What are the best relationship models and methods for your portfolio?

1 Relationship Portfolio Matrix

One of the most common and useful tools for assessing and managing your relationship portfolio is the relationship portfolio matrix. This is a framework that helps you categorize your relationships based on two dimensions: the value they create for your organization and the complexity they entail. The value dimension reflects the strategic importance, potential, and impact of the relationship, while the complexity dimension captures the level of interdependence, uncertainty, and conflict involved. Depending on the combination of value and complexity, you can classify your relationships into four quadrants: strategic, leverage, development, and transactional. Each quadrant requires a different approach and level of investment from you as a BRM.

2 Relationship Value Proposition

Another key concept for managing your relationship portfolio is the relationship value proposition (RVP). This is a statement that summarizes the benefits and outcomes that each relationship delivers to both parties, as well as the expectations and commitments involved. The RVP helps you communicate and align your goals, needs, and contributions with your stakeholders, and create a shared vision of value creation. The RVP also helps you monitor and measure the performance and satisfaction of each relationship, and identify areas for improvement or innovation. You can use the RVP as a tool to review and update your relationship portfolio regularly, and ensure that it remains relevant and valuable.

3 Relationship Risk Management

A third essential aspect of managing your relationship portfolio is relationship risk management. This is the process of identifying, analyzing, and mitigating the potential threats and challenges that could affect your relationships, such as changes in the environment, expectations, or behaviors. Relationship risk management helps you protect and enhance the value and trust that you have built with your stakeholders, and prevent or resolve any issues or conflicts that may arise. You can use various methods and techniques to manage relationship risks, such as risk assessment matrices, contingency plans, escalation protocols, and feedback mechanisms.

4 Relationship Maturity Model

A fourth useful model for managing your relationship portfolio is the relationship maturity model. This is a framework that helps you evaluate and improve the level of maturity and quality of each relationship, based on four stages: forming, storming, norming, and performing. The forming stage is when you establish the initial contact and rapport with your stakeholder, and define the scope and purpose of the relationship. The storming stage is when you encounter some challenges and disagreements, and need to negotiate and clarify roles and expectations. The norming stage is when you reach a stable and harmonious state of collaboration, and develop trust and mutual understanding. The performing stage is when you achieve optimal results and value, and foster innovation and learning. You can use the relationship maturity model as a guide to identify the current and desired stage of each relationship, and plan the actions and interventions needed to progress and sustain them.

5 Relationship Lifecycle Management

A fifth and final method for managing your relationship portfolio is relationship lifecycle management. This is the practice of managing your relationships throughout their entire lifecycle, from initiation to termination, and ensuring that they deliver value at each stage. The relationship lifecycle consists of six stages: identification, qualification, development, maintenance, growth, and dissolution. The identification stage is when you identify and prioritize the potential relationships that could benefit your organization. The qualification stage is when you assess and validate the fit and feasibility of each relationship, and decide whether to pursue or reject them. The development stage is when you establish and formalize the relationship, and create the RVP and the relationship contract. The maintenance stage is when you monitor and manage the relationship, and address any issues or risks that may occur. The growth stage is when you enhance and expand the relationship, and explore new opportunities and value propositions. The dissolution stage is when you end or exit the relationship, and evaluate the outcomes and lessons learned. You can use relationship lifecycle management as a method to optimize and align your relationship portfolio with your organizational strategy and objectives.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?