Innovation Without Walls: Alliance Management At Eli Lilly And Co. Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Focus: Relationships, Operations, and Capability?

To make a strategic alliance successful, the company needs to implement the three fit dimensional model that is based on cultural, operational and strategic fit of the company along with the other alliance company. With the aid of this dimensional model, Lilly would be able to make reductions in the issues and conflicts among the parties that are engaged with each other and helps the company in avoiding the negative consequences. The first element of the model is based on strategic fit that comprises of making alignment between the companies along with its partner company. Next, it will also aid in terms of commitment, identification and fulfillment from both the parties. The next factor in the model is the operational fit that is based on ensuring smoothness in operations with the partner company to bring productivity and better decision making. The last dimension in the model is based on cultural fit that comprises of making adjustments with different cultures of the respective partners.

Moreover, the company also needs to make associations with the subsidiaries that are overseas and particularly with Official Alliance Management just to duplicate their services, capabilities and proficiencies in other partners.

In order to do this successfully, the company can provide training through directing employees through a team of experts about the cultures in which the employees will go to work in the future. Moreover, it will help Lilly in making their employees filled with up to date knowledge.

Further, the company can also make collaborations with Official Alliance Management and give them the desired level of data and knowledge with respect to the culture, strategies and operations of the partner company. Moreover, the decisions should be made with the consensus of both the parties, however; internal decisions can be made through local consensus.

The main focus of the company with respect to the Official Alliance Management will be more inclined towards developing and fostering good relationships with the counterparty. On the other hand, the operations side of Lilly will be more focused on making improvements in terms of maintaining its relationships and research & development for the products as well. The most valuable element in the company will be on maintaining and enhancing its relationships with the partners because the strategy will primarily be based on bringing interaction and collaboration.

The value proposition of the company can be augmented through two ways. Either, Lilly can maintain its relationships with the partners, or it focus more towards the operations side of the company. Both the cases have positive consequences over the shareholder’s wealth. Nevertheless, most appropriate decision for the value increment is to bring enhancement in collaboration and interaction, and this can be done by managing relationships properly.

Selection, Training and Promotion of Alliance Managers

The company can face the challenge in choosing alliance managers in the future; therefore, the company should focus on the selection of alliance managers who are critical figures in the success of any alliance. The selection should consider employees from within the organization and room should be made for external selection in order to select the person possessing the ability to lead as an alliance manager. After selecting the employees as an alliance managers, the training is important in order to align the managers with the mission of the company.

To achieve this mission, there is a need for training programs which can be supervised by existing alliance managers. Training can play a vital role as alliance managers by using their experience and expertise can deliver sufficient knowledge to the newly selected managers that can help them gaining a holistic view about the importance of alliances and what role cultural differences can play. These training programs are of immense importance, and a timely decision can prove to be very important towards the success of the alliance. Furthermore, the promotion of already alliance managers is also an important factor to consider to ensure the success of the alliance.

SWOT Analysis

Strengths

The strengths of the company include its ability to develop products in almost every area of therapeutics. Besides the company has a strong hold on research and development due to huge investments made by the grandson of Colonel Eli Lilli, which gave the company scope to flourish in various fields. On the other hand, the global presence has also been marked as a strength of the company that allows the company to increase and strengthen its ability to make strong strategic and marketing alliances. Furthermore, a strong employee base with over 45000 employees around the globe and presence in around 138 countries also adds to the strengths of the company..............................

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