Know who your friends are [Management partnerships]

The paper states that one of the best ways to reach new markets, plug skills gaps and create commercial opportunities is by creating alliances. But be careful how you do it. Outsourcing has become the latest and possibly fastest growing form of alliance, but the authors do well to caution that where firms have a unique capacity or capability it makes sense to continue to keep this in-house. It´s one thing to outsource back office or admin tasks, because it can cost a lot less, but it´s often a mistake to encourage customer contact with companies in distant parts of the world. Cost is not, of course, the only reason for considering alliances or partnering. Building critical mass is another.