CONTROLS:
Unclear roles, responsibilities and partner expectations, poorly defined decision making processes and inadequate joint planning contribute to the loss of alliance control. Building a joint “plan of record” documents what each partner commits to the alliance and is projected to realize in return. That joint plan generates a multi-year view of key alliance data that fosters greater communications, collaboration, trust and informed decision making.
RISKS:
Alliances are subject to many of the same strategic, financial and operational risks as a company’s core businesses. A key difference with alliances is that one partner cannot dictate to another how risks are assessed and managed. Investing in joint upfront planning can minimize alliance risk exposure and bring the partners together as equals to agree upon the details of governance and dispute resolution.
GROWTH:
Making informed – fact based – decisions directly impacts the rate of business growth…including alliances. The ability to perform “what if?” analysis against an alliance “plan of record” allows the partners to explore together how adjusting plan components such as marketing tactics , deal size, sales engagement model, win rate and time lines effect both resource commitments and outcomes.
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