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FOR THE CEOā€¦ (corporate or start-up)

3 KEY MESSAGES
FOR THE CEO

CEO FORUM Taipei, December 11th 2013
Patrick van der Pijl
TODAYā€¦
I HAVE THREE KEY
MESSAGES FOR YOU
WHY

WE NEED TO
CHANGE
HOW

WE CAN DO
THAT
D.I.D.
LETā€™S STARTā€¦
WHY

WE NEED TO
CHANGE
DESIGNING BETTER BUSINESSES
DESIGNING BETTER BUSINESSES
WE NEED TO
RETHINK THE WAY
WE DO BUSINESS!
DESIGNING BETTER BUSINESSES
WHY?
TODAYā€¦
ā€¦WE SEE FORCES
WE HAVENā€™T SEEN
BEFOREā€¦
ā€¦WE CALL THEM
NEW RULES
OF THE BUSINESS
GAME.
SUSTAINABILITY
CREDIT CRISIS
UPCOMING MARKETS?
MARKETS CAME ALREADY UP
NEW GENERATION

generation	
 Ā y	
 Ā 
BETTER PICTURE?
GENERATION Z
ONLINE REVOLUTION
NEW TECHOLOGY
SOME EXAMPLES OF
BUSINESS MODELS
WE SEE RIGHT
NOWā€¦
RE-IMAGINATION
NEWS AND
INFORMATION
FLOWā€¦
From reporters...
ā€¦to twitter
RE-IMAGINATION OF
BOOKS
From books...!
ā€¦to kindle
RE-IMAGINATION OF
CALLING A CAB
From waiting in the rain...
ā€¦to a single push of a button
RE-IMAGINATION OF
VIDEO
From video store...
ā€¦to youtube
RE-IMAGINATION OF
NAVIGATION
From map...
ā€¦to navigon
The speed of developments has
increasedā€¦!
resulting in shorter shelf lives of
companiesā€¦!
and focusing on product
innovation is not enoughā€¦ !
HOW

WE CAN DO
THAT
WHAT WE
LEARNEDā€¦
IS ABOUT
NEW TOOLS
NEW SKILLS
NEW MINDSET
FOR THE CEOā€¦ (corporate or start-up)
AND HIS TEAM!
SO WHAT ARE NEW
TOOLS?
WHAT IS A
BUSINESS MODEL?
IMAGINE
(BOARDROOM)
CONVERSATIONSā€¦
WE NEED NEW
TOOLS TO
UNDERSTAND AND
CRAFT NEW
BUSINESS MODELS
THE BUSINESS MODEL

CANVAS
A BUSINESS MODEL
DESCRIBES THE RATIONALE
OF HOW AN ORGANIZATION
CREATES, DELIVERS, AND
CAPTURES VALUE
1 CUSTOMER SEGMENTS
2 VALUE PROPOSITIONS
3 CHANNELS
4 CUSTOMER RELATIONSHIPS
5

REVENUE STREAMS
6 KEY RESOURCES
7

KEY ACTIVITIES
8 KEY PARTNERS
9

COST STRUCTURE
KEY ACTIVITIES

VALUE PROPOSITIONS

CUSTOMER
SEGMENTS

KEY PARTNERS

COST STRUCTURE

CUSTOMER
RELATIONSHIPS

KEY RESOURCES

CHANNELS

REVENUE STREAMS
Let us look at the business model
of Nespresso
The Business Model of Nespresso
PARTNER
NETWORK

KEY
ACTIVITIES
B2C
Distribution

Machine
Manufacturer

Marketing

OFFER

CUSTOMER
RELATIONSHIPS

CUSTOMER
SEGMENTS

Nespresso
Club

Households

DISTRIBUTION
CHANNELS

Business

Nespresso
Machines

Production

KEY
RESOURCES
Patents

Brand

Distribution
Channels
Coffee

Production
Facilities

COST STRUCTURE
Production

Marketing
B2C
Distribution

Nespresso
Pads

Mail
Order

Retail

Nespresso
.com
Call
Center

Nespresso
Stores

REVENUE STREAMS
1 x Machine
Sales

Repetitive
Pad Sales
BUSINESS MODEL CANVAS NESPRESSO
WE HAVE DIFFERENT
TOOLS IN DIFFERENT
STAGES
WE SHARE THESE
TOOLS ONLINEā€¦
D.I.D.
D.I.D.
DO
IT
DIFFERENT
NEW SKILLS
WE BASICALLY NEED
DESIGNERS TO HAVE
A SEAT AT THE
TABLE
OR WE SHOULD
THINK AND ACT LIKE
DESIGNERS.
OBSERVE
WHEREVER YOU LOOK
THATā€™S WHAT YOU
SEE.
JERRY SEINFELD
OUR EYES

OUR EARS

CAMERA

NOTEBOOK AND PEN
THINK
VISUALLY
DRAWING IS THE
NEW WRITING
EYES, PENCILS AND THE HAND
MAY BE TOOLS OF THE PAST,
ā€¦I BELIEVE THEY ARE TOOLS
OF THE FUTURE.
John Maeda, RISD
BUT THATā€™S NOT
ENOUGHā€¦
THE CONTEXT MAP OF A COMPANY

Insert 4 photos of the team discussion
Future scenario
Business model
SPOTIFY BUSINESS MODEL
IDEATE
YOU NEED TO BE
ABLE TO JUGGLE
WITH BUSINESS
MODELS
CURRENT BUSINESS MODEL	
 Ā 
KEY
PARTNERS
	
 Ā 
	
 Ā 
	
 Ā 

KEY
ACTIVITIES
	
 Ā 
	
 Ā 

KEY
RESOURCES
	
 Ā 

COST STRUCTURE

VALUE
PROPOSITION
	
 Ā 
	
 Ā 

CUSTOMER
RELATIONSHIPS
	
 Ā 

CUSTOMER
SEGMENTS
	
 Ā 
	
 Ā 

CHANNELS
	
 Ā 

REVENUE STREAMS
	
 Ā 
	
 Ā 
CURRENT BUSINESS MODEL	
 Ā 
KEY
PARTNERS
	
 Ā 
	
 Ā 
	
 Ā 

KEY
ACTIVITIES
	
 Ā 
	
 Ā 

KEY
RESOURCES

COST STRUCTURE

VALUE
PROPOSITION
	
 Ā 
	
 Ā 

CUSTOMER
RELATIONSHIPS
	
 Ā 

CUSTOMER
SEGMENTS
	
 Ā 
	
 Ā 

CHANNELS
	
 Ā 

REVENUE STREAMS
	
 Ā 
	
 Ā 
CURRENT BUSINESS MODEL	
 Ā 
KEY
PARTNERS
	
 Ā 
	
 Ā 
	
 Ā 

KEY
ACTIVITIES
	
 Ā 
	
 Ā 

KEY
RESOURCES
	
 Ā 

COST STRUCTURE

VALUE
PROPOSITION
	
 Ā 
	
 Ā 

CUSTOMER
RELATIONSHIPS
	
 Ā 

CUSTOMER
SEGMENTS
	
 Ā 
	
 Ā 

CHANNELS
	
 Ā 

REVENUE STREAMS
	
 Ā 
	
 Ā 
CURRENT BUSINESS MODEL	
 Ā 
KEY
PARTNERS

KEY
ACTIVITIES
	
 Ā 
	
 Ā 

KEY
RESOURCES
	
 Ā 

COST STRUCTURE

VALUE
PROPOSITION
	
 Ā 
	
 Ā 

CUSTOMER
RELATIONSHIPS
	
 Ā 

CUSTOMER
SEGMENTS
	
 Ā 
	
 Ā 

CHANNELS
	
 Ā 

REVENUE STREAMS
	
 Ā 
	
 Ā 
PROTOTYPING
the past was about
choosing solutions
the future is about
generating options
Frank Gehry
8 PROTOTYPES
GO OUT OF
THE BUILDING
& LEARN!
BECAUSE AN IDEAā€¦
OR BUSINESS
MODELā€¦
IS ONLY ON PAPER AND ISā€¦
DESIGNING BETTER BUSINESSES
IT HAS
NO VALUE
ZERO
YOU NEED TO TEST
YOUR ASSUMPTIONS
STEVE BLANK
KNOCK ON THE CUSTOMERS DOORā€¦
AND TALK TO THEM!
BEWARE!
DONā€™T DO IT THE
EASY WAYā€¦
DONā€™T HIRE AN
AGENCYā€¦
OR
SET UP A TEST
PANEL
BUT DO IT
YOURSELF!
THE MORE YOU
LEARN, THE SOONER
YOU SUCCEED
WHY?
YOUā€™LL INVENT
SOMETHING PEOPLE
DONā€™T NEEDā€¦
EXAMPLE OF
SEGWAY
NEED I SAY MORE?
WHO HAD ONE?
SO YOU NEED TO
ASK YOURSELF THE
FOLLOWING
IS THE PROBLEM A
REAL PROBLEM?
CAN WE IDENTIFY
THE NEED?
DO WE IDENTIFY A
TARGET CUSTOMER
SEGMENT?
AND ARE THEY
WILLING TO PAY FOR
THISā€¦?
YOU HAVE TO DO
THIS TOGETHERā€¦
AND GO OUT TO
TALK TO
CUSTOMERSā€¦
AND LEARNā€¦
QUALITY AND MARGIN WAS NOT THE JOBā€¦
NOT PARENTS AND CHILDREN BUTā€¦
ONLY THEN YOU CAN SUCCEEDā€¦
AS A START-UPā€¦
OR A CORPORATE START UPā€¦
SO WHAT IS NEXT?
SO WHAT DOES
THAT MEAN FOR THE
CEO?
DONā€™T WRITE PLANSā€¦.
HE NEEDS TO THINK
AND ACT LIKE A
DESIGNER TOO.
HE NEEDS TO GO
BACK TO SCHOOL!
BUT NOT TO
HARVARD OR
STANFORDā€¦
BUT TO THE
COLLEGE OF THE
ARTSā€¦
WHERE THEY
PREPARE THE NEW
GENERATION OF
LEADERS FOR A
WORLDā€¦
THAT IS NOT ONLY
PROFITABLEā€¦
BUT ALSO
SUSTAINABLE,
ETHICAL AND TRULY
MEANINGFUL.
A SUPERMAN
MY THREE KEY
MESSAGES FOR YOU
WE NEED TO
CHANGE
HOW

YOU CAN DO
THAT
D.I.D.
patrick@businessmodelsinc.com

DESIGNING BETTER BUSINESSES

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