Partnerships and collaborations can take many forms and involve various types of organizations working together. They require careful negotiation and management of relationships to be successful. Evaluating partnerships throughout their lifecycle is important to ensure they achieve their objectives and continue functioning effectively. Managing people and relationships is essential for any partnership to thrive.

1. BE0964 Partnership and
Collaborative Working
Module Summary

2. Why Collaborate?
A partnership is an arrangement in
which parties agree to co-operate to
advance their mutual interests

3. Who Partners?
Partnerships can be
established
among…
Customers
Employees
Suppliers
Potential
Competitors

4. Types of partnerships
! Joint Ventures
! Public Private
Partnerships
! Strategic Alliances
! Collaborations
! Strategic Partnerships

5. The Paradox of Competition and
Co-operation

6. Types of and Motives for
Strategic Alliances
FORMS OF
ALLIANCES

7. Six Objectives of International
Strategic Alliances
Framework by Stephen Preece (1995)

8. Alliances are like Marriages…..
! The partners have to;
• understand each other's expectations
• be sensitive to each other's changes of mood
• not be too surprised if their partnership ends in divorce
! Many companies have a sort of prenuptial
contract
• an agreement as to what is to happen to their joint
property in the event of a subsequent divorce
• Typical of a formal alliance / joint venture

9. Public Sector Alliances
For practical purposes, PuPs can be categorised according to the
different types of partners, such as:
! partnerships between two public authorities;
! partnerships between public authorities and communities;
! development partnerships;
! international associations;

10. Why PuPs?
PuPs can be used to achieve the following objectives:
! • They can lead to improved services
! • PuPS can be used to build capacity in public agencies and the skills of a
workforce.
! • They can be an effective way of restructuring the public sector and
improving public services as a defence against privatisation.
! • They can help to build stronger community support and accountability
for services.
! • They can be used to achieve other objectives, such as paving the way for
privatisation, as occurs in the US.

11. International PuPs

12. Advantages of PuPs
! Mutual understanding of public
sector objectives and ethos
! Transparency and accountability
! Low transaction costs:
administrative costs around 2% of
projects
! Can involve local civil society,
workforce
! Possibility of reinvesting 100% of
available financial resources into the
system
PUPs have a number of advantages over other partnerships based on commercial
objectives. They can be summarised as follows:
Partners which have benefitted from a
PUP can become supporting partners
to other cities
Non-commercial relationship, low risk
to municipality
local control over objectives, methods
Long-term gain in capacity-building

13. Public Private Partnerships
! "A government service or private business venture which is funded and operated
through a partnership of government and one or more private sector companies"
The relatively long duration of the relationship, involving cooperation between the
public partner and the private partner on different aspects of a planned project
The method of funding the project, in part from the private sector, sometimes by means of
complex arrangements between the various players
The important role of the economic operator, who participates at different
stages in the project (design, completion, implementation, funding)
The distribution of risks between the public partner and the private partner, to whom
the risks generally borne by the public sector are transferred.
(Commission of the European Communities, 2004)

14. Traditional Procurement vs PPP
! Governments borrow
money to pay for
infrastructure
! Private company raises the money
for the investment, and then
recoups it by operating the asset
over a long period

15. Types of PPP
The term PPP is a spectrum of possible relationships between public &
private parties for the provision of infrastructure services

16. Defining Principles
! Value for Money (VFM) - Qualitative as well as quantitative
! Risk Allocation - Appropriate. Which party best placed
! Performance Standards - Output focussed/Payment on
delivery
! Maintain Value of Public Assets - Whole Life
! Off Balance Sheet

17. Profitability vs Responsibility
Shareholder Value Perspective
Value Management Principles
Stakeholder Value Perspective
Service delivery

18. PPP Benefits
! Value for money for the taxpayer through optimal risk
transfer and risk management
! Efficiencies from integrating design and construction of
public infrastructure with financing, operation and
maintenance/upgrading
! Creation of added value through synergies between public
authorities and private sector companies
! Innovation and diversity in the provision of public services
! Competition and greater construction capacity
! Effective utilisation of state assets to the benefit of all users
of public services

19. PPP Disadvantages
! much more complicated than conventional procurement contracts
! very large tendering and contracting costs
! Private and public sectors often have different goals, and
organizational philosophies and cultures
! the costs of contract re-negotiation are often high
! the difficulties of ensuring good performance, especially with
respect to “soft” performance dimensions,
! difficult for the government not to intervene if the provider
threatens to go bankrupt.

20. Third Sector Partnering
“the part of an economy or society comprising non-governmental and non-profit-making
organisations or associations, including charities, voluntary and community groups,
cooperatives, etc..”
Oxford English Dictionary (online) 2014

21. Whats in it for TSOs?
! Capacity building
! Access to core funding
! Access to skills, insights and
assists of a business
! Opportunity to transform
performance over time
! Deeper understanding of
business sector approaches

22. Whats in it for Business?
• Improve quality of
service
• Better understanding of
clients/customers
• Brand differentiation
• Improved reputation
• Corporate Social
Responsibility (CSR)
• Increased trust in brand

23. Key differences between
Private and TSOs

24. Negotiating the Relationship
• Partnerships are about
relationships
• The purpose of partnership
is ‘to achieve together what
we could not achieve alone’
• Need to create trust, equity
and mutual accountability
• less determined by the
structure of the relationship
than by the practice of
certain behaviours

25. Partnering is about people
! Multi-stakeholder/multi-
sector partnerships are
complex
! Dependent upon the
establishment of good
working relationships
between people from
different organisations and
cultures, often with
different values, interests
and expectations

26. Importance of Negotiation
! Commercial negotiations
can involve a complex
range of financial, business
and contractual issues
! Planning, conducting and
analysing the outcomes of
commercial negotiations
are key elements of
negotiation
! Developing the skills of
commercial negotiation is
a demanding, valuable and
often personally
challenging task

27. Six Laws of Influence
! Prof Robert Cialdini -
Professor Emeritus of
Psychology and Marketing
at Arizona State University.
! Influence: The Psychology
of Persuasion

28. Cohen-Bradford Influence
Model

29. Relationship Management
“Paradigm of project performance and client satisfaction, achieved through
an understanding of the way in which a range of relationships between
people, between people and firms, and between firms as project actors
operate and can be managed” Pryke & Smyth (2006)
Social paradigm
Behavioural based
Understanding the needs of business partners

30. Risks of poor relationship
management
! Common Risks
! Delays in responses to
questions
! Slippage
! Decline in morale
! Minor conflict
! Personality clashes
Severe Risks
! Litigation
! Loss of ‘good’ staff
! Stress related issues
! Explosive behaviour
! Project failure

31. Types of Relationships
• Business-to-Business
• Organisation to individual
• Individual to individual

32. Global and Cross-Cultural issues
! Increase in partnership & collaborations internationally
! Increase in number of projects with multicultural teams
! Increase of projects with international stakeholders
! International Joint Ventures are notoriously hard to manage
“The single greatest cause of difficulties in global business
transactions is not a lack of technical expertise, hard work, or good
intentions – it is a lack of ‘people skills’ for relating successfully with
counterparts from other countries and cultures”
Ernest Gundling Working GlobeSmart: 12 People Skills for Doing Business AcrossBorders,

33. Relationally Integrated Project
Teams
! Selection of suitable teams is critical
to success
! Importance of “Relational
Integration” as a partnering criterion

34. Benefits of Evaluation
! Evaluation is often a
neglected part of partnership
working.
! Evaluation is an important
part of partnership and
inter-agency working
! – what is happening?
! – what is going right, what is
going wrong and why!

35. Why it is important to evaluate?
Formative
‘This is a type of ‘developmental’ evaluation that feeds information and
guidance back into an intervention so that improvements can be made’.
Process
‘The aim of this type of evaluation is to find out exactly how an
intervention works’.
Outcome
‘This type of evaluation focuses on the final results of the intervention. A
typical question for an outcome evaluation to address would be whether
the intervention has made significant improvements in a client’s life’

36. Life Cycle Model
One approach to
establishing the role of
evaluation for partnerships
is to focus on the concept of
a partnership ‘life cycle’.

37. 5 vital stages approach
1. Forming:
2.
Frustration
3.
Functioning
4. Flying
5. Failing
1. Consensus Building, set vision
& objectives
2. Problems, re-focus or go to step 5
3. Up & running
4. Real achievement
5. All partnerships have a shelf life

38. 5 vital stages approach
Partnerships need to work through
the stages of the life cycle in order to
function with greatest effectiveness
(or "fly".)
Even in the best partnerships, there
is a tendency for partnerships to
falter and perhaps fail
Unless the partners consciously
manage their progress through the
critical stages of the life cycle.

39. Generic Tools

40. Generic Tools

41. Balanced Scorecard (Kaplan &
Norton) - 4 Processes

42. Smarter (Ideal) Partnerships
Toolkit

43. Key Points
! Partnering is an essential business strategy
! Co-operation can lead to win-win
situations
! There are many types of partnerships all
with differing attributes, pros and cons

44. Key Points
! Careful negotiation is essential for success
! Relationship management is essential for
success
! Project team culture, individual
relationships, trust, ethics, equity are all
essential
! Evaluation is essential….

45. Finally…
Partnering is about PEOPLE
not Organisations…