Navigating the Lifecycle of Technology Partnerships
Steve Jobs aptly said, “Great things in business are never done by one person; they’re done by a team of people.” Not known for his soft demeanour, or even being easy to work with, he appreciated the importance of who you surrounded yourself with. Apple was, and still is, a beacon of what happens when you collect creative, intellectual trailblazers and challenge them to solve big problems. Just like employees, the partners that companies surround themselves with make a tremendous difference. As organizations scale and grow, partners may be the only way to access specific talent, skillsets or scale. However, I have also seen firsthand that as companies grow their needs for partners also will change and evolve.
This leads to the question, what happens when you realize you have outgrown some of your partners, or have realized that you are on different trajectories? In his memoir Shoe Dog, Phil Knight has a famous quote that states “It’s never just business. It never will be. And if it ever just does become just business, that will mean business is very bad.” With that in mind, here are a few tips on navigating partnerships that have seemingly run their course in a way that reflects the humanity that these scenarios should be approached with.
Evaluate Where The Partnership Is At
There are a variety of reasons partnerships fail. You may have a fantastic relationship and have simply outgrown each other, or you may have fundamental differences in what constitutes success. Regardless of the driver, it’s important to be objective in the challenges that exist. There is a big difference between a provider that can’t seem to scale to accommodate your new branch in Germany and one that thinks that the cloud is ‘just a fad.’ It helps to understand your requirements of that service, and then measure the provider against it afterward, versus simply trying to think of all the things that are going wrong. This objective approach will allow for a clear picture of the existing gaps, and a clear picture of what would need to change.
Show Gratitude and Be Honest
It’s imperative to recognize the contributions that both parties have made. Both companies had been connected and contributed growth, stories, and moments along the journey. When talking to your partners it’s clear to state the shortcomings you see and then understand if there is a path to resolve them. You may be surprised by the investments companies will make to bridge gaps, and in other scenarios, it will make the diverging paths clear. Open, honest and transparent conversations will have the most impact.
Gone Doesn’t Mean Forgotten
If you have decided to move on, there are many technical offboarding and transition components to consider, but if focusing on the partnership itself, an amicable parting may create opportunities for both entities. You may have connections with companies that closely fit the ideal customer of your previous partner, or that partner may still come to you for market advice as they grow and scale. Never burn your bridges, you never know what might happen down the line.
Regardless of the path forward, clear and concise communication with your partners is a must. Not only will this help create a smooth path forward, but it will also help to create clarity for both parties as you move on. The partners you have beside you on your journey will be as important to you as many of your employees, and ensuring that you have human connections with them is a primary ingredient for success.