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When Internal Collaboration Is Bad for Your Company

Ron Josef Magarzo

When Internal Collaboration Is Bad for Your Company is an article written by Martin T. Hansen. Martin
Hansen opens with the line that states that collaboration is for the most part good for a business but then the following
paragraph contains the picture perfect failed result of what happens to a failed collaboration effort. The following
paragraphs can be summarized into a lesson on how a collaboration could go bad by using the failed DNV venture.
The writer then goes on with the common errors that businesspersons omit that cause the failure of their said venture.
By the end of the work, Hansen mentions how collaboration, with careful research, can turn a profit and increase the
value of a business.

Now for my thoughts about Hansen’s work. I do have to agree with Hansen, true collaboration in theory is
great for a company’s development and growth; however, in practice there are so many factors to consider before
committing to such a venture. He states that one has to take to account projected return, opportunity cost, and
collaboration cost before seeing the collaboration premium. To put things in a non-technical language, one must weigh
in the risk and investment over reward. I, on the other hand, would like to add that one factor that should be taken to
consideration is employee factor. Employees assigned to the collaboration venture should be judged and scrutinized
thoroughly in order to ensure the success of the said venture. Without taking human error/agenda as a factor, the
collaboration premium would be less optimal compared to the possible premium.

The article discusses the positive and negative sides of internal collaboration for a company. The factors
needed to see the realistic fruits of the venture. My take away from this article is that before making any financial
decision you should and must assess every possible factor you have to invest and weigh the realistic result. Then and
only then would you confidently say that you made the right choice.

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