Strategic alliances are increasingly important to firms, yet many alliances do not achieve their goals. This lack of success can be attributed to poor mitigation of risks related to performance and to managing relationships. Current conceptualizations of the capability to manage the post-formation stage of alliances overly focus on mitigation of relationship management risks, and as a result do not fully address both types of risks. We draw on Social Exchange theory, the Resource Based View and Transactions Costs Economics to extend the conceptualization of alliance management capability (AMC) by adding specific justice-related activities and resource management skills to the extant conceptualizations. We focus our attention on the post formation stage. We test our hypotheses using a sample of 154 Indian firms engaged in strategic alliances in the IT industry and we find support for our extended conceptualization of AMC and a strong positive association with alliance performance. We also demonstrate that our extended conceptualization provides additional explanatory power in relation to alliance performance than the original AMC. Implications for managers and opportunities for future research are explored.