Strategic Alliances can be very effective ways to cooperate with others without having to invest in equity, but they require another form of investment, mostly in the form of time and commitment. Here some key success factors that all parties to a Strategic Alliance should consider and maintain to make the alliance work:
STRATEGIC FIT
- Clear self-interest: Know what you want to (realistically) get out of the Alliance
- Wisdom: Short-term investment vs. long-term benefits
- Sustained value creation for all participants
CULTURAL FIT
- Careful selection of participants: Chain of trust, compatible values, track record
- Fairness and win-win-win-thinking and –acting
- Respect for differences in strengths, culture, working style, personality, etc.
- Building and investing in personal relationships and trust
- Commitment, reliability and accountability
- Contribution and involvement to create value and multiple ties
- Rich, multi-levelled and redundant communication, listening
- Being patient, taking time, courtesy
- Keeping things simple and pragmatic
- Flexibility, adaptability and learning
- Keeping the goal in mind
Post by M. Hirt.