Purpose: To facilitate the design of viable business models by proposing a novel business model design framework for viability. Design: A design science research method is adopted to develop a business model design framework for viability. The business model design framework for viability is demonstrated by using it to design a business model for an energy enterprise. The aforementioned framework is validated in theory by using expert opinion. Findings: It is difficult to design viable business models because of the changing market conditions, and competing interests of stakeholders in a business ecosystem setting. Although the literature on business models provides guidance on designing viable business models, the languages (business model ontologies) used to design business models largely ignore such guidelines. Therefore, we propose a business model design framework for viability to overcome the identified shortcomings. The theoretical validation of the business model design framework for viability indicates that it is able to successfully bridge the identified shortcomings, and it is able to facilitate the design of viable business models. Moreover, the validation of the framework in practice is currently underway. Originality / value: Several business model ontologies are used to conceptualise and evaluate business models. However, their rote application will not lead to viable business models, because they largely ignore vital design elements, such as design principles, configuration techniques, business rules, design choices, and assumptions. Therefore, we propose and validate a novel business model design framework for viability that overcomes the aforementioned shortcomings.
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An overview of innovations in a particular area, for example retail developments in the fashion sector (Van Vliet, 2014), and a subsequent discussion about the probability as to whether these innovations will realise a ‘breakthrough’, has to be supplemented with the question of what the added value is for the customer of such a new service or product. The added value for the customer must not only be clear as to its direct (instrumental or hedonic) incentives but it must also be tested on its merits from a business point of view. This requires a methodology. Working with business models is a method for describing the added value of products/services for customers in a systematic and structured manner. The fact that this is not always simple is evident from the discussions about retail developments, which do not excel in well-grounded business models. If there is talk about business models at all, it is more likely to concern strategic positioning in the market or value chain, or the discussion is about specifics like earning- and distribution-models (see Molenaar, 2011; Shopping 2020, 2014). Here we shall deal with two aspects of business models. First of all we shall look at the different perspectives in the use of business models, ultimately arriving at four distinctive perspectives or methods of use. Secondly, we shall outline the context within which business models operate. As a conclusion we shall distil a research framework from these discussions by presenting an integrated model as the basis for further research into new services and product.
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Research, advisory companies, consultants and system integrators all predict that a lot of money will be earned with decision management (business rules, algorithms and analytics). But how can you actually make money with decision management or in other words: Which business models are exactly available? In this article, we present seven business models for decision management.
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In order to achieve much-needed transitions in energy and health, systemic changes are required that are firmly based on the principles of regard for others and community values, while at the same time operating in market conditions. Social entrepreneurship and community entrepreneurship (SCE) hold the promise to catalyze such transitions, as they combine bottom-up social initiatives with a focus on financially viable business models. SCE requires a facilitating ecosystem in order to be able to fully realize its potential. As yet it is unclear in which way the entrepreneurial ecosystem for social and community entrepreneurship facilitates or hinders the flourishing and scaling of such entrepreneurship. It is also unclear how exactly entrepreneurs and stakeholders influence their ecosystem to become more facilitative. This research programme addresses these questions. Conceptually it integrates entrepreneurial ecosystem frameworks with upcoming theories on civic wealth creation, collaborative governance, participative learning and collective action frameworks.This multidisciplinary research project capitalizes on a unique consortium: the Dutch City Deal ‘Impact Ondernemen’. In this collaborative research, we enhance and expand current data collection efforts and adopt a living-lab setting centered on nine local and regional cases for collaborative learning through experimenting with innovative financial and business models. We develop meaningful, participatory design and evaluation methods and state-of-the-art digital tools to increase the effectiveness of impact measurement and management. Educational modules for professionals are developed to boost the abovementioned transition. The project’s learnings on mechanisms and processes can easily be adapted and translated to a broad range of impact areas.
Collaborative networks for sustainability are emerging rapidly to address urgent societal challenges. By bringing together organizations with different knowledge bases, resources and capabilities, collaborative networks enhance information exchange, knowledge sharing and learning opportunities to address these complex problems that cannot be solved by organizations individually. Nowhere is this more apparent than in the apparel sector, where examples of collaborative networks for sustainability are plenty, for example Sustainable Apparel Coalition, Zero Discharge Hazardous Chemicals, and the Fair Wear Foundation. Companies like C&A and H&M but also smaller players join these networks to take their social responsibility. Collaborative networks are unlike traditional forms of organizations; they are loosely structured collectives of different, often competing organizations, with dynamic membership and usually lack legal status. However, they do not emerge or organize on their own; they need network orchestrators who manage the network in terms of activities and participants. But network orchestrators face many challenges. They have to balance the interests of diverse companies and deal with tensions that often arise between them, like sharing their innovative knowledge. Orchestrators also have to “sell” the value of the network to potential new participants, who make decisions about which networks to join based on the benefits they expect to get from participating. Network orchestrators often do not know the best way to maintain engagement, commitment and enthusiasm or how to ensure knowledge and resource sharing, especially when competitors are involved. Furthermore, collaborative networks receive funding from grants or subsidies, creating financial uncertainty about its continuity. Raising financing from the private sector is difficult and network orchestrators compete more and more for resources. When networks dissolve or dysfunction (due to a lack of value creation and capture for participants, a lack of financing or a non-functioning business model), the collective value that has been created and accrued over time may be lost. This is problematic given that industrial transformations towards sustainability take many years and durable organizational forms are required to ensure ongoing support for this change. Network orchestration is a new profession. There are no guidelines, handbooks or good practices for how to perform this role, nor is there professional education or a professional association that represents network orchestrators. This is urgently needed as network orchestrators struggle with their role in governing networks so that they create and capture value for participants and ultimately ensure better network performance and survival. This project aims to foster the professionalization of the network orchestrator role by: (a) generating knowledge, developing and testing collaborative network governance models, facilitation tools and collaborative business modeling tools to enable network orchestrators to improve the performance of collaborative networks in terms of collective value creation (network level) and private value capture (network participant level) (b) organizing platform activities for network orchestrators to exchange ideas, best practices and learn from each other, thereby facilitating the formation of a professional identity, standards and community of network orchestrators.
Wat is de mogelijke rol van lokale duurzame energiesystemen en –initiatieven in de overgang naar een duurzame samenleving? En hoe kunnen op lokale toepassing gerichte innovaties worden ontwikkeld en toegepast op een zodanige manier dat deze bij lokale systemen en initiatieven aansluiten?Deze vragen staan centraal in dit onderzoeksproject dat zich richt op innovaties die rekening houden met een grotere rol van burgers bij een duurzame energievoorziening. Het project behelst echter meer dan het verrichten van onderzoek. Het beoogt bouwstenen te leveren voor een duurzame samenleving waarin meer ruimte is voor lokale (burger)initiatieven. We stellen drie deelprojecten voor:1. een vergelijkende studie naar energiecoöperaties en vergelijkbare innovatieve initiatieven, binnen en buiten Nederland, in heden en verleden. Daarbij hopen we lering te kunnen trekken uit de succesvolle ervaringen in Denemarken en Oostenrijk en van innovaties door coöperatiesen collectieven in het verleden.2. een analyse van energie-innovaties die beogen aan te sluiten bij lokale energiesystemen. Concreet zal het onderzoek zich richten op speciale batterijen, ontwikkeld dor het bedrijf Dr.Ten, en een soort slimme grote zoneboiler, ontwikkeld door het gelijknamige bedrijf Ecovat.3. De ontwikkeling van drie scenario’s, gebaseerd op inzichten uit studies 1 en 2. De scenario’s zullen bijvoorbeeld inhoudelijk verschillen in de mate waarin deze geïntegreerd zijn in bestaande energiesystemen. Deze zullen worden ontwikkeld en besproken met relevante stakeholders.Het onderzoek moet leiden tot een nauwkeurig overzicht van de mate van interesse en betrokkenheid van stakeholders en van de beperkingen en mogelijkheden van lokale energiesystemen en daarbij betrokken technologie. Ook leidt het tot een routemap voor duurzame energiesystemen op lokaal niveau. Het project heeft een technisch aspect, onderzoek naar verfijning en ontwikkeling van de technologie en een sociaal en normatief aspect, studies naar aansluitingsmogelijkheden bij de wensen en mogelijkheden van burgers, instanties en bedrijven in Noord-Nederland. Bovenal is het integratief en ontwerpend van karakter.This research proposal will explore new socio- technical configurations of local community-based sustainable energy systems. Energy collectives successfully combine technological and societal innovations, developing new business and organization models. A better understanding of their dynamics and needs will contribute to their continued success and thereby contribute to fulfilling the Top Sector’s Agenda. This work will also enhance the knowledge position of the Netherlands on this topic. Currently, over 500 local energy collectives are active in The Netherlands, many of them aim to produce their own sustainable energy, with thousands more in Europe. These collectives search for a new more local-based ways of organizing a sustainable society, including more direct democratic decision-making and influence on local living environment. The development of the collectives is enabled by openings in policy but –evenly important - by innovations in local energy production technologies (solar panels, windmills, biogas installations). Their future role in the sustainable energy transition can be strengthened by careful aligning new organizational and technological innovations in local energy production, storage and smart micro-grids.
