of data is another talking point to pursue if the end user has regulated confidential information. Develop a response plan you can provide to your customers. When a ransom attack occurs, there is confusion and chaos as to what to do. Since ransom demands have a deadline for compliance, a predetermined plan can be of great assistance. After disconnecting and shutting down the infected computer through necessary notification, the end user can follow your guide. Offer lunch and learns to educate end users on safeguards to prevent malicious software from being introduced to their networks, as most malware is released through emails or attachments. While your customers are learning, be sure to take them through your demonstration room to see new equipment and solutions. Ransomware is a worldwide menace, but also an opportunity for BTA member dealerships to assist businesses. n Robert C. Goldberg is general counsel for the Business Technology Association. He can be reached at robert.goldberg@sfnr.com.

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BTA HIGHLIGHTS BTA would like to welcome the following new members to the association:

Dealer Members Copier Depot of Austin, Austin, TX Eastern Managed Print Network LLC, Syracuse, NY SmartPrint Inc., Toronto, Ontario, Canada Total Technology Solutions Group, St. Charles, IL For full contact information of these new members, visit www.bta.org.

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BTA has partnered with Cayan, a payment processor for more than 115,000 businesses. Cayan’s free statement analysis provides a clear picture of what you are paying and what you can save. It evaluates whether your account is set up to maximize your bottom line; looks at your pricing structure to make sure you are not paying more than necessary; details the industry-required monthly fees and separates the bogus fees that go to your processor; and provides a detailed comparison that rolls all of your fees up and compares them to what Cayan can save you. BTA members receive a $100 dues credit when they sign up with Cayan. Visit www.bta.org/CCProcessing for more information. For information on BTA member benefits, visit www.bta.org/MemberBenefits.

For the benefit of its dealer members, each month BTA features two of its Vendor or Service Associate members in this space. Founded by Darby and Cindy Austen, BTA Vendor Associate member TSO Distribution offers products to help its customers reach higher levels of profitability through delivering easy-to-use software applications with invaluable efficiency, security and safety benefits. The TSO team is driven to bring best-of-breed technology to worldwide dealer networks, supplying more customers with intuitive products that produce meaningful results. The company’s products include managed document services, mobile file sharing and a cloud-based parts database. https://tso.solutions BTA Service Associate member Actionable Intelligence Inc., based outside of Boston, Massachusetts, was established in 2009. The company is committed to delivering tactical market research and custom consulting related to the markets for digital printer and copier/MFP hardware, as well as toner and inkjet supplies. The Actionable Intelligence team understands that the copier/ MFP and supplies business has changed, and it is dedicated to providing practical, accurate market analysis clients can use to succeed. www.action-intell.com A full list of BTA Vendor and Service Associate members can be found online at www.bta.org.

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Highlights June 17.indd 1

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PRINCIPAL ISSUES

Toshiba’s LEAD 2017 Manufacturer hosts dealer, end-user event May 2-5 by: Brent Hoskins, Office Technology Magazine

oshiba America Business Solutions (TABS) and Toshiba Global Commerce Solutions (TGCS) recently teamed up to host a dealer and end-user event — LEAD 2017 (Learn Engage Act Deliver) — May 2-5 in Orlando, Florida. The event drew 1,365 end users, dealers and business partners. The LEAD 2017 event included a product fair featuring demonstrations of Scott Maccabe Toshiba’s document workflow solutions, MFPs, digital signage and thermal bar-code printers, as well as the company’s full suite of point-of-sale hardware, software and services. In addition, the event included a variety of educational sessions. Scott Maccabe, president and CEO of TABS and TGCS, welcomed attendees during the opening general session. He was quick to address concerns about Toshiba Corporation. “The electronics conglomerate whose name we share has long been revered in Japan and known worldwide for almost a century and a half of achievements in science and engineering — from the first light bulbs to the fundamental building blocks of matter,” he said. “While the recent news is concerning to many, Toshiba is taking aggressive actions to rebuild its reputation, stabilize its finances and restore market confidence.” Maccabe cited Toshiba Corporation’s filing of Chapter 11 protection for its Westinghouse business and noted that it is taking a multi-billion-dollar write-down against its books. “It is currently considering partnership and sales options for all or part of its semiconductor business,” he said. “I want to assure you, our partners and customers, that Toshiba Corporation’s situation does not extend to TABS, Toshiba Global Commerce Solutions or our parent, Toshiba Tec.” Toshiba Tec Corporation (TTEC) is a well-capitalized independent company that is publicly traded on the Tokyo Stock Exchange and has more than 17,000 employees worldwide, Maccabe said. “Its share price has risen [29 percent in the past 12 months] since the Westinghouse news, showing that the market distinguishes between TTEC and Toshiba Corporation,” he said. “A comparison of TTEC’s stock price with our Japanese competitors shows a sharp contrast.” Maccabe emphasized that TABS is Toshiba Tec’s most productive and profitable business unit. “With Toshiba Tec’s full support, we at TABS are firmly committed to remaining a leading provider of multifunction printers, managed document

services and digital signage,” he said. “And TGCS is firmly committed to remaining the go-to source for the world’s largest retailers. Together, we will continue to serve our clients, invest in research and development, and operate our businesses in our usual world-class manner.” After addressing the concerns about Toshiba Corporation, Maccabe moved on to TABS’ latest advancement, a new embedded platform, Elevate, engineered for use with Toshiba’s e-STUDIO MFPs. “Today, mobile phones can access information and print from almost anywhere on Earth; drones can deliver packages; autonomous cars can take us to work,” he said. “As a result, we now expect much more from the devices we use at work every day. We want our devices to elevate our performance and productivity. And that is our vision of the future in business solutions.” Maccabe announced the unveiling of Elevate, a customized user interface designed to simplify user operation and help optimize workflow, security, accounting and end-user productivity. “Elevate enables us to transform products that are generally considered commodities, like copiers and point-of-sale systems, into highly customized solutions uniquely suited to each market, company, department and associate,” he said. “In today’s business climate, the speed of information and commerce are critical to success. Elevate can make everyday tasks simpler, more efficient and more personal, saving companies time and money.” In addition, Maccabe spoke about the changing nature of the industry, citing the announcement of HP’s acquisition of Samsung’s printing business, the spin-off of Xerox’s business services organization, the increasing activity in dealership mergers and acquisitions, and Lexmark’s acquisition by Apex Capital’s consortium last November. Nevertheless, he expressed confidence in TABS’ future prospects. “Our products, support infrastructure partnerships and R&D capabilities are the envy of the industry,” Maccabe said, citing the company’s slogan representing its corporate vision: “Together Information.” “We firmly believe that ‘Together Information’ will help deliver a connected future in which people seamlessly create, record, share, manage and display ideas and data, regardless of platform. We intend to pursue that future, raise expectations and make a difference for customers, no matter how the provider landscape shifts. As always, we intend to lead, both alone and in partnership with TGCS.” n Brent Hoskins, executive director of the Business Technology Association, is editor of Office Technology magazine. He can be reached at brent@bta.org or (816) 303-4040. w w w. o f f i c e t e c h n o l o g y m a g . c o m | J u n e 2 0 17 | 25

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PRINCIPAL ISSUES

The Rise of Ransomware Threat discussed at Executive Connection Summit by: Brent Hoskins, Office Technology Magazine

echnology United hosted the fifth annual Executive Connection Summit May 7-9 in Scottsdale, Arizona. Technology United is a consortium of companies formed with the goal of aligning a common commitment within each member company to drive intelligent, interconnected solutions and innovations. The summit provided attendees the opportunity to garner insight and guid- Henry Washburn ance from various presenters, including such office technology industry leaders as Rick Taylor, president and CEO of Konica Minolta Business Solutions U.S.A. Inc., and Mike Feldman, president of North America Operations for Xerox Corp. The summit agenda included 11 educational sessions. Among the presenters was Henry Washburn, technical evangelist for Datto, a provider of business continuity solutions to secure essential business data. He contributed to a primary discussion of the summit — data security. Specifically, Washburn provided insight into the rise of ransomware and ways to confront the threat. Washburn reported that ransomware resulted in $75 billion in downtime in 2016 for U.S. businesses. “What is downtime?” he asked. “It could be sales loss or data loss. It’s also the loss of being a trusted advisor. You couldn’t help your clients. You think they will come back to you for more help? Doubtful.” Citing the results of a client survey conducted by Datto in 2016, Washburn reported that 97 percent of IT service providers predicted that ransomware attacks will be increasing. “We’re halfway into 2017, and I believe we’re pretty close to on par with the entire 2016 level of what happened for downtime,” he said. “That’s the business we’re in — business continuity. We constantly look at downtime. Over 150 restores a day that our partners work on are related to ransomware.” Washburn said the number-one cause for ransomware attacks is phishing emails. “How many of you have seen questionable phishing emails in your own inbox?” he asked the audience. “It’s very easy to troll a LinkedIn account and try to figure out an email address and spoof that email address. So, it’s becoming more and more difficult to distinguish what a phishing email is. That’s the game.” A significant problem is the lack of training for employees, Washburn said. “Not just your own employees, but your enduser customers’ employees,” he said. “It’s absolutely imperative.

I know a number of people who always click on anything that comes to them.” Without training, companies are more exposed to ransomware attacks and “some very terrible things that can happen as a result,” Washburn said, noting, for example, that ransomware can be dropped in after a “brute force” attack that first captures passwords and other bits of information from a company. “A partner brought one to my attention a couple of weeks ago. He said, ‘Hey, an end user just got ransomware.’ It turns out — now this is specifically pertinent to you guys — this hacker decided to ‘brute force’ the least safe endpoint, which was a print server. It had a simple password that was easily hacked and they just dropped ransomware in, locking up all the data. With access to the network, the attacker could have created even more damage.” Washburn listed three steps to addressing the threat of ransomware. “The first being education,” he said. “Education is absolutely critical; not only for yourself to understand how ransomware works because you can do your own procedures to be able to lock things down, but you should also inform your end users. Inform them that this is a huge problem, if they don’t already know it, because it affects anyone and everyone to some degree.” The second step, Washburn said, is protection. “Ransomware has a tendency to ‘call home,’ wherever home may be,” he said. “So even though an end user might have spam filters, maybe it got through the spam filters and junk email filters and whatnot, and somebody clicked on it. It gets downloaded and installed. You can prevent that software from calling home by locking out certain ports in the firewall … As long as you know how the infection works, then you can attack it and prevent it from being a problem.” The third step? “The number-one thing that’s the solution for ransomware, according to the Department of Homeland Security, is a backup and disaster recovery solution,” Washburn said. “Because guaranteed, it will occur. If you have no education, if you have no protection, you better have some backups going on to be able to restore.” Washburn also advised attendees to “contact the authorities” anytime a ransomware attack occurs. “You need to talk to your local FBI office,” he said. “The more people are talking about it … the better the government will react to fight this.” n Brent Hoskins, executive director of the Business Technology Association, is editor of Office Technology magazine. He can be reached at brent@bta.org or (816) 303-4040.

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5/25/17 2:27 PM

PRINCIPAL ISSUES

Digital Transformation DocuWare hosts annual conference in Orlando by: Elizabeth Marvel, Office Technology Magazine

ith a look at how businesses are moving forward in today’s digital world, DocuWare hosted its Docuworld 2017 conference May 15-18 at the Omni Orlando Resort at ChampionsGate in Orlando, Florida. DocuWare Presidents Thomas Schneck and Jürgen Biffar took the stage during their general session presentations on May 16 to speak to attendees about the future of documents, Thomas Schneck the cloud and how DocuWare plans to remain at the forefront of the digital transformation that is taking place in our world. Schneck began his presentation by discussing DocuWare’s successes in 2016, including the company’s total revenue growth of 7.5 percent. “What was really good to see was how many new customers we were able to win,” Schneck Jürgen Biffar said. “It was actually more than 1,200 — 1,234 — which was an amazing number. “So, in 2016, 30 percent of all new customers were already choosing our cloud offering,” he continued. “And by the end of 2016, we had 555 new customers with about 19,400 users managing about 14 million documents [in the cloud]. So, there was a really big breakthrough on the cloud side in 2016. It actually represented a growth of 143 percent compared to 2015.” When taking these numbers into account, “this makes us the worldwide market leader for mid-size companies,” Schneck said. “There is no [enterprise content management] company in the world that sells more new installations every year.” So, the big question from dealers, according to DocuWare executives, is: “Will this continue?” “From our side, we are absolutely convinced that this is the case,” Schneck said. “And the reason for that is we’re part of this megatrend called the digital transformation ... Now, digital transformation can mean a lot of different things to different people. It could mean digitizing a complete business model. It could mean digitizing business processes ... There are all kinds of different dimensions when we talk about digital transformation. “But because it’s such a wide field, I think it’s important that we understand ... the underlying objections and the goals of companies,” Schneck said. “Why are they getting on this journey? What are they really trying to accomplish?”

Biffar’s presentation also looked at digital transformation. He described the fears people have about it, touching on social, economic and IT issues, and laid out what DocuWare partners can do to help assuage their customers’ fears. “There are a lot of people who are fearful about the digital transformation,” Biffar said. “They are afraid that robots will take away their jobs; that the internet is making them redundant ... and, yes, this usually is one of the main goals that organizations want to achieve when introducing ECM solutions — reduce the amount of work that is needed. “If you look at how process automation projects usually work, employees must be fearful,” he continued. “In the best case, the result is making their lives easier and they can concentrate on more meaningful work ... In the worst case, the automation projects work optimally as planned and [employees] are just laid off, as they’re not needed anymore.” While process automation may not be ideal for all employees, it is usually a boon for companies, Biffar said. “We want to reduce costs for our customers and, yes, this might be the worst case for the people and lead to a reduction of the workforce,” Biffar said. “But with DocuWare solutions ... you put the people ... into the driver’s seats of their digital transformation. “We supply solutions for enterprise content management that are very powerful and easy to configure and use,” Biffar said. “Thus, we enable everyone to automate business processes in an agile way and handle well-structured documents and information securely. We make it possible ... for all organizations to manage the digital transformation of their business processes ... without the need of experts.” How does this help employees and customers benefit from the transformation of business processes? “It is generally known that if people are actively involved in changes, they are much more supportive,” Biffar explained. “By enabling employees ... to improve their business processes by themselves, each of them gains valuable knowledge about how to perform the digital transformation of business processes ... Through educating employees, we help these non-technical people to be successful in the digital world of tomorrow. The more successful we are on this path, the more we can take away the many fears of the people and make them more optimistic for the future.” n Elizabeth Marvel is associate editor of Office Technology magazine. She can be reached at elizabeth@bta.org or (816) 303-4060.

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SELLING SOLUTIONS

Name Dropping When is it good in the sales process? by: Troy Harrison, Troy Harrison & Associates

ne of the topics I am frequently asked about is name dropping. Recently, a fairly new salesperson who happens to be a good friend asked me about it. She said she had received several “referrals” and wanted to know if it was appropriate to use the names of the people who made the referrals. The reason this is a common question revolves around the issue of sales credibility. Without exception, when someone is dropping someone else’s name into the conversation, he (or she) is attempting to establish his own credibility by borrowing some from the person whose name he is using. This is a technique that can, depending on the situation, range from entirely appropriate to downright annoying. Let’s dissect the issue and figure out which is which. In the case of my friend, what I learned after some questioning was that these “referrals” were not really referrals at all. They were cold leads. A referral occurs when someone not only points you to a new potential client, but he also gets in the middle of the conversation, makes an introduction and assists in making the connection. A lead is when someone suggests that you make a sales call on a potential customer, but he does not get involved in the conversation or help make the introduction. My friend had leads; the other person simply suggested that “she ought to call on” a certain group of businesses, but did not facilitate any meetings. It was not the salesperson’s fault that she did not know the difference; her company called these leads “referrals” — as would many networking groups. In this case, once we clarified what she was working with, I gave her the following simple guidelines. In the case of a lead, the name should not be dropped, since it is entirely possible that the person giving the lead does not even know a key contact at the target company. Since name dropping is all about borrowing credibility, you might be borrowing from an empty bank. In the case of a true referral however, the name should be used (e.g., “John Smith suggested that I call you, as he thinks that what I do could help you.”). In this case, the borrowed credibility is real and the name — along with whatever the

other person might have done — should assist you in getting an appointment. The same rule goes for testimonials as well. A testimonial should always be used in conjunction with the name of the person who gave it. Again, borrowed (and real) credibility is at play here. Now, let’s talk about a different situation. This is one I see all the time in the speaking community. Let’s call it, “The Name Drop Apropos of Nothing.” If there is anything speakers like to do when they congregate, it is to drop the names of other speakers they may have seen, might know or whose articles they might have read. “Have you seen Jack Smith speak?” “Have you read Ellen Suchandsuch’s book?” Or, they will pepper their speeches with references to others’ work and material (e.g., “As Guy Kawasaki says,” etc.). I also see this happening in too many sales presentations. Here is the rub with this kind of name dropping: It can work against you and be annoying to your audience (or customer). There are a few reasons for this. First of all, if your audience (or customer) has not read or heard the referenced books or speakers, then your audience members can feel that you are trying to diminish them or put yourself above them — or that there is a “club” and they are not members. www.offi cetechnol ogymag. c om | J u n e 2017 | 29

Harrison Jun 17.indd 1

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Second, remember that name dropping of the day, if you do not have credibility of is borrowing credibility. It is one thing your own, you will not get the sale. My ad... At the end of the to borrow the credibility of someone you vice is to build as much of your own crediday, if you do not have know. It is another thing entirely to borrow bility as possible. n credibility of your own, the credibility of someone you do not know. Troy Harrison is the author of “Sell Like you will not get the sale. Finally, if you use this technique too You Mean It!” and“The Pocket Sales My advice is to build as much, it greatly diminishes your own credManager.” He is a speaker, consultant and ibility. At some point, you cease to be an sales navigator who helps companies build much of your own expert and become someone who read an more profitable and productive sales forces credibility as possible. expert’s book. There is no way that this can with his cutting-edge sales training and methodologies. For work in your favor. information on booking speaking/training Here is my advice. If you like to use expert quotes or examengagements, consulting or to sign up ples in your sales presentations, keep them to a minimum. You for Harrison’s weekly e-zine, are much better off using one great quote or study than five call (913) 645-3603 or mediocre ones. email troy@troyharrison.com. Remember this: Others’ credibility might get you in the Visit www.troyharrison.com. door and might help move a presentation along, but at the end

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