Business process modeling tools and techniques advantages

#Business process modeling tools and techniques advantages how to#
#Business process modeling tools and techniques advantages drivers#

2016) or uncertainty (Schneckenberg et al. Regarding business models in times of change, scholars mainly discuss established organizations that have to innovate their existing business model due to a new market (e.g., Landau et al.

#Business process modeling tools and techniques advantages drivers#

Examples of drivers to change business models are poor firm performance, innovative use of resources (internal), the introduction of new services in the market (external), or simply a new idea (De Reuver et al. Organizations focus on business models to stay competitive and profitable (Bucherer and Uckelmann 2011). A widely known and used one is proposed by Osterwalder and Pigneur ( 2010), comprising nine building blocks: value proposition, partner networks, customer segment, customer relationship, channel, key resources, activities, revenue streams, and cost structure. Scholars describe different building blocks that constitute a business model (e.g. 2015) and help commercialize relevant offerings such as products and services (Simmert et al. Business models are considered essential for experienced and established organisations (Magretta 2002), as they contribute to competitiveness (Demil et al. After discussing the findings, we conclude the paper by answering the research question and listing limitations.Д«usiness models describe the core logic of how an enterprise creates and captures the value of innovations (Kallio et al. Next, the methodology is provided, and the findings are analysed. First, the theoretical background is provided for our study.

#Business process modeling tools and techniques advantages how to#

Managerially, our study provides lessons on how to facilitate a process of business model exploration with tools, in settings where innovation project teams pursue new business model opportunities with high uncertainties.

In this way, we go beyond the use of tools to describe, conceptualize, communicate and store business model ideas (Chandra Kruse and Nickerson 2018). This study contributes to the literature on business model tooling (Teece 2010) by studying how tooling facilitates the processes of business model exploration. Based on our analysis, we recommend how business model tools could be designed to facilitate the business model exploration process. We observe how business model tools facilitate business model exploration by reflecting upon the actions taken with business model tools, the purposes of taking these actions, and the achieved outcomes. As required by the action research methodology, the authors of this manuscript were actively involved as members of the project team. The innovation project is partly supported by government funding. We conduct our study within an innovation project aiming to design technology-enabled services for improving safe driving. a project aimed to develop business models for a new offering) throughout a long-term and unstructured process (i.e. business model tools) in a real-life setting (i.e. Action research is suitable for our purposes since it allows applying interventions (i.e. Action research involves researchers and practitioners working together through activities of problem diagnosis, intervention, and reflection (Susman 1983). Thus, this study aims to answer: How do business model tools facilitate business model exploration? The goal of this study is to examine how business model tooling facilitates business model exploration. In this way, business model exploration goes beyond describing, documenting and communicating business model ideas. 2016), and (4) formulating concrete actions to implement the selected business models (Baden-Fuller and Morgan 2010 McGrath 2010). 2010), (3) exploring and assessing alternatives (HeikkilГ¤ et al. 2011), (2) conceptualizing alternative business models (Sosna et al. Business model exploration comprises processes of developing initial ideas for a new business model (Cavalcante et al. Studies show that canvas-based business model tools help to describe, document and communicate business model ideas (Chandra Kruse and Nickerson 2018).ДЇor our study, we focus on the notion of business model exploration, in which uncertainties are great and new business opportunities emerge. Business Model Canvas is particularly popular (Osterwalder and Pigneur 2010), and has become the de facto standard tool for documenting and sharing business model ideas. Business model tools are `boundary objectsвЂ™ that facilitate exchanging business model ideas between stakeholders (Bouwman et al. Business models describe how companies create value for users and stakeholders (e.g. Tools for describing, presenting and communicating business models are emerging rapidly, both in practice and academia (Szopinski et al.