ABSTRACT
Collaborative relationship should have a clear understanding of the Business Value Proposition (BVP) created by the alliance, but this is by no means universally common. In many cases organisations collaborate because of a perception that each is a powerful player in a particular business sector, therefore getting together must be a good thing. This chapter explains case study of IBM and Siemens in Germany. Most organizations have no more than half a dozen truly strategic alliances. However, these strategic alliance relationships deliver payback levels of a quite staggering scope and scale. Alliance measurement systems need to reflect complementary and/or diverse dimensions in which the strategic elements are balanced by operational considerations, and the commercial value and desire to make money are balanced by the cultural elements. Although the Cultural dimension is not entirely at odds with Commercial dimension, it is often felt that one can either have a good commercial return or a good relationship, but one cannot have both.
