Smart Collaborative Approach to Create Public Value

City government's main goal as provider of public value or public goods in many cases is hindered by any of these challenges, complex technological adoption, high investment cost, legal & bureaucratic rules and lack of personnel with sufficient technological knowledge and development. Partnering with other private institutions becomes one of the ways to break those barriers by sharing knowledge and resources. To ensure the partnership achieves the goal of creating public value, the design of the collaboration matters. 

It is an equal, collaborative relationship with a common interest that leads to better private value creation, also called a Stewardship Relationship. Stewardship relationship between the principal, in this case the city government and the steward, in this case, the private institution has aligned between their action and interest. Both parties must value the behaviour and work that serve the larger purpose of innovating the public goods. Mutual trust, empowerment and good communication framework are the characteristics of this relationship. In addition, this kind of relationship does not only benefit the city by their public value innovation, but it is also beneficial for the private institution as it promotes and generates innovation in the business value as well.

Reference:

Neumann, O., Matt, C., Hitz-Gamper, B. S., Schmidthuber, L., & Stürmer, M. (2019). Joining forces for public value creation? Exploring collaborative innovation in smart city initiatives. Government information quarterly, 36(4), 101411.

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