Framework for performance measurement and management in a collaborative business environment

Purpose – The purpose of this paper is to provide practical justification for performance measurement and management within a collaborative business network. The basic performance measurement indicators are elaborated within the scope of this research. Design/methodology/approach – Performance measurement techniques are highlighted through the application of an ICT‐based solution approach, with special focus on business collaboration among small and medium sized enterprises (SMEs). Findings – From the basic need to measure the performance of individual partners within a business network, this research proposes a generic framework and process flow with the objective of evaluating the individual partners in terms of various performance indicators such as key success factors (KSF), key performance factors (KPF) and key performance indicators (KPI). The outcomes from this framework or process flow will help partners in the network to build valuable trust, cooperation and coordination. Originality/value – The focus of this paper is to demonstrate the methodological approach of measuring the performance through identifying and prioritizing the performance indicators (KSF, KPF, KPI) among collaborative partners and to highlight their importance for successful business operations.