Managing supply chain between trading partners to the point where effectiveness takes place could be difficult when their supply chain objectives are different or contrast, as if a sugar company and their business partner, a large modern trade company. Conflicting in supply chain objectives can cause business problems. This research aims to develop a standard operating procedure in shipper collaboration type of transportation, which would be the key enabler to solve the supply chain problems between these trading partners. The actual data collection process had been carried over the period of 3 months. The collaboration model uses the backhaul trip when the trucks deliver goods from the modern trade’s distribution center to pick up sugar product after their delivery at the store, and carry the sugar back to the distribution center. The standard transportation operating procedure developed successfully reduced the average of total product pick-up as well as reduced the number of trucks that took longer than the standard hour to get the product. Therefore, that cuts 65% of the freight cost between the sugar mill and distribution centers. Moreover, with the shipper collaboration model, the total cost of distribution is at the level that the partners can sustainably distribute their products through the distribution center.