Partner Relationship Management – Bringing Businesses Together
This document is about partner profile software and the many ways by which PRM helps companies develop a favorable joint business venture with other companies.
The economic downturn has given rise to many business mergers. Hewlett Packard with Compaq, Citibank with Travelers, and Sears with K-Mart are just prime examples of mergers that made headlines during the height of the recession. Although this looks like a favorable trend in conventional Wall Street perception, mergers are considered as business suicide in the last couple of years because there are instances when the merger pulls a company’s stock value down instead of putting it back on track. This is why many large-cap companies are considering other
types of strategic alliances like joint venture and channel building just to avoid the negative aftermath that merger and acquisition might bring. According to Morgan Stanley, from 2005 and beyond, a huge percentage of global companies’ revenues will come through channel resellers. With this trend in strategic alliances, the question of company owners shifts from “How do I make the most sales to my end users?” to “How do I nourish relationship with my partners to ensure mutual business success?”. The focus shifts to nurturing existing partnerships and making more joint ventures with other businesses. This is where PRM (Partner Relationship Management) plays a big role. There are many ways by which partner profile software helps companies develop a favorable joint business venture with other companies. For one, it helps facilitate a company’s interaction with its indirect sales channels, resellers, and distributors by organizing a system built to nurture transparency among partners. It also helps companies to manage their resources and concentrate on efforts that prove beneficial for all. Companies can now identify distributors that yield them the most sales and be able to give them more focus. Distribution of leads also becomes easier and more convenient for all channels. More importantly, it helps produce a quantitative measurement of the productivity and utilization of all parties, providing a more accurate data on the level of
success that each channel contribute to the business efforts of a company. Through these data, businesses can create a strategy that works based on facts and actual trends instead of second-guessing and risking resources. PRM offers a feasible solution to the problems of down spiraling companies in generating sales. It is one of the most effective and mutually beneficial strategic alliances companies can implement to survive the economic downturn. By fostering mutuality and transparency among channels, it also brings forth the true objective of joint ventures – to produce benefits and revenues for all. Consequently, this will improve the quality of services and products delivered to end-users. All these efforts are gearing towards improving practices, setting better and more achievable expectations, and producing results that are of encompassing interest to all parties involved. The current movement has been towards business collaboration. Competition is of course a staple part of the game, but more than making a dominant impression in the market, companies in joint ventures with other businesses are now putting premium focus on ways to build a better working relationship with channels and bring success to the alliance. At the end of the day, partner profile software does not only help companies manage the performance of partners, but also brings global businesses together.
Partner Relationship Management – Bringing Businesses Together
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