Key Takeaways: How AI is Impacting Alliances

Recently, I moderated a panel discussion om "How AI is Impacting Alliances" with some amazing Alliance Leaders, Doreen Marchetti , Jennifer Fonseca , and Elizabeth McCalley.eth ?? .? I loved listening to their insight on how they believe AI is affecting the future of Alliances. It is only fitting that I wrote about what I heard and mention that this discussion was a part of the Women In Alliances + WITI organization in hopes of building a Dallas Chapter of leaders to grow and network together.

Artificial intelligence (AI) is becoming a critical tool which is reshaping how companies form and manage strategic alliances, vital for driving growth and innovation. However, they can also be complex and challenging to manage. AI is emerging as a powerful ally in this space, helping organizations avoid common pitfalls and optimize their strategies. One of the primary ways AI contributes is by enhancing the process of forming and managing alliances, ensuring that both parties benefit and achieve mutual success. AI can automate and streamline the creation and management of contracts, significantly reducing the time and effort involved. Beyond contracts, AI is also being used to gain deeper insights into partnerships, helping organizations understand their strengths, weaknesses, and opportunities.

AI is often associated with strict, rule-based operations. However, the true potential of AI in alliances lies in balancing these rule-oriented tasks with more creative, strategic applications. This approach allows companies to explore new offerings and innovative ways of collaborating with partners.

Deploying AI in alliances comes with its own set of risks, particularly when it comes to managing access to systems and models. One of the major concerns is the potential for AI "hallucinations," where the technology generates incorrect or misleading outputs due to the vast amounts of data it processes. It's crucial to set up the right infrastructure to deploy AI safely and effectively, capitalizing on the technology while minimizing risks.

Alliance professionals often find themselves stretched thin, juggling multiple responsibilities with limited resources. AI can alleviate some of this burden by automating routine tasks, freeing up time for more strategic work. For instance, AI can support go-to-market (GTM) processes and upscale efforts, enabling alliance teams to focus on higher-value activities. While AI can help uplevel the capabilities of alliance teams, it is still imperative to have a human at the wheel.? The nice thing about partnerships in general is that it is relationship based and AI cannot take that away.

A recommended tool discussed is Crystal Knows, an AI-driven tool that helps companies understand the personality traits of their partners and clients. This insight can be invaluable in building stronger, more effective alliances.

Advice for Leveraging AI in Alliances

The webinar concluded with practical advice for organizations looking to harness the power of AI in their alliances:

• Define Clear Objectives: I feel like we talk about this one a lot, define clear objectives. For example, if your goal is to scale your alliances, AI can help you make better decisions to achieve this. Once your objectives are set, you can build out your AI capabilities accordingly.
• Be Cautious but Proactive: While it's essential to approach AI with caution, companies must also recognize that many organizations are already leveraging AI at full force. Falling behind in this area could mean missing out on significant opportunities.
• Prepare for the Next Generation of AI-Native Companies: As AI continues to evolve, we're likely to see the rise of AI-native companies—organizations that are built from the ground up with AI as a core component. Don’t discount these companies as future leaders.?One of my favorite quotes I heard on the call was...'It is not the big that eat the small, it is the fast that eat the slow.'
• Lean In and Prioritize Enablement: Embrace AI and prioritize enablement within your organization. This includes investing time and resources to understand and implement AI tools effectively.
• Stay Open-Minded: Finally, be open to new ways of collaborating. AI is not just about automating existing processes—it's about discovering new possibilities and forging innovative partnerships.

AI is poised to revolutionize the way companies form and manage alliances. By understanding the strategic role of AI, addressing challenges, and carefully managing risks, organizations can unlock new levels of success in their partnerships.

Check out the full recording here or if you live in the DFW area and are interested in connecting to other Alliance leaders, send me a DM.