The world is not fully controllable, but public-private collaboration is

The world is not fully controllable, but public-private collaboration is
Since the COVID-19 crisis, the notion that the world is controllable has steadily faded into the background. We have entered an era of scarcity, prompting a reevaluation of how businesses, governments, and knowledge institutions can best collaborate. Johan Kerver of evofenedex discusses the three principles underpinning a new model for successful public-private partnerships.

Imagine 40 neighbors sharing a single flashlight. In normal times, this might work fine - everyone will use it occasionally. It could be an economical solution. But with a power outage, everyone is left scrambling in the dark, vying for the flashlight. The result? No one has light, and the power outage remains unresolved.

This simple metaphor illustrates how the world has changed since COVID-19. The real turning point was not the pandemic itself - it was merely a catalyst that woke us from the illusion of control. We believed the world was fully manageable, that we had everything under control. Concepts like just-in-time deliveries and global supply chains were hailed as pinnacles of efficiency. But now, three years later, it is becoming increasingly clear that this efficiency comes with immense vulnerability. A single disruption anywhere in the supply chain can ripple through the entire system. If one supplier drops out, everyone downstream feels the impact. Importers, manufacturers, exporters, and consumers suddenly find themselves empty-handed.

The reality is that suppliers often cannot deliver, let alone ‘just-in-time.’ Across various markets, scarcity due to demographic, economic, or geopolitical factors, looms. There is a shortage of raw materials, semi-finished products, and finished goods. And it is not only goods markets facing scarcity. There is a shortage of labor, and workforce shortages are expected to persist for years to come. Clean air and pristine nature are in short supply, and these issues will not disappear overnight, despite ambitious climate and environmental goals. We also developed into a society unprepared for military onslaught and transitioning to become prepared has proven challenging.

In short, the world is not controllable, or only minimally so.


A new collaboration model

This has significant implications for how businesses can best collaborate with one another and with governments. In the past, when the world still seemed controllable and any product could be ordered at the push of a button, the need for collaboration was limited. In times of scarcity, however, intensive collaboration becomes a logical step for businesses - not only with other companies but also with governments and knowledge institutions.

The traditional, old-style public-private partnership (PPP) where governments set the rules for businesses to execute, were often focused on specific, narrowly defined projects. This is not well-suited to effectively addressing the complex, interconnected challenges of today. Governments often lack the necessary expertise, manpower, and agility to keep up with rapid innovation.

A new collaboration model is therefore essential. According to evofenedex, this new approach is crucial to seizing opportunities and tackling challenges in a world where trade and logistics are constantly pushed to adapt due to international geopolitical shifts, digitalization, and sustainability goals. It is no coincidence that internationalization, digitalization, and sustainability are key pillars in evofenedex's strategy.

This new collaboration model should be based on three principles: ideally, a public-private partnership should be programmatic, sequential, and proportional.

1) Programmatic: a coherent vision
First and foremost, a PPP should ideally not be a patchwork of disconnected projects but rather based on a coherent vision with clear goals and milestones. In other words, the collaboration should be programmatic. Within such a programmatic partnership, the government must adopt a different role from what it was in traditional PPPs - not as a distant regulator but as an active coordinator who sets a clear vision and gains the trust of the private sector. Companies, too, need to redefine their role. They should invest in partnerships, share knowledge and data, and look beyond short-term quarterly results.

Industry organizations like evofenedex play a crucial bridging role in this process. They bring stakeholders together, facilitate knowledge-sharing, and assist in the development and execution of concrete projects. Their traditional role as advocates has largely evolved into that of active partners in innovation and sustainability.

This shift fosters trust among stakeholders, encourages transparency and knowledge-sharing, and ensures active involvement from businesses and knowledge institutions. This is already evident in growth fund programs, where consortia of companies, research institutions, and governments collaborate to address societal challenges.

2) Sequential: a step-by-step approach
Secondly, sequentiality is crucial in this new style of collaboration. This means tackling complex challenges through a clear, logical sequence, laying the foundation first before working toward more ambitious goals. For example, companies cannot collect CO₂ data reliably if their digitalization processes are not in order. Without this data, it is impossible to effectively pursue sustainability or comply with new regulations. The growth fund project Digital Infrastructure Logistics focuses on creating a foundational Basic Data Infrastructure (BDI framework) as the basis for further sustainability efforts.

This step-by-step approach is also essential for supply chain collaboration: a chain is only as strong as its weakest link. True, effective supply chain collaboration is only possible when all partners in the chain reach a certain level of digitalization and data-driven capabilities. Achieving this requires a programmatic approach with clear vision and coordination to determine and monitor the correct sequence of actions.

3) Proportional: manageable collaboration
The third point is the importance of tailoring measures and projects to the scale and capacity of different organizations. Collaboration must be manageable for all parties. It is unrealistic to expect small and medium-sized enterprises (SMEs) to take the same complex steps as multinationals. In other words, the approach must be proportional, ensuring accessible knowledge and resources for all participants. This is evident in the Digital Infrastructure Logistics (DIL) growth fund project, where all companies, from SMEs to multinationals, can share data in the same way. To encourage businesses to participate in public-private partnerships, there must also be visible short-term benefits. Participation should remain voluntary, as coercion is counterproductive - its strength lies in shared commitment and intrinsic motivation. These benefits could include cost savings, access to new markets, or improved efficiency. For example, in the DIL program, companies can use the data they exchange to optimize their logistics processes.

Extra momentum
In summary, a modern PPP requires a structured approach, centered on a cohesive vision, with consideration for the diversity of businesses, and a step-by-step process. Such an approach presents excellent opportunities to address the complex challenges of a world that is no longer entirely controllable. It increases the likelihood of successful implementation of PPP projects which businesses will find attractive to participate in. Starting with feasible goals and gradually achieving successes will create momentum for tackling more ambitious projects in the future. The challenges we face are too significant for individual solutions. We cannot all have our own flashlight. But through smart collaboration, we can prevent ourselves from being left in the dark.

This article was published in Management Scope 01 2025.

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