The concept of cross-sector collaboration is relatively new. It has thus far been received with open arms by the majority of critics, but there is growing concern about its efficacy and relevance. Sectoral purists seem threatened by theblurring of the traditional sectors.
James Austin, Harvard professor and author of The Collaboration Challenge outlines a systematic approach to building cross-sector partnerships. Liquidsector launches an eight-part series to explore Austin’s book and discuss his prescription to meet The Collaboration Challenge. In part 1/8, Liquidsector founder Joseph Leenhouts-Martin discusses the strategic benefit of alliances as presented by Austin, and adds his own commentary. Join Joseph as he navigates cross-sector collaboration.
Part 1 of 8: Navigating Austin’s Collaboration Challenge
I am currently working as an independent consultant in the global health capital of the world, Geneva Switzerland. Besides offering panoramic views of the Mont Blanc and a crystal clear glacial lake, Geneva is a laboratory for cross-sector collaboration. After some time here I’ve come to one conclusion: collaboration is messy. It may look shiny and clean on the outside but the inside is typically a valiant attempt at plate spinning and juggling radically different expectations. This is especially true when organizations compete for corporate funding.
Many of the world’s greatest collaborative partnerships are failing to fully capitalize on their abundant resources. More time seems to be spent putting out fires and competing for recognition and funding than accomplishing the grand mission behind it all: providing better health to the world’s poorest people. So are the critics correct when they say the blurring of sectors is dangerous? I don’t believe so. Instead it is more constructive to say that poorly conceived, planned, and managed collaborations are dangerous. If implemented carefully, partnerships can serve a unique and productive purpose.According to James Austin, building cross-sector alliances can serve several strategic purposes to both nonprofits and corporations. Nonprofits may benefit from cost savings, economies of scale and scope, synergies, and revenue enhancement. Corporations may benefit from strategy enrichment, human resources management, culture building, and business generation. These benefits do not come without solid strategy development (and implementation) to mitigate what Austin identifies as key factors that make cross-sector partnerships challenging- drastically different performance measures, competitive dynamics, organization cultures, decision-making styles, personnel competencies, professional languages, incentive and motivational structure, and emotional content.Austin dedicates the remainder of his book to addressing these challenges through partnership strategy development. Parts two through eight of this series will explore these strategic recommendations further.
