Showing papers on "Business model published in 2014"

Ride on! Mobility Business Models for the Sharing Economy

Abstract: The public perception of shared goods has changed substantially in the past few years. While co-owning properties has been widely accepted for a while (e.g., timeshares), the notion of sharing bikes, cars, or even rides on an on-demand basis is just now starting to gain widespread popularity. The emerging “sharing economy” is particularly interesting in the context of cities that struggle with population growth and increasing density. While sharing vehicles promises to reduce inner-city traffic, congestion, and pollution problems, the associated business models are not without problems themselves. Using agency theory, in this article we discuss existing shared mobility business models in an effort to unveil the optimal relationship between service providers (agents) and the local governments (principals) to achieve the common objective of sustainable mobility. Our findings show private or public models are fraught with conflicts, and point to a merit model as the most promising alignment of the strengths of agents and principals.

Cyber physical systems in the context of Industry 4.0

Abstract: We are currently experiencing the fourth Industrial Revolution in terms of cyber physical systems. These systems are industrial automation systems that enable many innovative functionalities through their networking and their access to the cyber world, thus changing our everyday lives significantly. In this context, new business models, work processes and development methods that are currently unimaginable will arise. These changes will also strongly influence the society and people. Family life, globalization, markets, etc. will have to be redefined. However, the Industry 4.0 simultaneously shows characteristics that represent the challenges regarding the development of cyber-physical systems, reliability, security and data protection. Following a brief introduction to Industry 4.0, this paper presents a prototypical application that demonstrates the essential aspects.

Business model innovation

Abstract: The Oxford Handbook of Innovation Management offers a comprehensive and timely analysis of the nature and importance of innovation and the strategies and practices that can be used to improve organizational benefits from innovation. Innovation is centrally important for business and national competitiveness, and for the quality and standard of living around the world, but it does not happen by itself. For innovation to succeed, it needs to be properly managed. With contributions from 49 world-leading scholars, the Handbook explores the many sources of innovation, the broader social, economic, and technological contexts that encourage and constrain it, and the cutting-edge strategies and practices of innovation management. The book addresses the traditional concerns of innovation management—such as managing RD, intellectual property, and creativity, and the contributions of science and marketing—but substantially extends traditional areas of interest. In this new volume, chapters examine emerging topics including design, social networks, open and social innovation, and innovation in business models, ecosystems, services, and platforms. The book explores the importance of innovation management for environmental sustainability, and its evolving nature and practice in Asia. Written in an accessible style, and with carefully selected bibliographies and a comprehensive index, the Handbook offers a uniquely authoritative and wide-ranging source of knowledge about innovation management. Each chapter identifies key issues and reviews the most important research findings. Future research questions are identified. The Handbook will be invaluable for students and faculty studying, researching, and teaching innovation, and for managers seeking to improve innovation outcomes in their organizations. Readership: Academics, researchers, and students of innovation and technology management; managers seeking to improve innovation outcomes in their organizations.

Ride On! Mobility Business Models for the Sharing Economy

Abstract: The public perception of shared goods has changed substantially in the past few years. While co-owning properties has been widely accepted for a while (e.g., timeshares), the notion of sharing bikes, cars, or even rides on an on-demand basis is just now starting to gain widespread popularity. The emerging “sharing economy” is particularly interesting in the context of cities that struggle with population growth and increasing density. While sharing vehicles promises to reduce inner-city traffic, congestion, and pollution problems, the associated business models are not without problems themselves. Using agency theory, in this article we discuss existing shared mobility business models in an effort to unveil the optimal relationship between service providers (agents) and the local governments (principals) to achieve the common objective of sustainable mobility. Our findings show private or public models are fraught with conflicts, and point to a merit model as the most promising alignment of the strengths ...

Introduction to the Special Issue Information Technology in Retail: Toward Omnichannel Retailing

Abstract: The increased deployment of new technologies such as smart mobile devices and social networks and the growing importance of in-store technological solutions create new opportunities and challenges for retailers. As the line between online and physical channels is blurred, a new approach to channel integration is emerging—the omnichannel, which aims to deliver a seamless customer experience regardless of the channel. This introduction presents the results of focus group discussions on the role of information technology in retail, new business models, and the future role of traditional stores as e-commerce advances. Key issues that emerged from the discussion include the need for channel integration, the impact of mobile technologies, the growing role of social media, the changing role of physical brick-and-mortar stores, the need to respond to diverse customer requirements, the balance between personalization and privacy, and, finally, supply chain redesign. The four papers in this Special Issue explore th...

IT capability and organizational performance: the roles of business process agility and environmental factors

Abstract: The business value of information technology (IT) has been one of the top concerns of both practitioners and scholars for decades. Numerous studies have documented the positive effects of IT capabi...

Business model innovation – state of the art and future challenges for the field

Abstract: Business model innovation is receiving increased attention in corporate practice and research alike. We propose in this article a role-based approach to categorize the literature and argue that the respective roles of explaining the business, running the business, and developing the business can serve as three interrelated perspectives to present an overview of the current business model innovation field and to accommodate the selected contributions of this special issue. We refer to contributions from entrepreneurship, innovation and technology management, and corporate strategy to explicate the three elaborated perspectives and to summarize the main contents of the special issue articles. We conclude by reflecting on main theoretical challenges for studies on business model innovation which stem from the uncertain boundaries of the phenomenon, and we propose some theoretical stances and analytic levels to develop future avenues for research.

Transforming decision-making processes: a research agenda for understanding the impact of business analytics on organisations

Abstract: Much attention is currently being paid in both the academic and practitioner literatures to the value that organisations could create through the use of big data and business analytics (Gillon et a...

Service innovation in product-centric firms : a multidimensional business model perspective

Abstract: Purpose – This article aims to investigate the nature and characteristics of business model elements required for successful service innovation. The authors examine which unique resources and capab ...

Business Models for Open Innovation: Matching Heterogenous Open Innovation Strategies with Business Model Dimensions

Abstract: Research on open innovation suggests that companies benefit differentially from adopting open innovation strategies; however, it is unclear why this is so. One possible explanation is that companies’ business models are not attuned to open strategies. Accordingly, we propose a contingency model of open business models by systematically linking open innovation strategies to core business model dimensions, notably the content, structure, governance of transactions. We further illustrate a continuum of open innovativeness, differentiating between four types of open business models. We contribute to the open innovation literature by specifying the conditions under which business models are conducive to the success of open innovation strategies.

Value Proposition Design: How to Create Products and Services Customers Want

Abstract: Value Proposition Design helps you tackle the core challenge of every business — creating compelling products and services customers want to buy. This highly practical book, paired with its online companion, will teach you the processes and tools you need to create products that sell. Using the same stunning visual format as the authors’ global bestseller, Business Model Generation, this sequel explains how to use the “Value Proposition Canvas” to design, test, create, and manage products and services customers actually want. Value Proposition Design is for anyone who has been frustrated by new product meetings based on hunches and intuitions; it’s for anyone who has watched an expensive new product launch fail in the market. The book will help you understand the patterns of great value propositions, get closer to customers, and avoid wasting time with ideas that won’t work. You’ll learn the simple process of designing and testing value propositions, that perfectly match customers’ needs and desires. In addition the book gives you exclusive access to an online companion on Strategyzer.com. You will be able to assess your work, learn from peers, and download pdfs, checklists, and more. Value Proposition Design is an essential companion to the ”Business Model Canvas” from Business Model Generation, a tool embraced globally by startups and large corporations such as MasterCard, 3M, Coca Cola, GE, Fujitsu, LEGO, Colgate-Palmolive, and many more. Value Proposition Design gives you a proven methodology for success, with value propositions that sell, embedded in profitable business models.

Business models: An information systems research agenda

Abstract: The business model concept, although a relatively new topic for research, has garnered growing attention over the past decade. Whilst it has been robustly defined, the concept has so far attracted very little substantive research. In the context of the wide-spread digitization of businesses and society at large, the logic inherent in a business model has become critical for business success and, hence, a focus for academic inquiry. The business model concept is identified as the missing link between business strategy, processes, and Information Technology (IT). The authors argue that the BISE community offers distinct and unique competencies (e.g., translating business strategies into IT systems, managing business and IT processes, etc.) that can be harnessed for significant research contributions to this field. Within this research gap three distinct streams are delineated, namely, business models in IT industries, IT enabled or digital business models, and IT support for developing and managing business models. For these streams, the current state of the art, suggest critical research questions, and suitable research methodologies are outlined.

Digital Ubiquity: How Connections, Sensors, and Data Are Revolutionizing Business

Abstract: When Google bought Nest, a maker of digital thermostats, for $3.2 billion just a few months ago, it was a clear indication that digital transformation and connection are spreading across even the most traditional industrial segments and creating a staggering array of business opportunities and threats. The digitization of tasks and processes has become essential to competition. General Electric, for example, was at risk of losing many of its top customers to nontraditional competitors--IBM and SAP on the one hand, big data start-ups on the other--offering data-intensive, analytics-based services that could connect to any industrial device. So GE launched a multibillion-dollar initiative focused on what it calls the industrial internet: adding digital sensors to its machines; connecting them to a common, cloud-based software platform; investing in software development capabilities; building advanced analytics capabilities; and embracing crowd-based product development. With all this, GE is evolving its business model. Now, for example, revenue from its jet engines is tied to reduced downtime and miles flown over the course of a year. After just three years, GE is generating more than $1.5 billion in incremental income with digitally enabled, outcomes based business models. The company expects that number to double in 2014 and again in 2015. INSETS: WHAT MAKES DIGITAL TECHNOLOGY TRANSFORMATIONAL?;Idea in Brief;WHY NEST MATTERS;WHAT SMARTWOOL LEARNED FROM ITS DIGITAL CUSTOMERS

Responsible innovation toward sustainable development in small and medium-sized enterprises: a resource perspective

Abstract: What resources do small enterprises need to develop responsible innovations that enhance sustainable development? Does lack of resources prevent innovation toward sustainability in small and medium-sized enterprises (SMEs) or can innovations be created with scarce resources? This study investigates environmentally and socially responsible innovations of SMEs from a resource perspective, based on empirical data from 13 Nordic SMEs. The findings indicate that SMEs can create responsible innovations with very different resource combinations. The most common resource combination comprises equity, research and development cooperation, networks, industry knowledge and reputation. Except for financial capital in the form of equity, which appears a necessary condition for responsible innovation from SMEs, resource needs vary between technological and business model innovations. Creating business model innovations appears to be possible with scarce resources, at the very least with equity and social capital. Environmental technology innovations call for more abundant resource combinations. In particular industry knowledge appears to be a key resource for such innovations. Copyright © 2013 John Wiley & Sons, Ltd and ERP Environment

Managing technological change in the digital age: the role of architectural frames

Abstract: Inspired by Herbert Simon’s notion of nearly decomposable systems, researchers have examined modularity as a powerful approach to manage technological change in product innovation. We articulate this approach as the hierarchy-of-parts architecture and explain how it emphasizes decomposition of a design into loosely coupled parts and subsequent aggregation of these into an industrial product. To realize the scale benefits of modularity, firms successively freeze design specifications before production and therefore only allow limited windows of functionality design and redesign. This makes it difficult to take advantage of the increased speed by which digitized products can be developed and modified. To address this problem, we draw on Christopher Alexander’s notion of design patterns to introduce a complementary approach to manage technological change that is resilient to digital technology. We articulate this approach as the network-of-patterns architecture and explain how it emphasizes generalization of ideas into patterns and subsequent specialization of patterns for different design purposes. In response to the increased digitization of industrial products, we demonstrate the value of complementing hierarchy-of-parts thinking with network-of-patterns thinking through a case study of infotainment architecture at an automaker. As a result, we contribute to the literature on managing products in the digital age: we highlight the properties of digital technology that increase the speed by which digitized products can be redesigned; we offer the notion of architectural frames and propose hierarchy-of-parts and network-of-patterns as frames to support innovation of digitized products; and, we outline an agenda for future research that reconsiders the work of Simon and Alexander as well as their followers to address key challenges in innovating digitized products.

Sustainability in the global hotel industry

Abstract: Purpose – The purpose of this paper is to provide an exploratory review of how the global hotel industry publicly communicates its approach to sustainability. Design/methodology/approach – The paper begins with an outline of the growing importance of sustainability within the hospitality industry and a short discussion of the characteristics of sustainability. The paper draws its empirical material from the most recent information on sustainability posted on the world's leading hotel chains' corporate websites. Findings – The findings reveal that while there is considerable variation in the information the leading hotel chains provided publicly on their sustainability commitments and achievements, they embrace a wide range of environmental, social and economic issues. More critically, the authors argue that these commitments are driven more by the search for efficiency gains, that they are couched within existing business models centred on continuing growth, and that as such the global hotel industry is c...

Business model renewal and ambidexterity: Structural alteration and strategy formation process during transition to a Cloud business model

Abstract: textThis paper presents the findings of a longitudinal study of a large corporation's transition to a new business model in the face of a major transformation in the ICT industry brought about by Cloud computing. We build theory on the process of business model innovation through a qualitative study that investigates how an established firm organizes for an emerging business model. Contrary to previous findings that presented spatial separation as the optimal structural approach for dealing with two competing business models, our findings indicate a need for recursive iterations between different modes of separated and integrated structures in line with the emergent nature of strategic intent toward the new business models. Our analyses reveal strategy formation to be a collective experimental learning process revolving around a number of alternative strategic intentions ranging from incremental evolution and transformation to complete replacement of the existing business model. Given the fundamental differences in the nature and requirements of those alternative intents, iterations between different structural modes and differing combinations proved to be crucial in enabling the organization to make transition to the new business model.

Massive Open Online Courses

Abstract: From an information systems research perspective, MOOCs represent an innovative, web-based business model for financing, designing, and provisioning educational services. Due to the increasing digitization and respective structuring of these services, the laws of the Internet economy Shapiro and Varian 1999; marginal costs of additional participants tend towards zero, occurrence of network and long-tail effects) open up higher education and vocational training to the masses. Thus, MOOCs offer great potential (e.g., increased effectiveness and eefficiencyin education) and challenges (e.g., new competitors) for academic institutions and other providers of educational services. The current academic discussion on MOOCs focuses on the different types of MOOCs the involved didactic concepts, as well as the technology and mechanisms that facilitate the scaling of educational services.

IT resources, organizational capabilities, and value creation in public-sector organizations: a public-value management perspective

Abstract: What value does information technology (IT) create in governments and how does it do so? While business value of IT has been extensively studied in the information systems field, this has not been the case for public value. This is in part due to a lack of theoretical bases for investigating IT value in the public sector. To address this issue, we present a conceptual model on the mechanism by which IT resources contribute to value creation in the public-sector organizations. We propose that the relationship between IT resources and organizational performance in governments is mediated by organizational capabilities and develop a theoretical model that delineates the paths from IT resources to organizational performance, drawing upon public-value management theory. This theory asserts that public managers, on behalf of the public, should actively strive to generate greater public value, as managers in the private sector seek to achieve greater private business value. On the basis of the review of public-value management literature, we suggest that the following five organizational capabilities mediate the relationship between IT resources and public value – public service delivery capability, public engagement capability, co-production capability, resource-building capability, and public-sector innovation capability. We argue that IT resources in public organizations can enable public managers to advance public-value frontiers by cultivating these five organizational capabilities and to overcome conflicts among competing values.