In this article, the authors tested a method to transform traditional customer / supplier relationships in higher-level cooperation. It begins with the administration of the driver, not the results of the business relationship. Instead of the traditional procurement approach of lowering costs and fierce negotiations, the company would do better to find a few key partners – their so-called Pair of Aces – and then focus on the management of the network of interactions between them, addressing perception pr .. . Read more »

In this article, the authors tested a method to transform traditional customer / supplier relationships in higher-level cooperation. It begins with the administration of the driver, not the results of the business relationship. Instead of the traditional procurement approach of lowering costs and fierce negotiations, the company would do better to find a few key partners – their so-called Pair of Aces – and then focus on the management of the network of interactions between them, addressing problems of perception and expectations comply with, all to make their businesses more attractive partners. Investing in this process saves time and makes money in the end. Smart companies have learned that by working in this way they can outperform the competition and unleash the Power of Two.
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from
Thomas E. Vollmann,
Carlos Cordon
Source: IESE Insight Magazine
8 pages.
Release Date: 15, September 2009. Prod #: IIR008-PDF-ENG
Making the Power of Two work for you HBR case solution