A hallmark of a Vested agreement is that it is a formal relational contract. This means putting the relationship first and co-creating a formal Shared Vision that codifies the Guiding Principles for the partnership. In other words, a shared vision is the relationship’s destination, and the jointly negotiated Guiding Principles is the GPS. You need […]
guiding principles
Forbes — 22 Sept. — Guiding Principles
Follow Guiding Principles To A Successful Contract Article by Kate Vitasek published 22 Sept. in Forbes. A National Bureau of Economic Research paper highlights new research on how to overcome contractual incompleteness. Traditional contracting approaches have inherent flaws and a “new approach” that embeds informal social norms formally into a contract can help parties mitigate opportunistic behaviors, […]
Teams and Social Norms
I’ve talked about the need for establishing guiding principles—or social norms—for negotiating and operating strategic contract relationships but . It’s important that the norms embodied in the “what’s in it for we?” contract negotiation process be firmly embedded throughout the organization, or else new and existing relationships will struggle. Everyone should be on the same […]
It’s All Personal!
It’s time to bury that old excuse for bad or questionable behavior in business – you know, the one where the executive “kindly” remarks after stepping all over someone, “It’s not personal, it’s just business.” At the International Association of Outsourcing Professionals (IAOP) conference this week I was sitting in on a session on negotiation […]
Have Faith While Walking the Walk
We’re all on journeys both in our personal and business lives. It’s a cliché to say that life is a journey, but it’s also a basic truth. These thoughts come to mind after recently watching The Way, starring the wonderful Martin Sheen. The movie is an inspirational story about family, friends, and the challenges we […]
Developing a Shared Vision and Guiding Principles
Getting to We is a process. After partners assess the levels of trust and compatibility between them and agree that there is enough trust and compatibility, they are ready to move on to the next step in the process: developing a shared vision for the relationship. It is vital that the parties view each other […]
