With rapid growth of global competition, the design process is becoming more and more complex due largely to cross-functional team collaboration, dynamic design processes, and unpredictable design outcomes. Thus, it is becoming progressively more difficult to support and improve design activities effectively during a design process, especially from a collaboration perspective. Although a great deal of research pays attention to the support and improvement of design collaboration from multi-perspectives, little research attention has been directed at improving collaborative design by a performance measurement approach. In addition, many studies have demonstrated that performance measurement can improve design effectiveness significantly. Therefore, this PhD research focused on investigating ‘How to improve collaborative design via a performance measurement approach?’ A Design Performance Measurement (DPM) tool, which enables design managers and designers to measure and improve design collaboration during a design process, has been developed. The DPM tool can support the design team members in learning from performance measurement and, in turn, drive the design project towards the achievement of strategic objectives, and goes beyond monitoring and controlling them during the project development process. It is, thus, a motivating tool as well as a support tool for the development of product design. The proposed DPM tool has three novel components: • A DPM operation model, which integrates a hierarchical design team structure with a multi-feedback interaction performance measurement approach to support DPM operation in a design project team. • A DPM matrix, which enables collaborative design performance to be measured during a design process. • A DPM weighting application model to improve flexibility of the DPM tool by integrating DPM with the design project’s strategies, stage-based design objectives, and design staff’s job focuses and responsibilities. This tool has been positively evaluated through two industry case studies and a software-based simulation.