Reinventing the future: Business model innovation

Over the past 50 years, the average lifespan of a business model has shrunk from about 15 years to less than 5. Business model innovation is a core capability needed to respond to the changing and complexities of business. Whether you’re looking to drive growth, revitalize your company, or defend against industry shifts or decline, leaders must ask themselves:

Can our existing business model continue to be profitable?

InStrategy will help you redesign your current model by defining a new customer value proposition and supporting it with a strong and efficient operating model.

Inspiring an organization to change is not a trivial task, but given the current strategic environment, it is imperative to improve competitiveness.

Value proposition

The business model has two essential elements: the value proposition and the operating model. The value proposition answers the question, “What are we offering to whom?” It reflects explicit choices across the following themes:

Target market segment

Who are the customers we choose to serve? What are their needs that we try to meet?

Product or services offered

What are we offering customers to meet their needs?

Revenue Model

How are we compensated for our offer?

Modelo operativo

Organization

How do we deploy and develop our talent to sustain and improve our competitive advantage?

Cost model

How do we configure our assets and costs to profitably deliver on our value proposition?

Value chain

How have we configured our processes to meet customer demand? Which processes do we maintain within the company? Which processes do we outsource?

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