The "Busines Model" is the way we make money as a company in the environment where we operate in.
The relationship between for whom we do it and with who we are in business, what is the value proposition that we work with, how this is achieved and how sold to the customer and delivered. Obviously these result in a revenue and cost structure: the earning model.
A business model thus gives the main components and their interrelationships to generate and deliver the business, including the associated revenues and expenses structure.
TThese components are for the 'revenue side':
1) Customer segments for which customer (segments), are we doing it?
2) customer relations: which communication channels do we use to build a customer relationship and how we maintain these.
3) delivery channels, how we deliver our product / service to the customer and
4) the value proposition: which solution do we provide for our customers.
These components together form the 'revenue side' of the business model and provide input for the 'revenu streams. Obviously, there also is a "cost side" of the business model. (link)
Typical processes and activities here are portfolio management and scenario thinking.
The "Research & Analysis" are those tasks that must be performed to have a solid underpinning for the commercial plans.
Research and analysis is the area where we examine the market, customers and competition.
Typical processes and activities include market research, segmentation analysis, benchmarking and best practices.
Commercial plan: coherent logical structure of a set of commercial plans aimed at achieving the commercial objectives and targets of the defined markets. ([inter]national, [key]account, team, branche, regional, ...)
The business plan provides direction to the objectives and how to achieve them. The scope of the plan is dependent on the level of the "official".
In addition to the commercial objectives (targets and budget) these are also key enhancements for the organization.
Typical processes and activities are: make forecasts, (strategic) planning, setting goals, process improvement, campaigns, actions, ..
Organisation:
All those parts of the business that contribute to creating and delivering the value proposition for customers (groups).
Typical processes and activities are controlling of commercial processes (funnel management), managing sales and managing accounts, defining and completing tasks, powers, responsibilities.
Typical management attention is needed here for the creation, effective use and continuous improvement of processes and activities based on actual measurement.
Personal effectiveness; making best use of our time and all other personal resources at our disposal. Doing the right things and achieving our goals efficiently, getting the best possible return. Personal effectiveness within the different goals, values and priorities people can have, operating within the quality standards of the working context.
Measurement & Evaluation;
ensuring that all activities, whether generated by the organisation or the customer, are monitored and measured for their effectiveness. Retrieved data and insights produced are interpreted and used for future improvements. (PDCA - cycle)
Evaluation and reflection on own actions.
Solution: for which problem (need) of the customer, do we have a solution? The value proposition is composed of three basic parts: the solution, the cost / value of this and the "brand promise" which is expected
Typical processes and activities include the understanding of the customer needs, and use these to adapt the presentation of the value proposition
Pricing, the financial impact: is the quantitative component of the value proposition (the solution, the price value and brand promise)
From the company point of view it is the price charged for products and services and the internal financial 'health'
From the customer point of view it is the value the service, the (financial) business impact the solution will provide
Typical topics and activities here are business case, pricing policies, pricing, quotation, negotiate.
Brand Promise: providing clear guidelines for applying and translating the (company or product) brand attributes into the desired customer experience
Brand promise: is what your business will consistently deliver to the customer. This established your customers’ expectations for the quality and consistency of their experiences with your business. Businesses want to control perceptions, thoughts, and feelings customers have about them. It provides guidance to employees as they interact with customers daily. A brand must promise a relevant, compelling and differentiated benefit to the target customer.
Through which (aligned) channels is the customer influenced and able to select and choose the several value propositions
Through what channel(s) is the delivery organised?
Typical processes, activities and chanels are face to face conversation, inbound / outbound calling, inside sales, web shops, intranet, social media, ..
Trust: how do we build the trust of the customer, how to develop customer confidence in us, satisfaction and loyalty.
Net Promoter Score etc as methods
Leadership: interplay between leader and followers
Responsibilities, activities and teamwork are focused on achieving results and change, partly by sharing ambitions and give meaning to events. It is about the relationship between people and mutual influence.
Typical processes and activities are inspire, motivate, give an example, in being able to delegate, coach, monitor, inform, create vision and propagate it..
Teams: accomplish more together than the sum of the individuals. Depending on the objective of the team the nature and composition is multidisciplinary or mono-discipline, organized from clear objective, project or permanent, physical and / or virtual.
Important to create and share common goals, everyone´s role contribution and responsibilities, mutual communication, and team culture.
Typical processes and activities are composing team, plan activities, organize and distribute tasks, work together, dealing with group dynamics, team development, sharing of progress, discharge team.
Ethics & Rules: company policy or ethics and values that apply to an organization, the written and unwritten rules, and culture within the organization. 'rules of engagement'. Differences between organizations, different countries.
Apply and dealing with legal provisions (contracts, tenders, ..)
