A Strategic partnership or alliance is a well calculated formal agreement between two or more parties in business to pursue single or various objectives usually evaluated and agreed upon while the involved members remain independent entities at the same time.
At most times, strategic partnerships and alliances fall short of a corporate affiliate relationship, legal partnership entity, or agency. The major reason why companies come together to form strategic partnerships and alliances is that the two independent companies are in possession of several resources or business assets or even some kind of specialized expertise that is shared between the two entities would be of great help in enhancing their businesses.
Practically, strategic alliances and partnerships occur when two or more independent organizations or firms are interested in joining forces in a symbiotic initiative to pursue various mutual benefits (Baloh, Peter, et al. 2008).
The major benefits of the strategic partnerships and alliances are pulling together resources such as distribution channels, equipment, expertise and even intellectual property (Freiling, & Goeke, 2008). The benefits realized are greater than those gained through solo operations.
There are no limitations to the use of certain approaches in attaining strategic capabilities based on organizational size. This means that business entities or organizations are not bound in their quest for strategic capabilities to adhere to certain approaches to realize strategic skills (Long, & Ismail, 2012).
Business owners and managers can use any approach that they deem favorable to their business in entering into strategic partnerships or alliances (Hill, Jones, et al. 2014). A business administration can use any approach to realize a strategic capability such as a better chain of distribution of their commodities or better expertise in operations. Such approaches that a business can employ include entering into a strategic partnership or alliance with another organization or business entity (Bailey, Mankin, et al. 2018).
Distinctive organizational capabilities fuel an Organization's strategic success. In the contemporary business society, there is a growing need to identify and develop new capabilities in business to keep up with the dynamics of business such as changing customer demands or competitive threats (Grant, 2016).
Some of the strategic concepts that will be reviewed in this paper include: Using a gap analysis to contrasts internal and external talents, knowledge and services, defining the leadership role of the HR professional, increasing the probability of Success, Initiating customer-oriented growth strategies and executing the growth strategies. These concepts present exciting research avenues, and if well implemented they can lead to success breakthrough in an organization.
The concept of creating partnerships and alliances in business is supported by strategic concepts such as increasing the probability of success through achieving growth and executing the formulated growth strategies. When well formulated, these concepts present a major potential in the partnership or alliance's breakthrough and success.
Bailey, C., Mankin, D., Kelliher, C., & Garavan, T. (2018). Strategic human resource management. Oxford University Press.
Baloh, Peter, Sanjeev Jha, and Yukika Awazu. "Building strategic partnerships for managing innovation outsourcing." Strategic Outsourcing: An International Journal 1.2 (2008): 100-121.
Bryman, A., & Bell, E. (2015). Business research methods. Oxford University Press, USA.
Freiling, J., Gersch, M., & Goeke, C. (2008). On the path towards a competence-based theory of the firm. Organization Studies, 29(8-9), 1143-1164.
Grant, R. M. (2016). Contemporary strategy analysis: Text and cases edition. John Wiley & Sons.
Hill, C. W., Jones, G. R., & Schilling, M. A. (2014). Strategic management: theory: an integrated approach. Cengage Learning.
Long, C. S., & Ismail, W. K. W. (2012). The HR specialist as an agent of change: skills that open up a place at the company's top table. Human Resource Management International Digest, 20(2), 24-28.
Mone, E. M., & London, M. (2018). Employee engagement through effective performance management: A practical guide for managers. Routledge.
Pisano, P., Rieple, A., & Pironti, M. (2017). Strategic Approaches. Strategic Human Resource Management: An International Perspective, 37.
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