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Material on business model innovation for the ISSD training class of the Centre for Development Innovation of Wageningen University

Material on business model innovation for the ISSD training class of the Centre for Development Innovation of Wageningen University



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Issd Issd Presentation Transcript

  • Business  Model  Innova/on  Learning  to  become  a  master  business  architect    Bart  Doorneweert  LEI  Wageningen  University  
  • From  Today    to  1959  
  • 3  
  • From  1959    to  1997  
  • Cases  have  three  things  in  common  1   2   3  
  •  1    Solu/on  was  business  model  and  product  combined  
  •  2    No  solu/on  to  copy.  A  model  needed  to  be  invented  
  •  3    Requirement  for  experimenta/on  and  risk-­‐taking  
  • What  is  a  business  model  actually?  
  • Buzz  Group  
  • Source:  Alex  Osterwalder  
  • Business  Model  Canvas  Customer Segments: For whom are we creatingvalue?Value Proposition: What value do we deliver?Channels: How do we deliver value to thecustomer?Customer Relations: How do we create relationswith our customers?Revenue Streams: How will the customers payfor the products/services?Key Resources: What resources does thebusiness need to deliver the value proposition tocustomers?Key Activities: What Key Activities does thebusiness need to perform to deliver the valueproposition to customers?Key Partners: What partnerships are created inrunning the business? And Why?Cost Structure: What costs are tied to runningthe business?Source:  Alex  Osterwalder  
  • Source:  Alex  Osterwalder  
  • Coca-Cola is the largestnon-alcoholic beveragecompany in the world  !
  • 500 brands, 3.000beverage products,serving 1.600.000.000consumers daily in 200countries  !
  • Larger  retail  outlets  Retail  price/crate  (-­‐  fixed  margin  for  MDC)  Bo[ling  Producing  and  supply  syrup  Sabco  (bo[ler)  Secret  recipe  Adver/sement  to  consumers  Marke/ng  Manual  Distribu/on  Centre  Owners    Producing  syrup  Small  shops/restaurants  Marke/ng  Syrup  Factory  Bo[ling  and  distribu/on  Large  scale  distribu/on  Manual  Distribu/on  Centers  Displays  and  fridges  Bo[les  and  Crates  Bo[ling  plant  and  distribu/on  center  Bulk  sales  Resident  account  developer  (RAD)  
  • Source:  Alex  Osterwalder  
  • Source:  Alex  Osterwalder  
  • Source:  Alex  Osterwalder  
  • An  example  from  agriculture  
  • Nespresso: one of thefastest growingbusinesses of theNestle Group!
  • Average growth of 30%p.a since 2000!
  • Over 3.2 billion USdollars revenue with 1product line !
  • Share  in  Worldwide  Coffee  produc/on  %    Standard  quality  98%  Nespresso  Quality2%  
  • IFC  RFA  ECOM  Select  farmers  Quality  Control  Nespresso  AAA  program  Pricepremium  Specific  Clusters  of  Producers  -­‐  Al/tude  -­‐  Soil  -­‐  Vegeta/on  Sutainability  mngmnt  tool  Producers’  Club  -­‐Gold  -­‐  Parchment  -­‐  Cherry  Extension  Creedit  Trade  Top-­‐grade  coffee  Quality  Control  Procurement  Credit   Technical  Assistance  
  • Photo:  
  • 36  ?  ?  ?  ?  ?  ?  ?  
  • Are  you  ready  to  become  a  business  architect?  
  • •  Self-­‐sani/zing  •  Usable  compost  •  Affordable  and  easy  in  use  
  • Buzz  Group  
  • Source:  Alex  Osterwalder  
  • Source:  Alex  Osterwalder  
  • Source:  Alex  Osterwalder  
  • Now,  are  you  ready  to  become  a  business  architect?  
  • Sketching  a  business  model  prototype  for  a  local  seed  business  
  • Design  current  business  model  Design  new  business  model  
  • Reduce  a)  …  b)  …  c)  …  Eliminate  a)  …  b)  …  c)  …  Raise  a)  …  b)  …  c)  …  Create  a)  …  b)  …  c)  …  
  • Raise  Eliminate  Reduce  Create  
  • Cleaning  company  Easy  foods  and  drinks  Young  dynamic  traveler  2-­‐3  full  /me  staff  to  manage  hotel  &  bar  Loca/on  Free  basics:  -­‐Wifi  -­‐Movies  -­‐Nespresso  Rooms  Ci/zenM  Website  Cleaning  Company  Construc/on  firm  for  the  rooms  Personnel  Personal  account  on  website  Beds  in  a  hip  environment  Room  rate  per  night  per  person  Catering  Maintenance  Supplies  for  catering  Hotel  loca/on  
  • Reduce  a)  Staff  costs  b)  Size  of  rooms  c)  …  Eliminate  a)  Charges  for  services  b)  …  c)  …  Raise  a)  Style  and  ambiance  b)  …  c)  …  Create  a)  Construc/on  protocol  b)  …  c)  …  
  • What are the most important costs inherent in our business model?Which Key Resources are most expensive?Which Key Activities are most expensive?Through which Channels do our Customer Segmentswant to be reached?How are we reaching them now?How are our Channels integrated?Which ones work best?Which ones are most cost-efficient?How are we integrating them with customer routines?For what value are our customers really willing to pay?For what do they currently pay?How are they currently paying?How would they prefer to pay?How much does each Revenue Stream contribute to overall revenues?For whom are we creating value?Who are our most important customers?What type of relationship does each of our CustomerSegments expect us to establish and maintain with them?Which ones have we established?How are they integrated with the rest of our business model?How costly are they?What value do we deliver to the customer?Which one of our customer’s problems are we helping to solve?What bundles of products and services are we offering to each Customer Segment?Which customer needs are we satisfying?What Key Activities do our Value Propositions require?Our Distribution Channels?Customer Relationships?Revenue streams?Who are our Key Partners?Who are our key suppliers?Which Key Resources are we acquiring from partners?Which Key Activities do partners perform?What Key Resources do our Value Propositions require?Our Distribution Channels? Customer Relationships?Revenue Streams?Day Month YearNo.This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.To view a copy of this license, visit send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
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  • @bdoorn    More  please?:    h[p://valuechaingenera/