Getting the most from your system integrator / partner relationship – Part 1

Lee Tsiamis is an associate partner at IBM, who boasts over a decade worth of experience in strategic partnering. After studying telecommunications engineering at university, Lee went into building, designing, and supporting the systems for customers. Putting in call centers, integrated with CTI, but most importantly, troubleshooting customer’s problems.?

“While working on the support desk, I was the person they called to complain,” he tells me. “I gained a lot of empathy in that role because you learn what your customers feel when a core system isn’t working.”?

Using his background in a customer service style role – Lee began his upwards journey within the SalesForce space. I met Lee around 10 years ago when he worked as BlueWolf (now an IBM company) as a sales director.?

Jokingly, I inferred to Lee in our chat that this customer-centric way of thinking is a rarity in the sales field of work.?

“When there is an absence of trust between a partner and a client, cynicism tends to kick in and they assume you’re just trying to bleed them dry,” Lee acknowledges.

I admit to Lee that in the past, I have used the terms ‘partner’ and ‘vendor’ interchangeably. To put it frankly, they both describe the people who help you get shit done.?

“Not every system integrator can call themselves a partner,” he explains. The difference boils down to the mutual benefit that arises during a long-term project (or a partnership, in other words).?

The first step to creating a partnership that will lead to fruitful outcomes is trust. With trust, you can begin to take risks together.?

“You can own the risk yourself as the client, or you can share it with your partner.” In the former scenario, the client sets the scope and parameters as to what the partner should be doing. This less-than-ideal relationship type normally begins with an RFP (which I, and I quote from this week's episode, think needs to die).

In this scenario, you are judging the partnership based on a spreadsheet. Rather, both Lee and I believe that forging solid groundwork during the per-sale stage for both the customer and client will lead to a satisfying end result.?

“If you are the client searching for the appropriate partner - get creative. Go and ask your prospective partner to come in and do the work for nothing. If you get to the point where the project looks like it will go ahead, that will be the investment. Alternatively, if it gets to the point where it appears it will cost too much and scope can’t be reduced, the customer can pay for their time."

Putting it back on your SI to take accountability for the best quality of work, in my opinion, will lead to greater success.?

While many think that RFP’s are a good approach as they itemize what your SI will take responsibility for, it does not give your partner the opportunity to get an understanding of your business. Engaging a partner to come in and immerse themselves in the business to pitch what they think the best suggestion may ring alarm bells for some. “You want me to pay that organisation to tell me what they’ll charge me to do the work?” I hear you ask.

Well, to be short - my answer is yes. You end up paying for phase 0 before or after the signing of the deal. Once signing with a partner – there is a long stage where they have to become familiar with your team, business and problems. And ultimately if you do decide to take your business elsewhere, you have been given an expert suggestion as to your next best steps. Besides, “how can someone truly fix an issue if they can’t look under the hood?”

With any topic regarding contracts – there is always the same elephant sitting next to the execs in the meeting room. The conversation surrounding cost can be tricky.?

While you want to get the biggest bang for your buck and ensure that you aren’t being taken advantage of, using the analogy of a painter helps to better describe the wheeling and dealing process. When you receive a quote to paint the entire interior of your house in a duck egg blue or a tasteful lavender – you wouldn’t barter the professional down in regard to the type of paint they use or the price of their brushes. If you’re quoted a good price, you would simply accept the deal.?

The point is - it’s important to disregard the knee-jerk myopic approach of pursuing the lowest hourly rate. Value should be the centre of the conversation for both the partner and client. Ask them: what is this going to cost, and what is the return on investment going to be? This simple question takes a longer approach to a topic and avoids trivial discussions. This discussion promotes a consideration of?value.

Lastly – Lee reminds us that “the technology and transformation landscape in Australia is small. We all know each other – partnerships are going to outlast your job.”?

It is important to understand that in most instances, the partner is trying to do the right thing.?

While I talk about networking in?The Platform Owner’s Guidebook, omitting partnering was a conscious decision because as our discussion demonstrates, there are an abundance of caveats and rabbit holes you can go down.?

If you would like to know more about partnerships – stay tuned for the next installment of Platform Diaries as we continue the discussion on partner relationships.

About the Author

Shane Williams is a Virtual CTO for high-growth SMBs (Scaleups). Shane's mission is to enable growth businesses to confidently and cost-effectively adopt technologies that unlock scale, partnering with leaders to get the best outcomes for them, knowing it is never a one-size fits all approach. Shane is the author of the best-selling?The Platform Owner’s Guidebook, creator and host of the?Platform Diaries?Podcast, and founder of the?Scaleup Leaders Network. When not in front of a client or a screen, you'll find Shane riding motorbikes, brewing beer, or camping with his kids.?