Managing Alliances for Business Results

Jeff Weiss, Sara Keen and Stuart Kliman

As the number of alliances that companies enter grows, an increasingly significant percentage of market value can be attributable to alliances. However, many companies are investing heavily in alliances without an understanding of how to effectively build and manage them. As a result companies are hemorrhaging value. This report gets to the root of what companies need to do to manage their alliances in a more effective, systematic, and consistent way.

Some key findings:

  • Companies are increasingly entering into alliances to meet strategic objectives
  • An enormous amount of value is at stake in alliances
  • The majority of alliances fail
  • An alliance with a strong working relationship can generate five times as much financial value as one with a poor working relationship
  • Alliances frequently fail because the partners cannot collaborate effectively
  • Companies are beginning to implement the Ten Identified Key Corporate Capabilities but few have fully institutionalized them
  • Companies that have implemented the Ten Identified Capabilities have more successful alliances
  • The Ten Key Corporate Capabilities also help in capturing alliance value