by Larry Keely

https://www.doblin.com/ten-types

Which innovation framework, the 10 types of innovation or the business model

canvas, is more useful in helping people realise that 'innovation' isn't just about a

product (or service)?

by Osterwalder and Pigneur

http://businessmodelgeneration.com/canvas/bmc

The first iteration of the 10 types of innovation in 1998 had 4 categories

(Finance, Process, Offering and Delivery) and even had 'Business model' as

one of the elements.

In 2011, Keeley refreshed the analysis and slightly restructured and simplified the

framework, combining Finance and Process into one category called Configuration,

changing 'Business model' into 'Profit model', combining the 'Enabling process' and

'Core process' into one element (Process), and changing Delivery into Experience.

Elements in the Configuration category focus on the

innermost workings of an organisation

Elements in the Configuration category focus on the

innermost workings of an organisation

Elements in the Offering category focus

on the core products and services

offered by the organisation

Elements in the Offering category focus

on the core products and services

offered by the organisation

Elements in the Experience category

focus more on the customer-facing areas

of the organisation.

Elements in the Configuration category focus on the

innermost workings of an organisation

Turning to the Business Model Canvas (BMC), there are 9 elements, or building

blocks arranged spatially with the left side of the canvas focusing more on the

efficiency of the organisation, and the right looking more at the value it provides.

More on the 2 faces of the BMC later...

First, my attempt to see whether the 10 types of innovation could be mapped to the

Business Model Canvas (BMC).

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They seem to map pretty cleanly. Profit model (how an organisation makes money)

stretches across both Costs and Revenue.

Customer Engagement (fostering compelling interactions with customers) sits

comfortable at the junction of Customer Relationships, Customer Segments, and

Delivery Channels.

An organisation's core offering (product performance and service system) is what

the BMC refers to as the Value Proposition.

Less clear was where to put 'Brand'. Keeley defines Brand as how an organisation

represents its offerings, which seems to be strongly associated with the Value

Proposition, so I've put it there, for now...

When I overlaid the Efficiency and Value categories, the blue Configuration

elements populate the Efficiency side, while the orange elements (Offerings and

Experience) populate the Value side. The elements in the centre, clustered around

the Value Proposition, are a combination of Efficiency and Value, though I wonder if

Brand should be shifted more to the Value side?

So, quite a lot of overlap in the basic elements of the 10 types and the BMC. But is

one better than the other for helping people understand that innovation goes

beyond products?

As a visual and communication aid, I use the BMC more, especially the jigsaw

version because it emphasises the human element and the relationships

between the building blocks. The spatial layout and the graphic representations

of the elements (a truck for delivery, a heart for customer relationships) are

fantastic learning and memory aids, particularly for people who aren't familiar

with the different elements of a business model.

But, I also use the 10 types of Innovation because the authors

conducted an impressive analysis on what best practice looks like for

top innovators. A few juicy titbits:

• 'more is mightier'--top innovators focus on 3 or more elements of

innovation whereas average innovators look at less than 2.

• 'Product performance', while important, is often the easiest for

competitors to copy and rarely results in a long-term competitive

advantage

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