less’ processes to achieve mutually determined strategic goals.
Because of the significant resources required to manage these team-
based relationships, there is further pressure to reduce the supplier
base and to seek out a limited number of key alliance partners.
Inevitably these remaining partnerships will be of longer duration
than would have been the case in the conventional, arms’-length
way of doing business.
What seems to be emerging, therefore, is a radically different
concept of competition. The fundamental paradigm shift that is
taking place is that it is no longer the individual firm that competes
with other individual firms, but rather it is networks of partners and
alliances that compete with other networks. Companies that recog-
nize this and that actively develop strategies for strengthening rela-
tionships amongst the members of their network will emerge as the
winners in whatever markets they compete in.
References
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3 Jarillo, J.C. (1993). Strategic Networks: Creating the borderless organ-
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4 Porter, M. (1985). Competitive Advantage, The Free Press, New York.
5 Lamming, R. (1993). Beyond Partnership: Strategies for innovation
and lean supply, Prentice Hall Europe, Hemel Hempstead.
6 Hines, P. (1994). Creating World Class Suppliers: Unlocking mutual
competitive advantage, Pitman, London.
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10 Axelrod, R. (1984). The Evolution of Cooperation, Basic Books, New
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11 Lewis, J. (1995). The Connected Corporation, The Free Press, New
York.
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