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The IUP Journal of Supply Chain Management :
Improving Alliances: Insights from the Practices of Successful Companies
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This paper explores, based on literature review and case analysis, the key success factors in the formation of alliances. Its contribution rest on the identification of practical insights, namely: (i) formal processes of alliance management; (ii) formal mechanisms of alliance learning; (iii) teams responsible for the life cycle of the alliance (beginning to end); and (iv) the existence of an empowered alliance office. The study also finds that supporting suppliers in the alliances can be a cost-effective way to improve internal performance

 
 
 

Inter Organizational Relations (IOR) have evolved from representing a small share of the revenues of large corporations in the Fortune 1000 list, to represent more than 20% of the turnover of a large proportion of these companies (Kale et al., 2009). Although the financial crisis of 2007 and subsequent collapse of institutions like Lehman Brothers have caused a significant decline in the activities of the western economies, the need to do more with fewer resources has increased interest in partnerships as one way of innovating while controlling costs. Hansen (2009) reported on one such project in the field of energy management improvement through customer-supplier integration models (e.g., energy service companies, or ESCO, in which the income of one of the partners is conditioned by the savings of the other partner).

While collaboration between organizations is not new, IOR have evolved, caused by factors such as globalization of markets and the development of new technologies (Porter and Fuller, 1986), market pull orientation (Ohmae, 1989), the difficulty of competing throughout the complete value chain of the organization (Garcia-Ochoa, 2003), and limitations in resources (Williamson, 1985; and Cobianchi, 1994). Collaboration can now be considered a pillar of economic sustainability (Shymko and Diaz, 2012).

 
 
 

Supply Chain Management Journal, Inter Organizational Relations (IOR), IOR, strategic alliances, Developing Capabilities in Alliances, Improving Alliances, Practices of Successful Companies.