Social Value Creation and Relational Coordination in Public‐Private Collaborations

Abstract

Public-private collaborations, or hybrid organizational forms, are often difficult to organize because of disparate goals, incentives, and management practices. Some of this misalignment is addressed structurally or contractually, but not the management processes and practices. In this study, we examine how the coordination of these social and work relationships, or relational coordination, affects task performance and the creation of social value. We employ a dyadic perspective on two long-term relationships that are part of a wider ecosystem. We illustrate the social value creation process, identifying mutual knowledge and goal alignment, as necessary to create relational coordination. We find that the degree of professional embeddedness moderates the link between coordination and task performance, and explore the role that organizational and ecosystem experiences play. We develop a model of how relational coordination influences social value creation in hybrids. The findings have implications for social value creation, hybrid collaborations, and organizational design.

Governance by targets and the performance of cross‐sector partnerships: Do partner diversity and partnership capabilities matter?

“…This study advances strategic management research in the public interest by extending transaction cost perspectives on the contractual governance of interorganizational relationships to the value created by CSPs. While relational capabilities may be essential for making cross-sector collaborations work (Caldwell et al, 2017), our analysis indicates that contractual forms of governance with explicit targets have a nontrivial positive effect on their performance. Based on a quantifiable measure of the social value CSPs create, the findings suggest performance targets may be an effective means for successfully combining public, private, and nonprofit capabilities.…”

“…Accumulated capabilities in managing CSPs reduce the transaction costs associated with achieving goal alignment and commitment, as partners do not need to build the trust and understanding required to underpin collective action (Quélin, Cabral, Lazzarini, & Kivleniece, 2016). As a result, established CSPs may be especially well-placed to reap the benefits of targetsetting for partnership performance because they already have routines for bringing together different partners in pursuit of shared objectives (Caldwell, Roehrich, & George, 2017).…”

Partnership for the implementation of mental health policy in Nigeria: a case study of the Comprehensive Community Mental Health Programme in Benue State

“…The origin of PPPs is often traced back to the 1970s and '80s, when multiple recessions and growing public debt led governments to pursue more private-sector investment in infrastructure development and service delivery [19]. The United Kingdom (UK) was one of PPPs' early adopters, launching its Public Finance Initiative in 1992 [20]. By 2001, nearly 450 PPP contracts had been signed, at a value of more than 20 GBP billion [21].…”

Delivering sustainability in supply networks: Achieving networked multi‐stakeholder collaborations

“…Such tensions make the establishment of multi‐stakeholder collaborations complex and difficult. This tension between stakeholders' institutional logics has been observed in the context of public‐private partnerships more generally, where the hybridity of institutional logics has been showed to complicate the resolution of tensions between objectives (Caldwell, Roehrich, & George, ; Quelin et al, ).…”