Avenet prepares for shake up after acquiring Magirius
There has been a shake up< at Avnet as the chap in charge of the US operation has left in search of greener pastures. John Toal had been running things for two and half years after being drafted into the company when Avnet bought Bell Micro in March 2010. He has been replaced with Sukh Rayat, who has the title senior vice president for UK and Ireland region, effective from midweek. Sukh has been with the company for over 13 years and during this time has assumed a number of key senior management roles. Graeme Watt, president, Avnet Technology Solutions, EMEA thanked Toal for everything he has contributed over the last eight years. He added that the importance of performance in the UK market cannot be understated as it is the second largest market in the Avnet Technology Solution’s global network and the largest in TS EMEA. Then Watt said something a little odd. He pointed out that Rayat has the “right skills to achieve our ambitious growth targets for the UK and Ireland”. Word on the street is that Avenet is restructuring somewhat harshly while at the same time insisting on 12.5 per cent growth targets. Some were thinking that the company’s plan to acquire Mattelli, was a sign that things were better. But then came the move to take over the pan-European distributor Magirus. While this might be seen as a good thing, absorbing a company like Magirus into the company in the middle of a recession while demanding a bigger growth target is a bit ambitious. In July Avnet shuttered its Leeds office and told its sales director Paul Cook to clean out his desk. Sales at the company have slid by almost 23 per cent to $676 million and operating profit isflat.