It’s a Deal!
Tired of adversarial business relationships draining your energy? Is it time to look at a new way of conducting business—one that empowers you to be more productive and profitable? If so, you might be ready for partnering.
Partnering shouldn’t be hastily adopted and then quickly abandoned; it’s a long-term paradigm for success. You’ll need to understand the Partnering Pentad, representing both the five key areas of every business, and the areas to begin developing your partnering belief and activities. To achieve Total Organizational Partnering, consider the following:
• Synergistic alliances are where business people develop associations with outside entities for activities to correct core weaknesses and to cut costs. Such activities could include: purchasing, R&D, manufacturing, employee sharing, distribution, marketing and advertising. By sharing core strengths with one another, partners can create synergy yielding each more than the sum of their contributions.
• For companies desiring just-in-time manufacturing, as well as electronic data interchange ordering and inventory control, supplier partnering is an absolute prerequisite. To succeed and prosper at any position in the supply chain, develop long-term relationships with your purchasing partners. Remember to discuss quality, delivery and reliability. And while pricing is always important, keep in mind, there is today’s price, but there is also the overall cost, which is usually lower through long-term partnering relationships.
• You must be customer- and market-driven, rather than product-driven, to understand what your customers perceive as value-added products and services. They will buy from your company as long as they feel they’re receiving good value for their money.
• Employee partnering, to many businesses, is not an option. Try empowering employees by giving them authority and encouraging them to accept job responsibility. Then, acknowledge their successes and failures in an environment of safety—one where risk taking is encouraged and rewarded. Avoid ego traps. To delegate power, you must be a powerful person— one who possesses personal power rather than power gained by your position.