Industrial Partnerships - A Guide to Doing Them Well
A successful industrial partnership can deliver massive value for all parties involved and in the best cases deliver industry-changing technologies and outcomes. But an unsuccessful industrial partnership can waste time for all parties involved and in some cases leave all parties worst off than not doing it at all. At CORE, we know a thing or two about industrial partnerships and we use a set of principles to drive high-quality industrial partnerships.
ON THE DECISION TO PARTNER OR NOT:
Ensure the partnership is alignment with business priorities and IP strategy, simply don’t do partnerships that are outside priorities or IP strategy (ie if you want to own IP in an area don’t join a collaborative centre in the same space)
Make sure there is the right capability of all partners to support and deliver the long term outcomes. Ensure the capabilities and skills are there to deliver the agreed outcomes. ie Do a capability assessment of the partnership before starting
Match the partnership type to the tech readiness level (early tech than research, later tech than industry group).
If the tech is early understand R&D is needed and it will take time to bear fruits. And the KPIs that matter are different than standard business-as-usual KPIs).
If the tech is later stage, a partnership with an industry or supplier group is more applicable
Only partners on business challenges/domains (ie maintenance) that are impactful to the organization.
Don't think it is cheap innovation. Be realistic on the resources the partnership will need to deliver outcomes and plan accordingly. Don't believe it will be cheaper to partner.
Most partnerships take time to realize value so align and prepare as an organization for the time it will take
ONCE YOU HAVE DECIDED TO PARTNER:
Have an aligned clear vision between all partners.
Develop stories that all stakeholders agree on that showcase success
What are the critical success factors? Ie if you didn’t achieve these it would not be a success.
Try to be specific with a clear timeframe and deliverables
Be clear what success looks like
In general, it will be different with each partner. Better that is clear up front and everyone gets aligned. (For example, research will define success differently than an industrial partner)
Write down specific objectives that will deliver that success for all partners. Be specific and use this as the partnership progresses to align
Get fully involved, don’t be passive.
Define what involvement means and the requirement across the business
Fully involved partners get outsized returns!
Build an operating model with the cadence and communication channels that fits the visions and org. Do this early as the sooner you find the way of working the sooner you realize value.
Written by Zane Prickett
CORE Innovation Hub Co-Founder and Director, Zane Prickett knows a thing or two about partnerships. Self-prescribed serial entrepreneur, Zane is also the founder of Unearthed and previously Director and founding member of Start Up WA. Zane is also helping to lead CORE Skills, CORE’s data science program that helps mining companies embed data science skills across the whole organisation.
With his years of experience and considerable expertise, Zane shares with us his guide to how to establish a successful industrial partnership.