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Conflict in the general corporate environment must always happen. Live now how the conflict could become a medium for improving employee performance, especially in joint ventures. One way that can be taken in this matter is raised at least one neutral leader who respected and have sufficient authority within the company. Neutrality is shown by the absence of both the organizational relationship or interest between these leaders by their respective companies formed a joint venture as a outsider who is seen as more independent and free from conflict of interest. Outsider is expected to encourage objectivity in addition to a fresh perspective to the company. Not surprisingly, this outsider is usually selected based on competence and proven experience.

The existence of a neutral leader is not effective if not supported by a clear division of labor at every level, especially at the helm. For example, anyone who is in charge of formulating a joint venture strategy, responsible for risk management, finance and others. Division of labor as that is the basis in assessing the performance of which is usually conducted formally every year, the assessment which was one basis for granting rewards. Person’s performance in joint ventures are also monitored by the parent company where he was originally. Not rare, successful leaders in a joint venture company was withdrawn by the parent company to be promoted. Things like this certainly a big influence on joint ventures.

Financially, accountability in the joint venture also involves the institutions established by the independent auditor. This becomes even more important when there is to do with the transaction or transfer pricing that involves the parent company.

Key executives joint venture must be a ‘bridge’ to improve the quality of communication processes and aligning diversity. Forming a right chemistry, the working atmosphere based on the existence of openness, mutual understanding, adaptability, suitability and organizational trust culture. This process is followed up by accelerating the formation of internal & external relationships that can create lasting formulation of joint ventures.

Ownership and management together in a strategy that runs on each of the parent company can not simply be applied to the joint venture. Strategy of joint ventures should be arranged in such a way by considering all its aspects so as to fulfill its intended purpose. In formulating this strategy, there is a crucial factor to consider because it will determine the success. First the good personal relations between partners, mutual understanding and acceptance. Personal relationships – recognized or not – it is crucial continuity of this cooperation. When the ‘trust’ among the partners was cracked, so stay “counting the days’ continuance. Communication channels so that the next deciding factor in the sustainability of this venture. Openness of communication channels and procedures agreed reporting time becomes very important. Of course the reason for a reasonable determination.

The most fundamental problem forming the joint venture is a sense of trust and reciprocity between partners. Trust can be formed if there is an agreement on the behaviors expected of each member firm partners, who poured in organizational culture.

In terms of organizational structure, a joint venture operated by a team appointed by the collective agreement by each partner incorporated in it. Often the board of directors or key positions occupied by the other that in fact an employee or a part of each parent company. In fact, each parent company has its own interests. Thus, to avoid conflicts of interest, the relationship between joint venture with each parent should be made firmly and accurately as possible. In addition, the principles of transparency and accountability must be upheld.

Essential to build for the joint venture, which is how the two companies the capabilities and complementary products, which is an excellent combination of products and competitable for sale. For example, a joint venture of nature has done an external network organization of joint marketing, joint marketing, joint R & D

Form of joint ventures with partners who have complementary skills and resources is a strategic move to take advantage of opportunities. However, efforts must be that the continuance of a challenge. In the treatment of joint ventures, there are at least four key areas, namely strategy, structure, culture and human resources. Compared with the operation of co-branding strategy, management of joint ventures are usually difficult. Especially when you are with the company that the only fighters to and fully managed by a single management. This analogy between enterprises and often have a culture of different strategies to bear on the industry is based, serves consumers and competition faced.

Joint-venture company in collaboration with two or more different companies, of course, will give birth to new and different culture (joint venture)-culture. Culture is the most important aspect of the joint company, albeit from a very early stage is usually not so experienced. Culture in the joint venture should not be weaker than their respective cultures of the parent company. In a way, two or more cultures can accommodate the parent can be quite different. For example, if a family business which was still closed form of joint ventures with multinational companies. In addition, each has his strengths, which can be integrated into a single rhythm, familiar. This culture must be in a position that can move quickly to operate in any joint venture stage. Velocity, which was accompanied by flexibility for the initiative, do not hesitate to get out of the agreed rules (business as usual “) through innovative breakthroughs.