an e-business model ontology for modeling e-business bled electronic commerce conference 2002 bled,...

An e-Business Model Ontology for An e-Business Model Ontology for Modeling e-BusinessModeling e-Business

Bled Electronic Commerce Conference 2002Bled, June 2002

Alexander OsterwalderYves PigneurHEC Lausanne

[email protected](+41 21) 692.3420

© 2002 Osterwalder, HEC Lausanne e-business 2

Université de Lausanne

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Agenda

1. Why business models?

e-business logic today p3

What are business models good for? p7

2. State of the art in business models

Ontologies, business models, tools p8

3. Further research

Research levels, research projects p9

4. The e-business model ontology

4 pillars: product, customer, infrastructure, finance p10



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e-Business logic today

Business Processes

StrategyPlanning level

Implementationlevel

Information & Communication

Technology (ICT) pressure

e-Businessprocesses

e-Business Technology layer

•Positioning•Objectives & goals•Communication of strategy

• Problem: Interpretation of strategy

• Result: Re-inventing strategy

?



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e-Business logic tomorrow

Business Processes

Business Model

StrategyPlanning level

Architectural level

Implementationlevel

Information & Communication

Technology (ICT) pressure

e-Business opportunities & change

e-Businessprocesses

e-Business Technology layer

Conceptual architectureof a business strategy



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What is a business model anyway?

• A business model is not a description of a complex social system itself with all its actors, relations and processes. Instead it describes the logic of a “business system” for creating value, that lies behind the actual processes.

• A business model is the conceptual and architectural implementation of a business strategy and represents the foundation for the implementation of business processes

Business Processes

Business Model

Strategy Business Im

pact



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A company that defines it’s business model can...

• Understand– The process of modeling social systems or ontologies–

such as an e-business model – helps identifying and understanding the relevant elements in a domain and the relationships between them (Ushold et al., 1995; Morecroft, 1994).

• Share knowledge– The use of formalized e-business models (i.e. an

ontology) helps managers communicate and share their understanding of a business among other stakeholders (Fensel, 2001).

• React to rapid change– Mapping and using e-business models facilitates

change. Business model designers can easily modify certain elements of an existing e-business model (Petrovic et al., 2001).

Objects

XML



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A company that defines it’s business model can… (continued)

• Measure– A formalized e-business model can help identifying

the relevant measures to follow in a business, similarly to the Balanced Scorecard Approach (Norton et al., 1992).

• Simulate & learn– e-business models can help managers simulate

businesses and learn about them. This is a way of doing risk free experiments, without endangering an organization (Sternman, 2000).

System

thinking

BSC



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State of the art

• Ontologies– Enterprise ontologies: TOVE (Toronto Virtual Enterprise), The Enterprise

Ontology (html), Core Enterprise Ontology (CEO)

– e-Business Process ontologies (in XML): Transactions (xCBL, cXML), Ontology.org (html)

• Business Models– Classification: Timmers (pdf), Rappa (htm), Tapscott.

– Modeling (partial…): Hamel, Gordijn, Afuah, Linder (html).

• Tools– MIT eBusiness Process Handbook (html)

– System Dynamics...http://ecommerce.ncsu.edu/business_models.html



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3 research levels

Level 1

Level 3

Level 2

e-Business ModelEquations

e-Business ModelOntology

e-Business ModelMeasurements

Understanding model elements and relationships, communicate and share models, change models

Pilote, follow, alert

Simulate models, play and learn by changing models, understand consequences of change

e-Business Model Simulator, e-Business Model Games

e-Business Model Balanced Scorecard

e-Business Model Framework (eBMF), Language (eBML), Handbook (eBMH) and Design Tool

Research ProjectsManagement Use



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Definition of a business model

A business model is nothing else than the value a company offers to one or several

segments of customers and the architecture of the firm and its network of partners for

creating, marketing and delivering this value and relationship capital, in order to generate profitable and sustainable revenue streams.



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Definition of an e-business model

PRODUCTINNOVATION

INFRASTRUCTUREMANAGEMENT

CUSTOMERRELATIONSHIP

FINANCIAL ASPECTS



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CapabilitiesValue

PropositionTarget

Customer

PRODUCTINNOVATION



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CapabilitiesValue

PropositionTarget

Customer

PRODUCTINNOVATION

Resources

ValueConfiguration

PartnerNetwork




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CapabilitiesValue

PropositionTarget

Customer

Resources

ValueConfiguration

PartnerNetwork

PRODUCTINNOVATION


InformationStrategy

Feel &Serve

Trust &Loyalty




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CapabilitiesValue

PropositionTarget

Customer

Resources

ValueConfiguration

PartnerNetwork

InformationStrategy

Feel &Serve

Trust &Loyalty

PRODUCTINNOVATION



Cost Structure Revenue ModelProfit/Loss

FINANCIAL ASPECTS



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Questions & more information

[email protected]://inforge.unil.ch/aosterwa

an e-business model ontology for modeling e-business bled electronic commerce conference 2002 bled,...

Documents

business system

modeling ebusiness

hec lausanne ebusiness

ebusiness model ontology

business strategy slide

business model designers

ebusiness logic todayp3p3

business models ontologies