With the “Esteemed One” having recently achieved and celebrated an extremely proud track record of 30 years of dedicated journalistic service to the IT channel in South Africa, it came as a major shock when he provided the brief for this issue’s cover story.
Labelled as “Back to Basics”, he opened the brief with a phrase that included a word that completely baffled me. He described how sophisticated technologies have come to the fore in recent years and are now threatening to “disintermediate” the channel.
Totally confused by the word “disintermediate” (that I had not come across before and that I guessed may have something to do with his Scots heritage), I was forced to turn to the trusted pages of the Oxford English Dictionary (OED) and Encyclopaedia Britanica to establish what the word means and what to write about.
So for all readers who are as dumb as the Chunderer (or don’t speak the Scots dialect as well as the Esteemed One), here is a brief explanation of what the word means and refers to in the context of this issue’s cover story:
The term “disintermediate” refers to the process of removing intermediaries in a transaction or supply chain and occurs when original manufacturing companies (OEMs) cut out traditional distribution and reseller channels to deal directly with customers such as through online communication or e-commerce platforms.
The term was first used in the early 1980s to describe change in the financial sectors of capitalist economies, especially the impact on broker firms of new technology in the stock market.
With that basic understanding having been established, let’s get down to examining what the old codger is featuring in this issue of his venerated magazine.
There is no doubt whatsoever that the classic, well-proven three-tier IT channel – that has been around since the 1970s – is facing threats that have always been there, but that are currently being revived with renewed vigour based on yet more “quantum shifts” in technological development.
These developments include increasingly sophisticated technologies that make direct engagement between vendors and customers easier than ever before. In software, particularly, the rise of SaaS has enabled vendors to bypass intermediaries entirely, offering subscription-based products through self-service models.
Digital channels enable end users to research, trial, purchase, and deploy technology without ever speaking to a salesperson in the channel.
But declaring the death of the channel on this basis alone misunderstands both the complexity of the IT market and the enduring value of so-called intermediaries. The reality is not that the channel is disappearing – it is simply being forced to evolve and adapt.
The brief rightly notes that partners must “get back to basics” to remain relevant. That advice may sound conservative in a world of rapid technological disruption, but it is, in fact, profoundly strategic and remains critical for future success.
In an environment saturated with information, options, and competing (often unsubstantiated) claims, one of the most valuable services a qualified, value-add channel partner can provide is clarity.
The shift toward digital self-service has not eliminated complexity – it has merely relocated it. Instead of navigating procurement processes, customers now struggle to make sense of an ever-expanding landscape of solutions, integrations, pricing models, and deployment options. The partner who can act as a trusted advisor – translating technical possibilities into business outcomes that deliver measurable performance improvements – becomes more, not less, valuable.
Similarly, the emphasis on keeping skills up to date is not optional. If anything, the pace of change has made expertise more important. Technologies are evolving faster than most organisations can absorb them. Vendors may provide documentation and online resources, but that is no substitute for hands-on, contextual knowledge. Skilled partners bridge the gap between theoretical capability and practical implementation.
The operational fundamentals highlighted in the brief – stock availability, maintenance support, and responsiveness – also deserve renewed attention. While digital delivery has reduced the importance of physical logistics in some segments, it has not eliminated it.
Hardware, infrastructure, and hybrid solutions still require reliable supply chains. Even in software, service availability, licensing management, and renewal cycles introduce operational complexity. A partner who can ensure continuity and reliability provides peace of mind that direct channels often struggle to match.
Perhaps most importantly, the call to “stick close to the customer” speaks to the enduring importance of relationships. Technology may enable transactions, but it does not automatically create trust. Long-term partnerships are built on understanding a customer’s business, anticipating their needs, and responding quickly when circumstances change.
This brings us to what the Esteemed One has highlighted as the channel’s enduring mantra – the right product, at the right place, at the right time, and at the right price.
It is tempting to dismiss this as an outdated creed in a digital-first world. But in reality, it remains as relevant as ever – arguably more so. The difference is that “right product” now encompasses complex solution stacks rather than standalone items. “Right place” includes virtual environments as well as physical locations. “Right time” means realtime provisioning and rapid response. And “right price” involves navigating increasingly intricate pricing models, from subscriptions to consumption-based billing.
In other words, the principles that have governed the IT channel model have not changed. If anything today’s fast and ever-changing technological environment makes them more indispensable than ever.
So now every reader will know that while “disintermediate” may have become a word officially recognised by the Oxford English Dictionary and correctly coined by the Esteemed One, it should not be regarded as anything but gobbledegook in the IT channel.