Managing Sales channel relationships -Step 6. Managing Personal Relationships with the partner

So, in previous chapters we discussed Business-related topics in the Channel Partner management process, but as important as Business motivators are, the process of Managing Partner Relationship is equally if not even more important. Both Business aspect and Relationship aspect should be integral part of Partner management process.?

Relationship management plan?

As with every process managing relationship is easier if the process is documented, measurable and manageable. To make it documented it is always good practice to develop Relationship management plan. There are some logical steps in developing Relationship management plan that can be followed:?

1.????Identify Partner company culture by describing main cultural types and assessing and positioning Your partner’s culture in the defined cultural structure,

2.????Define a way how Channel owner can adapt to channel partner’s culture,

3.????Analyze key individuals within channel Partner Organization. Explore their influence and authority within the Organization and adapt behavior to them,

4.????Develop an engagement plan with key stakeholders to implement relationship objectives.

Organizational culture

Each type of organizational culture can be seen through certain number of Components, and the actual positioning within those components defined the company culture type.

If the above components are put into the more practical context like: Decision making, Work structure, Communication, Control mechanisms and source of power, we can define 4 types of company culture: Bureaucratic, Collaborative, Entrepreneurial and Individualistic.?

Culture analysis process

So how could we create a Process to analyze Partners culture based on Components and Culture types:

1.????Definition of Partners culture based on their Values, Behaviors, Practices, and Symbols and positioning a Partner into Culture type by Analyzing the culture aspects that could affect the relationship, such as decision process, work structure, communication vehicles and sources of power,

2.????Creation of Tactics to validate the conclusion,

3.????Compare Channel owner culture to Channel partner culture, what is in common, what differences should be emphasized.?

4.????Identify differences and adjustments to be made (Assimilation guidelines)

Culture Assimilation Guidelines

So how can each of the culture types be approached and how can Channel owner work of assimilation of its Business processes with Partner of a certain culture type:

Organizational analysis

There are two important aspects in organizational analysis of the Channel Partner. First aspect is the actual organizational structure and a way how company processes are flowing. Second one is analysis of every individual that is building block of the partner organization, its coverage, authority, ability to change etc.

First aspect of organizational analysis can be easily described by typical organizational chart:

Analysis of the individuals

Analysis of the individuals should focus to several aspects, but at minimum following should be covered: Coverage of current contact relationship, adaptability to change, decision orientation, etc.?

Level of Individual relationship can be measured based on something like this:

Adaptability to change?

Regarding adaptability to change we can pretty much use the standard Gaussian spread curve usually used to show how company staff are ready to adopt the New technologies. The change is change, so we can use the methodology that we know. Adaptability to change is wider than adaptability to Technology alone, but pretty much the same spread could be used.

In the curve above we can replace Early adopters with “Visionaries” and Majority of population would fit into Pragmatists and Conservatives in pretty much equal number split. Therefore, Majority of staff would be either Pragmatist or Conservatives.

Ability to change – Characteristics

Decision orientation levels can be defined as following:

Level of Individual relationship to Channel owner can be measured based on something like this:

Individual and organizational relationship analysis – putting it all together

So, when we have everyone analyzed and organizational structure mapped, we can put it all together into channel Partner analysis document. Therefore, we can define each individual entry into organizational chart of channel partner to look something like this:

?

Influence?

After every individual is influence is defined and mapped to organizational structure of the Partner company, the Relationship improvement strategy needs to be put in place for those individuals that matter.

Therefore when we have following type of relationship with Partner individuals, we need to implement assigned strategy:?

Non-Supporter – Neutralize

Neutral – Motivate

Supporter – Leverage?

Relationship strategies

Let’s get into a bit more details on relationship strategies:

Individual relationship plan?

When making individual Relationship plan based on the strategies discussed, one must consider Partner contact who can help the most with relationship objectives. This individual will then act as an influencing champion and be a good entry point into the partner organization. To do that, and define this individual with which to start, some questions need to be answered:?

-??????What is this person’s position and what are his/her formal responsibilities?

-??????What are their business objectives?

-??????What value do we provide to this individual, how can you build more value?

-??????What decision can they make independently, what can they influence?

-??????What is the current relationship, what strategy shall we use?

-??????How often do we communicate?

-??????How shall we communicate the value that we will deliver from now on?

-??????Make a note of any other individuals that You need a plan for.

Key points?

To have successful Channel Partner account management process that will produce growing and predictable Business results, along with Business related processes, it is absolutely necessary to establish and maintain quality of relationships that You have with your partner

You cannot leave relationship development to chance it needs to be monitored and managed and in the best case put into the process perspective. You need to understand Your partners’ organization, culture, interpersonal relationships, and individual profiles together with individual influences in order to be able to define relationship strategy and achieve relationship objectives.