Leadership Transitions: The Watkins Collection (4 Items)

Also, dispute resolution tools and techniques can help over-

come these barriers. To deal with perceptions of mutual vulner-

ability, for example, it sometimes helps to fashion insurance

policies for the other side. Suppose, for example, that Beta de-

cided to pull out all the stops and guarantee delivery of fully

functional sterilization systems to the two new Omega hospitals

in a very short time frame. Suppose that Omega is worried that

if Beta fails, and it hasn’t contracted with the competitor, it will

be in even more trouble. To reduce the risk for Omega, Beta

could offer to post a substantial performance bond with a third

party that would be paid in the event of nonperformance. This

could both signal Beta’s commitment to the relationship and

greatly ...