Our last two posts:
• noted that vendor/client relationships in the toll industry have become more confrontational and identified a number of direct and indirect costs associated with confrontation
• explained that converting operations plans to take advantage of new, automated technology, coupled with rapid growth in the industry, has led to this challenge, and
• concluded that, as we move into a period of increasing economic austerity we have a fiduciary responsibility to our customers to keep costs to a minimum.
So how do we reduce the costs of confrontation?
The first step towards resolving an issue of this nature is to recognize that it is a problem and needs to be addressed.
The second is to be proactive about resolving the issues that lead to confrontation before it happens. Recognizing that both the client and the vendor must benefit from the relationship, this includes:
1) establishing a positive working relationship during the procurement process
2) identifying the common goals of those on the project delivery team at the start of the contract negotiations process, and
3) ensuring that all project requirements are clearly defined in the contract.
Once the contract is signed and the project is underway, this also includes:
4) managing the project keeping everyone’s common goals in mind
5) each party fulfilling its individual responsibilities to the extent possible
6) addressing contentious issues when they first arise and encouraging an open discussion of the concerns associated with each challenge (including letting everyone explain what they need)
7) giving credit where and when it is due (sometimes those that appear to be “the enemy” can solve your problem if you give them a chance), and
8) tempering legal advice with each project’s needs.
And, perhaps most important, those of us advising this industry must recognize that we need to do everything we can to reduce confrontation on each project to avoid a conflict of interest on our part.
Other industries have found that a process called Project Team Alignment can help minimize conflicts. Though this process is likely most effective at the inception of a project, it has also been productive when utilized during the project after conflicts arise, and has been found to be most effective when implemented on an on-going basis throughout the life of the project. Integration of the Project Team Alignment function into the contract requirements for managing each project can help reduce conflict; and, if done correctly, we can all spend much more time enjoying life like in the picture above, than working overtime trying to find a path through unnecessary chaos.
More information on Project Team Alignment can be obtained by contacting us at: etransgroup@gmail.com
__________________
Photo courtesy of Luis Alberto Sanchez, eTrans’ associate in San Juan, PR.
© 2013 The eTrans Group, Inc.