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Connected Corporation


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Table of Contents

TABLES AND FIGURES INTRODUCTION The Research Agenda Key Firms: Motorola, Marks & Spencer, Chrysler, and Philips Consumer Electronics Company Benchmarking Customer-Supplier Alliances How to Use This Book 1. CUSTOMER-SUPPLIER ALLIANCES: UNLOCKING THE POTENTIAL Competition Is Driving Firms to Integrate Hallmarks of Powerful Customer-Supplier Alliances Common Myths and Misunderstandings Pitfalls on the Road Ahead 2. GETTING STARTED Objective: More Customer Value When to Use Alliances Choosing Customers for Alliances What to Allocate to Suppliers Choosing Suppliers for Alliances Competitors as Supply Partners Working with Internal Suppliers Committing to the Long Term 3. CONDITIONS FOR HIGH PERFORMANCE Using Focused Competition Always Have a Market Benchmark Sole, Single, or Dual Source? Reducing the Supply Base Earning Suppliers' Commitments 4. PRACTICES FOR JOINT CREATIVITY Set Clear Objectives Begin Early, Avoid Constraints Share All Relevant Information Protect Each Firm's Ideas Build Interim Teams Share Applicable Experiences Plan an Expertise Overlap Challenge Each Other's Thinking Think in Terms of Systems Define a Clear Interface 5. COOPERATING FOR MORE VALUE Quality Is the Foundation Combining for Design and Development More Powerful Competitive Strategies For the Most Benefits Take a Wider View 6. COOPERATING FOR BETTER TIMING AND COSTS Joining to Compete with Time Inventory Management that Beats Just-in-Time Cutting Costs Together 7. SUPPLY BASE MANAGEMENT Objectives-Based Performance Measures When Suppliers Have Problems Introducing New Suppliers Strengthening the Supply Base Keep Focusing the Supply Base 8. MANAGING CONTINUOUS IMPROVEMENT Sourcing Strategies for Supplier Management Strategies for Integration and Unique Design Choosing Suppliers for Unique Designs Using Premiums and Penalties 9. BUILDING TRUST AND HIGH PERFORMANCEv Make Connections at All Levels Constant Communications Avoid Trouble Seek Root-Cause Solutions Have Clear Rules of Engagement Maintain a Fair Balance Make Fair Demands Build a Spirit of Community Introduce New Programs Together Coordinate Long-Term Alignment Developing Trust Between Firms 10. ORGANIZING THE INTERFACE A Focused Organization for Each Customer Structuring to Be Consistent with Suppliers The Pros and Cons of Co-Location Customer and Supplier Advisory Boards 11. LEVERAGING THE CORPORATION Balancing Corporate and Business Unit Interests Creating Value Across Business Units Global and Multi-Site Alliances 12. NEGOTIATION BETWEEN PARTNERS Setting Stretch Targets Reaching Agreement While Avoiding Damage When Partners Disagree No Room for Bargaining Power Eliminating Contracts 13. SUCCESSFUL ALLIANCE PRACTITIONERS People, Performance, and Management Maintaining Continuity for Alliances External Alliances Need Internal Alliances Building Durable Alliances Reducing Not-Invented-Here Behavior Top Management Leadership Is Essential Choosing Customers and Suppliers as Alliance Partners 14. VALUE CHAINS AND ALLIANCE NETWORKS Value Chain Management Promoting Cooperation Between Suppliers Linking Rival Firms Gaining the Power of a Committed Supply Base Branded Goods and Value Chains Frontiers of Value Chain Development Using and Managing Alliance Networks The Limit on Alliance Performance NOTES INDEX A NOTE OF THANKS ABOUT THE AUTHOR

About the Author

Jordan D. Lewis, an international consultant, author, and lecturer, advises many of the world's leading firms and is a well-known expert on strategic alliances. A Fellow of the World Economic Forum, he has been profiled by CNN, "Business Day," Wall Street Journal, Financial Times, and Japan Times. He lives in Washington, D. C.


"Business Week"

This readable book provides a realistic road map for forging true alliances.

"Wall Street Journal"

Meticulously dissects customer-supplier alliances to reveal what makes the best ones tick.

Arthur R. Tauder

Executive Vice President, McCann-Erickson WorldwideHere is a mind-opener as to the power of customer-supplier alliance and a practical guide to make productive alliances happen.

Jerald A. Bluberg

Senior Vice President, Dupont CompanyThere is a tidal wave of vertical alliances coming and Jordan Lewis provides the knowledge and experience base to enable all companies to join it.

Sir Colin Marshall

Chairman, British Airways PLCNo business is immune from the pressure to bring more value to its customers, and its suppliers can play a key role in that process. "The Connected Corporation" places the management finger firmly on the pulse of this imperative.

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