Industry–institute collaboration for transforming management education

Purpose This study enlightens how Industry Institute Collaboration (IIC) has revolutionized the way management education is taught by filling the lapses in skill development, industrial exposure and enhancement of faculty knowledge. It seeks to test the impact of organized partnerships in augmenting graduate employability, institutional image and curriculum relevance. Design/methodology/approach This study employs a quantitative methodology since it uses survey data of 230 respondents. Structural equation modeling (SEM) was used to test hypotheses through SPSS AMOS 27 on the relationship between IIC and student outcomes, institutional reputation and industrial growth. To test reliability and validity, tests were carried out to determine the quality and strength of data. Findings The findings prove IIC promotes the development of the skillsets of students significantly, stimulates the transfer of knowledge and enhances the competency of the faculty. A correlation that was positive was found between IIC initiatives and results, like curriculum alignment, industrial exposure and student employability. Among the challenges that are found are curriculum inflexibility, unstructured interconnections and resource limitation. Research limitations/implications The current research adds to knowledge management textbooks by illustrating how formalized industry-institute partnerships can be effective means of knowledge exchange and capacity development in schools. The evidence confirms previous theory on social learning and knowledge transfer by indicating that formalized linkages and sustained contact between academia and industry not only increase technical competence but also enable co-creation of knowledge. In addition, the study expands the literature on organizational learning by emphasizing the institutional policies and environmental dynamics that promote sustainable knowledge ecosystems. These findings will be used to develop future theoretical frameworks that deal with the dynamics of collaborative knowledge management in higher education. Practical implications It is important to adopt hectic curricula with the industry players to ensure that the curriculum meets the current market requirement and trends. Set up specific industry linkages cells that can make sure interaction with the industry though guest speakers, seminars and internships. Contribute to subject choices and where possible integrate up-to-date sector knowledge and skills for future employment. Offer training, coaching and management support that allows for experiential learning and for valuing the theory in practice. Step up policy and reward structures that support long-term relationships between industry and academics including tax credits to corporations engaged in education projects. Support the call for grants in collaborative research activities between universities and companies to encourage invention. Get relevant industry experiences through planned setups to allow for important skills such as identification of problems and solving them, flexibility and cooperation. Ensure interaction with professionals in the line of business, boost preparation for a career and get a job. Social implications The findings of this study provide actionable insights for policymakers at institutional, regional and national levels. By demonstrating the positive impact of structured industry–institute collaboration, the research supports the integration of such partnerships into educational policy frameworks. Policymakers are encouraged to develop clear guidelines, incentives and support systems that facilitate sustained collaboration between academia and industry. These measures can be embedded within broader educational reform agendas to ensure that curricula remain responsive to industry needs, thereby improving employability and driving economic development. Originality/value This study is among the very few empirical studies to confirm the role of IIC in management studies through SEM in an emerging economy setting. It adds a dual-framework model that at the same time tackles both advantages and obstacles of IIC as well as offers practical policies that institutions, policymakers and industries may implement to promote collaboration and improve the state of education.