generic business model types for enterprise mashup intermediaries

SYSTEMATIC THOUGHT LEADERSHIP FOR INNOVATIVE BUSINESS

Generic Business ModelTypes for Enterprise MashupIntermediaries

Volker Hoyer1 2 and Katarina Stanoevska-Slabeva2

1 SAP Research Center St. Gallen, Switzerland2 University of St. Gallen, =mcminstitute, Switzerland

Design: Interaction Phase Model

Organization similar tocommunities and electronicmarkets.

Scientific: Interaction PhaseModel as an artefact

Contribution to Knowledge Base

Generice Business Model TypesExecutive Summary

Interaction Phase Model forEnterprise Mashup Environments

Practice: Guideline fordesigning Enterprise Mashupplatforms

Identification of three businessmodel types (Discovery, broker,marketplace)

© SAP 2009 / Generic Business Model Types for Enterprise Mashup Intermediaries /

Prob

lem

Sta

tem

ent

Current discussion in the scientificcommunity is limited ontechnical aspects

Business models for these newkinds of grassroots platformsB

usin

ess

Nee

dsB

usin

ess

Nee

ds Current discussion in the scientificcommunity is limited ontechnical aspects

Business models for these newkinds of grassroots platformsB

usin

ess

Nee

ds

Growing numbers of companyinternal and external Web-basedresources based on openstandardsNew upcoming tools to create ad-hoc enterprise-classapplications without anyprogramming skillsTe

chno

logy

Tre

nds Growing numbers of company

internal and external Web-basedresources based on openstandardsNew upcoming tools to create ad-hoc enterprise-classapplications without anyprogramming skillsTe

chno

logy

Tre

nds

1. Motivation and Problem Scope2. Research Approach: Design Science applied3. Related Work and Objectives of the Solution4. Design: Interaction Phase Model for Enterprise Mashup Intermediaries5. Demonstration: Multi-Case Studies6. Conclusion and Outlook

Agenda


Motivation“Yes, we can!“ - From Automation to Peer Production

An Enterprise Mashup is a Web-based resource that combines existing resources,be it content, data or application functionality, from more than one resource byempowering the actual end users to create individual information centric andsituational applications”

“


Adoption ofCorporate Technology

Prod

uctiv

ity

Time

Automating Transactions Enabling collaborationand participation

EnterpriseMashups

20091990s

Adoption of ERP, CRM, SCMUser assigned by managementUsers must comply with rulesOften complex technolgyinvestment

Adoption of Web 2.0 toolsUser groups can form unexpectedlyUser engage in high degree ofparticipationTechnology investment often alighweight overly to existinginfrastructure

MotivationResearch Question

Which features have to be provided by Enterprise Mashup Intermediariesin order to match supply and demand?

What generic business model types exist?



Agenda


Research ApproachDesign Science applied

Research Methods

Preliminary study on the practical need

Obj

ectiv

es o

fth

e So

lutio

nAr

tefa

ctD

esig

nAr

tefa

ctD

emon

stra

tion

LiteratureAnalysis

Literature AnalysisReference Modeling(Electronic Markets)

Multi-case (embedded)Studies

Iden

tific

atio

nof

the

Prob

lem

Interaction Phase Model for Enterprise Mashup Intermediaries(Knowledge, Intentions, Contract/Design, Settlement)

Application of Interaction Phase(StrikeIron, Seekda, ProgrammableWeb.com, iGoogle, IBM Mashup Center)

Enterprise Mashups LiteratureAnalysis

Interaction Model Business Model

Generic Business Model Types (Directory, Broker, Marketplace)

Analysis of

* Peffers, K., Tuunanen, T., Rothenberger, M., Chatterjee, S. (2008). A Design Science Research Methodology forInformation Systems Research. Journal of Management Information Systems, 24,3, 45-77.



Agenda


Enterprise MashupsEnterprise Mashup Stack and User Roles*

User Roles

Ente

rpris

e M

ashu

p St

ack

Compostion of Widgets(Wiring) to enterprise-classapplications

Mas

hup End users run Mashups

Consume MashupPersonalize Mashup (e.g., changebackground color)

Key users create MashupsAdd pre-build widgets (from thecatalogue)Connecting widgets by wiring theirin-/out- ports

Consultants create WidgetsBinding generic User Interfaces toresourcesTransforming and aggregating data(piping)

Developers implement the servicesCreate and deploy servicesMake resources available (e.g.,RSS Feeds, SAP EnterpriseServices)

User-friendly Building BlocksProvide graphical and simpleuser interaction mechanismAbstracting from the complexityof the underlying resources

Wid

get

Core Building BlocksRespresent actual content, data orapplication functionalityEncapsulated via well-definedinterfaces (APIs)R

esou

rce

Product List

OK Cancel

* Hoyer, V., Stanoevska-Slabeva, K., Janner, T., Schroth, C. (2008). Enterprise Mashups: Design Principiles towards theLong Tail of User Needs. In Proceedings of the 2008 IEEE International Conference on Service Computing (SCC 2008).


Enterprise MashupsInteraction Agent Model*

Three Agent Roles well known from Electronic Markets and Service-OrientedArchitectures (SOA)

Provider implements and hosts a mashable component (Mashup, Widget,Resource)Intermediary mediates between providers and consumers (improving navigation,transparency and governance)Consumer is able to retrieve and compose Mashup components according to hisindividual needs


* Hoyer, V., Stanoevska-Slabeva, K.: Towards a Reference Model for Grassroots Enterprise Mashup Environments, In: Proceedings ofthe 17th European Conference on Information Systems (ECIS), Verona, Italy, 2009

Business ModelsBusiness Model Hierarchry*


* Osterwalder, A., Pigneur, Y., Tucci, C.L. (2005). Clarifying Business Models: Origins, Present, and Future of the Concept.Communications o fthe AIS, 15

Business Model Concept

Business Model Type A

Con

cept

ualL

evel

Con

cept

ualL

evel

Real world company

Modelled instances

Taxonomy of business modeltypes

DefinitionWhat is a business model?

FrameworkWhat components belong into abusiness model?

11

22

33

Inst

ance

Leve

lIn

stan

ceLe

vel

Company A Company C

Instances (view of a company)

Business Model Types

Business ModelCompany A

Company DCompany B


Business Model Type B

Company B Company C Company D

Business ModelsBusiness Model Hierarchry*


* Osterwalder, A., Pigneur, Y., Tucci, C.L. (2005). Clarifying Business Models: Origins, Present, and Future of the Concept.Communications o fthe AIS, 15


Business Model Type A

Con

cept

ualL

evel

Con

cept

ualL

evel

Real world company

Modelled instances



FrameworkWhat components belong into abusiness model?

11

22

33

Inst

ance

Leve

lIn

stan

ceLe

vel

Company A Company C

Instances (view of a company)


Business ModelCompany A

Company DCompany B


Business Model Type B

Company B Company C Company D

Feature of thespecific Product

Feature of thespecific Medium

PotentialCustomerValue Chain

Societal Environment

Financial Flow

Flow of Goods & Services

MCM Business Model ConceptFeature of the

specific Product




Financial Flow

Flow of Goods & Services

MCM Business Model Concept

Interaction Phase Model

Multi-Case Studies

Case 1 Case 2 Case 3 Case 4 Case 5


Agenda


Interaction Phase ModelOverview


CharacteristicsOrganization similar to communitiesand electronic marketsPermament loops between theconverging design and runtimephasesReal data sources

Interaction Phase ModelKnowledge and Intentions Phase


Interaction Phase ModelContract (Design) and Settlement Phase



Agenda


DemonstrationMulti-Case Studies






Financial Flow

Flow of Goods & ServicesInteraction Phase

Case 1: StrikeIron





Financial Flow


Case 2: Seekda





Financial Flow


Case 3: Programableweb.com





Financial Flow


Case 4: iGoogle Gadgets





Financial Flow


Case 5: IBM Mashup Center

Multi-Case (embedded) StudiesUnit of Analysis: Feature of the specific Product (Interaction Phase Model)

DemonstrationMulti-Case Studies (Context)


Intermediary StrikeIron Seekda ProgrammableWeb.com

iGoogleGadgets

IBM MashupCenter

General Information

Owner StrikeIron University ofInnsbruck

John Musser Google IBM, GreenhouseProject

Supported mashablecomponents

Resources Resources (WebServices)

Resources (WebServices, REST,etc.)

Widgets Resources, Widgets,Mashups

# components (Mashups,Widgets, Resources)

40 Resources 27813 Resources 1171 Resources3731 Mashups

> 50.000 Widgets 475 Resources,47 Widgets107 Mashups

Active 2002 – today 2006 – today 2005 – today 2006 – today 2008 – today

Description Traditionalintermediary (heavyweight WebServices)

Web crawler, EUreserach project

Mashup intermediary Consumer-orientedMashup platform

CommercialEnterprise Mashupplatform

DemonstrationMulti-Case Studies (Knowledge and Intentions Phase)



iGoogleGadgets

IBM MashupCenter

Knowledge Phase

Component description Name, description,features, benefits,price conditions

Name, provider, userratings, tags,availability

Name, provider,tags, ratings, dataadded, licensing

Name, provider,widget preview,popularity, rating

Name, provider,popularity, version,rating

Aggregation of collegectedinformation aboutcompponent‘s quality

Monitoring ofperformance anduptime

Extensive analysis ofthe availability (i.e.,response time)

- - Popularity

Browsing/ discovery of thecatalogue

Free text search, sortby categories

Free text search,most used, recentlyfound services,providers by country,tag cloud

Free text search, sortby categories,newest, mostpopular, APIscorecard, Mashupmatrix, tag clould

Free text search, sortby categories,hottest, most users,newest

Free text search sort,by categories, topratings, mostpopular, tag cloud

Certification - - - - -

Intentions Phase

Components Annotations - Tagging, ratting,reviewing

Tagging, rating,reviewing

Tagging, rating,reviewing, sharing(Google contacts)

Tagging, rating,reviewing

Publication of Mashupcomponents

- Online form to addresources (URL) forthe crawling engine

Online form and APIto add a resource orMashup

Adding of newwidgets/ feeds (URL)

Provider is able tospecify thepermission of acomponent

Promotion of components - - - - -

Please find the details in the paper.

DemonstrationMulti-Case Studies (Contract and Settlement Phase)



iGoogleGadgets

IBM MashupCenter

Contract (Design) Phase

Design and creation of anindividual workingenvironment/ application

Sample applicationallows tesing of acomponent

A Web Servicesinvoker allows to testa Web Service,; areal designenvironment doesnot exist

- Individual Mashupwith several themesand so-called Googlegadgets (widgets)can be added to theenvironment

It allows to create anindividual Mashup byadding widgets fromthe catalogue.

Composition of mashablecomponents

- - - - Widgets can bewired, resources canbe piped with eachothers.

Composition matching - - - - -

Settlement Phase

Monitoring the consumption ofmashable components andconsumer behavior

- Long term databasemonitors theavailability of theWeb Services.

The popularity ofAPIs is documentedindirectly.

Popularity based onthe consumerconsumption isdocumented

Popularity based onthe consumerconsumption isdocumented.

Billing usage of mashablecomponents

Commercialagreements andsales conditions

- - - -

Management of the payment Online subscriptionwith credit cardpayment

- - - -

DemonstrationGeneric Business Model Types


Directory

Con

cept

ualL

evel

Con

cept

ualL

evel

Real world intermediaries

Modelled instances



FrameworkWhat features are supported byan Mashup intermediary?

11

22

33

Broker Marketplace

Inst

ance

Leve

lIn

stan

ceLe

vel

ProgrammableWeb.Com Seekda

Instances (view of anMashup intermediary)


Business ModelProgrammableWeb Seekda


StrikeIron

StrikeIron

IBMMashup Center

IBM Mashup Center



Agenda


Conclusion and Outlook

Interaction Phase Model for classifying Business Model Types forEnterprise Mashup Intermediaries

Three generic Business Model Types (Directory, Broker, Marketplace)

Contribution to the Knowledge Base according to the three cycles of designscience research as proposed by Hevner

Scientific: Interaction Phase Model as an artefactPractice: Guideline for designing Enterprise Mashups environments(Platform as a Service, PaaS)


Future WorkEnterprise Mashup Platform as a Marketplace


Directory

Con

cept

ualL

evel

Con

cept

ualL

evel

Real world intermediaries

Modelled instances



FrameworkWhat features are supported byan Mashup intermediary?

11

22

33

Broker Marketplace

Inst

ance

Leve

lIn

stan

ceLe

vel

ProgrammableWeb.Com Seekda

Instances (view of anMashup intermediary)


Business ModelProgrammableWeb Seekda


RoofTop

RoofTop

IBMMashup Center

IBM Mashup Center


Future WorkSAP Research RoofTop Marketplace Prototype


KnowledgeIntentions

Contract (Design)

Settlement

© SAP 2008 /Enterprise Mashups: Design Principles towards the Long Tail of User Needs /

Thank you!

[email protected], [email protected]

Contact

Volker Hoyer=mcminstitute, University of St. Gallen andSAP Research Center St. GallenBlumenbergplatz 99000 St. GallenSwitzerland

http://www.mcm.unisg.ch, http://www.sap.com/research

??

mailto:[email protected]

mailto:[email protected]

http://www.mcm.unisg.ch/

http://www.sap.com/research

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