1. Partnering: Managing Interorganizational Relations
Chapter 12
Partnering: Managing Interorganizational Relations

2. Introduction to Project Partnering
A process of transforming contractual arrangements into a cohesive, collaborative team that deals with issues and problems encountered to meet a customer’s needs.
Factors favoring partnering:
Existence of common goals
High costs of the adversarial approach
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3. Partnering Advantages of Long-term Partnerships
Reduced administrative costs
More efficient utilization of resources
Copyright © 2006 The McGraw-Hill Companies. All rights reserved.

4. Project Partnering Framework
FIGURE 12.1
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5. Project Partnering Charter
FIGURE 12.2
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6. Project Completion—Celebrating Success
Conduct a jointly review of accomplishments and disappointments.
Hold a celebration for all project participants.
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7. Sample Partnering Evaluation
FIGURE 12.3
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8. Why Project Partnering Efforts Fail
Reasons for Failure
Senior management
Fails to address problems or
Does not empower team members to solve problems.
Cultural differences
A lack of incentive
Continuous improvement by contractors participating in the partnering relationship.
Copyright © 2006 The McGraw-Hill Companies. All rights reserved.

9. The Art of Negotiating Project management - NOT a contest.
OUR project.
Continually to work together.
Principled Negotiations
Separate the people from the problem
Focus on interests, not positions
When possible, use objective criteria
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10. The Art of Negotiating (cont’d)
Dealing with Unreasonable People
If pushed, don’t push back.
Ask questions instead of making statements.
Use silence as a response to unreasonable demands.
Ask for advice and encourage others to criticize your ideas and positions.
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11. Managing Customer Relations (cont’d)
Managing Customer Expectations
NO project oversell
Project scope must be good
Share significant problems and risks
Inform all of project progress.
Involve customers early on decisions about project development changes.
Handle customer relationships problems
expeditious, competent, and professional manner.
Copyright © 2006 The McGraw-Hill Companies. All rights reserved.