Tools for Business Model Canvas Development · Customer Segments FEJ Zumba© / "Beto" Instructors'...
Transcript of Tools for Business Model Canvas Development · Customer Segments FEJ Zumba© / "Beto" Instructors'...
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Tools for Business Model Canvas Design
14 November – Interactive Workshop
[email protected]@fritscher.ch
Boris Fritscher
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Topics
Computer-Aided Business Model Design
Elicitation• From paper to screen
• A different view
• Design a better model
Assessing• Rule Of Thumb Calculations
Evolution• Using layers to visualize transformation
http://www.fritscher.ch/blog/workshop/tools-for-business-model-canvas-design/
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Prototypes
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Application: Strategyzer.com
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Computer-Aided Business Model Design
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Context
Faster production cycles
Strategic levelbusiness model unit of analysis
Current tools genericor too constraining
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Business Model Design
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Computer Aided Design
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Digital Copy Paper Pattern
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Dig
ital
Fle
xib
le M
od
el
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Digital Generic TechnicalBoris Fritscher – 14.nov.2014
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Model Validation Boris Fritscher – 14.nov.2014
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Computer Aided Design in other areas
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Computer Aided Business Model Design
Target users in “management”
=> needs to be easy to use
Allow for creativity, draw outside the box
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Three usages
1. Creative design elicitation
2. Assessing / evaluation of the design
3. Evolution management
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What? Who?Who?
How much?
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Why the Business Model Canvas?
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Visual
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Fixed one-page layout (learnability)
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simple……yet expressive enough
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Adopted by practitioners, target of CAD tool
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YouTube of Business Models?
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Application: Strategyzer.com
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Computer Aided Business Model Design: Analysis of Key Features Adopted by Users
Published in Proceedings of the 47 Annual Hawaii International Conference on System Sciences, Computer Society Press (Ed.), 2014
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Worldwide
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Colors
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Application B
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Application S
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Position
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Application B
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Application S
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Heat map of element positions (top left corner) n= 163’589
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Exercice 1: Design a business model
Freemium
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Connecting to other models
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Applying same interaction principals to other models
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DESIGN A BETTER BUSINESS MODEL
Best practice checking, with rules
Storytelling (Business Model Mechanics)
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Zumba
Key Partnerships Key Activities Value Propositions
Key Resources
Cost Structure Revenue Streams
Customer Relationships
Channels
Customer Segments
FEJ
Zumba© /
"Beto"
Instructors'
convention
/ Events
mass-market
Apparel
line
Content
production
GymsInstructors
Refereal
Online
ShopTiered Instructor
network
Other sales
ZIN
subscriptionApparel
sales
Events
Licensing /
Training course
Zumba
Instructor
Network
Media
Designed
Marketing
Community
(ZIN)
Apparel
manufacture /
distribution?
Music Artists
Instructors
Zumba content
(DVD, Games,
Music)
Affiliate
program
Community
(ZIN)
Management
Instructor
training
(certification)
Licensing /
Training
Instructors
Content
(Choreographies)
Logistics
(e-shop,
events)
Content
production /
Choreographies
Instructor
ZIN
platform
Logistics
Shop
APPAREL FITNESSBOTH
Boris Fritscher
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Zumba
Key Partnerships Key Activities Value Propositions
Key Resources
Cost Structure Revenue Streams
Customer Relationships
Channels
Customer Segments
FEJ
Zumba© /
"Beto"
Instructors'
convention
/ Events
mass-market
Apparel
line
Content
production
GymsInstructors
Refereal
Online
ShopTiered Instructor
network
Other sales
ZIN
subscriptionApparel
sales
Events
Licensing /
Training course
Zumba
Instructor
Network
Media
Designed
Marketing
Community
(ZIN)
Apparel
manufacture /
distribution?
Music Artists
Instructors
Zumba content
(DVD, Games,
Music)
Affiliate
program
Community
(ZIN)
Management
Instructor
training
(certification)
Licensing /
Training
Instructors
Content
(Choreographies)
Logistics
(e-shop,
events)
Content
production /
Choreographies
Instructor
ZIN
platform
Logistics
Shop
APPAREL FITNESSBOTH
Boris Fritscher
![Page 47: Tools for Business Model Canvas Development · Customer Segments FEJ Zumba© / "Beto" Instructors' convention / Events mass-market Apparel line Content production Gyms Instructors](https://reader036.fdocuments.in/reader036/viewer/2022062919/5f01cce07e708231d4011957/html5/thumbnails/47.jpg)
Zumba
Key Partnerships Key Activities Value Propositions
Key Resources
Cost Structure Revenue Streams
Customer Relationships
Channels
Customer Segments
APPAREL FITNESSBOTH
Boris Fritscher
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BMC Design guideline
A. Discover Business Model Elements
B. Improve Business Model through Connections
C. Highlight Business Model Mechanics
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• These guidelines help in maintaining a visually understandable BMC.
• There is only one idea per sticky note.
• Ideas are written with keywords, or presented with a simple illustration.
• The meaning of the element is understandable by all stakeholders.
• The element is a key component in explaining the business model; indeed, without it the business model cannot be explained.
Guidelines applying to any individual element
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Guidelines applying to individual building blocks• These guidelines help to identify the right amount of detail for the
BMC.
• All nine building blocks of the model are used, or have at least been considered.
• Elements that are too detailed have been grouped into a simpler element.
• Elements that are too generic have been split into more detailed elements.
• The detail level of the elements are adequate (there are not too many detailed elements, nor to few which are too generic).
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Guidelines applying to connections between elements in different building blocks• These guidelines help with the coherence of the BMC.
• Colors are used on elements to highlight their connections according to the BMC’s meta-model (Fritscher and Pigneur, 2010)
• Each color is labeled and has a specific meaning.
• Client perspective is valid:• Each customer segment is addressed by one or more value proposition.• A channel supports a value proposition-customer segment set.• If present, a customer relationship targets a customer segment.• In case of multiple customer segments, colors distinguish each business side.
• Activity perspective is valid:• Each value proposition is produced/delivered by a key activity, a key partner or offers a key resource.• Key resources or key partners support an activity.
• Financial perspective is valid:• Revenue stream is generated from a value proposition-customer segment set. (A revenue stream can also be “free”).• Major fixed costs are listed.• Major variables costs are listed.
• There are no orphan elements: all elements are connected to another element (in a different block to themselves).
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Guidelines & Rules
Guideline
Client perspective is valid:- Each customer segment is addressed by one or more value proposition.- A channel supports a value proposition-customer segment set.- If present, a customer relationship targets a customer segment.
Rule Each color set has to have at least an element of a valueproposition, a customer segment and a revenue stream.Optionally it should include an element of a channel and acustomer relationship.
Resolution Hint Complete the color set by adding the missing mandatory elements.
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Exercice 2: Checking coherence of the designed business model
ElementsConnectionsStory (mechanics)
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Assessing
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Attributes
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Application B
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Application S
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Financial attribute usage on S
No financials54%
Only cost structure6%
Only revenue stream
7%
Complete financials33%
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Exercice 3: Checking the numbers
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Adding what-if?
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Visualizing Business Model Evolution with the Business Model Canvas: Concept and Tool
Published in Proc. 16th IEEE Conference on Business Informatics (CBI’2014), IEEE Computer Society Press, 2014
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http://phd.fritscher.ch/prototypes/bmlayers/#/evolution/Valve_Corporation_Steam_platformBoris Fritscher – 14.nov.2014
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Exercice 4: Apple iPod/iTunes -> Apps/iPhone
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Further Work
• Rules for information
• Rules for financial simulation
• Layers for legal or social concerns
• Cross-section at multiples disciples: requirement engineering, information systems, strategy and user experience.
• This kind of research should be extended to other strategy methods.
Boris Fritscher – 14.nov.2014