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New ASAP Corporate Member, DSM, Evolved From Coal Mining to Science-Based Company with Innovation, Sustainability, and Partnering at its Core

Posted By Cynthia B. Hanson, Friday, March 17, 2017

 DSM is a global science-based company with a focus on health, nutrition, and materials. Headquartered in the Netherlands, it has undergone a vast transformation from a coal mining entity in the early 20th century to a diverse, innovative company with the core value of sustainably. Partnering via strategic alliances and joint ventures has been critical to DSM’s growth, says Anoop Nathwani, director of excellence in strategic alliances/joint Ventures at DSM’s Innovation Centre. Nathwani provided the following information about DSM.

What inspired your team to join ASAP at the corporate level?
DSM has a number of successful joint ventures and strategic alliances, such as with Novozymes and Syngenta, to name a few. Industry dynamics are changing, and it recognizes the need to partner more extensively and start to ensure that correct partnering capabilities, skills, and competencies are more widely and consistently used to ensure partner successful in developing new, groundbreaking solutions for the markets it serves. In order to achieve this excellence in alliances and partnerships, DSM is looking to learn from ASAP’s best practices and adopt the appropriate tools and skills that are proven with companies showing consistent alliance success. DSM also saw the opportunity to be able to “tap into” thought leaders and networks with like-minded individuals to share best practices and learn from failures from a community of alliance professionals.

How else do you anticipate ASAP benefitting you and your team?

By joining ASAP, we can leverage the resources, tools, frameworks, and knowledge base with real, hands-on case studies of successful alliances that ASAP and the member community can offer. This can help those involved in driving strategic alliances, JVs, and partnerships to consistently achieve success in their partnering activity, versus the high failure rates that we see happening in partnering in general. The ultimate benefit is to see DSM achieve its growth objectives through successful partnering.

How has DSM evolved during a critical time of change in tech?
The evolution is simply phenomenal. Rather than trying to paraphrase this, please view this link to the company Website that explains that evolutional growth: 
https://www.dsm.com/corporate/about/our-company/dsm-history.html The link also talks about some of our many partnerships. Our alliance with Novozymes is a feed enzymes alliance. Combining DSM's and Novozymes' vast resources provides access to innovative products that are setting new industry standards and reaping exciting business results: http://www.dsm.com/markets/anh/en_US/products/products-feedenzymes/products_feed_enzymes_alliance.html. In terms of the alliance with Syngenta, DSM and Syngenta are developing and commercializing biological solutions for agriculture.  The alliance recently announced an R&D partnership to develop microbial-based agricultural solutions, including bio-controls, bio-pesticides and bio-stimulants. The companies aim to jointly commercialize solutions from their discovery platform. The collaboration aims to accelerate the delivery of a broad spectrum of products based on naturally occurring microorganisms for pre- and post-harvest applications around the world. These organisms can protect crops from pests and diseases, combat resistance, and enhance plant productivity and fertility.

Tags:  alliance  alliance teams  collaboration  DSM  Innovation  joint ventures  Novozymes  Partnering  resources  Sustainability  Syngenta  tools 

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One Is Silver and the Other’s Gold: ASAP Summit Session Emphasizes Expansion Opportunities through Customer Renewal

Posted By Cynthia B. Hanson, Thursday, March 2, 2017

New customers can hold great opportunity, but don’t neglect the old accounts because they hold hidden gold that can maximize revenue through expansion. That seemed to be the main message Jeff Newton, CSAP, global strategic alliance manager at Cisco Systems, and his colleague, Manoj Bhatia, CSAP, worldwide sales and business development manager at Cisco, conveyed to the audience during their session “Accelerate Partner Sales through a Customer Success Methodology.” Then they explained how to do it. The talk took place at the recent 2017 ASAP Global Alliance Summit, “Profit, Innovation, and Value for the Part­nering Enterprise,” Feb. 28–March 2, at the San Diego Marriott Mission Valley, San Diego, California. Newton shared some thoughts from the session during an interview about his customer sales methodology.


How is the partner ecosystem changing/expanding to address new buying patterns?

From Cisco’s perspective, we are moving into lines of business where finance and marketing teams are making a lot of the decisions. It takes an ecosystem to deliver the right solution to the right customer. We need to ask how the changing ecosystem is impacting partners. We need to partner with the right people with the right technology. It’s really hard for one company to deliver the entire outcome.

Different people are making the decisions now. In the past, we would go into the IT department, find out the budget, and see how much product could be delivered. We have evolved to understanding what their pains are. To understand customers better, how can technology solve that problem? So it’s not really about selling product, it’s about selling solutions to business problems that the people in lines of business are having.

What is the role of alliance management in managing the customer?

It is good to understand what the customer is after. Ask yourself, what business problems are we solving? From an alliance management perspective, we need to put together the right ecosystem for the problem and solve the specific problem for each industry and vertical.

Please sum up your “customer success” methodology to drive an alliance to land, adopt, expand, and renew opportunities.

It’s about what the cost is to acquire a new customer. Companies spend a lot of time landing the new customer. Businesses forget to go back to that customer and find news ways to generate revenue with that customer. If you are adopting technology, you will be a lot more open. If you are helping a client build a data center, you may want to get into different lines of business to expand your sale. Also, we often don’t pay attention to sales teams, don’t focus enough on new opportunities, and we need to change our alliances to not only go after new business, but also expand together within the customer arena.

How can we measure our progress with customers?

There are some very different types of metrics we can look at. One thing I look at is the renewal rate for our support services. The industry average is about 90 percent, so if you go below 90 percent, you have an opportunity. It’s a compelling event to expand. The technology you have in your partner ecosystem will also help expand the sales and grow your footprint inside of a customer.

What are the best ways for alliance teams to lead this business transition and implement a customer success approach?

First, you really need to understand this methodology. Start looking at customers together in the same fashion. Ask how can we educate our sales teams on the ability to expand the opportunity and prepare for the renewal of the opportunity? How do we get our sales teams to think differently to engage with the customer? Look at the customer journey. Explore what they want to buy, and then evaluate it through a demonstration or something else, then the purchase, renewal opportunity, and then they can become your advocate inside the company. 

Tags:  alliance  alliance management  Cisco Systems  customer engagement  ecosystem  Jeff Newton  Manoj Bhatia  methodology  Partner Sales  technology 

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Unusual Alliance Management Project in The Netherlands Wins ASAP Alliance Excellence Award for Model that Streamlines Government Services

Posted By Cynthia B. Hanson, Thursday, March 2, 2017

There was plenty of celebration and even a few surprises at this year’s annual Alliance Excellence Awards that took place at the 2017 ASAP Global Alliance Summit, “Profit, Innovation, and Value for the Part­nering Enterprise,” Feb. 28–March 2, at the San Diego Marriott Mission Valley, San Diego, Calif. USA. One was the presentation of the Individual Alliance Excellence Award, which recognizes organizations that have instituted practices, tools, and methodologies in support of successful formation and management for a single alliance. The award was given to Loonaangifteketen-UWV-CBS-Belastingdienst for their novel alliance created between three government agencies in The Netherlands: Belastingdienst (Dutch IRA), UWV (Dutch National Social Security Administration), and CBS (Statistics Netherlands). The agencies applied a governance model that emphasized cross-agency collaboration that generates 60 percent of the Dutch government’s revenue in an easy-to-use system for pensions and social security benefits. The alliance lowered costs while increasing convenience to the citizenry with 96 percent accuracy. After the awards ceremony, I spoke with Diantha Croese, key alliance manager at Loonaangifteketen, Menno Aardewyn, business consultant at UWV, and Paul Vincken, alliance manager at Loonaangifteketen, about their experience, roles in the transition, and how they found themselves in a problem that required alliance management skills.

Diantha: The government wanted to lower administrative and implementation costs and improve convenience for citizens, such as making it easier to request information on taxes, benefits, students grants, pensions, and social security.

Menno: Additionally, there were two streams of money. One was for taxes and wages; the other was from social security. They wanted to bring the two streams together so one organization would complete the money stream.

Paul: The politicians requested the change.

Menno: It was forced on us by the government. The main idea was to make it cheaper and less complicated. But then the problems started.  It went completely wrong in the beginning because there was no attention to the alliance. Many people had to leave our organization, and there was no will to collaborate. People in different division didn’t understand each other.

Diantha: It was almost like the different divisions spoke a different language. The systems failed.  No one had the overhead view of where the risks were. Nobody saw the big picture.

Paul: We worked for two years in a big mess, from 2007-08 until 2010.

Diantha: It required problem analysis.

Menno: The analysis was very pure and prudent. The analysis was ordered by the government and made a lot of things clear.

Diantha: The analysis found we needed to do 50 procedures to get it started again.

Diantha: An independent alliance manager then stepped in and told everyone what to do. That helped bring people together, and helped us understand our role, why things weren’t working, and what we could do to get it to work.

Menno: He was an overriding authority.

Paul: He could intervene in the processes of the partner organization. That was his power. He had an extremely powerful start.

Menno: He was one of the solutions to solve the problems after the analysis.  This was normal procedure, but the alliance management tasks started after the first big meeting we had over two days with all of the key players on all the management levels of all the organization. It included the people who had all of the systems knowledge. These 40 people reorganized the thoughts they had. The old classical management instructions that are based on a hierarchical system weren’t working. We started to think completely new again on what we needed to manage with each other, and how we should do it together. So it was collaboration from the beginning.

Diantha: Each organization had someone they reported to, and they were aligned together in relationships they had not been in before.

Menno: We noticed in the analysis there were four dimensions that needed to be addressed to solve the problems: content, procedure (how it should be done), relationship needs, and cultural difference (awareness of the collaborating partners). We evaluated with surveys on how to manage the four dimensions. These diagnostics were really important to mirror what was really happening.

Diantha: We noticed some of the problems we faced couldn’t be solved between us, so we had to find other partners who could help us and create value for each other. We had been so busy with our own process, we finally had time to look around and see what other people were doing.

Paul: So we are evolving into a new ecosystem.

Menno: There are no boundaries anymore working together.

Diantha: They feel like colleagues.

Diantha: We did a lot of trust building. There are no groups anymore.

Paul: We are one.

Menno: It was really worth it also for our personal development. We changed because the organization changed.

Diantha: We have a lot of storytelling now so people can learn from our experiences.

Menno: We wrote a little book about all of our experiences and all the experiences we had with other organizations. The resulting system is transferable to any government. We mention many more alliances than just our own alliance.

Diantha: The model can be used in public or private companies. It’s all about aligning people.

Menno: But not just in knowledge, but the way we behave, the procedures, and how to respect each other.

Diantha: You have to help others to become successful, and that needs to be in the brain of every employee. It’s important that those at the top of the organization who want a collaboration practice what they preach. If that is not in order, then you have a problem. 

Tags:  alliance  alliance manager  Belastingdienst  CBS  collaboration  Diantha Croese  ecosystem  Loonaangifteketen  Management Project  Menno Aardewyn  Netherlands  partner  Paul Vincken  UWV 

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Exemplary Alliance Management Practices Receive Accolades and Honors at ASAP’s 2017 Alliance Excellence Awards Ceremony

Posted By Cynthia B. Hanson, Wednesday, March 1, 2017

The ASAP Alliance Excellence Awards ceremony is a much-awaited event at the annual ASAP Global Alliance Summit, and the 2017 gathering was no exception this year at “Profit, Innovation, and Value for the Part­nering Enterprise,” Feb. 28–March 2, at the San Diego Marriott Mission Valley, San Diego, Calif. USA. Awards were presented in four categories: Individual Alliance Excellence, Innovative Best Alliance Practice, Alliance Program Excellence, and Alliance for Corporate Social Responsibility. Two ASAP Chapter awards were also presented for Excellence in Chapter Innovation and Excellence in Chapter Programs.

 

 “It’s an important part of what we do, and this community should celebrate its successes in the alliance world,” said Michael Leonetti, president & CEO of ASAP, when introducing the finalists.

 

“Every year we get better and better nominations. This year was a really tough judging process,” explains Norma Watenpaugh, CSAP, chair of the 2017 Alliance Excellence Awards committee and founder/CEO of Phoenix Consulting Group, when discussing the selections. A member of the awards committee for 14 years, Watenpaugh led the committee through this year’s selection process.

 

Over the years, “we’ve seen the adoption of best practices, and the quality of alliance management has steadily improved and is reflected in the nominations and submissions we have seen. This year in particular, many of the nominations and key award winners looked at alliances as going beyond simple company-to-company connections. They are networks of stakeholders, customers, industry colleagues, and other industry players. It has become a very complex network of alliances, which is how alliances are evolving. They are becoming more ecosystem-centric.”

 

Of significance this year were the three strong finalists in the corporate responsibility category, whereas last year there were none. “It’s always great to see the contributions companies are making to make the world a better place,” says Watenpaugh.

 

The Individual Alliance Excellence Award is given to a company that has instituted practices, tools, and methodologies in support of successful formation and management for a single alliance. The alliance may be an emerging alliance or comprised of two or more companies. The winner is Loonaangifteketen-UWV-CBS-Belastingdienst. After this partnership of three government agencies began applying alliance management best practices, it became highly effective in the management of tax revenues in The Netherlands. Belastingdienst (Dutch IRA), UWV (Dutch National Social Security Administration), and CBS (Statistics Netherlands) applied a governance model that emphasized cross-agency collaboration versus agency competition. It resulted in a collaboration that generates 60 percent of the Dutch government’s revenue in an easy-to-use system for pensions and social security benefits. The alliance lowered costs while increasing convenience to the citizenry with 96 percent accuracy. The incorporation of ecosystem thinking helped the collaboration maintain a focus on important initiatives while building relationships across the separate departments.

 

The Innovative Best Alliance Practice Award highlights the use of new, individual alliance management tools or processes that have an immediate and powerful impact on the organization and/or discipline of alliance management. The tools or processes are additions to existing portfolios that address specific elements of alliance management, such as measurement, training, conflict resolution, general communication across the partner ecosystem, or similar facets of the discipline. The winner is NetApp. While many companies still try to manage partnering processes through spreadsheets, NetApp has invested in technology and governance of its rigorous alliance co-selling program to ensure trackable processes that produce results. The processes engage NetApp and partner representatives proactively in account mapping, account planning, and pipeline management with exemplary execution of the most difficult aspects of go-to-market alliances. They also provide detailed reports on joint co-selling activities. The company is being recognized for the dedicated resources and governance invested in the change.

 

The Alliance Program Excellence Award is presented to a single, specific company and its partnering capability, not an alliance. The company exceeds expectations with its scalable practices, tools, and methodologies to support successful formation and management of alliance portfolios over time. They are able to be applied to multiple alliances, as needed, are repeatable, and have led to consistent alliance performance across multiple alliances. Winners build programs on efficiency, creativity, and an integrated suite of tools, processes, professional development/alliance professional certification, and other elements. The winner is Equifax. In an industry where partnerships and alliances as a business model are in the beginning stages, Equifax has created internal governance structures that enable management across a highly matrixed enterprise. The program resulted in significant growth in 2015 and 2016, access to new markets, innovation, cost savings by eliminated legal expenses associated with partner disputes, and a change in culture. Equifax now views partnering as critical to success versus a resource of last resort.

 

The Alliances for Corporate Social Responsibility Award is for partnerships that make a profound, measurable, and positive social impact. The principal objective of the alliance is social impact, not profit—although profit, especially if used to fund program expansion, is not discouraged. The winner is The Synergist-Sanofi. This multiparty alliance comprised of the general public, government and health agencies, industry, and academics and healthcare professionals aims to co-creating solutions to “Break Dengue.” The ecosystem platform, information sharing, and crowd sourcing, with over 1200 member and 2200 Twitter followers, incorporates online chat, worldwide tracking of cases, and toolkits for the public that reduce the risk of infection. The Synergist framework and governance facilitates a neutral platform that encourages participation and enables partners to overcome structural or perceived ethical barriers to collaboration. The platform can be used for other diseases, such as Zika.

 

Two ASAP chapters also received awards. The Excellence in Chapter Innovation award was presented to the RTP Chapter with honorable mention for the Silicon Valley Chapter; the Excellence in Chapter Programs award was presented to the ASAP New England Chapter.

 

See the official ASAP press release announcing the winners at http://www.prweb.com/releases/2017/03/prweb14113139.htm.

Tags:  alliance  alliance management  alliance professional certification  Belastingdienst  best practices  Break Dengue  CBS  Equifax  governance  Loonaangifteketen  NetApp  Sanofi  The Synergist  UWV 

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On the Cusp of the Fourth Industrial Revolution, How Agile is Your Alliance?

Posted By Cynthia B. Hanson, Tuesday, February 28, 2017
Updated: Monday, February 27, 2017

Being brittle during a time of industry change can break a fragile allianceand even a business. Agility is key to surviving disruption, especially when a major shift is taking place to a new industrial age. Find out how your company can adapt and weather the change at the session “Agile Alliances: Catalyst for the Next Industrial Age,” as part of the 2017 Global Alliance Summit, “Profit, Innovation, and Value for the Part­nering Enterprise,” held Feb. 28-March 2 at the San Diego Marriott Mission Valley, San Diego, Calif. USA. The session will be moderated by Ann E. Trampas, CSAP, of the University of Illinois—Chicago, with panelists Anthony DeSpirito, CSAP, Schneider Electrics; Gaye Clemson, Globalinkage Consulting; Michael Young, Klick Health; Philip Sack, CSAP, Asia Collaborative Business Community. Sack provided these insights into the session during a recent interview.

How should companies prepare for the fourth industrial revolution with the increase in multi-partnering?

If we accept that the external drivers of global change are going to continue challenging organizationsslow economic growth, digital disruption, globalization, geopolitical uncertainty, speed of change, new nimble competitors, etc.then there is great pressure on organizations to become more agile, innovate, and continually adapt and change. However, this requires additional strategic thinking from previous approaches of value-chain efficiencies, market regulations (barriers to entry), improving costs management, and competitive positioning (differentiation). Success now requires greater thinking about how to continue driving new innovations, customer centricity (creating value), enhancing collaboration (external, internal), and new or adjacent market positions while simultaneously improving performance. That is no mean feat!

Why is it essential for partnerships to become more agilefaster, lighter, more flexible?

There is an increasing appetite for organizations to engage in more strategic collaboration and alliance partnerships, in part driven by the global changes affecting many organizations. Managed effectively, with appropriate support and investment, these relationships assist organizations to enhance their agility, market responsiveness, and new innovation efforts. Many organizations are looking at their strategic partners and networks of partners as a faster way of achieving these objectives rather than typical M&A (buying), or organic internal development (building). This “need to speed” implies that new collaborations and alliances focus on quickly assembling and disassembling around customer/market requirements, delivering rapid prototyping and development capabilities, and operating comfortably within complex and ambiguous situations.

How can alliance managers make their collaborations more agile and successful?

A good place to start would be to review existing collaborations and strategic alliances and how they support achieving these objectives, i.e., new innovations, co-creation capability, improving customer centricity, new products and service solutions, and incremental go-to-market approaches. This open dialogue provides an opportunity to review the original focus and strategic intent of the alliance, what is now required, and where the next evolution of the relationship needs to take place. However creating new alliance relationships that support these new strategic imperatives will involve taking a slightly different approach. Given that these strategic imperatives address significant challenges facing the organization, a firm-wide approach is required for success. The alliance management function has a natural orientation towards strategy, firm-wide thinking, facilitation, collaboration, and ecosystem orchestration. Hence, it should be in the perfect position to lead efforts to create cross-functional teams that would focus on creating, supporting, and delivering to these imperatives. These teams would include members from executive, strategy, research and development, marketing, and human resources and have a strong focus on entrepreneurial action and creation—in effect, a start-up way of thinking within the organization.

 
Is there anything specific to Asia that you think readers might want to know to improve their alliances with Asian companies?

Similar large-scale issues and challenges are being addressed by organizations across Asia as they are worldwide. Engaging within this area is quite exciting and challenging and should be done in a considered and measured approach. There certainly is a strong emphasis on relationships, a natural entrepreneurial spirit, and orientation to deal making. This requires addressing opportunities and making alliances aware of the various local and cultural contexts. This often takes quite some time to evolve. The key message is to do some research, find some local support, and be patient.

Tags:  alliance  alliance partnerships  Ann E. Trampas  Anthony DeSpirito  collaborations  cross-functional teams  cultural  ecosystem orchestration  Gaye Clemson  innovation  Michael Young  network  partners  Philip Sack 

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