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We're in this together.

Douglas M Lambert1, A Michael Knemeyer

  • 1Fisher College of Business, Ohio State University College of Business, Columbus, USA. lambert.119@osu.edu

Harvard Business Review
|December 21, 2004
PubMed
Summary
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The partnership model helps companies align expectations and commitment for successful supply chain collaborations. This tool ensures partnerships are justified and prevents costly failures due to mismatched goals.

Area of Science:

  • Business Strategy
  • Supply Chain Management

Background:

  • Supply chain partnerships require careful management to overcome initial misgivings and ensure success.
  • Mismatched expectations can lead to failed business relationships and resource wastage.

Purpose of the Study:

  • To introduce and explain the "partnership model" as a tool for establishing effective supply chain partnerships.
  • To guide managers in aligning expectations, determining appropriate partnering levels, and measuring outcomes.

Main Methods:

  • The partnership model, developed from Global Supply Chain Forum experiences, provides a structured process for evaluating and implementing business relationships.
  • It involves a day-and-a-half session to clarify partnership drivers, identify facilitating conditions, and define implementation activities.

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Main Results:

  • The model effectively aligns expectations and commitment, fostering mutual understanding crucial for successful partnerships.
  • It has been successfully applied by companies like Wendy's, Tyson Foods, and Colgate-Palmolive to determine appropriate partnership levels and achieve strategic goals.

Conclusions:

  • The partnership model is a valuable tool for ensuring that supply chain collaborations are justified and set up for success.
  • It helps prevent failed partnerships by proactively addressing potential issues and clarifying the viability of proposed business relationships.