CONCLUSION

In conclusion, the transorganizations is a type of intervention wherein the focus of the

organization linking with other organization composed of different interacting institutions,
industries, regions, organization and interest groups. The reason why organizations are linked
with other organization is that to achieve their organizational objectives. The key to understand
this strategy is recognizing the individual organizational task to be coordinated with each other.
The task in transorganizational strategies include the full range of the organizational operation
activities, such as purchasing raw materials, hiring and compensating organization members,
manufacturing and service delivery, obtaining investments capital, marketing and distribution,
and strategic planning. Transorganizational systems tends to be organized in which leaderships
and power are dispersed among the other organizations rather than hierarchically centralized,
commitment and membership are constantly being assessed as member organization who act to
maintain their autonomy. In this type of intervention, transitional changes are the mergers and
acquisition, strategic alliance intervention, and network interventions.

A strategic alliance is an arrangement between the two companies which they will benefit
while operating independent. It can improve their products and develop an edge over a
competitor. This arrangement allows two organization or company to work through a common
goal that will benefit both. The three types of strategic alliance are: Joint Venture, which is a new
‘child’ enterprise, is formed by the parent corporations. Equity Strategic Alliance is when one
business buys a certain equity percentage of other business, and Non-Equity Strategic Alliance is
when two or more firms enter a contractual relationship to pool their capital and capabilities
together non-equity strategic partnership is formed.
In application stage it generally follows a process of strategy formulation, partner
selection, alliance structuring and start-up, and alliance operation and adjustment. The Alliance
Strategy Formulation is to the first step to explain the business plan and to consider that the
partnership is an effective tool, around one-half to two-thirds of partnerships fail to achieve their
financial targets, and the lack of a coherent plan is the number one explanation for the loss. The
second one is the Partner Selection which is the first thing to do is to build a list of requirements
that a partner must stick to, and selecting your partner would have a significant effect on a
partnership's progress, OD practitioners can add value at this stage of the process by helping
potential alliance partners explore and understand their similarities and differences. Third is the
Alliance structuring and Start-up, it is important to select an acceptable governance structure and
it may include short- to long-term contracts, minority equity investments, equal equity
partnerships or majority equity investments, in general partners need to know how they can
divide costs, benefits, risk, and expertise. A lack of initial confidence may also lead to these
same reasons. The best basis for a profit-yielding cooperation between enterprises is the creation
of trust and goodwill, because it increases tolerance, intensity and openness of communication
and makes the common work easier. Further it leads to equal and satisfied partners. Lastly, the
Alliance Operation and Adjustment, the alliance itself becomes a new entity with representatives
from the origin firms when running it with the intention of achieving all previously defined
targets and enhancing the overall efficiency of the alliance, which includes productive systems
and procedures and successful, strong and effective management. Once the strategic partnership
succeeds, the entire alliance will act.