Network Management Resources: The next important factor is the network management resources. The policies and collaborative transaction rules dictate the extent of management resources committed for the business network. This factor also helps to assess the flexibility and control available in the network.

Network Roles in Collaboration: There are three distinct roles in a collaborative virtual business network. Each of these roles is equally important from the point of view of achieving success together. The first kind of role is that of the Architect. The architect can be considered as the administrator of the virtual business network. He has the overall view of the network companies and their capabilities. The next role is that of the Broker.

The broker finds opportunities and potential customer for the virtual business network and then based on the customer requirements helps Architect to make a work execution plan. The broker is also the link for the virtual business network to other networks and customers.

The third and most important role is that of the Coach. The coach is responsible for building relationship among the businesses in the virtual business network. He deals with the members of different companies in order to develop trust, define the responsibility and accountability hierarchy, solve problematic issues, and address issues which improve the cohesiveness of the team. These well defined roles must exist in an operational business network.

Joint Network Capability: In a collaborative environment, there is a need to formulate a joint network capability of the business network. This capability definition helps to highlight the expertise available in the business network and also brings out the gaps and positions still required to be filled up with new small businesses with those requisite business domain knowledge.

The small businesses planning to join business networks can look for this aspect in deciding availability of opportunities fro exposing their business expertise. The potential customers can asses the capability of the network easily before committing their projects to these business networks.

Innovation and Alliances: The operational business networks have a common strategy and plan for collaborative product development. This also involves investment in research groups and project funding for developing new products. The alliances determine the reach of the business network in the global market.

Common Rules and Guidelines: The best business networks have well defines and efficient processes that define execution, management and reporting of internal and external business activities.

Legal Agreements: Since the business networks have many members, it is very important for defining and agreeing to detail legal agreements in the areas of collaborative working, Intellectual Property management, non-performance rules and risk and rewards rules. The legal agreements provide the cohesion and stability which these networks possess.

Rating Business Networks

By performing careful analysis of the factors that are exhibited by the networks, a rating system can be developed easily. The factors bring out the key issues of stability, cohesion, future perspective and the probability of success of a business network. Based on this rating method the business networks can be grouped into three major categories.

Beginner Networks: A business network in its early stages of formation and it needs more time to develop.

Temporal Network: This business network is an ad hoc network formed on temporary basis and is not stable.

Stable Network: This is a fully operational business network with stability and capability to achieve projects successfully in a collaborative environment.

Communication Tools 

TrackBack URI for this entry

Comments (0)

Subscribe to this comment's feed

Show/Hide comments

Show/Hide comment form