Managing Strategic Alliances and Partnerships

1
Managing Strategic Alliances and Partnerships

• Dr. Kathleen McGroddy-Goetz, Managing Principal,
  IBM Engineering and Technology Services

2
The Importance of Alliances Partnerships

• Opportunity for mutual success
• Penetrate new market
• Customer access
• Credibility
• Enhance offering
• Adjunctive technology
• Ability to influence
• Standards
• Define new market

3
Challenges

• Preconceived notions
• Putting each other in a box
• Cultural clashes
• Navigating internally
• One throat to choke
• Credibility in the marketplace
• Are you here to stay?
• Threat of competition
• By partner
• With other potential partners

4
Planning for Success

• Start the relationship
• Find synergies, common goals, and differentiating
  value
• Gain executive support with key influencers
• Be persistent
• Manage the relationship
• Ownership
• Define roles and responsibilities
• Communication build trust
• Grow the relationship
• Highlight early successes
• Constantly look for new mutual opportunities
• Make it personal

5
Long term relationships
Medtronic, Inc.

• The Challenge
• Medtronic required a platform to communicate with
  its line of programmable cardiac pacemakers
• The customer selected IBM because of our advanced
  skills and technology base
• The Solution
• Access to IBM expertise and technologies
• IBM's ability to supply components at a very cost
  competitive price

• IBM Value PropositionSystem Integration
• ThinkPad technology as a motherboard reference
  design
• Custom-designed medical-grade power supply
• IBM custom-designed pen and touch screen system
• 15-inch LCD display
• Thermal chart recorder in a magnesium case
• Customer Benefits
• Ease of use
• Increased market share
• Allowed customer to focus on their core business

Medtronic, Inc. Cardiac Pacemaker Programmer
6
Sharing common goals
7
Unique value that differentiates
"The stunning deal between IBM and the University
of Pittsburgh Medical Center is not only a
landmark for those two organizations but a new
standard for the type of forward-looking,
precedent-setting relationship that should begin
to characterize the new ways the IT customers and
vendors regard each other, " says Bob Evans,
editorial director, InformationWeek.