"Even though we are all optimistic [that] corporate spending is increasing, we're not ready to say there is a straight path to glory," said Ed Coleman, CEO of CompuCom, the Dallas-based corporate reseller and solution provider.
Coleman said CompuCom has built into its plans a forecast for flat IT spending in 2004, while it continues working to shift its business to a higher value-added services model.
"I want to continue to work our way up higher into the IT value chain," Coleman said. "As we work our way up the value chain, it makes us less susceptible to the vagaries of the PC business."
Coleman said services continue to represent about 20 percent of CompuCom's revenue, but about 50 percent of its margin. The company's service strategy is to migrate companies to an off-site, help-desk model, then to a "self-service" model and, ultimately, to a "self-healing" IT solution, from the current, more costly on-site service model.
At each step, there is less cost in the service provided, Coleman said.
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