Post Event Coverage: Logicalis’ Journey to Become “Architects of Change” in LATAM ICT Environment

Logicalis is an ICT (Information, Communication Technology) infrastructure and service provider, a UK based company, with a strong global presence. It is unique as Latin America is the company’s biggest region in terms of revenue and number of employees. It has more than 3200 LATAM-based employees and the region represents 37% of its global revenue.

Logicalis has a solid relationship with all major global hardware and software providers. So much so that it has gained many awards. For example, it is Cisco Global Gold Certified reseller, Oracle Platinum Level Partner, etc. Furthermore, in 2019 Cisco awarded it the Latin America Customer Experience Partner of the year.

Cisco recently stated that it has 15,000 SD-WAN sites in LATAM and Logicalis has installed 12,350 of them. So, it already has a good relationship with a significant number of regional and multinational customers. These clients naturally turn to Logicalis to solve their digitalization demand. Logicalis has more than 800 customers in LATAM that cover all major industries though 50% are from the telecommunications sector and 30% from finance.

Logicalis grew through various acquisitions. Thus, the services offered in each market may vary, depending on the merged or acquired companies. In 2008, Logicalis Brazil merged its existing operation with Promon Tecnologia, one of the region’s biggest and oldest IT integrators. This merger allowed it to gain significant business and valuable human resources in Brazil. Most of the management in Logicalis Brazil today are from Promon. Logicalis is the fourth biggest ICT business provider in Brazil, outperforming large multinationals companies such as Nokia.

This year Logicalis Analyst Summit was a two-day event in Sao Paulo, Brazil. The company took the opportunity to showcase its plans to evolve from a traditional IT integrator to what it describes as, “Architects of Change” within the LATAM’s digital transformation. It plans to leverage all the digital infrastructure it buids, to expand into technology and business consulting to design technology solutions.

Exhibit 1: Logicalis Latin America Service Portfolio

Logicalis Latin America Service Portfolio
Source: Logicalis Latin America Strategy Presentation

To do so, it has projected its growth based on several strategic pillars: Cloud, Information Security, Data Intelligence and IoT services (exhibit 2). It has built a team of professionals in each of these pillars. During the event, it showed that it possesses the capabilities and partnerships to offer clients end-to-end services and solutions in each strategic priority area.

Last but not least, Logicalis’ key success factor lays on its ability to demonstrate to clients potential cost savings or revenue potential of implementing a solution. This is a value-added service that IT managers appreciate, as many projects undertaken in the region have failed to prove a positive return on investment.

The COVID-19 crisis will impact the revenue of most businesses in the region. However, it has also exposed how little prepared many businesses were to cope with new way of working. This will force private and public enterprises to embrace and increase the digitalization of their operations. Thus, Logicalis’ ambition to shape the LATAM digital transformation path looks more relevant than ever.