Promoting and managing collaborative performance

Abstract

Purpose This paper aims to demonstrate that collaboration is the best way to create sustainable value and to set new indicators to measure collaborative performance. Design/methodology/approach The methodology is based on the study of several cases from industrial international firms that have successfully build strong partnerships with their suppliers. Findings If collaboration is fashionable nowadays, it is not a new behavior. Entrepreneurs have chosen to collaborate with suppliers rather than exploit them for decades. Cooperating in the long term with business partners generates outstanding performance. However, most companies continue to have essentially transactional relationship based on the optimization of financial indicators, rather than fostering the quality of their trade and mutual loyalty. This paper answers the questions why and how to promote and manage collaborative performance. Originality/value This paper connects the concepts of collaboration, innovation and sustainable value creation. It questions traditional KPIs and the fear of risk and failure.