In addition to required dependencies, lines of business (LOBs) can also establish supported dependency relations. These are non-essential but beneficial relationships that enhance the capabilities or performance of an LOB, but aren't strictly necessary for its core function. Here's a breakdown of this concept:

Beyond the Essentials:

• Complementary Services: Supported dependencies involve services or resources provided by one LOB that can improve the efficiency, effectiveness, or reach of another LOB. While not required for basic operations, these dependencies offer advantages and contribute to overall success.

• Example: A manufacturing LOB might not require a marketing LOB to function, but marketing efforts can significantly increase sales and revenue for the manufacturing LOB.

Types of Supported Dependencies:

• Shared Services: LOBs can share certain internal services or resources that are not essential for each individual LOB, but provide cost savings or improve efficiency. Examples include IT infrastructure, training programs, or legal compliance services.

• Expertise Sharing: One LOB might offer its expertise or knowledge to another LOB on a project-by-project basis. This can help the other LOB avoid duplication of efforts or leverage specialized skills for a specific task.

• Joint Initiatives: LOBs might collaborate on joint ventures or marketing campaigns that benefit both parties by expanding their reach or customer base. These initiatives wouldn't be core functions for either LOB, but can offer additional growth opportunities.

Benefits of Supported Dependencies:

• Cost Savings: Sharing resources or services can lead to cost savings for both LOBs involved.

• Increased Innovation: Collaboration between LOBs can foster innovation by bringing together different perspectives and expertise.

• Improved Efficiency: Shared services or expertise can streamline processes and improve efficiency within each LOB.

• Enhanced Customer Value: Collaboration can lead to the development of more comprehensive solutions or service packages that offer greater value to customers.

Examples of Supported Dependencies:

• A retail LOB shares customer data insights with a marketing LOB to create more targeted marketing campaigns.

• A software development LOB collaborates with a training LOB to develop more effective training materials for its customers.

• A financial services LOB partners with a wealth management LOB to offer a broader range of financial products and services to its clients.

Challenges of Managing Supported Dependencies:

• Competing Priorities: As with required dependencies, competing priorities between LOBs can make collaboration challenging.

• Resource Allocation: Deciding how much time and resources to dedicate to supported dependencies requires careful consideration.

• Measurement and ROI: Demonstrating the return on investment (ROI) from supported dependencies can be more complex compared to required dependencies.

Strategies for Effective Management:

• Clear Communication: Open communication and alignment on goals are crucial for successful collaboration.

• Define Success Metrics: Establish metrics to track the benefits of supported dependencies, such as cost savings, increased sales, or customer satisfaction.

• Resource Allocation Planning: Allocate resources for supported dependencies based on potential benefits and alignment with strategic goals.

Conclusion:

Supported dependency relations offer a strategic approach for LOBs to leverage each other's strengths and capabilities. By fostering collaboration and managing these dependencies effectively, companies can unlock new growth opportunities, enhance efficiency, and ultimately create a more competitive advantage.  Understanding both required and supported dependencies provides a holistic view of how LOBs interact and contribute to the overall success of the organization.