GVK–MIAL: Partner Selection for Public-Private Partnership

The unprecedented growth of air traffic during the early years of industrial and economic reform in India led to the government’s decision to open Indian airspace to private and international operators. During this period, inadequate infrastructure and management’s inability to expand had created congestion in most of the airports. The urgent requirements for modernization and expansion with limited funds left the government in the dilemma of selecting the right kind of inter-organizational collaboration. After much deliberation and consideration, the government considered adopting the public-private partnership model. Without any prior experience and executional history, selection of partners was the key challenge before the government. The case summarizes one of the most significant public-private partnership projects in India and provides managerial insights into partner selection and execution challenges of large infrastructural projects typical to many developing countries.