Why partnerships matter in Asia-Pacific
PARTNERSHIPS are essential for organisations seeking to either expand their footprint, boost their influence or successfully grow their business. And it’s not just about seeking one out within an immediate stakeholder group. Developing partnerships within a wider ecosystem can add immense value; not just for profits, but as part of your organisation’s wider remit to do good for people and the planet.
It appears Asia-Pacific organisations recognise this more so than their global counterparts. Compared with global chief executive officers, Apac CEOs are up to 6 per cent more likely to forge partnerships outside established stakeholder groups. We see great value across the entire chain of outcomes.
Unlike other markets elsewhere around the world, Asia-Pacific comprises multiple diverse countries, each with its own unique business practices, cultural nuances, and regulatory environments. This added dimension means that a strategic approach to localisation, trust-building, and innovative thinking is required. It makes partnerships indispensable. As a leader in this market for more than 30 years, I’ve seen how partnerships enable better outcomes, and help foster innovation against the backdrop of technological change.
Localisation support and trust-building
There’s beauty in the fragmented nature of the Asia-Pacific region. Yet it presents unique challenges that organisations must navigate carefully. While we’re famous for our diversity, it comes with the need for a deep understanding of local business practices and cultural nuances.
To meet these needs, partnerships can provide critical localisation support and help establish trust. These are crucial for successful market entry, expansion and growth. By connecting global organisations to established distribution networks, facilitating business transactions, and building trust with local enterprises, partnerships become the lynchpin of successful market penetration and expansion.
While it’s cliche, the pace of technological change has never been sharper than in recent times, amid the explosion of generative artificial intelligence (GenAI). This new megatrend is reaching all sectors, and partnerships are not exempt. These changes are forcing organisations to re-evaluate their existing relationships and to seek out innovative collaborators – those that can offer a different level of strategic value.
Traditional partnerships are being challenged to keep up with advancements in fields such as cybersecurity and AI. It’s no longer just about those that can bring regional presence, scale and longevity. As organisations transform to meet changing customer needs and experiences, they want partners who can bring innovative thinking, robust insights and development capabilities, and the ability to pilot new cutting-edge ideas.
Another trend we’re seeing is organisations that seek fewer but more agile partners that are willing to co-invest and drive mutual growth. The speed of change means that long-term planning has shifted from a horizon of two to three years to a more immediate focus. Metrics such as the number of acquisitions and the ability to pivot quickly become indicators of a partner’s agility and relevance.
Trust reigns supreme
Trust is and will always remain at the heart of successful partnerships in Asia-Pacific. GenAI and other cutting-edge technologies will no doubt continue to evolve. But on a human level, trust is about being there when problems arise. It’s about solving challenges together. Establishing trust, particularly among leaders, is essential for fostering strong, enduring partnerships. And however much the world, industry and business change, trust is, and will continue to be, built through continuous value delivery.
And trust remains strong in Apac. According to the Edelman Trust Barometer 2024, major markets from the region including India, Indonesia, Thailand, Malaysia and Singapore lead on trust, while trust in Western markets has swung the other way (not one G7 country is in what Edelman describes as “trust territory”).
Trust is also a critical component of successful sustainability strategies, playing a crucial role in attracting and retaining partners. As stakeholders increasingly prioritise environmental and social responsibility, demonstrating a commitment to sustainability can enhance the attractiveness of partnerships.
Partnerships are the cornerstone of successful organisations in our diverse and culture-rich region. They enable companies to navigate the unique challenges of each market by providing critical localisation support, building trust, and fostering innovative thinking. As technology continues to evolve exponentially, the ability to adapt and deliver continuous value through innovation will define the future of successful partnerships in Asia-Pacific. If there’s one thing I’ve learnt about getting ahead in our region, it’s that business leaders must prioritise agile, trust-based partnerships to thrive.
The writer is chief executive officer, Singapore, at NTT DATA Inc
