Table of contentsStrengths of the shared services allianceStrengths of the joint venture allianceStrengths of the network-source allianceExample of shared services organizationAlliances Strategic are defined as “a mutually beneficial, long-term, formal relationship formed between two or more parties to pursue a common set of goals or to meet a critical business need while remaining independent organizations. The strategic alliance is called a quasi-firm or hybrid arrangement.” There are three types of strategic alliances: (1) Shared Services Alliance (2) Joint Venture Alliance and (3) Network Source Alliance. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get the original essayShared Services Alliance Forces1. Increased purchasing power: Shared service alliances are formed by a large number of members. Thus, they have more finances and can purchase a greater amount of services or resources.2. More services to offer: Alliances contract with their member organizations to provide more services. Thus, their member organizations benefit.3. Reduction of labor and costs: Shared service alliances purchase larger resources from suppliers and the purchasing volume of their member organizations is used to induce lower costs from suppliers. Weaknesses of the shared service alliance 1. Membership agreement: all shared service alliances are paid; some have contributions that must be paid once a year. There are several agreement policies that each member must adhere to.2. Minimum Orders: The supplier can only bid if it must provide a certain minimum quantity of resources. So, when organizations only need a small amount of resources, the supplier may not bid. Strengths of Joint Venture Alliance 1. New Opportunities: Agencies may have the opportunity to acquire new expertise available under a joint venture.2. Opportunity to expand: Agencies can launch into new activities or access remote geographic areas.3. Ownership and Authority: Since there are few members, they can have direct ownership and more authority. Other strengths of joint venture alliances include sharing risks with the partner, exposure to more resources and new technologies, participation in activities different from the core of the organization. business. Building a relationship with a partner organization can be difficult. If the partner organizations have a different mission and vision, this would be difficult. There may not be a good balance between expertise and investment from partners in joint venture alliances. If the objectives are not clear to all members of the partner organizations, this could lead to failure. Network Source Alliance Highlights1. Outsourcing of functions by core organizations benefits the contract organization. Contract organizations can obtain capital, license and some required opportunities without much effort.2. The lead organization can obtain credits for the contract. For example, if a pharmaceutical company enters into a contract for clinical trials, the pharmaceutical company can get credit for the research done for the clinical trials and the agency that conducts the clinical trials can get capital, time and resources to carry out 2015..