Managing collaboration performance to govern virtual organizations

The ability to collaborate with partners will become an essential core competence that is required from companies when they are going to take up future challenges. Growing complexity of products and services, increasing global competition and accelerated business processes will exceed in many cases the capabilities and capacities of single companies. The involvement of other companies can help to overcome these limitations. However, only what is measured can be managed. Consequently it is necessary to assess the effectiveness and efficiency of how partners work together in joint processes for a common goal. In other word: the collaboration performance has to be measured. But traditional Performance Measurement (PM) methodologies and indicators are designed to assess the performance of single companies or static cooperation like in supply chains. Evaluation and management of collaboration performance as a particular performance perspective in cooperation is not covered by existing approaches so far. Therefore there is still a need for an approach that provides an information basis for the management of collaboration when companies work together in in cooperation. In this paper, which is initially based on a paper presented on the ProVE conference in 2007, different perspectives of collaboration performance are identified and structured. The considerations are based on Virtual Organisations VOs, a particular type of cooperation that requires usually intensive collaborative interactions between the partners.

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