an e-business model ontology for modeling e-business bled electronic commerce conference 2002 bled,...
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An e-Business Model Ontology for An e-Business Model Ontology for Modeling e-BusinessModeling e-Business
Bled Electronic Commerce Conference 2002Bled, June 2002
Alexander OsterwalderYves PigneurHEC Lausanne
[email protected](+41 21) 692.3420
© 2002 Osterwalder, HEC Lausanne e-business 2
Université de Lausanne
WEB | AGENDA | FIN
Agenda
1. Why business models?
e-business logic today p3
What are business models good for? p7
2. State of the art in business models
Ontologies, business models, tools p8
3. Further research
Research levels, research projects p9
4. The e-business model ontology
4 pillars: product, customer, infrastructure, finance p10
© 2002 Osterwalder, HEC Lausanne e-business 3
Université de Lausanne
WEB | AGENDA | FIN
e-Business logic today
Business Processes
StrategyPlanning level
Implementationlevel
Information & Communication
Technology (ICT) pressure
e-Businessprocesses
e-Business Technology layer
•Positioning•Objectives & goals•Communication of strategy
• Problem: Interpretation of strategy
• Result: Re-inventing strategy
?
© 2002 Osterwalder, HEC Lausanne e-business 4
Université de Lausanne
WEB | AGENDA | FIN
e-Business logic tomorrow
Business Processes
Business Model
StrategyPlanning level
Architectural level
Implementationlevel
Information & Communication
Technology (ICT) pressure
e-Business opportunities & change
e-Businessprocesses
e-Business Technology layer
Conceptual architectureof a business strategy
© 2002 Osterwalder, HEC Lausanne e-business 5
Université de Lausanne
WEB | AGENDA | FIN
What is a business model anyway?
• A business model is not a description of a complex social system itself with all its actors, relations and processes. Instead it describes the logic of a “business system” for creating value, that lies behind the actual processes.
• A business model is the conceptual and architectural implementation of a business strategy and represents the foundation for the implementation of business processes
Business Processes
Business Model
Strategy Business Im
pact
© 2002 Osterwalder, HEC Lausanne e-business 6
Université de Lausanne
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A company that defines it’s business model can...
• Understand– The process of modeling social systems or ontologies–
such as an e-business model – helps identifying and understanding the relevant elements in a domain and the relationships between them (Ushold et al., 1995; Morecroft, 1994).
• Share knowledge– The use of formalized e-business models (i.e. an
ontology) helps managers communicate and share their understanding of a business among other stakeholders (Fensel, 2001).
• React to rapid change– Mapping and using e-business models facilitates
change. Business model designers can easily modify certain elements of an existing e-business model (Petrovic et al., 2001).
Objects
XML
© 2002 Osterwalder, HEC Lausanne e-business 7
Université de Lausanne
WEB | AGENDA | FIN
A company that defines it’s business model can… (continued)
• Measure– A formalized e-business model can help identifying
the relevant measures to follow in a business, similarly to the Balanced Scorecard Approach (Norton et al., 1992).
• Simulate & learn– e-business models can help managers simulate
businesses and learn about them. This is a way of doing risk free experiments, without endangering an organization (Sternman, 2000).
System
thinking
BSC
© 2002 Osterwalder, HEC Lausanne e-business 8
Université de Lausanne
WEB | AGENDA | FIN
State of the art
• Ontologies– Enterprise ontologies: TOVE (Toronto Virtual Enterprise), The Enterprise
Ontology (html), Core Enterprise Ontology (CEO)
– e-Business Process ontologies (in XML): Transactions (xCBL, cXML), Ontology.org (html)
• Business Models– Classification: Timmers (pdf), Rappa (htm), Tapscott.
– Modeling (partial…): Hamel, Gordijn, Afuah, Linder (html).
• Tools– MIT eBusiness Process Handbook (html)
– System Dynamics...http://ecommerce.ncsu.edu/business_models.html
© 2002 Osterwalder, HEC Lausanne e-business 9
Université de Lausanne
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3 research levels
Level 1
Level 3
Level 2
e-Business ModelEquations
e-Business ModelOntology
e-Business ModelMeasurements
Understanding model elements and relationships, communicate and share models, change models
Pilote, follow, alert
Simulate models, play and learn by changing models, understand consequences of change
e-Business Model Simulator, e-Business Model Games
e-Business Model Balanced Scorecard
e-Business Model Framework (eBMF), Language (eBML), Handbook (eBMH) and Design Tool
Research ProjectsManagement Use
© 2002 Osterwalder, HEC Lausanne e-business 10
Université de Lausanne
WEB | AGENDA | FIN
Definition of a business model
A business model is nothing else than the value a company offers to one or several
segments of customers and the architecture of the firm and its network of partners for
creating, marketing and delivering this value and relationship capital, in order to generate profitable and sustainable revenue streams.
© 2002 Osterwalder, HEC Lausanne e-business 11
Université de Lausanne
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Definition of an e-business model
PRODUCTINNOVATION
INFRASTRUCTUREMANAGEMENT
CUSTOMERRELATIONSHIP
FINANCIAL ASPECTS
© 2002 Osterwalder, HEC Lausanne e-business 12
Université de Lausanne
WEB | AGENDA | FIN
Definition of an e-business model
CapabilitiesValue
PropositionTarget
Customer
PRODUCTINNOVATION
© 2002 Osterwalder, HEC Lausanne e-business 13
Université de Lausanne
WEB | AGENDA | FIN
Definition of an e-business model
CapabilitiesValue
PropositionTarget
Customer
PRODUCTINNOVATION
Resources
ValueConfiguration
PartnerNetwork
INFRASTRUCTUREMANAGEMENT
© 2002 Osterwalder, HEC Lausanne e-business 14
Université de Lausanne
WEB | AGENDA | FIN
Definition of an e-business model
CapabilitiesValue
PropositionTarget
Customer
Resources
ValueConfiguration
PartnerNetwork
PRODUCTINNOVATION
INFRASTRUCTUREMANAGEMENT
InformationStrategy
Feel &Serve
Trust &Loyalty
CUSTOMERRELATIONSHIP
© 2002 Osterwalder, HEC Lausanne e-business 15
Université de Lausanne
WEB | AGENDA | FIN
Definition of an e-business model
CapabilitiesValue
PropositionTarget
Customer
Resources
ValueConfiguration
PartnerNetwork
InformationStrategy
Feel &Serve
Trust &Loyalty
PRODUCTINNOVATION
INFRASTRUCTUREMANAGEMENT
CUSTOMERRELATIONSHIP
Cost Structure Revenue ModelProfit/Loss
FINANCIAL ASPECTS
© 2002 Osterwalder, HEC Lausanne e-business 16
Université de Lausanne
WEB | AGENDA | FIN
Questions & more information
[email protected]://inforge.unil.ch/aosterwa