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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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NOT ‘Business as Usual:’ What the BioPharma Channel Can Glean From High Tech

Posted By Cynthia B. Hanson, Monday, October 16, 2017
Updated: Sunday, October 15, 2017

Partnering isn’t “business as usual” anymore. “Even companies that think they have their practices down are all reinventing what they are doing now because they have to deal with … the increasing speed, scale, and scope of partnering that has become exponentially greater,” emphasized Jan Twombly, CSAP, The Rhythm of Business, Inc., during her session “The BioPharma Channel: Leveraging Practices from the High-Tech World to Drive Success.” Twombly was presenting at the 2017 ASAP BioPharma Conference, “Accelerating Life Science Collaborations: Better Partnering, Better Outcomes,” held Sept. 13-15 at the Royal Sonesta Boston, Cambridge, Mass.

“The high tech channel has learned that you are not going to be successful if your channel partners aren’t successful. … You need customized partners to provide local market access. High tech needs new partners because it needs vertical and technical specialization. Some companies do this better than others,” she added. For example, Cisco generates 85 percent of revenues by channel partners. That’s exceptional, considering that the industry average is 39 percent.

The channel is a route to market that is accessed either by communication avenues, a direct sale force, or co-commercializing a product with a partner. It’s about delivering on intended value in a resource-friendly way, she added.  Biopharma usually doesn’t consider the channel as key to growth. Yet market growth trends and future projections from BMI Research indicate that unmet patient needs and the significant growth potential of emerging markets provide significant reason for pursuing a channel strategy, Twombly said, while flashing past market size data and future size projections:

2010: $150 billion
2015: $245 billion
2020: $340 billion
2025: $490 billion

High-tech channel partners are not seeking more automation, Twombly observed.  What they are looking for is:

  • More engagement with field engineers and local sales personnel
  • Greater understanding of corporate priorities
  • Joint planning on strategic opportunities
  • Better understanding of their partners’ strategies and plans
  • More proactive communications, support, and relationship management

So what can the biopharma industry learn from high tech’s successes with channel partnering? Twombly asked.

  1. Take a portfolio approach: Place bets carefully, and manage it as a portfolio from low-touch to high-touch.
  2. Carefully manage the transitions, and ensure partner (and stakeholder) readiness.
  3. Maintain robust measurements, reporting, and action from a 360-degree perspective. We are becoming very data driven.
  4. Make it part of the fabric of the organization from end to end: Bake it in, don’t bolt it on. You need to have a strategy, and the partnering needs to be integrated into various functions of your company.

That’s critical to the entire process, she emphasized:  “Baking it in. … We like using a stakeholder management model. In many instances, you will not have dedicated people. You need to understand the economics; have good reporting and data collection that are able to be monitored; focus on closing the gap between current practice and what stakeholders need to profitably support the channel partners. That is how you will demonstrate value,” she advised.

“Governance is sometimes not in place,” she added. “You want simpler governance because of the nature of the relationships, but still need to have executive and operations levels to formal governance. Make sure you have the right participants engaged, set expectations, and have proper alignment and meetings. Make them good, formal meetings, but create an environment people will want to attend. The quarterly business reviews in high tech are typically all one way. If you really want to build that relationship so the partner can help you with market access and driving the business, you need to make it a two-way meeting.”

Consider conducting partner summits, she concluded. In the high tech world, they are a staple for building relationships by helping partners learn what’s new and where company strategies are headed. Summits provide an opportunity to have all your partners together to learn about common challenges.

ASAP Members can learn more about this provocative and well-attended ASAP BioPharma Conference session in the September 2017 issue of eSAM Plus.

Tags:  alignment  ASAP BioPharma Conference  BMI Research  channel partners  channels  governance  high tech  Jan Twombly  partners  portfolio approach  stakeholder  summits  The Rhythm of Business 

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Collaborating at Digital Transformation Speed: Report from the ASAP Tech Partner Forum, Part One

Posted By John W. DeWitt, Monday, June 12, 2017

ASAP Media Managing Editor Cynthia B. Hanson and I caught up with leading ASAP members from the ASAP Silicon Valley Chapter—and one from the ASAP Midwest Chapter—in an 8 a.m. Pacific debriefing the morning after the inaugural ASAP Tech Partner Forum in Santa Clara, Calif. Despite the early hour, triumph and excitement remained palpable on the conference call as the group of executives described the fruits of more than six months spent planning the event in conjunction with ASAP staff executive Diane Lemkin.

“It was pretty amazing. It all came together. I can’t believe it actually all happened after all that effort,” enthused Erna Arnesen, CSAP, chief channel and alliance officer at ZL Technologies. “Seventy-four people showed up. A few people registered right at the end. One guy signed up that morning—he came from Tahoe. The group of people was very diverse, coming from across Silicon Valley from most of the leading companies and from startups, so there was a very wide swath of companies represented.” Also, she added, “It was a good cross-section of ASAP members and nonmembers.”

Leading tech companies represented included Cisco, NetApp, Intel, SAP, GE Digital, VMWare, Citrix, Splunk, Oracle, ServiceNow, Cognizant, Microsoft, and Xerox. Aside from Silicon Valley, attendees came from San Francisco and points across the Bay Area. “We had quite a few people from Southern California,” noted Norma Watenpaugh, CSAP, principal of Phoenix Consulting Group. Her Phoenix Consulting colleague Ann Trampas, CSAP, flew in from Chicago where she also is a professor at the University of Illinois at Chicago. Trampas chimed in, “We also had folks from Scottsdale, and someone came down from Seattle from JDA Software” to join several other JDA colleagues, “there were several execs from Hitachi Data Systems, including one from Minnesota, and we had several people fly in from the East Coast,” she added.

“From the perspective of an attendee, the quality of the program was exceptional,” Trampas said. “It was right up there with the quality of ASAP Global Alliance Summit presentations, but in a more intimate environment allowing you more access to those speakers. So I was blown away by the program.”

“A lot of attendees said they liked the intimate grouping, the roundtables, that the room was ‘comfortably full,’” Watenpaugh said. “And by staying with the high-tech focus for the entire event, they felt the topics were targeted and addressed issues that participants had really dealt with in their companies. It was not a generic ‘this is how you do metrics,’ but rather, ‘this is how you work in high-tech partnering in the context of digital transformation.’”

After the welcome, host sponsor NVIDIA kicked off the ASAP Tech Partner Forum with what our group of reviewers described as an impressively relevant and “buttoned-up” presentation by John Fanelli, product vice president for NVIDIA GRID, and Olimpio DeMarco, director of strategic alliances for manufacturing & Architecture, Engineering, and Construction (AEC) industries for NVIDIA, a maker of graphics processing units (GPUs) that is evolving beyond its roots in making graphics processor boards for gaming. Beyond gaming, the company is developing technologies that venture into the real world and virtually real world: supercomputing, artificial intelligence, and deep learning, Watenpaugh said.

“John Fanelli and Olimpio DeMarco really set the tone for the rest of the day—it was really good,” commented Greg Burge, a consultant and former San Mateo County alliance executive with a long history at IBM who is the immediate past president of the ASAP Silicon Valley Chapter. NVIDIA developed CUDA—which stands for Compute Unified Device Architecture—as the company’s programming interface and software architecture framework for writing to a GPU. “They described how this software programming model has affected NVIDIA’s approach to its partner ecosystem—anytime you bring in software development, it changes the way you partner,” Burge noted.

“It was really great for the host to kick off the event that way,” agreed Watenpaugh. “What I thought was fascinating is that NVIDIA has a lot of alliances with car companies around self-driving cars and artificial intelligence. Fanelli talked about both Toyota and Honda as partners.”

The highly engaged audience asked good questions, Watenpaugh noted. “One interesting question was around NVIDIA GRID—an ecosystem of five partners built to virtualize 10,000 desktop computers for Honda. ‘How do you manage that kind of constellation alliance?’”

Another participant asked the NVIDIA execs, “’What about the services required for all the complex technologies and complex ecosystem engagements you’re involved in,’” Arnesen recalled. “John Fanelli was very impressive in outlining his products, channels and alliances, but admitted that NVIDIA is just getting going building out services” and services partnerships.

“The last thing that they talked about was speed-of-light culture, or SOL culture,” Arnesen continued. At NVIDIA, “alliances are not centralized—the company has a distributed strategy and model. Olimpio DeMarco has his own alliance people that manage these different types of partners, but Fanelli said, ‘We want to be fast and nimble and agile, so we manage them as we need them for our businesses.’”

Check out the ASAP Blog for our previous articles and forthcoming ASAP Media coverage of the June 7, 2017 ASAP Tech Partner Forum in Santa Clara, Calif., hosted by NVIDIA, at www.strategic-alliances.org

Tags:  alliances  Ann Trampas  ASAP Tech Partner Forum  channels  Cisco  Citrix  Cognizant  CUDA  Erna Arnesen  GE Digital  GPU  Greg Burge  Intel  John Fanelli  Microsoft  NetApp  Norma Watenpaugh  NVIDIA  NVIDIA GRID  Olimpio DeMarco  Oracle  partner ecosystem  partners  SAP  ServiceNow  SOL culture  Splunk  VMWare  Xerox 

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Can Partnering Keep Pace with the Speed of Digital Transformation? Salesforce’s Tiffani Bova, GE’s Karen Dougherty, NVIDIA’s John Fanelli and Others Tackle Seminal Topics at ASAP Tech Partner Forum

Posted By John W. DeWitt, Thursday, April 27, 2017

Remember the halcyon days when alliance management just meant making big one-to-one partnerships run smoothly? Remember when the channel just took your awesome products and pushed ‘em out by the thousands? Remember when your CEO wasn’t so concerned about the success of your alliances, channel program, and collaboration in general?  

Things change—in an eye-blink. While the fundamentals still matter very much, any tech veteran will tell you it’s a new game in technology partnering, whether they’re in strategic alliances, channel management, or other roles. Customers rule, ecosystems proliferate, silos get crossed (or crushed), competition (and collaboration) can emerge from anywhere, and no one goes it alone or with just one-to-one partners.

Tech partnering executives—both veterans and those newer in the role—now have a learning event of their own focused on what it takes today to succeed in tech partnering. Wednesday, June 7 will see the debut  of the ASAP Tech Partner Forum, “Collaborate at the Speed of Digital Transformation,” a one-day executive learning event to be held Wednesday, June 7, 2017 in Santa Clara, Calif., at the corporate campus of gaming video graphics processing leader NVIDIA.

Headlining the event are several featured speakers, including:

  • Karen Dougherty, vice president of channel and alliances at GE Digital
  • John Fanelli, vice president, product at NVIDIA Grid
  • Tiffani Bova, global customer growth and innovation evangelist at Salesforce

You may have caught Bova at the ASAP Global Alliance Summit in San Diego back in March. She’s a widely respected former Gartner analyst and popular keynoter. In San Diego, Bova challenged the audience to recognize how in the business-to-business world “customers’ and partners’ expectations are changing” thanks to technologies we previously considered relevant only in the business-to-consumer world. 

“How many of you took a training class to know how to buy from Amazon?” she asked to knowing chuckles from the crowd. “Yet when we show up to work we have a very different relationship with technology. We need to learn from B2C because it’s bleeding into B2B. I’m talking about the experience we all have as consumers.”

Bova won’t be the only provocative speaker on June 7 in Santa Clara.

“Prepare to think hard and have your conventional wisdom challenged,” promised ASAP’s President and CEO Michael Leonetti, CSAP, in a press release issued this week http://www.prweb.com/releases/2017/04/prweb14275335.htm. The ASAP Tech Partner Forum “brings together an all-star cast of presenters offering an eye-opening look at what it really takes to succeed when you collaborate at the breathtaking speed of digital transformation—which is sweeping every industry touched by new technologies, and disrupts no industry more so than high tech itself,” Leonetti added. 

Bova, Fanelli, and Dougherty will be joined on stage by other high-tech partnering executives and experts including Andres Sintes of Cisco, Jim Chow of Google, Maria Olson of NetApp, Olimpio DeMarco of NVIDIA, Mike Maturo of Relayware, Meaghan Sullivan of SAP, Brooke Cunningham of Splunk, and Gaye Clemson of Globalinkage Consulting.

The June 7, 2017 ASAP Tech Partner Forum will include five hours of in-depth executive learning content and three hours of networking. Continental breakfast, a networking lunch and reception, and two networking breaks are included in the cost of the event ($299 for ASAP Members, $399 for guests). Host Sponsor of the ASAP Tech Partner Forum is NVIDIA; the event will be at NVIDIA Corporate Headquarters, 2800 Scott Blvd., Building E, Santa Clara, Calif. Additional sponsors include Gold Sponsor SMART Partnering Alliance and Silver Sponsor BeyondTrust.

Read this week’s full press release at http://www.prweb.com/releases/2017/04/prweb14275335.htm. For additional information and to register for the ASAP Tech Partner Forum, visit www.asaptechforum.org

Tags:  allainces  ASAP Tech Partner Forum  B2B  B2C  BeyondTrust  channels  collaborating  Digital Transformation  GE Digital  High-Tech Partnering  John Fanelli  Karen Dougherty  NVIDIA  Salesforce  SMART Partnering  Tiffani Bova 

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