2. They both miss the
moment when they should
have left their successful
path, to re-think their
business
model
3. The innovation cycle spins faster
than ever in nearly all industries
Innovation either increases the
customers’ value of a product or a
service, or lowers their costs and
therefore creates a competitive
advantage.
10. 14 of today’s 25 most
innovative firms have
innovated their business
model
and not just their technology
11.
12. What exactly is a business model
innovation ?
1.Who is your target customer ?
2. What do you offer to the customer ?
3. How do you create your value
proposition ?
4. How do you generate revenues ?
13. What do you have to do to innovate
your own business model ?
1. Initiation
2. Ideation
3. Integration
4. Implementation
GIULIA: Dear professor and collegues, Goodmorning. I’m Giulia
FEDE: …and I’m Federica
G: today we would like to briefly present What is a business model innovation.
F: and as you can read from the slide the basic idea behind it is that Today success is the enemy of tomorrow success.
G:Have you ever wondered why highly successful companies like Nokia and Kodak suddenly loose their edge ?
F:Didn’t they have plenty of resources, top employees and profound knowledge of their market ?
G:Probably They were too busy managing their daily business and serving their customer instead of envisioning future opportunities
F:That’s why they both miss the moment when they should have left their successful path to rethink their business model..
F: The innovation cycle spins faster than ever in nearly all industries. Innovation either increases the customers’ value of a product or service, or lowers their costs and therefore creates a competitive advantage.
G: For example APPLE_ creates an enormous perceived customer value with its compelling new product
G: While DELL_ reduces its costs or working capital by building new processes.
F: There are many misconceptions about innovation:
1)innovation stands from ideas nobody has had before
F: 2)big success requires big resources
F: 3)innovations are always based on boosting technologies
But Luckly they are all wrong!!
G: Succesfull innovators learn and recombine, whereas the pioneers are eaten by the wolves.
F: 14 of today’s 25 most innovative firms have innovated their business model and not just their technology.
G:Take firms such as :google. Amazin ,ebay : great algorithms yes, but it is the business model not just the technology that is responsible for their success
F: So what exactely is a business model innovation?
F: A business model provides answers to 4 questions:
1)
2)
3)
4)
A business model innovation changes at least two of these dimensions.
G: Most of the time innovation is about learning from others and reinventing your business model, not just your technology. This could be done in a structured process. we advise you to follow 4 steps:
1)2)3)4)
G: Thanks to incorrect management behaviour and organizations resistance more than 70% of changing initiatives fail, therefore we have to keep a few words in mind:
F:
1) Only implement one business model at a time
2) Clearly communicate the new business model and the needed changes
3) Innovation needs time
4) get top management commitment
And we would like to end our presentation with a quotes from Bernard of Chartres
If I have seen further it is by standing on the shoulders of giants.
Thank you
