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Huawei’s Strategy for Partnering Success (Part One): Tapping into the ASAP Community’s Best Practices, Professional Development, and Tools

Posted By Genevieve Fraser, Monday, March 5, 2018
Updated: Saturday, March 3, 2018

Decades before Greg Fox, CSAP, assumed his current position as vice president of strategic alliances at Huawei Technologies, headquartered in Shenzhen, Guangdong, China, he held senior strategy, channels, sales, alliance management, marketing, product management, and business development positions at Citrix, Cisco, Novell, and HPE. For the past two years, Fox has lead Huawei’s efforts to build information and communications technologies (ICT) industry-leading alliance management competencies and global partnering capabilities. Today, Huawei Technologies is the largest telecommunications equipment manufacturer in the world.

 

“Having a strategic alliance background has provided a competitive edge with prospective partners. In fact, strategic alliances are quickly becoming a core part of the Huawei culture and an embedded part of our business strategy,” Fox stated.

 

“And with Huawei’s global market leadership in key markets involving carrier, consumer, enterprise and now cloud, many companies want to do business with us for mutual business advantage. It is a nice problem to have, but that makes it ever more important that we do partnerships the right way, and we set them up for the long-term,” he explained.

 

Given the magnitude and scope of their current level of partnerships, Huawei has developed a tier-one companywide process called Manage Alliance Relationship (MAR) that focuses exclusively on managing the alliance relationship process. This includes traditional 1:1 alliances, as well as managing one to many and many to many partnerships.

 

As Huawei has adopted many of ASAP’s best practices and tools for partner evaluation, recruitment, and on-boarding, the alliance management organization has created many templates within the MAR process. These templates and tools are actively used in every current or prospective strategic partnership and have afforded Huawei a competitive edge in cultivating its growing portfolio of partnerships.

 

“We have a straightforward approach outlined by a five-step process to executing mutually profitable partnerships and as we follow this, we feel that we can improve the odds of success and ensure that all parties profit,” Fox said.

 

“The first step involves partners agreeing on a common set of objectives and a strategy for achieving them and being clear on what all sides get from the alliance. Next, partners must write out a business plan, including determining who is our customer, why will they buy from us, and what is our expected ROI [return on investment]. Third, partners must install governance structures that assign key responsibilities, clarifying who is responsible for what, and which has an identified sponsor who is senior enough to mobilize resources and change course if things go off track,” he said.

 

“Step four involves creating proper incentives for both the direct sales force and indirect channel, with compensation designed to get all parties to make the alliance a priority. And finally, every partnership should be flexible, and alliances must be reviewed quarterly to help leaders respond to changing business conditions,” Fox explained.

 

The five steps are not performed once and then set aside. Instead they are done in an iterative loop, where processes are refined, and targets regularly adjusted as needed, based on every changing competitive environment.

 

To learn more about Huawei’s partnering efforts, see Part Two of this blog as well as Genevieve Fraser’s Member Spotlight in the Q4 2017 issue of Strategic Alliance Magazine. Greg Fox also co-presented, with Andrew Yeomans, CSAP, of Merck Serono, the January 18, 2018 ASAP Netcast webinar “Building the Engines of Collaboration Inside and Beyond the Borders of Mainland China.”

Tags:  alliance management  business development  channels  Cisco  Citrix  cloud  governance structures  Greg Fox  HPE  Huawei Technologies  manage alliance relationship  marketing  Novell  partnerships  product management  sales  strategic alliances  strategy 

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Fall 2016 SAM: New Frontiers in Academic Alliances; Interview with a Star Trek Writer and Gaming Professor; the Need to Think ‘Bigger than your Biggest Partner;’ and Much More!

Posted By Cynthia B. Hanson, Tuesday, December 20, 2016

The Fall Strategic Alliance Magazine delves into several new frontiers in alliance management. This issue stretches both imagination and potential with a cover story on academic partnering, “Bringing Academia aboard the Enterprise.” The article explores the history of invention in academia and then shifts to the driving forces today that are making academia an increasingly desirable partner, and how to maximize the potential.

 

Readers are also treated to an interview with Professor Lee Sheldon, a former writer for “Star Trek: The Next Generation” and several other well-known Hollywood television series, on creating collaboratively.  Now a professor of practice in interactive media and game development at Worcester Polytechnic Institute in Worcester, Massachusetts, Sheldon believes that “bad teams are the ones that cannot communicate and can’t get past their position.”  The better teams “communicate and understand and respect the positions of others outside of their own areas of expertise,” and every challenge can be met by a game.

 

This issue’s Collaborative Buzz highlights innovative partnering and provides a peek into the topic for next spring’s 2017 Global Alliances Summit, “From Science Fiction to Reality,” by Illumina Innovator Alex Dickinson.

 

In his Up Front column “Gaining a Global Perspective,” ASAP CEO Michael Leonetti, CSAP, emphasizes the importance of a global perspective so essential today for alliance managers as he reflects on the programming from the recent ASAP European Alliance Summit. The “diversity of nations and industries,” and nearly double the attendance, provide a launching pad for his thoughts on how to lead with a winning formula: “Think bigger than your biggest partner—and communicate the value on that level,” he writes. Leonetti also integrates some ideas from the recent leadership forum at the 2016 ASAP Biopharma Conference. Speaking of which, there’s a recap is this issue of the conference that covers the wide range of interactive sessions and dynamic participants this year.

 

Dip into the “Your Career” column for some practical insight from by Eric Rosenson, senior vice president of talent acquisition at Ruderfer & Associates, and Greg Flanagan, president and founder of Emerging Healthcare Partners. John DeWitt writes about how these two search professionals challenge, enlighten, and provoke alliance executives “out of any complacency they might have about career advancement” as well as discussed valuable topics such as “transferrable skillsets—negotiation skills, knowledge of partnership from a business development and sales organization perspec­tive, and other capabilities that are commonly sought in alliance managers.”

 

The Member Spotlight shines on cybersecurity corporate member BeyondTrust in Genevieve Fraser’s interview with Joe Schramm, vice president of strategic alliances. Keys to successful partnering include treating the “partner’s win as sacred,” says Schramm in an interview that looks at the major areas of competition in cybersecurity and how strategic alliances accelerate growth and provide leverage, among other things.

 

Eli Lilly and Company is offering from its alliance management and business training kitchen another recipe for success. Their editorial supplement instructs on how to enhance the flavor and value of an alliance “tossed salad” by adding lean six sigma to improve methodologies, speed, and quality while reducing costs.

 

Finally, The Close explores the relationship between discovery and progress, and highlights an alliance between MedImmune and Johns Hopkins that has resulted in an innovative program that could provide a role model for industry. The program enlists the young minds of millennials “so eager to engage in finding the next great breakthrough for society,” writes Cynthia B. Hanson. “Many millennials are waiting in the wings for the opportunity to engage in discovery provided by a well-designed industry-academic program. It’s well worth considering as part of your overall alliance management strategy,” she points out.

Tags:  2016 ASAP BioPharma Conference  Academic Alliances  accelerate growth  alliances  ASAP European Alliance Summit  BeyondTrust  business development  Eli Lilly and Company  Illumina  industry-academic  Joe Schramm  Johns Hopkins  methodologies  MidImmune  millennials  negotiation skills  Partner  partners  partnership 

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Mayoly Spindler’s Stéphane Thiroloix: More on What CEOs Expect from Alliance Management

Posted By John W. DeWitt, Friday, September 9, 2016

Yesterday, Mayoly Spindler’s CEO Stéphane Thiroloix kicked off the opening plenary of the 2016 ASAP BioPharma Conference. His hour-long presentation and Q&A discussion riveted attendees and teed up key themes for the remainder of the three-day event at the Revere Hotel Boston Common, which was attended by more than 150 life sciences and healthcare partnering executives from around the world. A perennial topic of discussion among alliance execs, regardless of industry, has been how to make what alliance executives do top-of-mind in the C-suite—and how to educate and influence senior executives on how better to leverage alliance management to support the company’s strategic goals. Thiroloix’s talk resonated—because he truly “gets” alliance management and how it fits into an organization. 

Thiroloix has pushed to expand the role of alliance management in Mayoly Spindler, which focuses on gastroenterology and dermocosmetics—so he’s a fan of alliance management and argues that it now plays “a central role in what we do in the healthcare industry.” He’s also crystal clear on what he expects from alliance executives—and what he doesn’t want. I talked to several veteran chief alliance officers who described it as perhaps the best presentation they’ve heard at an ASAP conference, and as I’m writing this blog during the closing session of the conference, attendees are still exclaiming the value of this session for them. 

Check out our earlier coverage of his plenary talk as well as my colleague Cynthia B. Hanson’s strikingly thoughtful Q&A blog post with Thiroloix in August. And here are more nuggets of insight Thiroloix offered during his session: 

  • Align with C-suite processes. “Use the C-suite’s governance [process]. If you can fit your into the normal C-suite governance agenda, it’s better. Be part of the monthly meeting, versus scheduling an alliance meeting the C-suite.”
  • Repeat, repeat, repeat. “Alliances are complex. The rest of my life is also, so don’t expect me to memorize, remind me again, even if it feels incredibly basic. I will stop you if I don’t need more information.”
  • Be specific and don’t assume knowledge. “Whenever you talk about a partner, be ultra-specific. When [my alliance manger] Fabienne Pioch-Laval talks to me about a partner, I don’t hear the first sentence. I’m thinking about, ‘this is the one with the product coming out 2021.’ You have the full picture, but I don’t. Don’t assume that [senior executives] know the specifics. Keep telling me what, why, what for, and how.” 
  • No surprises. “Your role is to anticipate, to manage changes that come from the outside, and from the partner, which is perceived to be outside the company. But make sure [communicating these changes] doesn’t happen in groups. Make sure executive team members know in advance that this is coming up—working the meeting before it happens. The best way to do that is to get their teams to understand, make their teams look good, make sure they convey to their bosses [the information they need]. Help them help you—the C-suite can create interpersonal goodwill.”
  • Give timely support that builds partner. “There are a couple of companies where I have to make myself visit, but if something goes wrong, I don’t know how much I would want to fix it” because of the poor nature of the relationship. “And there are companies that even if something goes wrong, I still want to work with them. Try to find opportunities for senior executives to be in a positive relationship with each other. Make sure your CEO or head of R&D makes that phone call of congratulations for your partner’s success. Write me that message that I can email onto the partner—so that when there’s a bit of turmoil they’ll do the same,” and have the same goodwill towards your company.
  • Don’t bring the CEO your gripes about BD. “One thing that I really don’t want to do is to sort out issues between business development and alliance management. One of the functions where you can step on toes is business development. But you guys can work it out. I don’t want to be involved—I’m just being honest with you.” 
  • Bring your partnering magic to C-suite executives’ teams. “At the end of the day, it’s a function, it’s a set of technical skills, a 360-degree understanding, but there’s an art, an element of humanity, interpersonal dynamics, an element of human magic. I want to see you spending a lot more time with the teams of the C-suite members, so they are informed by their teams. Collaborating in governance just works better naturally—so this is really the key message.”

Tags:  alliance manager  business development  CEO  chief alliance officers  C-suite  executives  Mayoly Spindler  partner  R&D  Stéphane Thiroloix 

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Ben Gomes-Casseres and the Bayer Team Return to the 2016 ASAP BioPharma Conference with an Interactive Roundtable on Creating Alliance Success

Posted By Cynthia B. Hanson, Tuesday, September 6, 2016

One session at last year’s ASAP BioPharma Conference was such a success that Ben Gomes-Casseres, CSAP, DBA, and the Bayer HealthCare team are returning with the same theme in a new interactive roundtable format. Their deep dive on “Making Better Alliances: How Alliance Management, Business Development, and Legal Can Collaborate More Effectively” will delve into how to successful integrate alliance management, business development, and the legal division to improve alliance success rates.  They return to the stage for this year’s ASAP BioPharma Conference Sept. 7-9 “New Faces, Unexpected Places in Partnering: The Foresight to Lead, the Foundation to Succeed” at the Revere Hotel, Boston Common, Boston.

 

An alliance strategy consultant, professor at Brandeis University in Waltham, Mass., and author, Gomes-Casseres will be moderating the session with Bayer award-winning cross-functional team of John A. Calvo, Karen Denton, CA-AM, and Claudia Karnbach problem-solving an alliance management case. Attendees will be participants, too, tackling tricky alliance scenarios with best practices through dynamic peer-to-peer exchanges. I asked Gomes-Casseres a few questions about the impetus for the session.

 

What are the most common reasons for the high failure rate of alliances?

As a community, we have made great strides in alliance management, but we have been myopic. We need to broaden our view so that we can see more clearly the faults in alliance strategy and design that frequently lead to dissolution.

The reason half of all alliances fail can be largely attributed to poor up-front design, which includes: 

  • Choosing the wrong partner
  • Deciding to partner for the wrong reasons
  • Flawed contract terms

Part of the problem is that alliance management is left out of the early decision process. Part of it also is that alliance management, business development, and legal speak different languages and concerns. Making a robust alliance requires effective collaboration between business development, legal, and alliance management. However, this aspect of internal collaboration often receives less attention from alliance managers than the work they perform after the deal is “done.” That’s one component in critical need of change to improve the success rate.

What solutions will you and the Bayer panel be recommending in your session? 

At the 2015 BioPharma Conference last year, I held a session with Bayer Healthcare executives from alliance management, business development, and the legal division that focused on four areas: 

  • How Bayer’s does the “Deal to Alliance” process, which is a way of describing how to pay attention to both alliance strategy and management
  • The importance of involving alliance management early on in the deal
  • The contributions alliance management makes to negotiation and contract terms
  • How combining these elements builds more robust alliances

This year, I invited the same team that provided a session at the BioPharma Conference last year to come back and work in an interactive continuation of that session with participants. We plan to quickly rehash what was covered last year and then do a deep dive into fresh and innovative approaches. We plan to share a case study and explore in open discussion how to solve it. In the process, participants will learn how alliance management can contribute to business development and contracting and the best way to bring the D2A process back to their own companies.

 What is your goal of the session for participants?

 The goal is simple but essential to having a solid alliance. We want to:

  • Make more robust and quicker alliances
  • Resolve the differences of perspective among functions in alliance design
  • Broaden the role of alliance management in the organization

How does your new book Remix Strategy: The Three Laws of Business Combinations, published by Harvard Business Review Press, promote some of these ideas?

 Remix Strategy provides the tools to fix this problem. The solution lies in designing alliances so that they can be governed effectively to create value. I call it the “Deal to Alliance” process, which means paying attention to both alliance strategy and management. For a healthy alliance, it’s critical to integrate the process of designing and implementing alliances along their full lifecycle.

Tags:  alliance management  alliances  ASAP BioPharma Conference  Bayer HealthCare  Ben Gomes-Casseres  business development  Claudia Karnbach  collaboration  John A. Calvo  Karen Denton  Keywords: Remix Strategy  management  patner  strategy 

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