IT'S WHO YOU KNOW

The most valuable assets we own are our relationships. That's what I told my business partner, Gus Vidaurreta, in 1991. That simple comment was the seed that grew into an entirely different way of doing business for us and for our clients.

We call the new business model “Relationship Asset Management,” or RAM. Its principles are simple: Relationships exist in a balanced universe and must be based on ethics and win-win scenarios to be tenable.

The dissension rampant throughout the telecom industry is proof that even though we all recognize the value of relationships, we fail to leverage even a fraction of their potential. Basically, we are not disciplined enough. We meet countless people every day and fail to follow up with all but a few. We make large sales to a client and don't call again. Key employees leave our organizations, and we neglect to keep in touch.

We also tend to be limited in our view of our relationship universe. Too often, we consider only the obvious: customers, employees and stockholders. What about competitors? The media? The community?

The relationship universe is a lot more complex than it first appears, and it must be defined clearly. It includes everyone who can influence our success and everyone we can help to succeed. Any organization that takes a static view of this universe and skews it toward one or a limited group of stakeholders will fail. There are many examples of failures among companies that placed too much emphasis on the stockholder — or even on the customer.

Of course, stockholders and customers are no less important in this equation. A quick scan of recent telecom industry headlines offers a pointed reminder that customers are tougher than ever, seeking the best deal on every transaction, with “best” defined — at that particular moment — by price, quality, service or compatibility. Likewise, institutional and individual investors will readily sell their stake in a company for a higher return elsewhere. As a result, these relationships have become more complex, more tumultuous and more important than ever.

Ultimately, all relationships are win-win. I start the effort of building each relationship by thinking of how I can help the other person succeed. I do this before taking the time to figure out how the relationship can help me win. That's why there is no such a thing as a win-lose relationship: The losing party will figure out a way to modify the parameters to create a win — or end the relationship.

DOSSIER TOM RICHARDSON

Occupation: Co-founder and president of RAM Strategy and co-author of “Business Is a Contact Sport” with Augusto Vidaurreta

Place of residence: Miami

E-mail: tom@ramstrategy.com

Current reading: “Jack: Straight from the Gut” by Jack Welch

Hobbies: Working out and building relationships

Favorite Web site: (besides his own, www.ramstrategy.com): www.google.com, “Because that's where I start all my searches.”

Next project: Building our coaching, consulting and training firm RAM Strategy