Newly appointed chief operating officer for Dimension Data Australia, Ken Westwood, has claimed consolidation in the systems integration sector will see the demise of mid-sized companies in favour of either big or niche market players.
Westwood, who was assigned to the position following Scott Petty's promotion to global executive for the group's services division, said the market had undergone massive changes as the result of company consolidation.
"I believe there will be a handful of big players and lots of niche players snapping at their heels and we are considered one of the larger ones," he said.
"With cost reduction being driven so heavily companies in the middle will not survive."
In his new role Westwood takes on responsibility for all operational aspects of Dimension Data Australia's business, providing strategy and accurate forecasting performance analysis. He is also responsible for the overall profitability of the company as well as negotiating major sales deals.
The 43-year-old's rise has been rapid, having only joined Dimension in April 2004 as general manager of solutions. Prior to this he was managing director with TouchBase for Australia and New Zealand.
He has also worked for Avaya, Lucent Technologies, AT&T, NEC, Nortel and Telstra in senior management roles.
Westwood said he had not planned any major changes to the company's market strategy, at least until a due diligence review has occurred.
For the short term, the priority would be to optimise services to clients and cost containment within the business in response to market pressures, he said.
Buoyant after last week's Vodafone IVR win, Westwood said Dimension Data was bullish about prospects in the convergence space.
"Convergence of voice and data has leapt a chasm so in the contact centre space we will see growth opportunities," he said. "In the converged multimedia space we will also see growth inside the security space because it is intertwined so closely."