Introduction to Business Model Canvas exercise for the Sydney Limited WIP Society

1. Business Model Canvas
Sydney Limited WIP Society
Jason Yip
j.c.yip@computer.org
http://jchyip.blogspot.com
@jchyip

2. A business model describes
the rationale of how an
organisation creates, delivers,
and captures value

3. How do we start from
the same point and talk
about the same thing?

4. Goals
• Simple, but not oversimplifying
• Relevant
• Intuitively understandable

5. Day Month Year
No.
Who are our Key Partners? What Key Activities do our Value Propositions require? What value do we deliver to the customer? What type of relationship does each of our Customer For whom are we creating value?
Who are our key suppliers? Our Distribution Channels? Which one of our customer’s problems are we helping to solve? Segments expect us to establish and maintain with them? Who are our most important customers?
Which Key Resources are we acquiring from partners? Customer Relationships? What bundles of products and services are we offering to each Customer Segment? Which ones have we established?
Which Key Activities do partners perform? Revenue streams? Which customer needs are we satisfying? How are they integrated with the rest of our business model?
How costly are they?
What Key Resources do our Value Propositions require? Through which Channels do our Customer Segments
Our Distribution Channels? Customer Relationships? want to be reached?
Revenue Streams? 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?
What are the most important costs inherent in our business model? For what value are our customers really willing to pay?
Which Key Resources are most expensive? For what do they currently pay?
Which Key Activities are most expensive? How are they currently paying?
How would they prefer to pay?
How much does each Revenue Stream contribute to overall revenues?
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http://www.businessmodelgeneration.com/canvas

7. The basic process
1. Plot the canvas on a poster
2. Put the poster on the wall
3. Sketch out your business model
4. Validate
5. Iterate

8. Customer Segments
(10 min)
• For whom are we creating value?
• Who are our most important customers?

9. Value Propositions (10
min)
• What value do we deliver to the customer?
• Which one of our customer’s problems are
we helping to solve?
• Which customer needs are we satisfying?
• What bundles of products and services are
we offering to each Customer Segment?

10. Channels (10 min)
• Through which Channels do our Customer
Segments want 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?

11. Customer
Relationships (10 min)
• What type of relationship does each of our
Customer Segments expect us to establish
and maintain with them?
• Which ones have we established?
• How costly are they?
• How are they integrated with the rest of
our business model?

12. Revenue Streams (10
min)
• 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?

13. Key Resources (10 min)
• What Key Resources do our Value
Propositions require?
• Our Distribution Channels?
• Customer Relationships?
• Revenue Streams?

14. Key Activities (10 min)
• What Key Activities do our Value
Propositions require? Our Distribution
Channels? Customer Relationships?
Revenue Streams?

15. Key Partnerships (10
min)
• Who are our Key Partners?
• Who are our key suppliers?
• Which Key Resources are we acquiring
from partners?
• Which Key Activities do partners perform?

16. Cost Structure (10
min)
• What are the most important costs
inherent in our business model?
• Which Key Resources are most expensive?
• Which Key Activities are most expensive?

17. Reflection