Building High Performance Business Relationships

In an environment characterized by scarce resources, increased competition, higher customer expectations, and faster rates of change, executives are turning to partnerships to provide sustainable competitive advantage. Partnering provides a way to leverage the unique skills and expertise of each partner and may also “lock out” competitors. Partnerships, however, are costly in terms of the time and effort required. A firm cannot and should not partner with every supplier or customer. It is important to ensure that scarce resources are dedicated only to those relationships which will truly benefit from a partnership. Yet, many organizations become involved in relationships that do not meet management expectations and/or which end in failure. How can managers determine, in advance, if a relationship is one which will result in competitive advantage, and is worthy of the time and resources needed to fully develop into a partnership? Further, all partnerships are not the same. How does management know what type of partnership would provide the best pay-off? These questions may be answered by using the Partnership Model presented in this book. The Partnership Model provides a structured and repeatable process to effectively and efficiently build and maintain tailored business relationships that may become an asset for executives looking for competitive advantage.

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Building High Performance Business Relationships

How does management know what type of partnership would provide the best pay-off?
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“The Coca-Cola Company uses the Partnership Model to structure a discussion of each company's business strategies and the "drivers" of partnership as the launching point for its strategic supplier partnership process. A joint partnership plan is created as a result of this discussion at the partnership meeting. The plan includes 3-5 annual objectives and specific initiatives, which are assigned to an owner at each company. Our partnership management routines ensure that the initiatives get done and we maintain the momentum generated in the partnership meeting.”

— Martha Buffington
Director, Supply Chain Strategy and Program Management, The Coca-Cola Company

SCMI The Partnership Model

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