The Role of Partnerships in Strategic Account Management

In an environment characterized by scarce resources, increased competition, higher customer expectations, and faster rates of change, executives are turning to partnerships to strengthen supply chain integration and provide sustainable competitive advantage. Partnerships can be an effective means to improve a business relationship and the resultant levels of business between the partners; however, the creation and management of a partnership should be considered part of an overall account management process. This is particularly true in the case of strategic account management. A strategic account is defined as an account (customer) that is critical to the long‐term success of your business. This article will focus on providing an overview of how CSX Corporation (CSX) utilizes the Lambert/Emmelhainz/Gardner Partnership Model, which was presented in the last issue of this journal, in conjunction with its strategic account management program. The primary emphasis will be on the initial steps of CSX's account management process which are required prerequisites to use the Partnership Model. In addition, a specific model application will be reviewed.