ISO TR 44000:2019 pdf free download.Principles for successful collaborative business relationship management.
Regardless of industry or other factors, a well.conceived collaborative relationship will follow a set of common principles. Any collaborative relationship lacking In these principles will most likely experience challenges and reduce the likelihood of success.
The essence ol collaborative working enables organizations to achieve greater results than working independently. Continual focus on adding value will open up the awareness and ability to make use of value-enhancing opportunities within existing and through new collaborative relationships.
A collaborative relationship underpinned by aligned visions and values, business objectives and commitment to mutual benefits can achieve synergy in areas such as reduced risk, improved performance and efficiency, extended product or service capability, product development and innovation or even improved performance through behavioural change.
The collaborative relationship management principles can be used as a lens through which to interpret and understand the requirements and guidelines for collaborative working. They were developed and updated by international experts of ISO/TC 286, which is responsible for developing and maintaining ISO’s collaborative business relationship management standards.
The following document addresses those principles that underpin the implementation and operation of organizations committing to work together across organizational boundaries for mutual benefit and added value. This document provides for each prindple
— Statement: a description of the principle;
— Rationale: an explanation of why the principle is Important for the organization(s);
Key benefits: examples of the benefits associated with adequately addressing the principle.
The creation of effective collaborations is an iterative process where these principles wiii evolve through the life cycle of a relationship.
The nature of the relationship between partner organizations will be influenced by each party’s perceptions of the other In terms of the level of effective engagement and the perceived risks and opportunities created through a more integrated relationship. This in turn will likely have a direct impact on the behaviours of the individuals involved in the collaborative venture.
Key benefits: The degree of alignment of vision and values provides guidance to stakeholders on behaviours and decisions that facilitate collaboration over and above metrics, governance and management oversight. The result is smoother operations, faster achievement of goals and higher performance.
6 Business objectives
Statement: Only when drivers for collaboration support the business obectlves of each partner organization will a collaborative relationship make sense.
Rationale: Collaborative relationships can significantly enhance competitive advantage and create expanded value propositions. Such approaches will require effort and resources to achieve the desired goals and objectives ol each of the partners. As such, there should be clearly defined business drivers where such investment Is validated, warranted and sustainable. Implementing a collaborative relationship may require individuals and functions within organizations to undertake changes to their normal operating practices, which need to be ratified against a robust business case where collaboration Is deemed fundamental to the successful achievement of the business objectives.
Key benefits: Ensuring that each partner’s objectives can be achieved through the relationship will support continued effective engagement at both organizational and individual levels to sustain mutual benefit. Objectives that are clear and commonly understood across the organization engender a more efficient focus at all levels.
7 Collaborative leadership
Statement: Senior leadership responsibility and operational leadership accountability is crucial to underpin successful collaborative relationships.
Rationale: In a colLaborative relationship, the more traditional command and control models of leadership would be inappropriate. Collaborative leaders embrace influence models, consensus building. leading by example and forging alignment to a shared vision. Senior management support and guidance is a crucial success factor since it creates an environment where people can work in a collaborative style.
Key benefits: The appointment of an appropriate senior executive responsible for collaborative business relationships ensures high level support in terms of oversight management and resource allocation. Their visible participation provides both focus and confidence for those directly involved in any colLaboration, which In turn fosters the appropriate behaviours at all levels. It Is equally Important to ensure that partners have a similar level of engagement through their senior management.
8 Governance and processes
Statement: Relationships between organizattons require governance structures that support collaborative decision making to ensure success.
Rationale: Management processes and accountabilities need to adapt to ensure that collaborative working (where adopted) is effective both internally and across joint activities.
For collaborative approaches to be most effective, the internal business processes and oversight should be embedded in the management systems of both organizations and harmonized. Each relationship will Inevitably have a degree of individuality and the processes of the partners present potential areas of conflict and misunderstanding.
12 Information and knowledge sharing
Statement: Appropriate sharing and managing of Information and knowledge Is a key ingredient to effective coi laboration.
Rationale: A significant value in coibborative working is the ability of parties to share their knowledge. experience and expertise. Providing clarity and transparency in what needs to be shared and what cannot be shared Is essential in achieving the objectives of the relationship, adding value and building trust between the partners. Failure to define this may lead to a reluctance of individuals to fully engage.
Key benefits: Openness between individuals across organizational boundaries and clarity of access removes potential areas of conflict, builds trust, enhances speed of operation, facilitates appropriate behaviours and enables the creation of new value.
13 Risk management
Statement: Management of risk is a critical aspect of collaborative relationships because of how threats and opportunities influence individual and organizational behaviours.
Rationale: Effective collaboration depends on both the behaviour of organizations and on the individuals involved. Their attitude to risk is perhaps the most significant influence on how they behave. Risk management processes should address relationship risk in addition to facilitating joint management of risk by ensuring threats and opportunities are managed by those best placed to do so. Collaboration can help to mitigate some risk and drive opportunities while at the same time it can introduce risk.
Key benefits: A joint approach to risk management ensures that, as far as is practical, all business risk is identified, assigned and managed effectively, utilizing the resources and capabilities of the partner organizations. Transparency of risk issues has the additional benefit of providing darity for Individuals, which in turn enhances their confidence and subsequently their level of participation.
14 RelationshIp measurement and optimization
Statement: Measuring the health of a collaborative working relationship is crucial to continually improving its performance and capacity to create value and deliver on business objectives.
Rationale: During the life cycle of any collaborative relationship there are contInual challenges placed on the relationship, such as changes to the business circumstances of any of the partners, including organizational changes and changes in personnel, together with day.to-day operational issues. Any of these can affect behaviours and trust and, thus, affect performance. Without knowing how the relationship is performing, the chances of collaborative success become low, Measuring and monitoring on a periodic basis helps to uncover areas for improvement (or opportunities) to optimize performance.
Key benefIts: Measuring and monitoring the performance of relationships will provide organizations with early Insights for themselves and their partners to proactlvely and collaboratively address performance Issues throughout the life of the relationship and to optimize performance towards achievement of the joint objectives.
15 ExIt strategy
Statement: An agreed exit strategy removes uncertainty and enhances joint engagement.
Rationale: Most business relationships will eventually reach an end, either on the planned completion of an activity or beforehand for any reason. Evaluating the end game for any collaboration is crucial for organizations to consider before venturing into such an arrangement but also to ensure that those involved and the partners understand the rules of disengagement whether upon completion or prematurely.