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Coopetition and Project Management

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Luis Branco CEO| Business Insight, Consultores de Gestão, Ldª Carcavelos, Lisboa, Portugal
What does Coopetition mean to you?

To what extent can the concept of coopetition be introduced within project teams?
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Thomas Walenta Global Project Economy Expert Hackenheim, Germany
Well, it is the hybrid of competition and cooperation. And it is an example of an agile organization, which adapts to circumstances (aka is opportunistic). Still there might be a strategic component to it: win market share in the long term.

Think given the increasing speed of changes, a traditional competitor might morph into a potential partner. First in specific situations, and if disruption of a market place is growing, as a long term partnership, even a joint venture or M&A.

A problem is if you shaped a culture over long years to see others as the enemy, it is harder to accept for staff that it now becomes a partner. External enemies for both might be a trigger to seek cooperation, see the automotive industry and Tesla, US/Russia vs. global warming.

In terms of project economy, what are enemies? We deal with them as adversary stakeholders anyhow. We seek to borrow power by cooperation and increasing value. We do not think the world is a zero sum game, but believe that we can add value by cooperation. As a profession, we think competition is not a helpful behavior. So we would rather look at cooperation and probably use coopetition as a strategy to change our competitive organization.
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2 replies by Luis Branco and Rami Kaibni
Jan 26, 2020 8:59 AM
Luis Branco
...
Dear Thomas
Thank you for participating in this reflection and for your opinion

This culture, that of competition, was introduced to us from an early age and for many years.

In Portugal, from an early age (school, grading system)
In organizations, within the teams where we are integrated, it is very important to create a culture of cooperation
Jan 26, 2020 4:46 PM
Rami Kaibni
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Spot on Thomas, very well explained !
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Kiron Bondale Retired | Mentor| Retired Welland, Ontario, Canada
Luis -

One example I'd suggest is the use of the "Share" risk response strategy for opportunities (positive risks).

Let's say we are at an automotive tradeshow alongside a competitor and both of us are selling the same parts for an electric car.

This is an emerging market, and it is in our mutual best interests for it to grow, so if one of us ends up with more sales leads than we can effectively respond to, it would be wise to share them with our competitor to ensure the market is growing well.

Kiron
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2 replies by Joao Sarmento and Luis Branco
Jan 26, 2020 9:03 AM
Luis Branco
...
Dear Kiron
Thank you for participating in this reflection and for your opinion

Do you think the situation mentioned is possible?

As project managers, can we, within our teams, promote cooperation around a common goal?
Jan 26, 2020 3:09 PM
Joao Sarmento
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Hi Kiron,

After reading your thoughts, I agree it's a matter of growing the market instead of increasing the market share.
It's competitive form of win-win cooperation.
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Drew Craig Sr. Agile & Product Coach| Vanguard Philadelphia, Pa, United States
Really, great explanations and examples. Thank you, Kiron and Thomas.
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1 reply by Luis Branco
Jan 26, 2020 9:03 AM
Luis Branco
...
Dear Andrew
Thank you for participating in this reflection and for your opinion
avatar
Luis Branco CEO| Business Insight, Consultores de Gestão, Ldª Carcavelos, Lisboa, Portugal
Jan 26, 2020 7:05 AM
Replying to Thomas Walenta
...
Well, it is the hybrid of competition and cooperation. And it is an example of an agile organization, which adapts to circumstances (aka is opportunistic). Still there might be a strategic component to it: win market share in the long term.

Think given the increasing speed of changes, a traditional competitor might morph into a potential partner. First in specific situations, and if disruption of a market place is growing, as a long term partnership, even a joint venture or M&A.

A problem is if you shaped a culture over long years to see others as the enemy, it is harder to accept for staff that it now becomes a partner. External enemies for both might be a trigger to seek cooperation, see the automotive industry and Tesla, US/Russia vs. global warming.

In terms of project economy, what are enemies? We deal with them as adversary stakeholders anyhow. We seek to borrow power by cooperation and increasing value. We do not think the world is a zero sum game, but believe that we can add value by cooperation. As a profession, we think competition is not a helpful behavior. So we would rather look at cooperation and probably use coopetition as a strategy to change our competitive organization.
Dear Thomas
Thank you for participating in this reflection and for your opinion

This culture, that of competition, was introduced to us from an early age and for many years.

In Portugal, from an early age (school, grading system)
In organizations, within the teams where we are integrated, it is very important to create a culture of cooperation
...
1 reply by Thomas Walenta
Jan 26, 2020 10:09 AM
Thomas Walenta
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Luis,

agree. I think both competition and cooperation are needed for society and project managers. And both feed each other. Yin-yang.

Competition has its merits in enabling growth and surviving with rare resources. It is a belief in economics and all for-profit organizations. A organizational hierarchy, even a traditional family, and most sports encourage competition. It is the result of a mindset of individual freedom and autonomy and a component of the culture of achievement, building on protestantism and prevalent in US, Japan, China, UK and Germany.

Cooperation on the other side is more representing an open mindset, believing in growth beyond zero-sum (Singularity University calls ours the age of abundance). It puts community, fairness, respect and honesty above individual freedom. Long term thinking and good relationships are more important than quick wins and transactional dealings.
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Luis Branco CEO| Business Insight, Consultores de Gestão, Ldª Carcavelos, Lisboa, Portugal
Jan 26, 2020 7:18 AM
Replying to Kiron Bondale
...
Luis -

One example I'd suggest is the use of the "Share" risk response strategy for opportunities (positive risks).

Let's say we are at an automotive tradeshow alongside a competitor and both of us are selling the same parts for an electric car.

This is an emerging market, and it is in our mutual best interests for it to grow, so if one of us ends up with more sales leads than we can effectively respond to, it would be wise to share them with our competitor to ensure the market is growing well.

Kiron
Dear Kiron
Thank you for participating in this reflection and for your opinion

Do you think the situation mentioned is possible?

As project managers, can we, within our teams, promote cooperation around a common goal?
avatar
Luis Branco CEO| Business Insight, Consultores de Gestão, Ldª Carcavelos, Lisboa, Portugal
Jan 26, 2020 7:51 AM
Replying to Drew Craig
...
Really, great explanations and examples. Thank you, Kiron and Thomas.
Dear Andrew
Thank you for participating in this reflection and for your opinion
avatar
Thomas Walenta Global Project Economy Expert Hackenheim, Germany
Jan 26, 2020 8:59 AM
Replying to Luis Branco
...
Dear Thomas
Thank you for participating in this reflection and for your opinion

This culture, that of competition, was introduced to us from an early age and for many years.

In Portugal, from an early age (school, grading system)
In organizations, within the teams where we are integrated, it is very important to create a culture of cooperation
Luis,

agree. I think both competition and cooperation are needed for society and project managers. And both feed each other. Yin-yang.

Competition has its merits in enabling growth and surviving with rare resources. It is a belief in economics and all for-profit organizations. A organizational hierarchy, even a traditional family, and most sports encourage competition. It is the result of a mindset of individual freedom and autonomy and a component of the culture of achievement, building on protestantism and prevalent in US, Japan, China, UK and Germany.

Cooperation on the other side is more representing an open mindset, believing in growth beyond zero-sum (Singularity University calls ours the age of abundance). It puts community, fairness, respect and honesty above individual freedom. Long term thinking and good relationships are more important than quick wins and transactional dealings.
...
1 reply by Luis Branco
Jan 26, 2020 11:48 AM
Luis Branco
...
Dear Thomas
Thanks for sharing your opinion

I fully subscribe to what you have written
avatar
Luis Branco CEO| Business Insight, Consultores de Gestão, Ldª Carcavelos, Lisboa, Portugal
Jan 26, 2020 10:09 AM
Replying to Thomas Walenta
...
Luis,

agree. I think both competition and cooperation are needed for society and project managers. And both feed each other. Yin-yang.

Competition has its merits in enabling growth and surviving with rare resources. It is a belief in economics and all for-profit organizations. A organizational hierarchy, even a traditional family, and most sports encourage competition. It is the result of a mindset of individual freedom and autonomy and a component of the culture of achievement, building on protestantism and prevalent in US, Japan, China, UK and Germany.

Cooperation on the other side is more representing an open mindset, believing in growth beyond zero-sum (Singularity University calls ours the age of abundance). It puts community, fairness, respect and honesty above individual freedom. Long term thinking and good relationships are more important than quick wins and transactional dealings.
Dear Thomas
Thanks for sharing your opinion

I fully subscribe to what you have written
avatar
Joao Sarmento Senior Project/Program Manager| UNITEL Luanda, Luanda, Angola
Jan 26, 2020 7:18 AM
Replying to Kiron Bondale
...
Luis -

One example I'd suggest is the use of the "Share" risk response strategy for opportunities (positive risks).

Let's say we are at an automotive tradeshow alongside a competitor and both of us are selling the same parts for an electric car.

This is an emerging market, and it is in our mutual best interests for it to grow, so if one of us ends up with more sales leads than we can effectively respond to, it would be wise to share them with our competitor to ensure the market is growing well.

Kiron
Hi Kiron,

After reading your thoughts, I agree it's a matter of growing the market instead of increasing the market share.
It's competitive form of win-win cooperation.
...
1 reply by Luis Branco
Jan 27, 2020 3:48 AM
Luis Branco
...
Dear João
Thank you for participating in this reflection and for your opinion

Do you think it is possible that, at a car show, a manufacturer will deliver a part of its order book to a competitor just to increase the market?
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Alexandre Costa Scrum Master| Integer Consulting - Pictet technologies Loures, Portugal
Hi Luís,

I think @Thomas presented the topic very well, nevertheless in case of corporations or join ventures all in name of share resources so they could apply to big projects, be aware that the corporations should be aware that the leverage of one partner at the expenses of the other partner in name of growth could happen. ( Is it ethical , I have doubts )

Alexandre.
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1 reply by Luis Branco
Jan 27, 2020 3:54 AM
Luis Branco
...
Dear Alexandre
Thank you for participating in this reflection and for your opinion

In large projects and because there is complementarity in the services they offer, there are companies that compete in consortium

We can also watch the subcontracting of services from companies that offer similar products

In the second scenario, are we talking about coopetition?
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