Managing Performance in Collaborative Networks: A Method for Defining Key Performance Indicators for Collaborative Business Models

Abstract To remain competitive in today’s dynamic business environment, organizations increasingly adopt collaborative business models, where networks of actors work together to create and capture value. These models require clear performance insights, with Key Performance Indicators (KPIs) playing a critical role in assessing and managing performance. However, traditional KPI tools often fall short in terms of addressing the complexity and interdependence inherent in collaborative networks. This highlights the need for systematic and tailored approaches to KPI definition. To address this gap, a method was developed to guide organizations in defining KPIs for collaborative business models. Following a design science research approach, the method was iteratively designed, demonstrated in business scenarios, and evaluated through expert feedback. This study advances the understanding of KPI definition for collaborative business models and provides a foundation for developing complementary methods and tools. For practitioners, it offers a structured, practical approach to defining effective KPIs for the collaborative business models in which their organizations participate.