| Greetings!
A number of companies practicing external innovation claim to aspire to the designation of "partner of choice". Earning and retaining this title requires them to consistently demonstrate some important behaviors...that I'm not convinced are as yet universally ingrained in corporate DNA.
Sound interesting? Read on, dear friends.... |
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External Innovation "Partner of Choice"
One of my colleagues, Ben DuPont (President and co-founder of Yet2.com) has nicely articulated some of the characteristics of an external innovation "partner of choice". Among these, he lists:
1) That they are responsive - that they say 'yes' or 'no' in a timely fashion.
2) That they are fair in negotiations - this means leaving 'good will' on the table after negotiations are complete.
3) That they share information about why the technology does not work.
While all of these are important, I will touch on the 1st point that Ben cites above. I will cover the other points in subsequent newsletters.
Prospective technology providers are eager to interact with technology seekers. In particular, they seek feedback on the status of their fledgling relationship...especially in instances when they have been approached by the technology seeker, and not vice versa.
Unfortunately, technology seekers can often become consumed by their efforts to manage what can often be a considerable number of technology submissions. They can become challenged to keep up with a backlog of applications/submissions while still tending to their other work obligations. While they do recognize a need to respond to individual providers, they can become less attuned to the importance of managing human needs and expectations. Instead, they are more concerned with their broader administrative responsibilities. As a result communications can be sporadic, impersonal and not especially informative. For example, no company should ever communicate to a prospective technology provider: "We'll get back to you if we're interested".
Because of this, I feel that every company that elects to practice external innovation should approach its dealings with external technology providers from the perspective of a relationship manager, as well as a program administrator. They should seek to own the responsibility for ensuring that each and every prospective partner is dealt with respectfully, constructively and in a timely fashion. This includes taking action, to communicate directly and candidly, and where possible, not relying strictly on form letters to do their talking for them.
A number of companies have developed a relationship oriented mindset. In particular, I have been impressed with Steve Goers (Kraft) , and Kevin McFarthing, (formerly of Reckitt Benckiser in the U.K.). Procter and Gamble has shown a good deal of improvement in this area. This is noteworthy in view of the scale of their Connect and Develop operation, wherein they literally handle thousands of unsolicited submissions. While still not perfect, I am seeing greater consistency and improvement in their approach. Props in particular to External Business Development group's Debbie Grossblatt whose performance is especially noteworthy.
Companies should realize (if they don't already) that speaking about being partner-of-choice needs to be supported by actions consistent with this title. Otherwise, the statement rings hollow, people will notice the inconsistency...and a different, less flattering reputation will emerge. Active and empathetic relationship management, including management of response cycle time is an essential ingredient in this mix. |
