Using a Fractal Enterprise Model for Business Model Innovation

•Download as PPTX, PDF•

3 likes•699 views

In their previous work, the authors have developed a new kind of enterprise model, called fractal enterprise model, that connects enterprise processes via as-sets used for running these processes. One of the possible usages of this model is facilitating innovation, more exactly, changing or extending a business model used in the enterprise. This research-in-progress paper presents the idea of how such facilitation could be arranged, and lists the problems that need to be solved in order to convert the idea into a practical methodology. The discussion is based on a hypothetical example.

Business

$The Fractal Enterprise Model (FEM) • The fractal enterprise model (FEM) starts with a process and presents assets (resources) needed for running this process ….$

The Fractal Enterprise Model (FEM)
• … and for each asset, FEM presents processes for how to aquire,
maintain or retire the asset

The Fractal Enterprise Model (FEM)
• … and for each asset, FEM presents processes for how to aquire,
maintain or retire the assets

Building a FEM - using patterns
• Process-to-asset patterns/archetypes

Building a FEM - using patterns
• Asset-to-process pattern/archetype

Building a FEM - using patterns
• Applying the patterns will create a FEM – and the final result will be
an hierarchy of processes and assets

The Fractal Enterprise Model (FEM)
FEM can be used for:
• finding “invisible” processes that exists or should exist in the enterprise
• understanding how certain assets and processes are used in different
parts of the enterprise
• identifying capabilities of an enterprise
• planning business model transformation
• …

An approach for business model transformation
The approach consist of two steps:
1) Generating hypotheses
2) Assessing promising hypotheses

Demonstration - book-sales-on-the-web business
transformation (inspired by Amazon case)

An approach for business model transformation

Decision makers are often book readers
An approach for business model transformation

One platform vs many
platforms for customers
An approach for business model transformation

More staff might be
required
An approach for business model transformation

Decision makers are often book readers
One platform vs many
platforms for custumers
More staff might be
required
An approach for business model transformation

The challenge addressed – how to extend or
change an existing business model

Next step
• Develop transformation pattern based on FEM
• Using an infrastructural assets for building a service for external customer
• From designer to manufacturer
• From manufacturer to designer
• From educator to consultat
• ….
• Develop qualitative and quantitative measures
• Supporting the analysis when comparing nodes

$Earlier publications of FEM • Bider, I., Perjons, E., Elias, M., & Johannesson, P. (2016). A fractal enterprise model and its application for business development. Software & Systems Modeling, 1-27. • Josefsson, M., Widman, K. &Bider, I. (2015). Using the Process-Assets Framework for Creating a Holistic View over Process Documentation. In : Enterprise, Business- Process and Information Systems Modeling, LNBIP, Vol. 214. Springer, Stockholm (2015) 169-183, • Henkel, M., Bider, I. & Perjons, E. (2014, June). Capability-based business model transformation. In International Conference on Advanced Information Systems Engineering (pp. 88-99). Springer International Publishing. • Elias, M., Bider, I. & Johannesson, P. (2014). Using Fractal Process-Asset Model to Design the Process Architecture of an Enterprise: Experience Report. In BPMDS 2014 and EMMSAD 2014. LNBIP 175, Thesalonniki, Greece. Springer, pp.287-301. • Bider, I., Perjons, E. & Elias, M. (2012). Untangling the Dynamic Structure of an Enterprise by Applying a Fractal Approach to Business Processes. In Proceedings of PoEM 2012. LNBIP 134, Oslo, Norway. Springer, pp.61-76.$

A tutorial on using FEM for business model innovation at CAiSE 2018. In the dynamic world of today, enterprises need to be innovative not only in what they offer, but also in who they are and what they do, i.e. under which Business Models (BM) they operate. A traditional manufacturing company may not be able to continue its business as usual due to the emergence of mature 3-D printing. Instead, the company may become a “designer” of products while letting the customer print the design in other places, or a “manufacturer” – printing somebody else’s design for the customer. This change could be more radical than adding a new product or service to the company’s offerings. The tutorial introduces an approach to BM innovation based on a new type of enterprise models called Fractal Enterprise Model (FEM). A FEM connects enterprise’s business processes with its assets revealing existing assets that can be used in a new BM. The assets can be human-related or infrastructure related, e.g. various IT systems. A new business model is built by finding another usage for already existing assets. The introduction to FEM is followed by an exercise in which the tutorial participants apply the approach and invent a new business model for their own organizations.

Defining Transformational Patterns for Business Model Innovation

Ilia Bider

The pace of changes in the business environment in which a modern enterprise operates requires the enterprise to constantly review its business models in order to survive and prosper in the dynamic world. This exploratory study investigates how to help the enterprise to innovate their business models based on the concepts of fractal enterprise model and transformational patterns. The paper suggests an approach to Business Model Innovation (BMI) where the focus is on transformational patterns. It discusses the structure of such patterns, and based on examples, it presents an approach on how such patterns can be derived from cases of completed business transformations.

Value delivered - is it the same or different?

Ilia Bider

The paper considers a question whether all enterprises in the same branch deliver the same type of value, or the value delivered differs from provider to provider. In the latter case, it would be interesting to find out a way to understand the dif-ference and build a classification. In this paper, two different approaches to un-derstand the difference and make a classification are tested. Both are based on rel-atively new ideas that have not been used for the task before. One approach is based on patterns of strategy; the other one is based on Fractal Enterprise Model. The line of thinking is illustrated on the example of the management-consulting branch.

Evolution of business models in the era of Industrial Internet

Karan Menon

Enterprise Architecture for Small and Medium-Sized Enterprises: PhD Overview

Maxime Bernaert

Enterprise Unified Process and rup methodology

saman zaker

Simulanis Solutions is a company dedicated to deliver excellence in the domains of Process Engineering. We provide world-class technical-consulting and professional-development services in this specialist field with a constant thrust on tackling complex problems and overcoming them through the application of specialist technical knowhow. With a leadership team having a rich experience exceeding 100 man-years within the EPC sector, Simulanis brings together a unique blend of solid theoretical, unrelenting passion for exhibiting excellence, and relevant practical conversance in the core realm of Process Engineering. Our aim is to deliver services of the highest technological advantages and efficient asset utilization using industry leading practices backed by intensive research. We aim to meet the demand of clients and bring in change in the conventional methodology by presenting our very own innovative model like SCISSORTM (Simulanis Collaborative Integrated Simultaneous Simulation for Optimum Results) technique. The bouquet of our service delivery encompasses domains of Process Research, Process Modelling, Process Simulation, Process Integration and Process Optimization, all of which also form fundamentally vital elements of our approach to tackle challenging assignments.

Can an Enterprise Model Help in Mapping Capabilities?

Ilia Bider

The presentation investigates the potential of enterprise models for identifying capabilities within an organization, including the hidden ones - those that fall under the radar, i.e. not known for the management. The hidden capabilities might be critical in situation of emergency or for expanding the business. After presenting a working definition of capability, the study outlines a set of requirements on enterprise modeling techniques based on the definition. Fulfilling these requirements make a modelling technique potentially useful for the task of identifying capabilities, especially the ones that are hidden somewhere inside the organization. These requirements emphasize having capabilities easily distinguishable in the model, having means for presenting actions that manage the resources employed, and means to expand the model based on the already built parts. The requirements are also tested against some of the enterprise modeling techniques.

On the Concept of Discovery Power of Enterprise Modeling Languages and its Re...

Ilia Bider

The presentation introduces a new concept – discovery power – that can be used to characterize an enterprise modeling language. The concept is different, from, but connected to the concept of expressive power. The concept is defined as “degree of help provided by the structure of an enterprise modeling language to expand a partly built model or fill gaps in it”. The presentationalso suggests how to evaluate the discovery power of enterprise modeling languages.

Similar to Using a Fractal Enterprise Model for Business Model Innovation

Introductory of Information Technology

turkiyeizmir2020

SharePoint as a Business Platform Why, What and How? – No Code

dox42

20070115 - 03 Présentation CEISAR Club qualimétrie

LeClubQualiteLogicielle

'Patterns in Business Analysis and Enterprise Modeling: How to evaluate their...IIBA_Latvia_Chapter

Proforma UK EA PresentationMatthew Brown

Chapter 1 erp

snehalkulkarni74

EA roadmapping: business-transformation in a complex world

Tetradian Consulting

Enterprise Integration Patterns Revisited (EIP) for the Era of Big Data, Inte...

Kai Wähner

Enterprise Architecture (#EntArch) as a #systemsapproach applied management d...

Alexander SAMARIN

KSU IT4983 Capstone Projects Report 2017 Update

Jack Zheng

Supporting material for my Webinar to the ACS - June2017

Daljit Banger

From agile development to agile evolution of enterprise systemsAlexander SAMARIN

Imola informatica - Enterprise Knowledge Management

Matteo Busanelli

2016_GarrettThurstonModelBasedEnterpriseCOE_PresentationFoliage

KSU IT Capstone Report 2012-2017.pdf

Jack Zheng

Documenting Business ProcessesRachel Houghton

SemTecBiz 2012: Corporate Semantic Web

Adrian Paschke

MIS 49100 Week 5 Social Collaboration and Business Results

oudesign

Paul architect technical_leader_analyst_seattle_wa_resume

paneja

Simulanis Corporate Presentation

Ravi Yadav

Similar to Using a Fractal Enterprise Model for Business Model Innovation (20)

Introductory of Information Technology

SharePoint as a Business Platform Why, What and How? – No Code

20070115 - 03 Présentation CEISAR Club qualimétrie

'Patterns in Business Analysis and Enterprise Modeling: How to evaluate their...

Proforma UK EA Presentation

Chapter 1 erp

EA roadmapping: business-transformation in a complex world

Enterprise Integration Patterns Revisited (EIP) for the Era of Big Data, Inte...

Enterprise Architecture (#EntArch) as a #systemsapproach applied management d...

KSU IT4983 Capstone Projects Report 2017 Update

Supporting material for my Webinar to the ACS - June2017

From agile development to agile evolution of enterprise systems

Imola informatica - Enterprise Knowledge Management

2016_GarrettThurstonModelBasedEnterpriseCOE_Presentation

KSU IT Capstone Report 2012-2017.pdf

Documenting Business Processes

SemTecBiz 2012: Corporate Semantic Web

MIS 49100 Week 5 Social Collaboration and Business Results

Paul architect technical_leader_analyst_seattle_wa_resume

Simulanis Corporate Presentation

More from Ilia Bider

Can an Enterprise Model Help in Mapping Capabilities?

Ilia Bider

On the Concept of Discovery Power of Enterprise Modeling Languages and its Re...

Ilia Bider

ICEIS tutorial 2019: BUSINESS PROCESS CANVAS AND ITS USAGE IN IS TEACHING AND...

Ilia Bider

Linking Autopoiesis to Homeostasis in Socio-Technical Systems

Ilia Bider

The paper considers two seemingly different fundamental theoretical concepts of autopoiesis and homeostasis and tries to apply them to the realm of socio-technical systems. The paper uses a so-called Fractal Enterprise Model (FEM) to explain how autopoiesis – a system constantly reproducing itself - and homeosta-sis – a system constantly maintaining an approximate identity while adapting to changes in its internal and external environment – works, and how they are con-nected to each other. The work presented in this paper is in its initial stage, and more efforts are required to convert the ideas presented in the paper to something that can be used in practice.

Using Fractal Enterprise Model to Assist Complexity Management

Ilia Bider

This paper deals with the problems of a complex organizational system in which not each of its parts is directly connected to all other parts. For such a system, it is important to identify which parts/sub-systems need to be directly connected to each other, and which could be left without such connections. The paper puts forward a hypothesis that a suitable enterprise model could be used for this end, and investigates the suitability for this end of one particular enterprise modeling technique called Fractal Enterprise Model.

Using a Socio-Technical Systems Approach for a Sales Process Improvement

Ilia Bider

The paper is an experience report on applying a socio-technical approach to business process improvement. The approach is based on an augmented socio-technical matrix (STS-matrix) that differentiates 4 quadrants of socio-technical system: (1) culture/mind set, (2) type of structure, (3) methods/techniques, and (4) type of technology. It was applied in a study related to knowledge creation and sharing in a sales process in a multinational company. The augmented STS-matrix has been used for both holistic analysis of the situation and developing suggestions for organizational intervention.

Business Process Canvas and its Usage in IS Teaching and Learning

Ilia Bider

The tutorial introduces a new type of canvas called Business Process Canvas (BPC), and discusses experience of its usage in an IS course related to Business Process Modeling/Management (BPM). BPC represents a model of a business process in a nutshell that covers the most important aspects of the process, including its place in the organization, resources that it uses, and how it is driven. The canvas could be used in practice for decision making on a higher level when particular details are not important for the decision. It can also be used by process mapping experts for a premodeling phase to gather and systematize basic data about the process before diving into details; this could be especially useful for new, less experience process modelers. However, the primary motivation behind the development of BPC was to have a tool that facilitates both the students' understanding of the concepts related to BPM and their learning of how to model a process given a text description, or interviewing people engaged in the process. The tutorial introduces the structure of the canvas, discusses the experience of its usage, and devotes some time for exercises where the participants fill the canvas based on process descriptions.

Research-Oriented Practical Problem Solving as a Learning Goal for Thesis Cou...

Ilia Bider

The presentation is devoted to the topic of introducing practically oriented thesis writing in the Department of Computer and Systems Sciences of Stockholm University. The paper considers both legal and practical aspects of introducing practically oriented thesis. The material is based partly on the literature study, and partly on the experience of supervising practically oriented BS and MS thesis in the department. The research presented in this paper is of the Action Research type. The paper introduces a rough classification of practically oriented thesis, and discusses problems that need to be solved, such as proper disposition, grading, and method-related courses

Using the Structure of Tacit Knowing for Acquiring a Holistic View on IS Field

Ilia Bider

The paper considers the problem of students acquiring a holistic view on the IS discipline via a set of not explicitly connected subjects taught in disparate courses. The main idea is based on M. Polanyi's works on a structure of tacit knowing that can produce "a stereoscopic image from two separate pictures". The images that are used for creating a stereoscopic picture give different perspectives on the same reality, but they do not explicitly refer to each other, the 3-d picture is being created unconsciously by the human mind. This paper demonstrates that a connection between subjects can be created by using the same or tightly connected business cases in different courses that use case based learning combined with computer-based apprenticeship simulation. The paper discusses the main idea, the trial settings, and preliminary results.

Business Process Canvas as a Process Model in a Nutshell http://bit.ly/2NseOFu

Ilia Bider

Using Structural Coupling Approach for Defining and Maintaining Identity of a...

Ilia Bider

Using the Process-Assets Framework for Creating a Holistic View over Process ...

Ilia Bider

Presented by Magnus Josefsson. When an organization has not adopted a uniform and standardized way of pro-ducing and storing process documentation, keeping track of and maintaining pro-cess documents can be a real challenge. In this paper we suggest a framework for organizing process documentation which is created in different notations, for dif-ferent purposes, and stored in different formats. We show how this framework has been applied in a real case in an organization where such problems are pre-sent. We discuss advantages and disadvantages of the framework and suggest further development and testing of the framework to improve its usability. When an organization has not adopted a uniform and standardized way of pro-ducing and storing process documentation, keeping track of and maintaining pro-cess documents can be a real challenge. In this paper we suggest a framework for organizing process documentation which is created in different notations, for dif-ferent purposes, and stored in different formats. We show how this framework has been applied in a real case in an organization where such problems are pre-sent. We discuss advantages and disadvantages of the framework and suggest further development and testing of the framework to improve its usability.

Is People-Structure-Tasks-Technology Matrix Outdated?

Ilia Bider

Presentation at STPIS'17 http://stpis2017.blogs.dsv.su.se/ Proceedings at http://ceur-ws.org/Vol-1854/ Text at ResearchGate http://bit.ly/2rjlHh4 Abstract: The paper investigates whether the classical socio-technical matrix that differenti-ate 4 quadrants of social-technical system: people, structure, tasks and technology can still be useful for practical purposes. The paper gives a positive answer on the question, provided that the level of abstraction in defining these four quadrants is increased to deal with culture, type of structure, methods (techniques) and type of technology, as well as the idea of joint optimization is substituted with the idea of alignment. The paper presents some examples where the concept of the augment matrix has been used.

Stray lamb - misalignment in a socio-technical structure of an enterprise whe...

Ilia Bider

Presentation at: 2nd International Workshop on Socio-Technical Perspective in IS Development (STPIS'16) , Ljubljana, June 14, 2016. Link to the text: http://bit.ly/29baqtz Products from traditional engineering companies, such as cars and refrigerators, are evolving to become intelligent via combining hardware, software, sensors, and connectivity/networks. In such products, the importance of software increases exponential. Therefore, new software development units are emerging. This may cause misalignment between the traditional parts of the engineering companies and the new emerging software development units. The misalignment concerns both the technical part of the socio-technical structure of the companies, i.e. a conflict between different project management methodologies in the units, and the social part, i.e. the power roles of different unis and coordination between them. Viable System Model (VSM) has been applied to study the nature of misalignment in one such company, a large car manufacturer. This paper reports on the experience obtained during this study. With the help of VSM, misalignment was identified and diagnosed as a “stray lamb” – a pathological archetype related to a new and important unit of the company not being properly incorporated into the rest of the system.

YASQLT – Yet Another SQL Tutor. A Pragmatic Approach

Ilia Bider

The paper describes an ongoing project of creating an automated assessment tool to help novice students learning SQL in a frame of an introductory database course. In difference to other tools of this kind, the project has chosen a pragmatic approach of focusing on catching common semantic errors, leaving syntax control to professional DBMS. Using agile system development, the project successfully completed two iterations, both of which were tested in practice with satisfactory results. The students appreciated the tool and would like to have similar tools for other subjects, including Relational Algebra, and Conceptual Modeling. The latter is planned for implementation in the near future. The tool is considered to be appropriate for Learning by Failure in the situation of large size classes and short courses. For text refer to http://link.springer.com/chapter/10.1007/978-3-319-47717-6_17 You can also find it on ResearchGate

Becoming Agile in a Non-Disruptive Way: Is it Possible?

Ilia Bider

Pre-proceedings http://bit.ly/1seNuia Due to the increasing popularity of Agile Software Development (ASD), more software development teams are planning to transit to ASD. As ASD substantially differs from the traditional Software Development (TSD), there are a number of issues and challenges that needs to be overcome when transiting to ASD. One of the most difficult challenges here is acquiring an agile “mindset”. The question arises whether it is possible to acquire this mindset with the minimum disruption of an already established TSD process. The paper tries to answer this question by developing a non-disruptive method of transition to ASD, while using a knowledge transformation perspective to identify the main features of ASD mindset and how it differs from the one of TSD. To map the current mindset and plan the movement to the mindset that is more agile, the paper suggests using a process modelling technique that considers the development process as a socio-technical system with components that correspond to the phases of the development process. The method suggested in the paper has been designed in connection to a business case of a development team interested to transit to agility in a non-disruptive manner.

Towards Process Improvement for Case Management. An Outline Based on Viable S...

Ilia Bider

Presentation at the workshop workshop on Adaptive Case Management and other non-workflow approaches to BPM, Innsbruck, 2015 http://acm2015.blogs.dsv.su.se/. Pre-proceedings: http://bit.ly/1I5wz20. ABSTRACT: There are a number of methods for business process improvement that are used in practice and investigated in theory, such as Lean or Six Sigma. Most of these methods are activity based and are aimed at optimizing the activities flow, and/or the usage of resources in the process. These methods suit well the workflow-based processes and thinking, but not easily adaptable to Case/Adaptive Case Management (CM/ACM), the goal of improvement for which is improving the overall result from the knowledge workers cooperative work. Another distinctive feature of CM/ACM is that the process is guided not through which flow of activities to use in certain situations, but through a set of templates to use in these situations. This paper outlines a possible method of improving CM/ACM processes based on the Viable System Model (VSM). Though the usage of VSM for process improvement has been reported in the literature, it was not specifically applied to CM/ACM processes. The outline is based on the analysis of the process of organizing a series of scientific events, such as the AdaptiveCM workshop.

Modeling a Global Software Development Project as a Complex Socio-Technical S...

Ilia Bider

Presentation at the 10th IEEE International Conference on Global Software Engineering (ICGSE 2015) Pre-proceedings available at:http://bit.ly/1MBpxWY Any global software development project needs to deal with distances – geographical, cultural, time zone, etc. – between the groups of developers engaged in the project. To successfully manage the risks caused by such distances, there is a need to explicate and present the distances in a form suitable for manual or semi-automatic analysis, the goal of which is to detect potential risks and find ways of mitigating them. The paper presents a technique of modeling a global software development project suitable for such analysis. The project is modeled as a complex socio-technical system that consists of functional components connected with each other through output-input relationships. The components do not coincide with the organizational units of the project and can be distributed through the geographical and organizational landscape of the project. The modeling technique helps to explicate and represent various kinds of distances between the functional components to determine which of them constitute risk factors. The technique was developed during two case studies, of which the second is used for presenting and demonstrating the new modeling technique in the paper.

Running a Business Process as an Interactive Multiplayers Game

Ilia Bider

Presentation at BPMDS’15 Working Conference on Business process modeling, development and support. Title: "Creating Self-Managed Cross-Professional Teams with Metaphoric Business Process Support Systems" Preproceedings publicaly available: http://bit.ly/1TRovvb Springer proceedings: http://bit.ly/1TRovvb Abstract: The typical values that can be obtained by employing a business process support (BPS) system are optimization, compliance to rules and regulations, leanness, etc. These are obtained by introducing a kind of “conveyor belt” in business processes. While these values can be important for some processes at some phases of the enterprise development, they can be counter-productive for other processes and other phases. This idea paper investigates a possibility of obtaining completely different value from a BPS system, namely it serving as a means of creating self-managed/self-directed cross-professional teams of process participants. The paper suggests using visualized folk and fairy tales and interactive game technology as a basis for building BPS systems that can bring this value. The discussion is done based on the example of representing a consultative sales process using a treasure hunting plot.

Agile Research in Information Systems Field: Analysis from Knowledge Transfor...

Ilia Bider

Presentation at the 8th IADIS International Conference on Information systems. Pre-proceedings available at: http://bit.ly/1QPEZS5 Due to the relative success of agile methods in software development, the idea of having agile processes started to be tested in other areas, for example, agile business process development. This trend already reached the research community and there have appeared some materials that suggest using agility in research projects. Analysis of these suggestions, however, shows that they do not go beyond finding superficial analogy between the concepts of the software development and research projects. The paper presents a deeper analysis of the concept of agile research in Information Systems (IS) based on the analysis of the research projects from the knowledge transformation perspective. As a basis for analysis, the SECI model of Nonaka is used. Based on this analysis, several suggestions are made on how to conduct agile research in IS, e.g. prioritize relevance over vigor, test early for a practical purpose, use own experience and reflections, etc. It is also shown that some research types, like action research and design science, are more suitable for conducting agile research than others. The paper also gives analysis of risks of non-agile research, and presents an example where they are revealed.

More from Ilia Bider (20)