Com Tech Online, the Web integration division of channel giant Com Tech, made 30 staff redundant late last week to re-align its operations with market opportunity.
David Bowie, business unit manager at Com Tech Online, confirmed that 30 staff were retrenched last week, leaving Com Tech Online's current staffing at around 100 employees.
Bowie said the division had been targeting the wrong market in recent months and has decided to re-focus on the corporate market in the absence of opportunities in e-commerce developments.
The redundancies do not indicate Com Tech is minimising its investment in Web integration, according to Bowie. He points to the success of its parent company Dimension Data in its bidding war with Compaq for the acquisition of US-based integrator Proxicom as an example. "It's a mark of our commitment to this space," he said.
Bowie said Com Tech Online is already sharing ideas such as technical information and design skills with Proxicom staff. "It really improved the career opportunities for our staff, and we expect the relationship will work both ways," he said.
"We have a very similar business model," he said. "We're both after the corporate customers. There is no question about our long-term commitment to this area but unfortunately we had to make some short term cuts to match our revenues and costs."