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Awards Finalists Describe Complex Joint Venture for a New Vaccine—Part 1

Posted By ASAP Media, Wednesday, February 27, 2019

Merck Vaccines and Sanofi Pasteur are finalists for a 2019 ASAP Alliance Excellence Award to be presented at the upcoming ASAP Global Alliance Summit, “Agile Partnering in Today’s Collaborative Ecosystem,” March 11-13 at the Westin Fort Lauderdale Beach Resort in Fort Lauderdale, Florida. The companies built a joint venture for a new drug utilizing a governance model inspired by small, nimble biotech companies to ensure speed and flexibility. The commercialization phase of the new drug has been very successful. ASAP Media asked Jean-Phillipe Proust and Chris Scirrotto of Sanofi Pasteur, and Eric Skjeveland of Merck Vaccines to respond to these questions to help our readers better understand the processes used to develop the very complex joint venture, and why it’s noteworthy for the alliance management community.

Why did you apply for an ASAP Alliance Excellence Award?

We thought the alliance management community would be interested in our experiences bringing two large vaccine companies together, with different organizations and cultures, in order to create an agile European structure able to adjust and adapt to the new market condition in Europe (MCM Vaccine BV). At the same time, these two companies were closing a long-lasting, full-scale joint venture in the same market geographya very complex undertaking that ended up successfully.   

What drug was developed?

VAXELIS is an infant hexavalent combination vaccine that helps to protect against six diseasesdiphtheria, tetanus, pertussis (whooping cough), poliomyelitis, hepatitis B and invasive disease due to H. influenzae type b.  This complex global product has taken more than 15 years to develop and launch in the European Union market. The six antigens in this vaccine are produced and packaged using five different facilities in four countries between EU and North America.   

What best practices did you use to improve alliance management practices and enhance the outcome?

  • Aligned and clear objectives: These were established early on and used as guideposts when making decisions on how the alliance would be structured, the framework of the governance model, and dispute resolution.
  • Trust level needed to improve: We moved from a neutral level of trust following the decision to dismantle the SPMSD joint venture, through several stages of building trust rather quickly.  The MCM joint team is now truly at a partnership level, where we respect the differences in thinking and culture of both organizations. We have a shared vision for VAXELIS, conduct shared planning sessions among those that are assigned to the joint venture, and amicably resolve our differences.
  • Fairness: Partnerships need to be built on a true win-win basis. If during the negotiation one of the parties gets the impression of imbalance, the future and outcomes will be less certain; in a negotiation for a sustainable, long partnership, the goal is to find a balanced compromise.
  • Active sponsorship from senior leadership: Senior leaders are involved not only at the joint steering committee level, but routinely participate in team meetings for the joint venture, etc.  They make a concerted effort to be visible and support the joint venture.
  • Structure and governance: Established an effective and efficient governance framework, including team charters for all governance committees with clear and simplified operating principles, decision making, and escalation procedures. We made the decision to operate and build the partnership with a “biotech spirit” with a dedicated, limited team empowered to make decisions and move quickly.
  • Created a collaborative culture: The partners have shared values and behaviors such as: open, two-way communication among those that are assigned to the joint venture, agreement to disagree respectfully and address issues early, honor and respect of differences in company culture and approach, and operation in a transparent manner with respect to the joint venture.
  • MCM Annual Meeting: Merck Vaccines and Sanofi Pasteur conduct a global MCM annual meeting, which brings together the key staff supporting the joint venture to celebrate past year successes, share lessons learned, and plan for the upcoming year for VAXELIS. A good portion of the meeting time is dedicated to F2F governance meetings for the product.
  • Alliance health checks: These were conducted twice during the first 18 months, which helped us course correct. An important finding on the Merck side was that there were too many people partially involved in the JV, which was creating unnecessary complexity and communication. We streamlined the number of people involved in the alliance and asked for a higher percentage of their time.

See Part 2 of this blog post for further information on the 2019 ASAP Alliance Excellence Awards and the Merck Vaccine and Sanofi Pasteur alliance. And stay tuned for additional awards coverage on the ASAP blog and in the monthly and quarterly Strategic Alliance magazines.

Tags:  Alliance health checks  alliance management  ASAP Alliance Excellence Awards  biotech  Chris Scirrotto  collaborative culture  commercialization phase  dispute resolution  Eric Skjeveland  governance model  Jean-Phillipe Proust  joint venture  Merck Vaccines  negotiation  Sanofi Pasteur 

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Leaders ‘in a Time of Rapid Growth and Change’: Finalists for Announced for 2019 ASAP Alliance Excellence Awards

Posted By Noel B. Richards, Friday, February 15, 2019

Finalists Include Alcon Laboratories, Science Applications International Corporation, Keryx Biopharmaceuticals (subsidiary of Akebia Therapeutics), Thermo Fisher Scientific, Merck & Co., Merck KGaA, Darmstadt, Germany, Bristol-Myers Squibb, Cambridge Assessment English, Novartis, Incyte, Sanofi Pasteur, and Red Hat 

ASAP will honor companies and organizations, practices, and programs that exemplify exceptional performance in alliance management during the ASAP Alliance Excellence Awards ceremony at the 2019 ASAP Global Alliance Summit, which runs March 11-13 at the Westin Fort Lauderdale Beach Resort in Fort Lauderdale, Florida. This month, ASAP announced the companies that are 2019 Alliance Excellence Awards finalists: Alcon Laboratories, Science Applications International Corporation (SAIC), Keryx Biopharmaceuticals (now a subsidiary of Akebia Therapeutics), Thermo Fisher Scientific, Merck & Co., Merck KGaA, Darmstadt, Germany, Bristol-Myers Squibb, Cambridge Assessment English, Novartis, Incyte, Sanofi Pasteur, and Red Hat. See the official press release issued via PRWeb.

“This remarkable group of companies has demonstrated significant leadership in alliance management during a time of rapid growth and change for business—and for the partnering profession,” said Michael Leonetti, president & CEO of ASAP. “Our awards committee reviewed a number of outstanding nominees from diverse industries this year, and we’re pleased to recognize these exceptional partners and programs whose success stories and practices can serve as models for the alliance management community.”

Alcon Laboratories’ alliance program contains a complete set of fully documented best practices supported by information technology tools. With a small alliance group, they manage many partners through consistency applying these practices and tools.

 

Science Applications International Corporation (SAIC) has developed an alliance program covers not only the “hard” alliance elements, but also pays attention to the “softer” rules of the game, resulting in substantial contribution to revenues as well as recognition from partners. Partner tiering is consistently worked out across the strategic, financial, and relational elements of business.

 

Keryx Biopharmaceuticals (now a subsidiary of Akebia Therapeutics) and Thermo Fisher Scientific collaborated to resolve supply constraints to ensure that patients were able to access Keryx’s proprietary drug through agility and excellent teamwork at all levels of operation.

 

Merck KGaA, Darmstadt, Germany–Bristol-Myers Squibb’s alliance has operated with financial transparency and consistent best practices since its formation in China in the 1990s, a time when the Chinese market was much less accessible.

 

Novartis–Incyte’s decade-long collaboration covers the co-marketing and co-development of an oncology drug in split geographical areas. The alliance has applied best practices across the alliance lifecycle, and led the way for a foundation for a broader alliance mindset in the respective organizations.


Merck & Co. and Sanofi Pasteur built a joint venture for a new drug utilizing a governance model inspired by small, nimble biotech companies to ensure speed and flexibility. The commercialization phase of the new drug so far is very successful.

 

Red Hat completely revamped an alliance training program for its alliance and channel managers, providing a clear learning path for everyone with several checkpoints and feedback options that support managers in their learning. The alliance program has leveraged e-learning and digitization, supported by well-designed management processes.

Cambridge Assessment English teamed up with Future Learn and Crisis Classroom to deliver an online training program for volunteers who help refugees meet refugee needs by focusing on language support. Volunteers (8,000 thus far have signed up) are able to exchange their experience in addition to accessing formal learning modules.

 

Merck KGaA, Darmstadt, Germany developed its Joint Committee Self-Assessment tool after alliance surveys showed that decision-making in the organization’s alliances were too slow. This easily implemented tool helps committees improve their decision making has become standard in the Merck alliance toolkit.

Read the complete press release on PRWeb at http://www.prweb.com/releases/finalists_for_announced_for_2019_asap_alliance_excellence_awards/prweb16099885.htm. Stay tuned for much more coverage of the 2019 finalists and the stories behind their successes on this blog and in Strategic Alliance Quarterly and Monthly magazines.

Tags:  Akebia  Alcon  alliance  ASAP Alliance Excellence Awards  best practices  Bristol-Myers Squibb  Cambridge Assessment English  governance  Incyte  Keryx Biopharmaceuticals  Merck & Co.  Merck KGaA  Novartis  Red Hat  Sanofi Pasteur  Science Applications International Corporation  Thermo Fisher Scientific  toolkit 

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Closing the C-Suite's Collaboration Gap

Posted By Contributed by Jan Twombly, CSAP & Jeff Shuman, CSAP, PhD | The Rhythm of Business, Thursday, January 24, 2019

Earlier this month, we presented and recorded a webinar to expand upon our mini e-book that we wrote together with our partner Alliancesphere, Own Your Transformation: A Five-Point Agenda for Creating Your Organization’s Collaborative Leadership System. The key message of the presentation is to urge alliance professionals to take charge of closing the gap between the happy talk about the importance of partnering and the actual ability of organizations to collaborate and partner well in a digital world.

Yes, this is our soap box and it has been for many years. The difference today is all the data reporting C-Suite executives really do believe partnering is important and a core pillar of their growth and transformation strategies. They also think their organizations collaborate and partner effectively. Their employees disagree. Take a look at some data from a recent Capgemini study.[1]   

We’ve witnessed this gap in our work for years and years. For example, in a recent project assessing the current state of an alliance management practice and charting a course for its future, a senior executive told us how important alliances were to the future of the business. We then interviewed one of his senior people ostensibly responsible for an important partner. He told us he’d had only a one-hour call to familiarize himself with the role of an alliance director. No surprise, he didn’t think this was sufficient to allow him to be successful in the role. This may be an extreme case, but it illustrates the gap that exists between the belief that alliances and partnering are critical for growth and the failure to recognize that a system of collaborative leadership must become part of the organization’s culture and operating norms. It is an Achille’s heel of business transformation.

Here’s another example: A company that is remaking themselves to focus strictly on downstream go-to-market activities has outsourced all upstream research and development capabilities except project management to oversee the outsourced service providers. Outsourcing a capability is not about managing a series of projects. It is engaging with third parties to build collaborative relationships that leverage the resources of each party for mutual benefit—to achieve a synergistic relationship where 1+1>3. In other words, the reason for—the essence of— partnership.  

During the webinar, we discussed our five-point agenda for creating a collaborative leadership system that starts with owning your own transformation. You can’t expect to drive change in your organization without demonstrating how you’re changing. Every alliance professional has something in their job description and potentially in their goals and accountabilities, to “create an environment for collaboration with alliance partners,” or something similar. Specifically executing on this piece of the job has always taken a back seat to immediate revenue generation or ensuring a co-development project happens smoothly. No longer. Today—when partnering everywhere in an organization is the recipe for growth—creating that environment becomes an essential part of the job. The collaborative leadership system—the mechanism through which leadership is exercised—is what enables it.

Closing the gap between the partnering and collaboration capability CEOs think their companies have and what they actually have is essential to the digital business transformation powering growth for legacy companies and a core capability for entrepreneurial ventures. Alliance professionals are typically part of the powerful middle of the organization—the Rosetta Stone of the organization—translating senior leadership directives into operational objectives and understanding from the field and other customer-facing personnel the successes and challenges at an execution level, scaling or adjusting accordingly.  Who other than alliance professionals should be leading the charge to close the gap between what CEOs think about their organization’s ability to collaborate and the reality?

[1] Capgemini Digital Transformation Institute, “The Digital Culture Challenge: Closing the Employee-Leadership Gap,” 2018 

Tags:  alliance management  collaboration  collaborative leadership system  digital culture  digital transformation  Jan Twombly  Jeff Shuman  partnering  The Rhythm of Business 

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‘From Value Chains to Business Ecosystems’: Featured Presenters from IBM, Salesforce, Dassault Systemes, and SAIC Join the Lineup for 2019 ASAP Global Alliance Summit

Posted By John M. DeWitt, Friday, January 18, 2019

This week ASAP announced the lineup of featured speakers at the March 11-13, 2019 ASAP Global Alliance Summit in a press release distributed via PRWeb.

“Each year’s Summit is a one-of-a-kind event where the world’s most experienced and capable partnering and alliance management executives share successful practices and lessons learned from their business collaborations,” ASAP President and CEO Michael Leonetti, CSAP, said in the announcement. “The 2019 Summit will include the incredibly smart and provocative speakers, hands-on learning, and candid peer-to-peer conversations that participants experience at ASAP’s other annual destination events—the BioPharma Conference, Tech Partner Forum, and European Alliance Summit. But there are unique connections and insights that only come from the ASAP Global Alliance Summit’s diversity. In a time of rapidly expanding cross-industry alliances, public-private partnerships, and customer-centered collaborative ecosystems, the Summit attracts leading thinkers and practitioners from many industries, sectors, and geographies, allowing attendees to glean insights, engage with surprising new ideas, and even meet unexpected new partners.”

This year’s ASAP Global Alliance Summit will take place March 11-13, 2019, at the Westin Fort Lauderdale Beach Resort in Fort Lauderdale, Florida. Platinum Sponsors of the event include Vantage Partners and WorkSpan; The Rhythm of Business is a Gold Sponsor. Headlining speakers include:

  • Bruce Anderson, general manager, high-tech/electronics industry, IBM
  • Christine Carberry, CSAP, chief operating officer, biopharmaceutical senior executive
  • Steve Levine, PhD, Dassault Systèmes, founder and executive director, Living Heart Project
  •  Tiffani Bova, global customer growth and innovation evangelist, Salesforce
  • Charles Onstott, chief technology officer, SAIC

Bruce Anderson: “Partnering in the AI Era”

On the morning of March 12, as part of the conference opening session, Bruce Anderson will present a plenary talk titled “Partnering in the AI Era: An Essential Shift from Value Chains to Business Ecosystems.” He intends to share his deep understanding of marketplace opportunities and challenges facing companies, describing what he’s learned as he consults extensively with senior executives striving to optimize and transform their organizations, operations, and business models.

After lunch on March 12, four speakers will present TED-talk-style presentations during the 2019 Summit’s Leadership Spotlight plenary session.

Christine Carberry, CSAP: Maximizing Value

Is it a lack of time, resources, or ideas that holds back fulfilling the maximum value of alliances? Perhaps all these ingredients are available in abundance and what is lacking is the ability to connect the right ideas with the right resources at the right time, Carberry intends to explore. The concept is simple—find the right connections, collaborate on a common goal, and create value. Executing against this simple concept is far from easy. In this session, Carberry will talk about how to strengthen connections, improve collaboration, and increase value creation in alliances and beyond.

Steve Levine, PhD: The Living Heart Project

In the US, someone has a heart attack every 34 seconds. What if a virtual replica of your heart could be created, imitating its unique electrical impulses, muscle fiber contractions, and abnormalities? Valuable insights on human heart function could accelerate breakthroughs delivered to clinical practice. Dr. Levine will describe his methodology to unite the world's leading cardiovascular researchers, medical industry innovators, regulatory agencies, and practicing cardiologists on a shared mission to develop accurate personalized digital human heart models.

Tiffani Bova: “Growth IQ” and Partnering

Customers demand a seamless experience, regardless of who makes the sale. Profitable and sustainable business growth is top of mind in and around all industries. Alliance managers must develop their "Growth IQ" to meet today's business demands. Pulling from the 10 proven paths highlighted in her Wall Street Journal Best Seller book, Growth IQ: Get Smarter about the Choices that Will Make or Break Your Business, Bova will present customer-centric best practices and pivot points for partnering executives and their companies to consider.

Charles Onstott: Partnering to Help the US Government Move at Startup Speeds

Not known as an early adopter, many parts of the US government have been pushing for easier acquisition of new technology. SAIC, as a technology integrator, strives to help emerging technology companies expand into government business—and thereby bring valuable capabilities that benefit the government. Onstott plans to discuss SAIC’s partner engagement model, share lessons learned in establishing relationships with emerging technology companies, and provide examples of what worked and did not work well.

The 2019 ASAP Global Alliance Summit will take place March 11-13, 2019, at the Westin Fort Lauderdale Beach Resort in Fort Lauderdale, Florida. Platinum Sponsors of the event include Vantage Partners and WorkSpan. The Rhythm of Business is a Gold Sponsor. For more information and to register for the 2019 ASAP Global Alliance Summit, please visit http://asapsummit.org. To learn more, read the complete ASAP press release distributed via PRWeb and stay tuned for more of the ASAP Media team’s preview coverage of the Summit in Strategic Alliance magazines and on the ASAP Blog.

John M. DeWitt is a contributing writer and editor for ASAP Media. 

Tags:  2019 ASAP Global Alliance Summit  alliances  Business Ecosystems  Charles Onstott  Christine Carberry  collaborative ecosystems  Dassault Systemes  IBM  partner  SAIC  Salesforce  Steve Levine  Tiffani Bova  Value Chains 

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The Next Wave in Collaboration? Lessons from Platform Ecosystems, Part 3: From Governance Committees to Governing Principles

Posted By Contributed by Ard-Pieter de Man, CSAP, PhD, Friday, January 11, 2019
Updated: Wednesday, January 9, 2019

In my Q4 2018 Strategic Alliance Quarterly article about the emerging profession of the ecosystem manager, I mentioned that the most extreme examples of ecosystem management were found around platform organizations such as Facebook and Apple. What inspiration can we draw from the way these manage companies their ecosystems? New best practices are emerging that require us to rethink at least four of the tenets of alliance management. In the third and final article in this series on the topic, I discuss the evolution of governance practice and other ways in which ecosystem management is, could, or should influence the evolution of alliance management practices.

Governance: From Committees to Principles

Traditional governance structures contain committees and teams, each with their own tasks and accountability. Such governance structures have been proven effective in building bridges between organizations. Governance structures also had some downsides. With typically three layers of committees in alliances, decision-making could be slow. Moreover, they require much managerial attention, particularly from middle management. With an increasing number of partners, the risk of overloading managers with alliance work becomes real. Further slowing down of decision-making may result. The growth in the number of partners is limited by the capacity of managers to take them on.

Platform based ecosystems coordinate at least a subset of their partners based on principles and standardized governance processes. This increases their capacity to manage a higher number of partners. The developments around smart contracts also may help here in the future: agreed upon rules may be programmed into smart contracts, lessening the burden of governance. Smart contracts may at least partly replace work done by governance committees. An interesting question is whether this will lead to more or less standardization in alliance models.

What does all this mean?

Much of the partnering activity around platforms diverges from traditional definitions of alliance management. It involves new forms of collaboration that may not fit with how ASAP defines alliances. That does not mean it is not relevant for alliance management. First of all, alliances may evolve into or be replaced by these new forms of partnering. Second, companies will increasingly focus on optimizing the entire ecosystem around their platform including clients, suppliers, complementors, app builders, content parties and, of course, alliances. Defining alliances has always been difficult because there are many gray areas. With the rise of new forms of collaboration it is increasingly important for companies to understand all the shades of gray. Third, even though such new forms may be different from traditional alliances, opportunities for learning from them exist. Just like client supplier relationships and public-private partnerships learned from alliances, alliances may learn from platform based ecosystems.

These are reasons to look at collaboration more broadly rather than focusing exclusively on strategic alliances. This does not mean that all best practice developed since ASAP’s inception become irrelevant. It does mean we need to have a better understanding about when they work and when they do not work. Where they do not work we need to develop new best practices that help us ride the next wave of collaboration.

Ard-Pieter de Man, CSAP, PhD, is professor of management studies at the School of Business and Economics of the Vrije Universiteit Amsterdam. A longtime ASAP member, he also is a consultant to companies and not-for-profits.

ASAP Media encourages diversity of thought and opinion as partnering practice and the profession of alliance management continually expand and evolve. To contribute your voice to the conversation, on this or other seminal topics relating to business collaboration, please contact John W. DeWitt, editor and publisher of ASAP Media and Strategic Alliance magazines, at 646-232-6620 or jdewitt@asapmedia.org.

Tags:  alliance  alliance-specific strategy  Ard-Pieter de Man  ASAP European Alliance Summit  ASAP Strategic Alliance Quarterly  governance  John Deere  launching  managing  negotiation  partner selection  Philips Light  planning  structuring  traditional alliance diagnostics  transformation  Vrije Universiteit Amsterdam 

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