Denmark uses approximately DKK 380 billion annually on public procurement (Finansministerie 2020). The Danish business authorities have initiated a process model for innovation partnerships. It gives public parties the opportunity to collaborate with private suppliers and impact start-ups to create innovative solutions, with the option for procurement afterwards. The first step for the innovation partnerships is to identify a specific problem that the partnership could contribute to resolving. The second step is to participate in a market dialogue to examine relevant competences and solutions. The final step involves setting up an outcomes-based contract with the companies or start-ups for procurement (Erhvervsstyrelsen 2019b). 

In Denmark, public-private partnerships have been described as more development and collaboration-oriented compared to traditional supplier-buyer relations. These partnerships involve knowledge sharing, common motivation, and developing ideas. The findings of a study of eight in-depth case studies shows several factors central to success: identifying a clear problem to be solved, determining the commercial potential for the solution, establishing trust and continuous communication among the actors involved (rather than only relying on a formal cooperation contract), preparing guidelines for handling the procurement rules, involving enthusiasts that drive cooperation forward, and sharing a mutual understanding of the differences between public and private cultures (Krarup, et al. 2014; Scupola et al. 2021).  

When it comes to institutional participation in innovative procurement, 91% of public -private institutional innovations are connected to core tasks, and 69% of public innovations happen with external collaboration. The actors participating are private companies, other public agencies, citizens, research institutions, volunteer-driven associations, public investment funds, impact start-ups, and social enterprises (Center for offentlig-privat innovation 2022).