BUSINESS MODEL
Business model: the right formula
The business model does not correspond to the internal and operational organisation, but is the strategic approach that we give to our company.
The business model must change over the course of a company’s history, especially for mature ones that need to get back in step with the times. If a company does not change its model and remains the same for too long, it is very easily destined to disappear.
Moving from vertical production that covers the entire supply chain to a model of specialization on some specific phases of the value creation chain is a change in business model that can save a company from bankruptcy, without compromising business continuity.
Going from being a service company (such as design) or a purely commercial company to being a provider of integrated solutions, including the production and delivery phases of final goods, is a change in business model.
Going from being a company that creates products based on third-party specifications to being a company with its own range of products aimed at the end user is a change in business model.
Differentiation means survival
Differentiation is an obligatory step for a mature company, but it is also for a startup that must enter a market in which it will always have to position itself in a way that is clearly distinguishable from those who offer similar or substitute solutions.
Differentiation can occur on several fronts:
• customer segments
• geographic markets
• product segments
• service levels
• degree of integration of the supply chain and completeness of the offer
• price and positioning
The choice that a company makes, relating to each of these variables, overall defines the description of its business model.
To each their own business model
There is no one-size-fits-all business model. Each company has a history, skills, market, capabilities that make it possible to create a model that will always be a Tailor Made solution. In fact, it is not possible to take a “standard” model and apply it to your company as it is. It must be specially shaped.
Together, we analyze your business, your market, the best practices of your and other sectors and design solutions to aim for, defining a transformation path.
A strategic map to always look at
The advantage that the strategic review of your business model offers is:
• the possibility of intercepting market spaces in which a solid position can be found
• have good margins
• have a leading role in the market
• reduce business risk related to variables that cannot be governed
• saturate production capacity
• reduce the risk of being too dependent on sectors or customers that account for a large part of the turnover
Global Reality method
• Analysis of the current model
• Analysis of the competitive context
• Analysis of the specificities and pluses of the company
• Development of the new business model project
• Development of the organizational and operational implementation project
• Validation of economic feasibility with a business plan
• Implementation project management