Designing for performance - a technique for business model estimation

Abstract

The companies are actively using business modelling to investigate new business opportunities. They are also applying various planning tools to design their processes. Unfortunately, there is a lack of techniques that would link these two planning levels. In this article we propose a technique for operational modelling. The technique aims to analyse the business model from a resource-based viewpoint. It lists the service components and provides means for analysing the extra resources and capabilities needed for producing the service. Operational model also helps in estimating the feasibility of the business ideas: It explicitly defines the metrics for measuring the success of the business model in terms of the strategic goals of the organisation. This easy-to-use modelling technique combines business modelling with elements from the enterprise architecture (EA) literature, and can be complemented with more formal business modelling notations and process modelling procedures.