Introduction of new disruptive technology like blockchain, data analytics, sensor technology or cloud computing requires revising your business model. IT architecture changes, business processes must be redesigned, and above all your company must reconsider what services it can offer against what price to which new customers, which business partners are needed, and in general how to redesign your value chain. Too often we have seen that new technology is introduced under the assumption that the rest of the business does not have to change. This results in costly failures and underutilized technology. The first pillar of our philosophy is therefore
When introducing new technology, revise your business model.
This is precisely what it means for new technology to be disruptive.
Our second pillar is that revising your business model is an engineering discipline, just like redesigning your house is. The leading criterion in this redesign is business value. To revise your business model, you generate more than one possible design, compute its impact on profitability, cost, and risk, and select one with the best profitability-cost-risk tradeoff. This is what our e3value tools can do for you. Given a business plan, such as for example represented by Strategyzer’s Business Model Canvas, our tools can be used to make a map of your entire value network, simulate possible market scenarios, generate all possible online fraud vulnerabilities, and explore mitigations to these vulnerabilities. The result is a robust business model that can be mapped to operational business processes and information technology. In short,
When revising your business model, bridge the gap between an abstract business plan and operational technology by using a value engineering approach