Businesses collaborating in this economy

My last blog post was about how groups are starting to collaborate more to accomplish similar tasks and goals. This morning a local small business owner told me the same thing: her company is now working closely with other businesses that a year ago she considered more as competition than partners.

She went on to explain how her company specializes in one function while her "business partner" specializes in a different aspect of the same function. She's reached out to that "partner" and asked for help in creating a total solution for her clients and that "partner" has reciprocated by asking for assistance with his clients. Both business' clients are getting their needs filled and both are gaining new business. She went on to explain that her business is busier than ever, including pre-recession.

This discussion brought to my mind one of the secrets I've discovered in my business career. I'd rather be an organization/business that does a few things very well instead of trying to be all things to everybody and doing a poor job at all of it. I saw this firsthand in a previous job with a manufacturer that strived to be a "one stop shop" and, frankly, fumbled the ball a lot. This idea of finding a niche and working like crazy to be the best at it makes a lot of sense to me. There's numerous examples of successful businesses big and small that are very profitable with this mission in mind.

Collaborating with others just makes sense. I'm not talking about "giving away the profit" and certainly it won't work for everyone. Keeping your eyes open to the possibilities, though, can be a very good idea.