Recent work in Resource Based View (RBV) calls for functional process level constructs for the resource-performance link, for research into how goals are associated with performance, and for survey research methodologies on managerial perceptions. This paper contributes to these research directions by developing measures and testing hypotheses on associations between design and development collaboration and sourcing competencies. The paper breaks new ground by comparing the relative effects of competencies, goals and product-market characteristics on functional performance. We report on a survey research study with managers in the South East Asia region. We find two competencies, branding and adaptation, and two goals, performance gains and governance flexibility, have significant effects on D&D collaboration. We examine several covariates and discuss the implications of our findings for RBV research and for practice.