This report addresses the issues of privatization through a study of the Indianapolis privatization and labor-management partnership experience. The study verifies the success of the Indianapolois labor-management partnership and identifies the factors that led to its success. Through interviews with key participants, focus groups, survey research, and data analysis, a complete picture of the Indianapolis privatization and their labor-management experience is consolidated and a conceptual model of collaborative management for the public sector is developed and tested.