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Morphing Your Partnering Philosophy in a Changing World of Digital Drivers (Part One)

Posted By Cynthia B. Hanson, Wednesday, March 28, 2018

Key sectors of the economy are struggling to adapt to disruptions from digital technologies, such as the cloud. The change is resulting in new business models and service sector opportunities in areas such as security and supply chains. In the 2018 ASAP Global Alliance Summit session “Partnering with Change in a World of Ongoing Disruption,” Joe Schramm, vice president of strategic alliances at BeyondTrust, and Morgan Wheaton, senior director, global partner alliances & channels at JDA Software, addressed the huge transformations taking place in these sectors. BeyondTrust has been a provider of cybersecurity software since 1985. JDA Software is one of the largest providers of supply chain and retail technology. The following insights and excerpts from the session drill down to the core of some of today’s most pressing partnering questions during a time of digital transformation:

Joe Schramm: In traditional channels, it’s about “How much product can I sell?” It’s now about “How much value-added service can I provide?” If you can’t adapt [to that new model], you will be out of business.

Morgan Wheaton: The way that you manage cash flow as a software company has changed to subscription-based. But making that change from large payments to a little every month is a chasm that some companies can’t cross.

Schramm: Our origins are more in network operations, but today, we offer complete solutions in privilege access management (PAM) and are a recognized leader in the market. BeyondTrust’s job is to protect companies from bad actors. There are three types of bad actors: nation state-sponsored actors, such as Russia, China, etc., that are after intellectual property to get trade secrets; “hacktavists”; identity thieves. They break the perimeter through fishing with suspicious email links or known vulnerabilities—such as the Microsoft operating system, Adobe, your car, pacemaker, the Grid—to gain access and control. Once in, they try to hijack privileges. Our technology  is used to reduce administrator rights. What’s new is that more in the manufacturing sector are starting to wake up and realize their IP is being compromised. Meeting those customer needs and adapting to digital technologies required rethinking partnering.

The old paradigm:

  • We sold tools; installed them
  • Partnered with resellers to fulfill
  • Systems integrators viewed as competitive
  • No strategy to extend reach

The new paradigm:

  • We sell complex solutions; partners implement
  • Partners sourcing and implementing new businesses
  • Systems integrators are strategic partners
  •   We can’t grow fast enough

Wheaton: At JDA, our customers are some of the biggest companies out there, such as all 15 of the top car companies; 60 percent of soap makers; 70 percent of prescriptions get filled by JDA software. We are seeing their world being disrupted by the cloud. Consider what Amazon is doing by creating a standard for customers where they can order a product by mail that can be returned in a day. They are setting a new bar, and retailers are undergoing massive disruption and asking “How do we compete with this?” Manufacturers need to innovate and deliver in record time. Distributors must reinvent themselves to remain relevant. What does this mean for JDA? Every CEO out there is rethinking their supply chain. We are seeing very much the same things at supply chain companies as they are at security companies. In the old paradigm, systems integrators were viewed as competitors. We partnered opportunistically—there was little standardization.

The old paradigm:

  • We offer turnkey solutions
  • Service partners only extend JDA delivery capacity
  • Systems integrators viewed as competitive
  • No need to extend reach
  • Partner opportunistically

The new paradigm

  • Together we grow the pie
  • Partners help to complete the solution
  • Systems integrators are strategic partners
  • We can’t grow fast enough
  • Partner with intent

We had to reinvent our program with three components:  Consulting partners, to help with implementation and customer strategy; tech partners; selling partners.

So how do you recognize and strategize for the current and anticipated future paradigm shifts? Schramm and Wheaton took turns answering this question, which was relevant to both industries:

  • Practice Open Communication: with partners, customers, and industry leaders.
  • Observe the Competition: What are they messaging? Are you losing your partners?
  • Watch Market Makers.
  • Watch Start-ups—how they are disrupting and how they are doing.

Part II of this post will address how key cultural changes are needed to better enable new partnering models. 

Tags:  alliances  BeyondTrust  channels  communication  cybersecurity software  disruption  implementation  JDA Software  partner  Partnering Philosophy  partners  servic  start-ups 

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Finalists and Winners Share the Accolades at Upbeat 2018 Alliance Excellence Awards Ceremony

Posted By Cynthia B. Hanson, Wednesday, March 28, 2018

Celebrating hard work, innovation, generous contributions to society, volunteer time, and other accomplishments, ASAP lauded several companies and partnerships at the 2018 ASAP Alliance Excellence Awards on March 26 during the ASAP Global Alliance Summit, “Propelling Partnering for the On-Demand World: New Perspectives + Proven Practices for Collaborative Business,” in Fort Lauderdale, Florida, USA.

“All of our finalists are winners. They really are” through their thoughtful engagement, documentation, and impressive submissions, said Michael Leonetti, CSAP, president and CEO of ASAP. “It’s so difficult to select” a winner from such an outstanding pool of finalists, he then observed.

Referring to the 20th anniversary of ASAP’s beginnings, Norma Watenpaugh, CSAP, ASAP Advisory Board member and founding principal of Phoenix Consulting Group, provided some history about the first ASAP awards ceremony in 2001 and the evolution of the judging process. An “old-timer” and chair of the Excellence Awards Committee, she joined the judging process in 2003. “Some have been on the committee from the beginning of time, some are new recruits—reading, scoring, and deciding on nominees. They represent different industries,” she explained. What originally started as one lone awards category in 2001 evolved into multiple awards, which were captured at the ceremony by five of nine finalists for their exceptional contributions:

The Alliance Program Excellence Award, presented to organizations instilling the capability to consistently implement and manage alliance portfolios and demonstrate success of those alliances over time, was given to pharmaceutical Amgen for its exceptional biopharma alliance program. Secured by three pillars, the program delineates clear roles and alignment of strategic objectives and value drivers through a partnership; ensures best practice execution on every alliance through an alliance kickoff and playbook; optimizes oversight of Amgen’s alliance portfolio.

The Individual Alliance Excellence Award, presented to a specific alliance for excellence in planning, implementation, and resultseither between two companies or multiple organizationsfor instituting practices, tools, and methodologies in support of successful formation and management, was given to pharmaceutical partners MSD and Julphar for the formation of the DUNES alliance. The alliance serves seven therapeutic areas for six countries in the Middle East and North Africa (MENA) region, a challenging area of the world for business development. “Alliances aren’t business as usual in that part of the world, and MSD-Julphar opened new doors,” commented Watenpaugh when presenting the award.

Two Innovative Best Alliance Practice Awards, presented to a company for individual alliance management tools, functions, methods, or processes that have made an immediate and powerful impact on the organization and/or discipline of alliance management, were given to pharmaceuticals MedImmune and Shire “for their big-picture view in their portfolio of alliances.” The high-impact tool or process used must show results, such as easing management, saving costs, increasing speed, and/or growing revenue. Medimmune received the award for an alliance information management system and dashboard reporting tools that enable widespread visibility of alliance performance in near-real time, including consolidation of alliance data that provides visibility across the organization. Shire received the award for introducing a new best practice for partner crisis to manage stakeholders through a crisis situation. The system was originally developed to help navigate a merger; it has since been tested and validated for several additional applications.

The Alliance for Corporate Social Responsibility Award is presented to companies that demonstrate a profound, measurable, and positive social impact, with the principal objective social impact, not profit—although profit, especially if used to fund program expansion, is not discouraged. This year’s award was given to Cisco Systems and Dimension Data. The companies banded together for their 25-year celebration of alliance success by kicking off 25 projects focused on creating social good, which resulted in a record year for the partnership.

Not to be forgotten for their exceptional contributions, Leonetti also presented several Chapter Excellence Awards to members who have gone above and beyond in volunteer time organizing quality events within a local geography “because they love what they do.” The New England, French, Midwest (honorable mention), and Research Triangle Park chapters received awards for their use of best practices, development of relationships in the community, strong commitment, exceptional programming, and an array of additional contributions. Leonetti then extended special thanks to Becky Lockwood, CSAP, leader of the ASAP Chapter Presidents Council, for her leadership in organizing and keeping the chapter work effectively and smoothly flowing. 

Tags:  2018 ASAP Alliance Excellence Awards  Amgen  biopharma alliance program  Cisco Systems  collaboration  dashboard  Dimension Data  DUNES alliance  Julphar  MedImmune  MSD  partnership  Shire 

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Summit Panel Discusses ‘Herding Your Lawyers’—How to Turn Attorneys into Collaborators Using New Tools and Tricks of the Trade

Posted By Cynthia B. Hanson, Tuesday, March 27, 2018

At the 2018 Global Alliance Summit, attorney Bill Kleinman, a partner at Haynes & Boone, LLP, leads an intriguingly titled panel discussion on “Herding Your Lawyers: Turning Negotiators into Collaborators.” Law schools prepare lawyers as zero-sum negotiatorsnot collaborators, Kleinman asserts. But when alliance professionals can turn their attorneys into collaborators, it benefits their partnerships. Kleinman’s panel includes two seasoned alliance managers to help him demonstrate approaches, techniques, and tools for negotiating collaboration: Nancy Breiman, CSAP, director, global alliances at IBM, and Bernie Hannon, CSAP, strategic alliance director, Citrix.  The panel plans to use interactive tools for negotiating a strategic alliance to prepare for a mock negotiation between a municipal lighting supplier and an artificial intelligence company for smart cities lighting. For the March 2018 edition of eSAM Plus and for this blog post, I had the pleasure of interviewing all three session leaders about their insightful session before the 2018 Summit, whose theme is “Propelling Partnering for the On-Demand World: New Perspectives + Prov­en Practices for Collaborative Business” and will be held March 26-28 in Fort Lauderdale, Florida, USA. The following article continues the conversation that begins in eSAM Plus.   

How can these techniques and tools be applied in multi-party collaborations?

Bill Kleinman: I’ve set up the tools for a two-party alliance, but I have used them in multi-party alliances. I have used them in five- and six-party alliances.

Nancy Breiman: Using these tools, even if it’s only with two parties, has incredible value. But I have tried to work in partnerships where there are multiple parties involved, and no one has figured that out yet. It’s very challenging on multiple fronts. Where I’d like to test the waters on this is with IBM’s blockchain ecosystem strategy. With blockchain technology, you have to have multiple parties in the ecosystem. It’s the nature of the beast.

Kleinman: Multiple parties are exponentially harder. But one of the tools we look at, which we call alliance swim lanes, permits as many partner lanes as we want.

Breiman: But then you will have five sets of KPIs, five sets of IPs, etcetera, to deal with.

Kleinman: It’s definitely a multiplier.

Hannon: The more complexity, the more need for structure. What Bill is proposing here for a two-party agreement is all the more critical when it involves multiple parties. It speaks to the need to come up with something that is structured and allows for the same discovery and results when multiple parties are involved. That is so much harder to achieve without tools. I wouldn’t even attempt to do a multi-party collaboration without tools like this.

What are some of the other collaboration challenges this session will address?

Breiman: There is no way to separate the legal construct and thinking from the alliance construct. A good alliance manager will have both party’s needs top-of-mind. You need to represent your own company while being sensitive to the needs of other partners. The legal team needs to be part of the team up front and part of the collaboration process. I don’t think they are separated.

Hannon: If you can avoid some of the trial-and-error aspect of the maturation process, you are going to be in a better position to produce better partnerships sooner.

Breiman: Bernie and I together have a lot of years of alliance management under our belts. For new people, its hard to bring them into the business because its one of those roles where maturity, seniority, and experience are needed. New alliance managers without a lot of world experience can avoid a lot of the pitfalls using these tools.

How do you apply these techniques and tools in your alliance management positions?

Kleinman: I’ve probably been using these tools over the last 10 years, and they have developed over time. They are based on things that I have come up with and read about in literature.

Hannon: I am just learning about this process in this engagement with Bill and Nancy. I have a very forward-looking view of this. A lot of the negotiations I’ve been involved with until now were done the old-fashioned way. Things have changed enough in these industries that we need to find new outcomes. Partnerships tend to be more enduring when founded on objectives and outcomes that are perhaps more mutually desirable than in the past.

The views represented by Nancy Breiman and Bernie Hannon are their own and do not necessarily reflect their company’s perspectives. For more information on this and other Summit sessions, go to http://asapsummit.org/.

Tags:  alliance  alliance professionals  Bernie Hannon  Bill Kleinman  Citrix  Collaborators  Haynes & Boone  IBM  Lawyers  Nancy Breiman  Negotiators  partnerships  techniques  tools 

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The Beatles, Alliances in the C-Suite, and a Company Built on Strategic Partnerships (Part 2): Citrix Chief Marketing Officer Kicks off the ASAP Global Alliance Summit

Posted By John W. DeWitt, Tuesday, March 27, 2018

ASAP Global Alliance Summit keynoter Tim Minahan, an English and political science major and graduate of the Kellogg School of Management’s Chief Marketing Officer Program, joined $3.2 billion Citrix about two years ago. The senior vice president of strategy and chief marketing officer framed his presentation around the theme of “everything I ever needed to know about strategic alliances I learned from the Beatles.”

His first point—“or what I learned from John, Paul, and Ringo”—emphasized the importance of driving growth “With a Little Help from My Friends,” a hit song from 1967’s Yellow Submarine. “The fastest way to grow, to scale, is to trade on someone who has established networks and relationships,” Minahan explained, referring back to the beginnings of Citrix nearly three decades ago. “Back then it was Microsoft—so it made tremendous sense that founders of Citrix made a business out of making it easier for IT to migrate to the Microsoft platform,” he said.

“This carries through even to today,” Minahan continued. “Today, on day one, we’re there to provide our solutions whenever Microsoft launches new solutions. …  As many of you know, Microsoft has a sell-through model. So we’ve predicated our investment, ensuring we’re building the right enablement and incentives for Microsoft and its channel partners.” The size of this partnering opportunity? He cited projections of “a $1 trillion market cap business for Microsoft migrating to the cloud.”

Minahan talked in some depth about swimming in the sea of coopetition, including how Citrix has partnered with Google and Cisco to enable functionality for Microsoft’s office software on the latest generation of Android phones. He peppered his talk with repeated references to “incentivizing your partners” and emphasized one of his key initiatives to radically streamline marketing Citrix campaigns and make joint marketing much simpler for partners.

“When I joined Citrix two years ago, we had over 40 different marketing campaigns. It was very difficult for alliances partners and salespeople to understand,” he explained. “This year, we have three primary campaigns aligned with business outcomes: employee experience and productivity, security and compliance, and choice. We’ve lined up our leading strategic alliances within each of those. … That’s the type of investment we’re making to drive up the ROI,” he added.

“Alliances is really a strategic leader,” Minahan noted during the Q&A that followed his talk. “I elevated our alliance marketing leader. She sits on the marketing leadership team, and we include strategic alliances as we build the market plan, not as an afterthought. That also signals to our organization and our partners that we are very serious about alliances.”

Other Beatles-inspired alliance management insights from Minahan included:

  •  “Come Together”—“make yourselves an essential component by fostering value between partners.”
  • “Tax Man”—“find a common enemy. It could be a common business challenge, not necessarily a competitor.”
  • “A Day in the Life”—“always put the customer first.”
  • “Help!”– “make the investment to ensure our partners and channel can be successful and—I can’t say it enough—incentives.”
  •  “Revolution”—“have a common vision for a better future. We all want to be a part of something great that is transforming the world.” 

Tags:  Alliances  Cisco  Citrix  C-Suite  Google  marketing campaigns  Microsoft  strategic leader  Strategic Partnerships  Tim Minahan 

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‘Building Corporate Capability for Collaboration’: Pre-Summit Workshop Attendees Assess their Organizations’ Readiness for the ISO 44001 Standard for Business Collaboration

Posted By John W. DeWitt, Tuesday, March 27, 2018

If you think your organization meets a certifiably high standard of collaboration excellence just because you’re an ASAP member and employing best practices—well, you just might be right. On Monday, March 26, several dozen ASAP Global Alliance Summit attendees were able to validate their assumptions and measure the level of their organization’s collaborative capability against the International Standards Organization’s (ISO) 44001 standard for business collaboration and ASAP’s Handbook of Alliance Management. Norma Watenpaugh, CSAP, principal of Phoenix Consulting Group, and Parth Amin, CSAP, principal of Alliance Dynamics, LLC, presented an in-depth ISO 44001 preconference workshop at the 2018 ASAP Global Alliance Summit in Ft. Lauderdale, Florida USA.

“What is the standard? People tell me you can’t standardize a relationship—they are all so different,” Watenpaugh noted in her opening comments. “And this is true—but we know from ASAP that there is a common life cycle and approaches that make alliances more successful.” More to the point, she continued, “It’s a framework, not a rigid process. It doesn’t tell you how to have a process or governance, it just tells that you need to address that.” The standard is designed for broad applicability, she added. “It enables organizations of all sizes—you can be a two-person organization and certify.” Regardless of organization size, when two or more organizations partner, “having a common model, language, framework, makes partnering more successful because it reduces friction.”

The ISO 44001 standard “also recognizes cultural differences” and, “as a standard, it’s very unique in promoting collaborative behavior,” Watenpaugh said. “Most standards are about processes, how you manage those processes, and that’s part of it as well—but there is high emphasis on having collaborative behavior and culture.”

The first part of the 90-minute session focused on how ASAP certification and best practices complement and accelerate ISO certification. Watenpaugh and Amin walked workshop participants through a collaborative maturity model based on the fusion of the ISO Standard and the ASAP Handbook of Alliance Management: A Practitioner’s Guide. Amin discussed new tools and then had attendees utilize a live assessment app that, based on the responses, scored their organizations’ ability to deliver high-performing collaborations. Attendees also received (on a memory stick) a comprehensive implementation guide that maps the ISO 44001 standard to the ASAP Handbook of Alliance Management.

Amin, an evangelist for the ISO standard who has worked closely with ASAP partner New Information Paradigms to develop the assessment tool, emphasized “the importance of relationships to CEOs.” He and Watenpaugh—leader the US technical advisory group for the ISO standard who previously led the revamping of the ASAP Handbook of Alliance Management several years ago—addressed, from an enterprise perspective, why relationships struggle in practice. “Getting value from collaboration is pretty hard,” Amin said. Amin and Watenpaugh talked about how a standard helps to get that value—on an individual, organizational, and partner level—and how ASAP best practices and certification contribute to the standards.

Assessing Readiness for ISO 44001
Amin and Watenpaugh walked through “the initial steps for certification—focusing on the assessing your organization’s readiness and the assessment tool itself,” said Amin, referring to a 20-question assessment app developed by the UK-based New Information Paradigms. Participants then roll up their sleeves for the remainder of the session to “do the assessment live, see their scores, talk about what were some of the ‘ah ha’ moments and surprises,” Amin said, noting that a diverse group of executives participated in the session. “We have broad range of industries represented—from academia, finance, medical device, pharma, high tech, etc.—and a broad range of executive levels—CEOs,  directors, managers, and so on,” he said.

Amin and Watenpaugh “brainstormed on how best to lead our session,” Amin said. “Should it be educational or interactive? We figured it would be something of both, instead of us preaching the whole hour.”

See John W. DeWitt’s recent feature article in the February issue of eSAM Plus for more about the ISO 44001 standard, including excerpts from the February 15, 2018 ASAP Netcast Webinar on the topic with Watenpaugh, Amin, and Cisco collaboration guru Ron Ricci, who discussed “Is Your CEO Challenging You to Go Faster? Why a Collaboration Standard Can Help.”

Tags:  Alliance Dynamics  alliance management  alliances  ASAP Handbook of Alliance Management  certification  International Standards Organization’s (ISO) 44001  Norma Watenpaugh  Parth Amin  Phoenix Consulting Group  standardize a relationship 

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