Business Model - Business Model Frameworks

Business Model Frameworks

Technology centric communities have defined "frameworks" for business modeling. These frameworks attempt to define a rigorous approach to defining business value streams. It is not clear, however, to what extent such frameworks are actually important for business planning. In the following some of these frameworks are introduced.

• Business reference model

Business reference model is a reference model, concentrating on the architectural aspects of the core business of an enterprise, service organization or government agency.

• Component business model

Technique developed by IBM to model and analyze an enterprise. It is a logical representation or map of business components or "building blocks" and can be depicted on a single page. It can be used to analyze the alignment of enterprise strategy with the organization's capabilities and investments, identify redundant or overlapping business capabilities, etc.

• Industrialization of services business model

Business model used in strategic management and services marketing that treats service provision as an industrial process, subject to industrial optimization procedures

• Business Model Canvas

Developed by A. Osterwalder, Yves Pigneur, Alan Smith, and 470 practitioners from 45 countries, the business model canvas is one of the most used frameworks for describing the elements of business models.