APIfication as Enabler of platform based Business Models
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API Management and APIfication is absolutely required for enabling the digital transformation and platform-based business. The slide deck gives you and introduction into the topic as such and shares some thoughts around digitalisation, business models and API management.
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APIfication as Enabler of platform based Business Models
- 4. © 2017 by ArtOfArc, Carsten Sensler Let‘s dive into the topic.... https://mag.e-180.com/wp-content/uploads/2015/08/16745881498_06c28e62ba_o-1170x780.jpg
- 8. § The world’s largest taxi firm, Uber, owns no cars. § The world’s most popular media company, Facebook, creates no content. § The world’s largest accommodation provider, Airbnb, owns no property. § Udacity, LinkedIn, ... Platform-based Business? © 2017 by ArtOfArc, Carsten Sensler Source: http://www.independent.co.uk/news/business/comment/hamish- mcrae/facebook-airbnb-uber-and-the-unstoppable-rise-of-the-content-non-generators- 10227207.html
- 10. Examples: Platform-based Business Models © 2017 by ArtOfArc, Carsten Sensler Plattform Value Producer Consumer Dynamic business Udacity AirBnB Youtube ...
- 12. § A “platform driver” serves as a curator between producer and consumer based on gathered data § The roles of producer and consumer are fluent and not fixed § There is a living community around the platform as part of the business § The platform provides some kind of easy integration capabilities What Are The Core Criteria of a Platform- based Business Model? © 2017 by ArtOfArc, Carsten Sensler
- 13. Pipe- & Platform-based Business on 1 Chart J © 2017 by ArtOfArc, Carsten Sensler Pipe Platform Business Design Flexibilitylow high high low Customer Insight Eco-System Driver Omni-Channel Business Supplier business Modular Producer http://sloanreview.mit.edu/article/thriving-in-an-increasingly-digital-ecosystem/
- 19. SOA vs. APIfication © 2017 by ArtOfArc, Carsten Sensler SOA API • Efficiency • Application Integration • Internal view • API as a product • Product LifeCycle Mgt • External view Governance Platform Strategy ... ...
- 20. § A API taxonomy supports you in § Designing business models § Defining Governance rules and Design Guidelines § Communicating the API strategy § Structuring discussions with all disciplines across all levels A API taxonomy is One of Only Few Critical Success Factors When Introducing API Management. © 2017 by ArtOfArc, Carsten Sensler „API as a product“ public private internalOpen B2BB2C
- 22. API is Business: Direct vs. Indirect Monetization © 2017 by ArtOfArc, Carsten Sensler public API private API PayPerUse/ Transaction based, commission model, internal cross charging direct monetization indirect monetization customer satisfaction, brand recognition, etc internal Open B2BB2C
- 23. Overview About Different Types of AP-based Business Models. © 2017 by ArtOfArc, Carsten Sensler public API private API PayPerUse/ Transaction based, commission model, internal cross charging direct monetization indirect monetization customer satisfaction, brand recognition, etc BM-Type: Direct Sales BM-Type: Internal Efficiency BM-Type: Reselling BM-Type: Shared P&L BM-Type: Added Value BM-Type: Digital Enabler BM-Type: Free API BM-Type = Business Model Type
- 24. © 2017 by ArtOfArc, Carsten Sensler The Broader Context of APIfication in The Digital Era. http://www.esa.int/Our_Activities/Human_Spaceflight/International_Space_Station/International_Space_Station_Agency_Heads_Joint_Statement
- 25. My Definition of Digitalisation From a Traditional, Large Enterprise View. © 2017 by ArtOfArc, Carsten Sensler Establish the digital interface to the customer and foster real omni-channel business with a maximized personal customer engagement Design and Implement Platform-based business models with a more openess outside of your enterprise‘ borders Forster automatization, scalability and efficiency in your core IT of your traditional business models. Ramp up data intelligence to use your data valueable , acting as enabler for the personalized customer engagement or any kind of predictive analytics.
- 29. Pipe- & Platform-based Business on 1 Chart J © 2017 by ArtOfArc, Carsten Sensler Pipe Platform Business Design Flexibilitylow high high low Customer Insight Eco-System Driver Omni-Channel Business Supplier business Modular Producer http://sloanreview.mit.edu/article/thriving-in-an-increasingly-digital-ecosystem/
- 30. Let‘s Put it Together – Pipe/Platform-based Business And APIfication. © 2017 by ArtOfArc, Carsten Sensler Pipe Plattform Business Design Flexibilitylow high high low Customer Insight Eco-System DriverOmni-Channel Business Supplier Modular Producer More like a SOA approach Focus on integrating APIs Focus on providing APIs Defining standards for integrating APIs & providing APIs Time x Time x + years
- 32. APIfication as Enabler for Platform-based Business – API Economy © 2017 by ArtOfArc, Carsten Sensler External Partner/ APIs Data Intelligence Plane POSAppWebChannels: … Operational PlaneDigital Service Plane Party Engagement Plane 3rd party/ Social Media Integration Plane The roles of producer and consumer are fluent and not fixedA platform driver serves as a curator between producer and consumer based on gathered data The platform provides some kind of easy integration capabilities A platform driver serves as a curator between producer and consumer based on gathered data There is a living community around the platform based business as part of the business €
- 33. Digital Transformation Survey 2017 – ArtOfArc, Teavaro, et al. © 2017 by ArtOfArc, Carsten Sensler 23% Experts >1xxresponses 12 countries 77% Management 61% large Enterprises 64% non IT 36 % IT 39% Medium/ small Enterprises preview
- 34. Key Measurements of Successful Digital Player in The API Space*. © 2017 by ArtOfArc, Carsten Sensler 73% 01 72% 03 82% 04 Marketplaces and Business partner integration are very important. Have a standardized Integration of 3rd Party Services . Their operational IT provides encapsulated business functions Have highly automated and integrated business processes 80% 02 *) Digital Transformation Survey 2017, ArtOfArc, Teavaro, et al. preview
- 35. Some Best Practices for building an API Economy © 2017 by ArtOfArc, Carsten Sensler Start with a simple strategic grid to drive structured discussions when defining business models Define your taxonomy to ease the discussion across all disciplines and all levels of expertise APIfication can only be successful, if you define the strategy jointly between business and IT. Start with API First approach to get pace. Look inside-out and outside-in at the same time, when defining a API (product) Ask me! J Build up and establish the required enterprise capabilities
- 38. Carsten Sensler berät Kunden im Kontext ihrer Transformation. Bis Ende 2013 arbeitete er bei einem DAX-30-Konzern als VP „Technology, Architecture and Operation“ für ein strategisches Geschäftsfeld. Zuvor war er als Group-Enterprise-Architekt tätig und für die Ausgestaltung der Konzernzielarchitektur verantwortlich. Außerdem kümmerte er sich um die internationale Standardisierung einer SOA (Infrastruktur und Governance). T: +49 171 832 4185 M: cse(at)artofarc(dot)com