Sunday, December 05, 2010

Alternative business model canvasses: A Partnering Canvas example

In an earlier post I discussed the need to sometimes innovate the business model canvas itself to describe or discover new business models and introduced a Co-Creation Business Model Canvas as example. In this post I will introduce another variety targeted at the Key Partners. Note that these alternatives do not change the core concepts or the language of Business Model Generation as introduced by Osterwalder and Pigneur (2010) nor do they replace the basic template. I see them as complementary; they can be used to highlight different value creation approaches when needed.

The Partnering Business Model Canvas is extended with the activities, resources and cost structure of the Key Partners. I adapted the template as shown in the figure below. In addition, there is also the option to also add partner relationships and channels if this is required. However, this may blow up the canvas too much, making it less easy to understand and communicate.

I see two reasons for the use of this alternative canvas. Firstly, in some business models the business network is very prominent and some of the key resources are owned by the partners or some of the key activities are performed by partners. In particular in business models where the core organization manages the customer relationships and coordinates the value creation but is not so much involved in the supply chain.

Secondly, the (out)sourcing decision is often a very important decision in the business model influencing creating and capturing value (e.g. IMB outsourced the PC operating system to Microsoft). By making the activities and resources of providers more explicit, it becomes more prominent what would be the specific activities and resources of providers that could or should (not) be outsourced.

1 comment:

Tom Graves said...

Both this and the CoCreation variant are very nicely done. One point I particularly like about this version is that it tackles the inherent asymmetry of the BMC, in which more attention is paid to the customer-side rather than supply-side.

I've likewise developed other variants on BMC - notably a BMC for non-profits and a broader-scope version for whole-of-enterprise architectures, referred to as the Enterprise Canvas. I've also seen various others such as BMStack. Might perhaps be worthwhile to start building a register of these, together with the reasonings behind the variant, so that we can use the original BMCanvas as the core reference-language?