Managing Partnerships Is a Strategic Imperative for eLogistic Service Providers, According to IDC

FRAMINGHAM, MA – MARCH 20, 2001 – Demands for integrated logistics services and faster delivery of these services have elogistic service providers seriously evaluating partnership opportunities. According to IDC, partnerships entered into and managed strategically can serve as important tools to accelerate time to market.

 

"The twin challenges of speed to market and a less favorable venture capital climate have led many elogistics service providers to work toward complementary networks of partners to provide integrated ‘whole solutions’ to the marketplace," said Romala Ravi, senior analyst with IDC’s eLogistics program. "The success of these partnerships will hinge on each partner understanding its role within the logistics value chain and combining and properly aligning strategies and objectives."

According to IDC, partnerships are a valuable component of an elogistic service provider’s go-to-market strategy for several reasons. "Through alliances, service providers can access the skills and capabilities they need to deliver integrated, technology-based services, while remaining focused on their core competencies," Ravi said. "Additionally, they allow for development and customer acquisition costs to be shared, which in turn provide further cost efficiencies for both the partners and their customers."

For elogistic service providers contemplating partnerships, IDC believes interested parties should determine measurable goals in advance. This means matching complementary skills, defining clear roles, and outlining an explicit partnership model. "Vendors who are willing to work hard at developing and managing partnerships are best positioned to reach performance targets," Ravi added.

IDC’s recently published bulletin, Partnering for Results: Providing Integrated Logistics Value Chain Services (IDC #B24140), examines how elogistics service providers can use strategic partnerships to improve speed to market and the depth of their service offerings. Partnering advantages and disadvantages are analyzed, and examples of partnerships entered into by elogistics service providers are offered. To purchase this bulletin, contact Jim Nagle at 1-800-343-4952, extension 4549, or at jnagle@idc.com.

About IDC

IDC delivers dependable, high-impact insights and advice on the future of ebusiness, the Internet, and technology to help organizations make sound business decisions. IDC forecasts worldwide markets and trends and analyzes business strategies, technologies, and vendors, using a combination of rigorous primary research and in-depth competitive analysis. IDC provides global research with local content through more than 700 analysts in 43 countries worldwide. IDC's customers comprise the world's leading IT suppliers, IT organizations, ebusiness companies, and the financial community. Additional information can be found at http://www.idc.com.

IDC is a division of IDG, the world's leading IT media, research and exposition company.

 

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