Nonprofit and Voluntary Sector Quarterly Volume 38 Number ...
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117
Nonprofit and VoluntarySector Quarterly
Volume 38 Number 1February 2009 117-143
© 2009 Sage Publications10.1177/0899764008316054
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Challenges in MultipleCross-Sector PartnershipsKathy BabiakUniversity of Michigan, Ann ArborLucie ThibaultBrock University, St. Catharines, Ontario, Canada
This research examines challenges associated with partnerships among a group ofcross-sector organizations. The context for this study is a nonprofit organization inCanada’s sport system and its numerous partners in public, nonprofit, and commercialsectors. The results reveal challenges in the areas of structure and strategy. Specifically,data uncover structural challenges with respect to problems with governance, roles, andresponsibilities guiding the partnerships and with the complexity of partnership formsand structures. The data also uncover strategic challenges, in light of the focus on com-petition versus collaboration among various partners and the changes in missions andobjectives through the duration of the relationship. The results and implications fornonprofit organizations involved in multiple cross-sector partnerships are discussed.
Keywords: cross-sector partnership; sport organizations; structural and strategicchallenges
Huxham and Macdonald (1992) wrote, “There is a fine balance to be struckbetween gaining the benefits of collaborating and making the situation worse”
(p. 50). This balance between gaining the benefits and avoiding the disadvantages ofcollaborating is characteristic of most types of partnerships. With the high failure rateof partnerships (Anderson & Jap, 2005; Mohr & Spekman, 1994), this tenuous bal-ance needs to be understood and managed. A number of theorists have pointed tochallenges associated with same-sector or cross-sector partnerships in the public,nonprofit, and commercial sectors (Anderson & Jap, 2005; Hodge & Greve, 2005;Parise & Casher, 2003; Suen, 2005). These challenges have been attributed to factorssuch as environmental constraints; diversity in organizational aims; barriers in com-munication; and difficulties in developing joint modes of operating, managing per-ceived power imbalances, building trust, and managing the logistics of working withgeographically dispersed partners. Organizations need to think differently about theirpartnerships because there is a growing dependence on multiple partners fromacross sectors. As explained by Parise and Casher (2003), “Because most businessstrategies include more than one alliance, success often depends on how the wholecollection of alliances fit together” (p. 26).
118 Nonprofit and Voluntary Sector Quarterly
Although a great deal has been written on within-sector collaboration and a grow-ing body of work has examined cross-sector partnerships (i.e., public-nonprofit, non-profit-commercial, and public-commercial), much less has been written on multiplecross-sector partnerships involving the complex interchange of organizations frompublic, nonprofit, and commercial sectors (García-Canal, Valdéz-Llaneza, & Ariñio,2003; Hodge & Greve, 2005; Smith, Carroll, & Ashford, 1995). To this end, the pur-pose of this study was to examine the organizational-level challenges associated witha focal nonprofit organization’s interaction with multiple partners across differentsectors. More specifically, this article uncovered challenges related to structural andstrategic factors involved in the multiple cross-sector partnerships of one nonprofitCanadian sport organization.
In Canada, the high-performance sport system offers a rich site to examine the chal-lenges in managing cross-sector partnerships, for several reasons. First, the majorityof organizations in this system are nonprofit entities that have experienced a shift inthe level of financial and organizational support provided to them by the federal gov-ernment. This shift has led to the establishment of multiple cross-sector partnerships asa strategy to offer comprehensive support and resources for Olympic-level athletes andcoaches. Second, the system is comprised of organizational stakeholders from sev-eral sectors, including all levels of government (federal, provincial, and local), non-profit national sport federations (e.g., Athletics Canada, Canada Basketball,Gymnastics Canada), and multisport organizations (e.g., Canadian OlympicCommittee, Commonwealth Games Canada), as well as commercial organizations,including professional sports, sporting goods manufacturers and retailers, corporatesponsors, and the media.
Nonprofit organizations are a focal point in the delivery of sport programs andservices in Canada (i.e., from the sandbox to the podium).1 In light of the recentfunding changes in Canada’s sport system, executives in these nonprofit organiza-tions have faced financial challenges, pressures for greater accountability, andincreased concerns for their athletes to excel in international competitions (Mills,1998; Priestner Allinger & Allinger, 2004; Robertson, 2005). Partnership as a strat-egy to deal with these pressures is relatively new for sport organizations (Frisby,Thibault, & Kikulis, 2004; Noé, 1991; Thibault & Harvey, 1997; Vail, 1994), andconsequently, sport leaders and managers may lack the skills to identify, establish,and manage these partnerships effectively. Canadian sport organizations have tradi-tionally relied on one source of funding for their livelihood (i.e., the federal government),and this funding support has been reduced during the past several years (Mills, 1998;Thibault & Babiak, 2005), but the government is still a strong force in the decisionmaking and strategy development of organizations in the sport system. As a result,sport organizations face increasing pressures to partner with multiple organizationsacross different sectors (public, nonprofit, and commercial). Thus, this context pro-vides us with an opportunity to contribute to the literature by examining organizational-level challenges associated with developing and maintaining multiple cross-sectorpartnerships and how these challenges are interpreted and managed by those involved.
Given the confusing nature of different forms of interorganizational relation-ships, for the purpose of this study, we are using Oppen, Sack, and Wegener’s (2005)interpretation of partnerships. According to those authors, cross-sector partnershipshave specific characteristics.
First, formal autonomous actors, each with his, her, or its own objectives andresources, decide whether they wish to provide certain services in exchange withother actors. Second, interactions between the participants are framed by specific formsof organization—whether contractual or rather informal—and are coupled by virtue of theresources. Complementary resources are combined to serve jointly defined functions.Third, what sets intersectorial cooperation apart is that the participating actors are tiedinto different institutional arrangements roughly described by the generic terms ‘gov-ernment’, ‘market’, and ‘society’. The actions of the cooperating actors are thus deter-mined and guided by different rules and differing basic convictions. (p. 270)
Oppen et al. (2005) explain that intersectorial partnerships are different fromintrasectorial partnerships, and given this definition, we feel it is suitable as a pointof reference for the types of relationships we explore in this study. Oppen et al. haveexplained that cooperating with organizations from different sectors can lead to “rel-atively unstable joint coordination and coupling of resources” (p. 270) relative topartnerships between same-sector organizations. In this article, we are using thegeneric term partnership to include different forms of relationships (e.g., joint ven-tures, collaborations, sponsorships, cooperation, and alliances), although we recognizethat different forms of relationships exist and influence partnership dynamics.
Review of Literature
For nonprofit organizations, multiple cross-sector partnerships are becoming moreimportant than ever. As noted by Linden (2002), “growing numbers of nonprofitagencies are learning to collaborate with corporations . . . by offering some of theirsocial assets for the training, technology, and funds that companies are willing tospend in exchange for those assets” (pp. 5-6). Many researchers who have exploredpartnerships in the nonprofit sector have suggested that the nature of these partner-ships is complex because of the environmental challenges and the diversity of part-ners that are available within and across sectors (Guo & Acar, 2005; Parker &Selsky, 2004; Provan, Isett, & Milward, 2004; Sanyal, 2006). The complexity evi-dent in these types of partnerships is often observable in performance measures thatare unclear, in empirical measurement of goals, in the need to comply with govern-ment regulations, and in the nature of funding, which is often fragmented, withfinancial capital coming from several different sources (Alexander, 1998). Thesefactors make the management of multiple cross-sector partnerships challenging. Inaddition, the location of the organization within competing sectors (e.g., public,
Babiak, Thibault / Partnership Challenges 119
commercial, and other nonprofit) often pulls nonprofit organizations between institu-tional spheres, with the realm of responsibility for societal concerns becoming moreambiguous (Alexander, 1998). As partners, organizations in these different sectorsoften have specific managerial values, beliefs, and expectations that may end uppulling a nonprofit organization in potentially incompatible directions.
As a result of their perceived benefits, partnerships are evident in practice andreflected in the academic literature as a means of reducing uncertainty, acquiringresources, and solving organizational problems. It is often assumed that stakeholderscollaborate voluntarily, sharing common goals and equal power (Hardy & Phillips,1998). In their study of cross-sector partnerships within the U.K. refugee system,Hardy and Phillips (1998), however, maintained that several issues might impair part-nerships, including exploitation, repression, questionable management practices,unfairness, and asymmetrical power relations. Although organizations enter into part-nerships to capitalize on opportunity and reduce uncertainty, factors such as the loss ofautonomy in decision making, power, conflict, and control may create challenges andraise additional uncertainties. Ironically, these issues are often neglected in the litera-ture on multiple partnerships and cross-sector partnerships (Child & Faulkner, 1998;Gray, 1989; Hardy & Phillips, 1998; Linden, 2002; Oliver, 1990; Park, 1996). In thecontext of cross-sector partnerships, Andreasen (1996) identified further consequencesassociated with the ineffective management of these partnerships, including wastedresources (invested time and effort, which may compromise other activities), loss oforganizational flexibility (partners may impose restrictions and limitations), andstructural atrophy (a heavy reliance on one partner or investments of time and energyin maintaining one relationship instead of dedicating energies to exploring the poten-tial of alternative partners). Along similar lines, Eisenhardt and Schoonhoven (1996)suggested that partnerships may prevent managers from taking an initiative in devel-oping essential organizational skills and capabilities because their partners alreadyhave them, thereby lulling the managers into a state of complacency. Further com-pounding these challenges, the issues of self-interest and competition play a role in con-tributing to tensions in the coordination of multiple cross-sector partnerships.
In addressing the purpose of this study, we relied on the work of several researchersto address challenges in multiple cross-sector partnerships involving a nonprofit sportorganization as the entity that coordinates the actions of its partners. We now turn ourattention to a review of this relevant literature. Although an important segment of theliterature on dyadic, multiple, or cross-sector partnerships emphasizes the merits andbenefits of organizations’ collaborating (Child & Faulkner, 1998; Doz & Hamel,1998; Kanter, 1994; Linden, 2002), an increasing number of studies warn leaders andmanagers about the complexities and difficulties of these types of organizational part-nerships (Frisby et al., 2004; Hodge & Greve, 2005; Huxham, 1996; Huxham &Vangen, 2000a; Provan et al., 2004; Wondolleck & Yaffee, 2000).
In their empirical study of partnerships in natural resources and conservationnonprofit organizations, Wondolleck and Yaffee (2000) argued that it is important
120 Nonprofit and Voluntary Sector Quarterly
to understand the difficulties facing the development of multiple and cross-sectorpartnerships and to provide insight into how these challenges have been overcomein practice by leaders and managers. By doing so, “better bridges can be built thatare grounded in the hard work and experiences of others” (Wondolleck & Yaffee,2000, p. 47). The authors discussed the existence of barriers or obstacles in effec-tive multiple cross-sector partnerships. These barriers included conflicting goalsand missions, lack of opportunity or incentive to collaborate, inflexible policies andprocedures that do not support the partnership, constrained resources, mistrust,group attitudes about each other that may not be accurate, different organizationalnorms and culture, and lack of support or commitment to the partnership.
Frisby et al.’s (2004) study of cross-sector partnerships between Canadian localgovernments in sport and recreation departments and nonprofit and commercialorganizations revealed that the management function of partnerships was oftenneglected by organizational leaders. The authors found that cross-sector partnershipswere generally undermanaged and that as a result these partnerships were plaguedwith problems of inadequate managerial structures and inadequate managerialprocesses. Inadequate managerial structures included lack of clear planning and pol-icy guidelines, unclear roles and reporting channels, and insufficient humanresources. Inadequate managerial processes included insufficient training, insuffi-cient time devoted to partnerships, difficulties negotiating competing values, lack ofcommunication, poor coordination, insufficient supervision, lack of evaluation, and alack of partnership retention and termination strategies.
As challenges to cross-sector partnerships, several researchers have identifieddifferences in goals and objectives; in language; and in procedures, culture and power(Coulson, 2005; Huxham, 1996; Smith et al., 1995). According to Huxham (1996),these challenges led to organizations’ not realizing their full collaborative advantage.On the issue of differing values between partnering organizations across sectors,Carroll and Steane (2000) proposed the following explanation:
Partnerships between business, government and non-profits can be problematic whenvalues clash. . . . [V]alues or ideology can influence motivations, beliefs, norms ofbehaviour, and new expectations in managing and delivering a service. In some part-nerships, this may take the form of more conscious and overt consideration of theintangibles. For others, priorities regarding efficiencies and transparency may chal-lenge non-profit partners to engage [in] management practices more aligned with thecorporate world. (p. 50)
On the topic of multiple partnerships, Coulson (2005) argued that “excessivenumbers of partnerships create problems of accountability and create ambiguitiesabout who is responsible for what. Partnerships are a challenge— certainly not apanacea” (p. 155). According to García-Canal et al. (2003), managing multiple part-nerships is more complex than managing dyadic relationships for two reasons: “Thereare fewer incentives to behave cooperatively . . . [and] the incentives for free-riding
Babiak, Thibault / Partnership Challenges 121
behavior are greater when partners are more numerous” (p. 746). The authors explainthat these problems can be addressed by creating formal control mechanisms and byencouraging what they call “relational investments”—relationship building involvingan ongoing process of negotiation, commitment, and execution.
The issue of a competitive–collaborative dichotomy, in which an organiza-tion simultaneously experiences both facilitating and constraining interdependencies(García-Canal et al., 2003; Parise & Casher, 2003), is also a challenge that meritsfurther discussion. Pressures to form partnerships by external agencies (e.g., gov-ernment) and efforts to be more accountable, efficient, cost conscious, and profes-sional have led organizations to engage in partnerships. At the same time, however,the competitive nature of acquiring scarce resources while seeking credibility andlegitimacy can also introduce tensions when collaborating organizations must vie forthese resources. Organizational-level aspects of partnership management may pro-vide insights into how firms interact with multiple cross-sector partners and howpolitical activities are infused within them. The competitive and collaborative natureof all partnerships—particularly within-sector alliances (e.g., between two or morenonprofit organizations or between two or more corporate firms) has been identifiedby authors such as Austin (2000), Kanter (1994), and Huxham and Vangen (2000b).These authors claim that dual pressures often create tensions within (because ofinternal struggles related to a reluctance to sacrifice autonomy) and between firms(because of a desire to gain relative power over others and to secure a prime positionwithin their general organizational domain; Wilson, 1992). Many of these tensionsare founded on the premise that partnerships are not a naturally occurring businessphenomenon; that is, managers do not want to depend on others or share in decision-making activities between organizations (Spekman, Forbes, Isabella, & MacAvoy,1998). Furthermore, scholars (Doz & Hamel, 1998; Provan et al., 2004; Roussin Isett& Provan, 2005; Winkler, 2006) have suggested that the coordination of multiplepartners with the purpose of achieving common goals is difficult because individualand group interests are often pursued over organizational or broader network interestsand because of the high degree of managerial complexity involved in the process.
We are proposing to contribute to the literature on multiple and cross-sector part-nerships by addressing these concepts collectively and by addressing the challengesorganizations face as they undertake partnerships with several organizations concur-rently from different sectors. In the following section, we present the researchmethods we carried out to address multiple cross-sector partnerships in the casestudy of a nonprofit organization.
Research Method
In this study, multiple cross-sector partnerships were examined between a focalorganization2 and its partners in the public, nonprofit, and commercial sectors. To
122 Nonprofit and Voluntary Sector Quarterly
uncover challenges inherent in multiple cross-sector partnerships, a qualitativeresearch approach was selected to incorporate quality, depth, and richness in the data.
Research Context
The site for this study was a Canadian Sport Centre3 identified hereafter as CSC.There are eight other CSCs that have been created to provide centralized programsand services to Olympic-level (elite) athletes and coaches. The structure of the part-nerships for all CSCs includes (a) government partners (that provide financial sup-port), including Sport Canada (federal government) and the provincial government inwhich the CSC operates; (b) nonprofit partners (that provide some funding and carryout programs and services) such as the Coaching Association of Canada, theCanadian Olympic Committee, Legacy Organization (a pseudonym), a university,and national sport federations; and (c) corporate partners (commercial organizationsoperating in different businesses; e.g., energy production, pharmaceuticals, andfinancial services).
Data Collection
The study design incorporated two main approaches to evidence gathering: (a) doc-ument analysis and (b) semistructured interviews. In total, 110 organizational docu-ments dating back to the inception of the CSC under examination (1994) werereviewed and analyzed.4 As well, 28 semistructured interviews were conducted withCSC staff and partners who were identified as the primary individuals involved informing and managing the partnership. Data were gathered from various individu-als, including members of the core management team and executive board at theCSC as well as a group of senior executives (i.e., CEOs, executive directors, vicepresidents) in 14 of the partnering organizations.5 Participant numbers, partner type,and characteristics of the general roles and responsibilities are provided in Table 1.
Procedure
Interviews explored participants’ strategies, interests, perceptions, personal expe-riences, and expectations regarding their partnerships. Our intent was not to assumethat particular partnerships might exhibit particular challenges. Informants wereencouraged to discuss the benefits, challenges, and tensions experienced in their owncontexts and were probed for specific meanings and examples whenever possible.Questions covered relevant areas, such as what problems managers might expect toaddress at the onset of a partnership, the potential causes of conflict during the for-mation of this partnership (i.e., managerial ideology, uncooperativeness, lack of infor-mation, value dissonance), and ways they had overcome these conflicts. In addition,questions were posed related to informants’ (and their organizations’) willingness to
Babiak, Thibault / Partnership Challenges 123
engage in partnerships and their perceptions of possible benefits of multiple cross-sector partnerships. The length of each interview ranged from 1 to 2 hours.
Data Coding and Analysis
The first stage of data analysis included the examination of all documents for anyreference to, or statement made about, any partnership (e.g., alliance, cooperation, col-laboration, network, partner, sponsor, or supporter). All passages relating to any type ofinteraction between or among organizations were highlighted and transcribed into acomputer file, assigned to ATLAS.ti (qualitative data analysis software), and subse-quently treated in the same manner as the interview transcripts. Specifically for thisstudy, documents were assessed for commentary regarding the process of partnershipformation and management, the negotiations that occurred at the outset, and any diffi-culties encountered in this process. Interviews were transcribed verbatim and analyzedusing ATLAS.ti as well. Analysis of the data enabled identification, expression, andsense making of the informants’ responses and the content of documents.6
Results
In the following paragraphs, the results of this research are presented. From theinterview transcripts and the documents analyzed, two categories of multiple cross-sector partnership challenges were evident in the results: structural and strategic.Under structural challenges, two areas of concern were identified: (a) governance,roles, and responsibilities and (b) the complexity of partnership forms. Two issues werealso raised under strategic challenges: (a) focus on competition versus collaborationand (b) changing missions and objectives. A summary of the results is presented in
124 Nonprofit and Voluntary Sector Quarterly
Table 1Breakdown of Informant Number, Role, and Relationship Type
Role Interviewsa How Relationship Is Defined or Supported
Canadian Sport Centre 7 (12) Responsible for delivery of programs or services staff or board to eligible high-performance athletes; manage
multiple cross-sector partnershipsGovernment partners 2 (2) Common objectives or interests—financialNonprofit partners 15 (27) Programming and service delivery; coordination
of services across country or resource sharingCorporate partners 4 (8) Community involvement—financial or in-kindTotal number of interviews 28
a. Numbers in parentheses reflects total number of possible informants or organizations from which toselect; e.g., 15 nonprofit partners were interviewed out of 27 nonprofit partner organizations in total.
Table 2. The table presents sample representative quotations regarding structural andstrategic challenges per sector (public, nonprofit, and commercial) and providesquantitative data to complement the qualitative results (i.e., number of times the cat-egory appears in the data and the percentage of interviewees who identified and dis-cussed the category).
Structural Challenges
A number of structural challenges in the multiple cross-sector partnerships in thiscase became evident as the data were analyzed. Two structural challenges were ofprimary concern: challenges with governance, roles, and responsibilities and thecomplexity of partnership forms and structures evident in the group of collaboratingorganizations.
Governance, roles, and responsibilities in the partnerships were mentioned a totalof 157 times in the data by 86% of the interviewees. This theme encompassed theextent to which partnerships were formalized with written rules, policies and proce-dures; the degree to which roles in the relationship were clearly defined (i.e., whodoes what); and who was responsible for overseeing major decisions in the relation-ship. Nonprofit partners and members of the CSC had the most concerns (i.e.,number of responses) on this issue, although all government and corporate partnerswere represented in this category. For members of the CSC, this issue was of partic-ular concern because they were overseeing the multiple cross-sector partnerships.CSC interviewees felt that there were often challenges in identifying who should dowhat in the partnership, who should have the responsibility for particular areas, andwho should have the responsibility for maintaining or managing the relationships.As a result, some felt that the efficiencies sought by the partnerships in the first placemight be compromised by not dealing with establishing governance, roles, andresponsibilities among several partners from different sectors. Government repre-sentatives suggested that they had to deal with challenges by representing larger enti-ties in the partnership (i.e., provincial or federal governments) and having to consultwith their organization’s executives, which slowed down the decision-makingprocess on many issues involving the governance and management of the multiplecross-sector partnerships. Nonprofit partners raised concerns about a lack of effi-ciency resulting in unclear roles and responsibilities in the relationships. And withthe growing number of relationships established by the CSC, corporate partnerssuggested that challenges existed because of lack of human resources to accomplishall of the duties necessary to sustain these partnerships. One of the main challengesaddressed by partners in all sectors, including CSC members, was the unclear responsi-bilities for the partnerships, or who was accountable for managing, evaluating, andmeasuring outcomes (organizational and system wide).
Another structural challenge identified in the data was the complexity of multiplecross-sector partnership forms and structures. This challenge was mentioned a total
Babiak, Thibault / Partnership Challenges 125
(text continues on p. 134)
Tabl
e 2
The
mes
Ide
ntif
ied
Reg
ardi
ng C
halle
nges
in M
ulti
ple
Cro
ss-S
ecto
r P
artn
ersh
ips
Num
ber
ofPe
rcen
tage
of
times
In
terv
iew
ees
cate
gory
R
epre
sent
ed in
C
ateg
ory
nam
e or
them
eSa
mpl
e R
epre
sent
ativ
e Q
uota
tions
appe
ars
in d
ataa
Cat
egor
ybC
onse
quen
ces
Stru
ctur
al c
halle
nges
(a)
Prob
lem
s w
ith g
over
nanc
e,15
786
Cha
lleng
es in
iden
tifyi
ng w
ho d
oes
wha
t ro
les,
or r
espo
nsib
ilitie
s in
rel
atio
nshi
pgu
idin
g re
latio
nshi
pD
ecis
ion-
mak
ing
pow
er q
uest
ione
d.C
anad
ian
Spor
t Cen
tre
“The
re is
a n
eed
for
thin
gs to
58
71In
divi
dual
s w
ho s
erve
as
‘con
veno
rs’
chan
ge to
bec
ome
mor
e sh
ould
er b
urde
n of
mai
ntai
ning
fo
rmal
ized
—if
I g
et h
it by
re
latio
nshi
p.a
bus,
the
orga
niza
tion
Del
ays
in a
chie
ving
obj
ectiv
es.
will
suf
fer.”
Eff
icie
ncy
is c
ompr
omis
ed b
ecau
se it
G
over
nmen
t par
tner
s“W
e w
rite
dow
n a
few
thin
gs
1710
0ta
kes
time
to f
igur
e ou
t gov
erna
nce,
and
away
we
go. W
e do
n’t
role
s,an
d re
spon
sibi
litie
s.ha
ve a
lot o
f pa
perw
ork,
or
Ove
rsig
ht—
who
is r
espo
nsib
le f
or
rule
s or
reg
ulat
ions
.”ev
alua
ting
and
mea
suri
ng o
utco
mes
“I
t has
n’t b
een
fully
thou
ght
(org
aniz
atio
nal a
nd s
yste
mw
ide)
—is
th
roug
h. T
hat i
s on
e of
the
uncl
ear.
chal
leng
es o
f pa
rtne
rshi
ps—
Non
prof
it an
d go
vern
men
t ho
w f
ar jo
int d
ecis
ion
mak
ing
repr
esen
tativ
es o
f pa
rtne
rshi
p ar
e no
t w
ill g
o,an
d ho
w f
ar it
ul
timat
e de
cisi
on m
aker
s—ne
ed to
w
on’t
go.
”co
nsul
t with
thei
r or
gani
zatio
n’s
exec
utiv
es a
nd b
oard
s—th
ereb
y de
layi
ng th
e de
cisi
on-m
akin
g pr
oces
s.N
onpr
ofit
part
ners
“The
re a
re n
o po
licie
s,st
able
6793
arra
ngem
ents
,or
syst
ems
to d
irec
t our
inte
ract
ions
.”“T
he n
atio
nal m
arke
ting
prop
osal
is a
n ex
ampl
e of
som
ethi
ng th
at s
houl
d ha
ve
(con
tinu
ed)
126
Tabl
e 2
(con
tinu
ed)
Num
ber
ofPe
rcen
tage
of
times
In
terv
iew
ees
cate
gory
R
epre
sent
ed in
C
ateg
ory
nam
e or
them
eSa
mpl
e R
epre
sent
ativ
e Q
uota
tions
appe
ars
in d
ataa
Cat
egor
ybC
onse
quen
ces
been
sig
ned
off
on f
rom
all
of u
s,bu
t has
n’t y
et.”
“We
have
to f
orm
aliz
e th
ings
bette
r—ei
ght o
f us
are
now
doin
g th
ings
ver
yin
depe
nden
tly,w
hich
isn’
tef
fici
ent,
but t
here
doe
sn’t
seem
to b
e a
lot o
fw
illin
gnes
s or
eag
erne
ss f
orus
to d
o th
at.”
Cor
pora
te p
artn
ers
“No
cont
ract
s. W
e w
ante
d to
1510
0ke
ep th
ings
sim
ple
with
out
a w
hole
lot o
f bu
reau
crac
y.”
“It c
an b
e in
effi
cien
t bec
ause
the
CSC
doe
sn’t
hav
een
ough
sta
ff to
get
us
info
rmat
ion
in a
tim
ely
man
ner.”
(b)
Com
plex
ity o
f pa
rtne
rshi
p “T
here
is r
eally
a w
ide
scop
e of
27
496
Man
agin
g di
ffer
ent p
artn
er f
orm
s fo
rms
and
stru
ctur
esre
latio
nshi
ps in
our
net
wor
k.
requ
ires
dif
fere
nt s
kills
and
C
anad
ian
Spor
t Cen
tre
Som
e of
them
can
sim
ply
be
8410
0kn
owle
dge.
pass
ing
over
of
a ch
eque
,but
St
ruct
ures
and
sys
tem
s ne
ed to
be
set u
pot
hers
wan
t to
get m
ore
to a
ddre
ss d
iffe
rent
for
ms
of r
elat
ion
=in
volv
ed.”
ship
s (s
peak
dif
fere
nt la
ngua
ges,
have
“The
re’s
a c
ompl
ex w
eb—
in s
ome
diff
eren
t exp
ecta
tions
,goa
ls a
ndca
ses,
we
have
ten
diff
eren
t ou
tcom
es).
leve
ls o
f pa
rtne
rshi
p th
at w
e G
eogr
aphi
c di
sper
sion
of
part
ners
als
oha
ve to
wor
k w
ith.”
requ
ires
dif
fere
nt s
truc
ture
s an
d (con
tinu
ed)
127
Tabl
e 2
(con
tinu
ed)
Num
ber
ofPe
rcen
tage
of
times
In
terv
iew
ees
cate
gory
R
epre
sent
ed in
C
ateg
ory
nam
e or
them
eSa
mpl
e R
epre
sent
ativ
e Q
uota
tions
appe
ars
in d
ataa
Cat
egor
ybC
onse
quen
ces
Gov
ernm
ent p
artn
ers
“The
par
tner
ship
ope
rate
s sl
ight
ly
3710
0sy
stem
s to
ser
ve p
artn
ers
acro
ss th
edi
ffer
ently
bas
ed o
n its
for
m a
ndco
untr
y.th
e ob
ject
ives
of
the
rela
tions
hip.
”V
aryi
ng v
iew
s on
wha
t rel
atio
nshi
ps“E
ach
of th
e fo
undi
ng p
artn
ers
betw
een
orga
niza
tions
are
lead
s to
has
a re
pres
enta
tive
on th
e bo
ard
inef
fect
ive
com
mun
icat
ion,
mis
plac
edof
the
CSC
to r
etai
n th
e in
terp
lay
expe
ctat
ions
,and
fru
stra
tions
with
of th
e de
velo
pmen
t of
the
boar
d po
wer
and
dec
isio
n m
akin
g.an
d th
e ev
olut
ion
and
grow
th
of it
s m
anda
te.”
Non
prof
it pa
rtne
rs“I
dis
cove
red
that
this
is a
hug
e13
810
0co
untr
y an
d w
hat w
orke
d in
one
loca
tion
rega
rdin
g th
epa
rtne
rshi
p fo
rm m
ight
not
wor
k in
ano
ther
.”“T
here
is a
n un
plan
ned,
will
y-ni
llyne
ed to
say
that
you
hav
e a
part
ners
hip
with
som
ebod
y. W
ear
e tr
ying
to o
verp
artn
er—
inm
any
case
s,th
ere
is n
oco
mm
on g
roun
d.”
“We
have
a lo
t of
join
t ven
ture
san
d st
rate
gic
inve
stm
ents
. Ido
n’t t
hink
we
have
ver
y m
any
part
ners
hips
in th
e tr
ue s
ense
of
the
wor
d.”
(con
tinu
ed)
128
Tabl
e 2
(con
tinu
ed)
Num
ber
ofPe
rcen
tage
of
times
In
terv
iew
ees
cate
gory
R
epre
sent
ed in
C
ateg
ory
nam
e or
them
eSa
mpl
e R
epre
sent
ativ
e Q
uota
tions
appe
ars
in d
ataa
Cat
egor
ybC
onse
quen
ces
“We
have
a v
ery
clos
e pa
rtne
rshi
pw
ith th
e C
SC,b
ut o
ther
s,lik
eth
e C
anad
ian
Oly
mpi
cC
omm
ittee
and
Spo
rt C
anad
a,ar
e m
ore
at a
rm’s
leng
th.”
“The
rel
atio
nshi
p be
twee
n th
eC
SC a
nd S
port
Can
ada
[fed
eral
gove
rnm
ent]
is c
laim
ed to
be
apa
rtne
rshi
p,bu
t I d
on’t
thin
kth
at’s
true
as
Spor
t Can
ada
isth
e on
e w
ith th
e m
oney
and
the
CSC
s ar
e tr
ying
to d
ance
to th
eir
tune
to m
ax o
ut th
e m
oney
they
can
get
.”C
orpo
rate
par
tner
s“T
his
is m
ore
of a
don
or ty
pe o
f15
75re
latio
nshi
p,a
supp
ort p
rogr
amfo
r st
raig
ht p
hila
nthr
opy
to c
hari
ty.”
“It i
sn’t
exa
ctly
a p
artn
ersh
ip,b
utm
ore
of a
cau
se I
wan
t to
bein
volv
ed w
ith.”
STR
AT
EG
IC C
HA
LL
EN
GE
S(a
) Fo
cus
on c
ompe
titio
n 35
210
0A
lthou
gh s
eem
ingl
y co
llabo
ratin
g,m
any
vers
us c
olla
bora
tion
orga
niza
tions
invo
lved
in th
e sy
stem
C
anad
ian
Spor
t Cen
tre
“We
have
had
cha
lleng
es in
11
910
0ar
e co
mpe
ting
on d
iffe
rent
leve
ls f
orco
llabo
ratin
g be
caus
e w
e w
orry
re
sour
ces
(mon
ey,a
thle
tes,
coac
hes)
abou
t pro
tect
ing
our
own
turf
.”an
d le
gitim
acy.
“The
sys
tem
has
mad
e us
V
iola
tes
perc
eive
d “t
rue
spir
it”of
com
petit
ive
beca
use
only
X
colla
bora
tion.
(con
tinu
ed)
129
Tabl
e 2
(con
tinu
ed)
Num
ber
ofPe
rcen
tage
of
times
In
terv
iew
ees
cate
gory
R
epre
sent
ed in
C
ateg
ory
nam
e or
them
eSa
mpl
e R
epre
sent
ativ
e Q
uota
tions
appe
ars
in d
ataa
Cat
egor
ybC
onse
quen
ces
num
ber
of s
port
s ca
n be
fun
ded.
C
ompe
titio
n an
d te
nsio
ns b
etw
een
I’m
for
ced
to c
ompe
te w
ith y
ou
regi
onal
inte
rest
s— e
mph
asiz
ing
spor
t ra
ther
than
wor
k w
ith y
ou.”
deve
lopm
ent a
nd p
artic
ipat
ion
and
“Peo
ple
see
the
CSC
s as
na
tiona
l int
eres
ts—
focu
sed
on h
igh
com
petit
ion
for
gove
rnm
ent
perf
orm
ance
and
win
ning
.an
d co
rpor
ate
mon
ey. T
his
Con
fusi
on f
or c
orpo
rate
par
tner
s w
ith
mak
es it
dif
ficu
lt to
col
labo
rate
.”m
any
spor
t ent
ities
com
petin
g fo
r co
rpor
ate
fund
ing
and
supp
ort.
Gov
ernm
ent p
artn
ers
“Eve
n th
ough
we’
re c
oope
ratin
g,37
100
ever
yone
look
s at
thei
r ow
nor
gani
zatio
n an
d fe
els
like
they
’ve
got t
o pr
otec
t the
irem
pire
.”N
onpr
ofit
part
ners
“The
CSC
s ac
ross
the
coun
try
are
177
100
all i
n co
mpe
titio
n w
ith e
ach
othe
r fo
r th
e po
ol o
f at
hlet
esan
d sp
orts
ava
ilabl
e. I
t rea
llyst
ress
es th
e pa
rtne
rshi
p.”
“The
gov
ernm
ent w
ants
mor
eC
SCs,
but w
e do
n’t b
ecau
se it
will
mea
n w
ater
ing
dow
n th
epr
oduc
t,an
d a
smal
ler
reso
urce
pool
ava
ilabl
e to
us.
”“T
here
are
tens
ions
bet
wee
nre
gion
al in
tere
sts
and
natio
nal
inte
rest
s,w
ith n
atio
nal i
nter
ests
tryi
ng to
look
at t
he o
vera
ll
(con
tinu
ed)
130
Tabl
e 2
(con
tinu
ed)
Num
ber
ofPe
rcen
tage
of
times
In
terv
iew
ees
cate
gory
R
epre
sent
ed in
C
ateg
ory
nam
e or
them
eSa
mpl
e R
epre
sent
ativ
e Q
uota
tions
appe
ars
in d
ataa
Cat
egor
ybC
onse
quen
ces
impo
rtan
ce o
f C
SCs
and
thei
rco
ntri
butio
n to
inte
rnat
iona
lsu
cces
s an
d re
gion
al in
tere
sts
who
are
mor
e fo
cuse
d on
deve
lopm
enta
l iss
ues
or w
hat i
sbe
st f
or th
eir
regi
on.”
Cor
pora
te p
artn
ers
“It i
s co
nfus
ing
to b
e on
the
1910
0bu
sine
ss s
ide
of th
is w
hen
you’
ve g
ot P
aral
ympi
cs[C
anad
ian
Para
lym
pic
Com
mitt
ee—
a no
npro
fit s
port
orga
niza
tion]
doi
ng th
is a
ndth
e C
SC d
oing
som
ethi
ng e
lse.
The
re is
a lo
t of
com
petit
ion
for
corp
orat
e su
ppor
t.”(b
) C
hang
ing
mis
sion
15
689
Som
e co
llabo
ratio
ns c
all f
or li
nkin
g w
ith
and
obje
ctiv
espa
rtne
rs w
ho m
ay h
ave
diff
eren
tC
anad
ian
Spor
t Cen
tre
“We’
re a
t a c
ritic
al p
oint
in o
ur
3710
0ob
ject
ives
and
goa
ls (
i.e.,
high
evol
utio
n. E
very
one
thin
ks
perf
orm
ance
vs.
spo
rt f
or a
ll).
we
shou
ld h
ave
mor
e C
SCs
Furt
her,
thro
ugho
ut th
e ev
olut
ion
of th
ean
d ea
ch o
ne s
houl
d ge
t the
re
latio
nshi
p,th
e m
issi
on a
ndsa
me
amou
nt o
f m
oney
. In
my
obje
ctiv
es s
hift
ed to
foc
us o
n di
ffer
ent
min
d,w
e ca
n’t d
o th
at—
that
el
emen
ts (
i.e.,
conc
entr
atin
g se
rvic
es in
wou
ld p
ut u
s on
the
verg
e of
ke
y lo
catio
ns v
s. e
xpan
ding
crum
blin
g. T
he o
nly
way
that
op
port
uniti
es to
ser
vice
ath
lete
s in
all
they
can
giv
e m
oney
to o
ther
pr
ovin
ces
thro
ugho
ut c
ount
ry).
CSC
s is
by
taki
ng it
fro
m th
e T
hese
cha
nges
and
shi
fts
crea
ted
exis
ting
CSC
s.”
tens
ions
,fee
lings
of
bein
g th
reat
ened
,
(con
tinu
ed)
131
Tabl
e 2
(con
tinu
ed)
Num
ber
ofPe
rcen
tage
of
times
In
terv
iew
ees
cate
gory
R
epre
sent
ed in
C
ateg
ory
nam
e or
them
eSa
mpl
e R
epre
sent
ativ
e Q
uota
tions
appe
ars
in d
ataa
Cat
egor
ybC
onse
quen
ces
Gov
ernm
ent p
artn
ers
“Som
e of
the
gove
rnm
ent’s
soc
ial
2010
0an
d un
cert
aint
ies
rega
rdin
g re
sour
ceva
lues
com
e in
to c
onfl
ict w
ith
acqu
isiti
on,a
s w
ell a
s st
abili
ty o
fhi
gh-p
erfo
rman
ce g
oals
.”sy
stem
if m
ore
CSC
s w
ere
crea
ted.
“As
a fo
undi
ng o
rgan
izat
ion
inth
e pr
ojec
t,w
e ar
e ve
ryco
ncer
ned
abou
t the
cha
nge
info
cus
to e
quity
ver
sus
high
perf
orm
ance
bec
ause
we’
ve la
idso
me
grou
ndw
ork
that
we
don’
tw
ant t
o de
stro
y.”
Non
prof
it pa
rtne
rs“I
thin
k th
ere
are
tens
ions
bec
ause
9294
the
larg
er C
SCs
don’
t bel
ieve
that
sm
alle
r an
d ne
wer
CSC
ssh
ould
be
crea
ted.
The
y fe
el it
’sno
t in
line
with
the
orig
inal
purp
ose
of th
e en
deav
or.”
“I d
on’t
agr
ee w
ith th
e C
SC’s
defi
nitio
n of
exc
elle
nce
(i.e
.,gr
eate
r re
sour
ces
on f
ewer
athl
etes
). T
here
are
als
oin
cons
iste
ncie
s th
at c
ontr
adic
tth
eir
defi
nitio
n of
exc
elle
nce
(e.g
.,fu
ndin
g at
hlet
es o
fno
n-O
lym
pic
spor
ts).”
“Man
y pe
ople
fee
l tha
t the
gove
rnm
ent h
as a
des
ire
for
(con
tinu
ed)
132
Tabl
e 2
(con
tinu
ed)
Num
ber
ofPe
rcen
tage
of
times
In
terv
iew
ees
cate
gory
R
epre
sent
ed in
C
ateg
ory
nam
e or
them
eSa
mpl
e R
epre
sent
ativ
e Q
uota
tions
appe
ars
in d
ataa
Cat
egor
ybC
onse
quen
ces
mor
e C
SCs
and
has
com
mitt
edm
oney
to th
em. S
o th
ere
has
been
an
unex
pect
ed g
row
th in
the
num
ber
of C
SCs
with
out
cons
ensu
s by
oth
er p
artn
ers
that
this
gro
wth
is (
a) f
easi
ble
and
(b)
logi
cal.”
Cor
pora
te p
artn
ers
“We
wan
t to
supp
ort O
lym
pic
750
athl
etes
for
the
bene
fits
it c
anbr
ing
to o
ur o
rgan
izat
ion,
like
bein
g as
soci
ated
with
exc
elle
nce
and
havi
ng a
n at
hlet
e co
me
tosp
eak
to o
ur e
mpl
oyee
s an
dth
eir
kids
.”
Not
e:C
SC =
Can
adia
n Sp
ort C
entr
e.a.
Num
ber
of ti
mes
cat
egor
y/th
eme
appe
ars
in d
ata
=nu
mbe
r of
tota
l quo
tatio
ns.
b. P
erce
ntag
e of
inte
rvie
wee
s re
pres
ente
d in
cat
egor
y or
them
e =
num
ber
of r
espo
nden
ts p
er s
ecto
r (e
.g.,
in C
SC th
ere
wer
e se
ven
resp
onde
nts
in to
tal;
if tw
o in
divi
d-ua
ls d
iscu
ssed
an
issu
e,th
is w
ould
indi
cate
29%
of
resp
onde
nts)
.
133
of 274 times in the interview and document data. This theme was related to issues ofthe constitution and organization of the partnerships across sectors. In particular, thistheme encompassed aspects of the complexity of managing different types of part-nerships (e.g., funding relationships, philanthropic partnerships, strategic alliances,program-oriented relationships) that existed in this group of collaborating organiza-tions. Almost all (96%) of the interviewees suggested that this was a major challengein these cross-sector partnerships. For CSC members, different partner formsrequired different skills and knowledge to be able to address each partner’s needs. Italso meant that structures and systems needed to be set up to address different formsof partnerships (which speak different ‘business’ languages and have differentexpectations, goals, and values). The geographic dispersion of multiple cross-sectorpartners also required different structures and systems to allow the CSC to collabo-rate with partners across the country, such as different forms of communication anddifferent avenues for providing programs and services. For government partners,who provided more than 40% of the funding for the CSC (Canadian Sport Centre(City), 2005), there were varying perceptions of the nature of the partnership (i.e.,funding/donor relationship or a sponsorship), which led to difficulties in communi-cation, misplaced expectations, and frustrations with power and decision making. Fornonprofit partners, a main challenge was the tremendous growth and interest in (pri-marily sport) organizations focused on forming relationships with the CSC. Thisintroduced organizational and network dynamics, including lack of common ground forpartnerships as well as increased competition for scarce resources (such as money, ath-letes, coaches, and facilities). Also, for corporate partners, the complexity of part-nership forms was identified as an issue in that typical corporate expectations ofwhat constituted a partnership were often not what partners from other sectorsexpected. For instance, corporate partners felt that their involvement with the CSCsatisfied a philanthropic or charitable aspect of their business while members of theCSC expected corporate partners to play a more strategic and involved role in theCSC’s efforts.
Strategic Challenges
A number of strategic challenges also faced multiple cross-sector organizationsworking together with the CSC. The challenge of focusing on competition versus col-laboration was mentioned by 100% of the interviewees. This challenge received 352mentions in the data (interviews and documents), more than any other theme on part-nership challenges identified in the data. This was a primary concern for CSC and non-profit respondents because although seemingly collaborating, many organizationsinvolved in the system were competing on different levels for resources (money or otherresources, such as athletes and coaches), legitimacy, or power. For many, this competi-tion violated the perceived “true spirit” of collaboration and led to tension and frustra-tion between partners. The competition–collaboration dichotomy manifested itself in a
134 Nonprofit and Voluntary Sector Quarterly
number of ways. For instance, there were tensions between regional interests, some(at the provincial level) of whom were focused on sport development and participa-tion and others with national interests who were wholly focused on high performanceand winning (i.e., medal performance). This aspect of competition focused on theincrease in the number of CSCs created across the country during the time ourresearch was conducted. This tension had implications for multiple partners because,depending on which decisions were made, resources would be allocated to differentinterests. Another example of the tensions between a focus on competing and a focuson collaborating also had to do with resources and the confusion they caused corpo-rate partners, who often had many sport organizations simultaneously lobbying fortheir funding dollars and support.
The final strategic challenge faced by organizations involved in these multiplecross-sector partnerships was the changing missions and objectives of the organiza-tions as the relationships evolved. This challenge received 156 mentions from inter-viewees in the study, with all CSC and government partners identifying it as a majorconcern and 94% of nonprofit partners indicating that it was an issue for them. Inaddition, 50% of corporate partners raised it as a concern in their relationships. Thistheme encompassed tensions that developed in the relationship when the goals of thepartnership changed over time to focus on differing interests in terms of whereresources should be invested (i.e., high performance vs. sport for all). Further,throughout the evolution of the relationship, the mission and objectives shifted tofocus on different elements (i.e., focus on concentrating services in key locations vs.expanding opportunities to service athletes in all provinces throughout the country).Historically, the Canadian federal government has allocated resources to sport orga-nizations on the basis of differing priorities. For instance, in the few years beforeOlympic Games are held, the federal government has increased financial support tohigh-performance (Olympic) athletes (Thibault & Babiak, 2005). At other times, thegovernment’s focus has been on encouraging mass participation and grassrootsdevelopment of sport. CSC interviewees felt their organization and its resourceswere threatened by shifts in this focus as exemplified in the growth of the number ofCSCs across the country which would provide similar programs and services tosupport athletes and coaches (a more equitable distribution of the government’sresources). With new centers created, this CSC’s own financial base, as well as itsathlete and coach base, was at risk of being reduced. These changes would haveshifted the balance of power, not only within the group of partnering organizations,but in the sport system in Canada. Nonprofit partners suggested that some of thesechanges have taken place without consultation and input from groups who might beaffected. Finally, corporate partners spoke about the confusion these shifts in empha-sis caused for them because they were more interested in being involved with high-profile (Olympic) athletes who might bring positive attention to their organizationand provide benefit to their employees. Overall, these changes in mission and objec-tives of the partnership created tensions and feelings of vulnerability and uncertainty
Babiak, Thibault / Partnership Challenges 135
regarding resource acquisition, as well as concerns for stability of the sport systemas more CSCs were being created.
Discussion
The study presented here has analyzed the challenges of multiple cross-sector part-nerships at the organizational level of analysis. The results offer insights into barriersto the management of multiple cross-sector partnerships. As expected, an organizationis more likely to achieve its goals in a dyadic partnership than in a partnership involv-ing multiple organizations. As García-Canal et al. (2003) found, there are fewer inter-ests to be harmonized in two-way alliances than in multiple cross-sector partnerships.The results revealed the presence of structural and strategic challenges in the manage-ment of multiple cross-sector partnerships of a focal sport organization.
With respect to structural challenges, governance, roles, and responsibilities, aswell as complexity of partnership forms, the work of Frisby et al. (2004) on under-managed partnerships in local governments’ sport and leisure services provides sup-port for our results. The authors found that the organizations involved in their study“lacked the capacity to effectively manage the numerous and complex partnerships”(p. 123). Furthermore, Frisby et al. noted “that developing partnership managementplans that clearly stipulate roles, expectations, reporting mechanisms and policiesare also needed to build capacity” (p. 123). In our study, extensive formalization ofpolicies to guide the multiple cross-sector partnerships were not well developed.Although the focal organization, the CSC, is the logical choice for the developmentof these partnership policies and guidelines, its executives may not have had the nec-essary resources to accomplish this. As pointed out by García-Canal et al. (2003), thepresence of a dominant partner facilitates decision making and the coordination ofwork. In our case, however, it was difficult to distinguish who was the dominantpartner—was it the CSC, which coordinated the partners to provide programs and ser-vices, or the government, which provided the lion’s share of funding and had powerin resource allocation? Further, cross-sector ambiguity (Lewis, 1998; Smith et al.,1995) confused expectations among partners and created management tensions withrespect to roles and responsibilities and partnership governance.
Although the complexity of partnership forms and the various interpretations ofwhat a partnership is may not result in the demise of the relationship, recognizing thedifferent forms and structures of relationships that exist is of particular importancefor the organizations involved (Smith et al., 1995; Wood & Gray, 1991). Having aclear understanding and knowledge of how multiple cross-sector partners view theirrelationship does have implications for its effective operation; such an understandingallows managers to make more-informed choices about their partnering strategies(García-Canal et al., 2003). The divergence of perceptions regarding the complex-ity of partnership forms and structures illustrated in this case study is typical of the
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partnerships nonprofit organizations experience because they must balance theexpectations of multiple partners that span the spectrum of sectors (Austin, 2000;Smith et al., 1995). Potential ramifications addressed by participants in this caseincluded mounting tensions, resource exchange issues, managerial challenges suchas negotiation and communication breakdowns, and the assignment of roles andresponsibilities for actionable results. The question that emerges from these differ-ent interpretations is, what are the implications of these variations in meanings andperceptions? Incongruity in perceptions and mutual expectations for the partnershipsis a function of complexity and a persistent source of potential conflict among orga-nizations (Austin, 2000). These incongruities may lead to different behaviors, struc-tures, and processes that do not fit with the objectives of the partnership.
With respect to the strategic challenges uncovered in our study, the focus on compe-tition rather than collaboration was discussed by Huxham and Macdonald (1992), whosuggested that advantage need not be advantage over another organization but could beadvantage over the situation that would follow if there were no collaboration.Organizational theorists have discussed how competitive advantage occurs betweenorganizations when one intends to benefit more than the other (Barney, 1991a, 1991b;García-Canal et al., 2003; Oliver, 1997). In the context of multiple relationships, García-Canal et al. (2003) explained that organizations can collaborate while competing; how-ever, they argue that more attention needs to be devoted to uncovering strategieswhereby forces favoring collaboration can overcome competitive forces. In our study,however, there appeared to be concern over both levels of advantage seeking, that is,advantage over other organizations as well as over the situation that would have ensuedwere there no collaboration. Informants from the CSC and multiple cross-sector part-ners reported pressure to resist and engage in collaboration simultaneously—somethingthat has not been addressed in the partnership literature, that is, how to resolve the bal-ance between collaboration and competition without compromising the benefits of thepartnership. In this study, tensions related to the simultaneous competitive and collabo-rative forces have made the formalization of a partnership approach in Canadian sportchallenging and have resulted in relationships that are often strained. Because of the dif-ficulty in controlling the perceived power imbalances among multiple cross-sector part-ners due to resource inequities and political backing, the challenge of building trustinitially resulted in feelings of ambiguity, resentment, uncertainty, and suspicion.
The multitude of organizational partners from across sectors creates a complexcompetitive environment for the CSC and expands the challenges it faces to suc-cessfully acquire and maintain its valuable organizational resources. These ambigu-ities and tensions are elements of a complex environment that contribute tochallenges to the formation and effective management of multiple cross-sector part-nerships. On many levels, competition among organizations is a healthy conditionbecause it forces organizations to focus their energies and resources on makingstrategic decisions, resulting in more effective and efficient functioning (Huxham &Macdonald, 1992). Similarly, collaboration among organizations is viewed as a
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means to ensure effective use of resources and efficient integration of expertise,knowledge, structure, and programs.
Another strategic challenge uncovered in our study involves change in missionand objectives. Partnerships with organizations from multiple cross-sectors involvethe union of different missions, goals, and values (Wondolleck & Yaffee, 2000).Oppen et al. (2005) and Frisby et al. (2004) have discussed the challenges of col-laborating in cross-sector settings. For example, Oppen et al. (2005) noted that orga-nizations from different sectors operate in different “institutional arrangements” andthese institutional arrangements are couched in organizational values. Frisby et al.(2004) argued that in the context of leisure and sport, the values and missions ofpublic and nonprofit organizations are often in conflict or incompatible with the val-ues and missions of commercial organizations. In turn, when partnerships involvingorganizations across sectors are created, leaders need to negotiate how these valuesand missions will be considered during the collaboration. In addition to the potentialexistence of incompatible values and missions, our study has demonstrated that, dur-ing the span of the partnerships, some organizations changed their missions andobjectives, which created some issues between some of the collaborating organiza-tions. This finding has not been addressed in prior research on multiple cross-sectorpartnerships.
Conclusions and Implications
The phenomenon of partnerships has firmly established itself as a strategy that public,nonprofit, and commercial organizations have undertaken to create greater value andcapacity by leveraging resources and competencies of individual organizations. Althoughmuch research has examined challenges and tensions between dyadic partners, very fewstudies have examined these issues in multiple cross-sector partnerships. The purpose ofthis study was to examine multiple cross-sector partnerships of a focal nonprofitCanadian sport organization. The findings revealed that leaders of organizations involvedin multiple cross-sector partnerships need to understand the potential structural andstrategic challenges as they negotiate with these organizations to develop partnerships inorder to effectively achieve the objectives of the relationships. The results also revealedthat structural and strategic challenges presented unique tensions for all organizationsinvolved in multiple cross-sector partnerships. The pressures to collaborate were coun-tered by the existing competitive nature of the funding system in which the sport organi-zations operated. The challenges inherent in the multiple cross-sector relationships in thisstudy served to simultaneously enable and constrain the formation, development, andmanagement of partnerships. Partnerships enabled these organizations to access scarceresources, such as financial capital, expertise, and organizational legitimacy. However, atthe same time, the growth in the number of partnerships introduced constraints to the
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CSC, including competition for scarce resources as well as challenges in coordinatingmultiple relationships.
It is our contention that by examining these challenges, both theorists and practi-tioners are provided with a more complete perspective of the dynamics of multiplecross-sector partner interactions. Based on our experience investigating this impor-tant topic, we provide below a number of implications for further study and for con-sideration by leaders managing multiple cross-sector partnerships.
Theorists
As partnerships become increasingly prominent among nonprofit organizations,it is important for theorists to extend the examination of multiple cross-sector part-nerships and to uncover strategies for how nonprofit organizations can thrive in thiscontext of collaboration. As called for by García-Canal et al. (2003), we feel that thecircumstances in which collaboration can overcome competition (or vice versa), as wasdescribed in this case, should be an area for future theoretical investigation. This mayrequire longitudinal studies to examine the ways in which relationships betweenorganizations evolve over time and how a balance between collaboration and com-petition can be achieved to the benefit of all the organizations involved.
An underexplored area in the partnership literature is the extent to which challengesin structure affect partner processes or behaviors and influence partnership managementand individual relations. Longitudinal empirical research that directly explores howprocesses unfold and relate to structural and strategic challenges is another area thatmight prove fruitful for researchers examining multiple cross-sector partnerships. Thisbroader conceptualization of partnerships between multiple organizations from differentsectors demonstrates that we still have much to learn about partnerships. A number ofquestions emerge from this examination which may be pursued in future studies, includ-ing the connection between antecedents (i.e., reasons for forming the relationship) andthe link to attitudes and perceptions of managers regarding the partnership.Furthermore, it appears that power and trust played a role in both introducing and over-coming some of the competitive–collaborative efforts faced by partners in our study.Future research in this area may be able to uncover the extent to which these factorsplayed a role in introducing tensions, challenges, and opportunities for multiple cross-sector partnerships.
Practitioners
Vulnerability of nonprofit organizations to their funding environment is an ongoingsource of tension and concern. Partnerships offer a means to reduce reliance on gov-ernment and diversify nonprofit organizations’ funding base, but partnerships also intro-duce other challenges. Managers would benefit by considering partnerships as a web of
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alliances rather than several discrete relationships. A focal organization is more thana broker or organizer of dyadic interorganizational activities. In addition to develop-ing important tools such as a vision in which partners play a critical role, a strongimage, effective systems and support, and an atmosphere of trust and reciprocity, thefocal organization must also play the role of leading and orchestrating these systems,perceiving the full business idea, and understanding the role of all parties involvedin multiple cross-sector partnerships. Managers of relationships must ensure thatappropriate core skills, competencies, and capabilities are developed with focus oncomplementing other partners in the group to make them more effective and com-petitive as a whole. Thus, hiring staff who have experience with multiple cross-sectorrelationships would be a wise course of action. Assumptions, perceptions, and pri-orities involved in partnerships are different in that organizations must considerthemselves to be working for the good of the whole and not for the benefit of theirown organization. Despite these hurdles, the advantage of this form of structure stillholds much promise. As leaders and managers of nonprofit organizations struggle todesign and manage their partnerships, it behooves them to consider and plan forpotential roadblocks, challenges, and conflicts that can arise.
Notes
1. The expression “from the sandbox to the podium” highlights the fact that Canada’s sport system isconcerned with both grassroots developmental sport programs and helping athletes excel in high-perfor-mance sport.
2. For the purposes of this study, the term focal organization refers to an organization that is consid-ered to be central to a web of partnerships. The focal organization serves as the point of communicationand the catalyst to a number of organizations that work in partnership to achieve a common objective. Inour study, the focal organization and its partners collectively work toward enhancing Canadian athletes’success in international sport competitions.
3. At the time of study, the CSC was involved in some 30 cross-sector partnerships. Currently, thefocal CSC is involved in more than 140 cross-sector partnerships: 3 with public organizations, 120 withnonprofit organizations, and 21 with commercial organizations.
4. Documents included mission, vision, and goal statements; strategic and marketing plans; researchand annual reports; contracts; policy documents; press releases; promotional documents; memoranda ofunderstanding between the CSC and its partners; and notes or minutes from meetings and interviews. Inaddition, where possible, similar relevant documentation from each of the partner organizations was col-lected and analyzed.
5. Participants were selected on the basis of their degree of familiarity and expert knowledge of theorganization’s partnerships and their ability to report accurately and comprehensively. These managerswere most able to recognize and assess the relative importance of organizational dynamics and also werethe most qualified to report specific information on partnerships.
6. Miles and Huberman (1994) suggested that researchers start with some general themes derivedfrom reading the literature and add more themes and subthemes as they progress through their analysis.From our review of the literature, we were aware of some of the challenges experienced by organizationsforming partnerships. Thus, the process of theme building began with the emphasis the interviews anddocuments placed on those challenges. Once all interviews and document passages were coded, they wereorganized into themes and patterns. These categories were then further scrutinized for relationships and
140 Nonprofit and Voluntary Sector Quarterly
linkages between them. With ATLAS.ti, families are devices used to cluster codes for easier handling ofan especially large number of interpretative objects or primary documents (Scientific SoftwareDevelopment, 1997). One important objective of organizing the information into families is to managelarge amounts of objects by classifying them into subsets (e.g., all theoretical codes, groups of informants,or particular primary documents). For instance, when categorizing the factors leading to challenges inpartnership formation, we were able to isolate comments made by, and thematic categories associatedwith, particular groups, such as only the founding partners or only the corporate partners. In this way, theclustering of codes and quotations was facilitated and allowed for easy comparison and theme identifica-tion within and between groups.
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Kathy Babiak is an assistant professor at the University of Michigan in the Department of SportManagement. She explores strategic factors motivating sport organizations to enter into partnership rela-tionships with organizations in the nonprofit, government, and private sectors. Her research examines theinteraction and exchange dynamics involved in managing a diverse network of partners.
Lucie Thibault is associate professor in the Department of Sport Management at Brock University. Herresearch interests include the Canadian sport system, government involvement in sport, interorganiza-tional relationships in public and nonprofit sports, and strategy and organizational change.
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