consolcollab

Integrated Business Planning: Collaboration vs Consolidation

Is it beneficial to invest in building collaboration across your value network? or is it simpler to just buy/build upwards or downwards in your value network – vertical integration? While one side promises flexibility and focus, the other side gives total alignment. So which of these is better – just collaborate better or just buy them? Obviously the situation in the industry determines which way a business entity might want to go. But, perhaps there are elements of collaboration (breaking down silos, visibility, etc) that you can incorporate into the consolidation and there are elements of consolidation (capital instruments, skill mobility, etc) that you can incorporate into collaboration.

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