Exploring Business Models and the Role of Information

Technology on Value Creation

Paul M. Di Gangi, Ph.D.

Western Carolina University

www.paulmdigangi.com

pdigangi@gmail.com

Presentation StructureStart

Finish

Introduction

Understanding Co-created Value

Drivers of Evolution

Questions

Types of Business Models

What should I take away from this?

I am a product of my...

network

04/18/2023

The Business Model

An organization’s line in the sand

04/18/2023

The Business Model

An organization’s line in the sand

The conceptual foundation that determines how an organization creates and captures value.

Develops the boundaries of an organization by: • Articulating the organizations vision• Approach to managing value creation

04/18/2023

Happens

< 1 >People Change...

Incre

ase

dIn

tera

ctivity

Suddenly... everyone’s a 933|<!

< 2 >Our \/\/0rLD can Change...

Explosion of Social Media

< 3 >Our choices Change...

Networked Individualism(Wellman et al., 2003)

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Social Affordances(boyd, 2007)

User-generated Content

Our economy changesC

lose

dO

pen

Co-

crea

ted

(Pine Jr. & Gilmore, 1998; 1999)

Business Models

What happens to them?

Johnson, Christensen, and Kagermann (2008)

04/18/2023

They Evolve...

Closed Model

Organizations internalize resources for value creation; restrict access to knowledge, and

protect intellectual property.

Open Model

Organizations leverage both internal and external resources for value creation;

strategically interact with its environment

“Distributed groups of individuals focused on solving a general problem

and/or developing a new solution supported by computer-mediated

communication.” (Dahlander & Wallin, 2006 p. 1246)

User-driven Innovation

“Distributed groups of individuals focused on solving a general problem

and/or developing a new solution supported by computer-mediated

communication.” (Dahlander & Wallin, 2006 p. 1246)

User-driven Innovation

Co-created Model

Organizations encourages the flow of knowledge between internal and external resources; focuses

on a common good where both parties benefit

Driven by both parties sharing their experiences and co-creating

the value of the network.

Private-Collective Community

How can we make these models work for

us?

User Interests

Balancing the needs of both parties

Organizational Interests

vs

Getting your customers’ ideas to work for you:Building user innovation communities

Paul M. Di GangiMolly Wasko Robert Hooker

Presented at the SIM Workshop on Internet Architectures and Web 2.0 in Phoenix, Arizona in conjunction with the International Conference on Information Systems.

Implementing Considering Rejected No Status Update

February 2007

Size by # Ideas Contributed

Di Gangi, P. M. (2009)

Social Processes

Social processes for the effective development of an idea were required to transfer end user ideas into adoptable ideas for Dell. Users within adopted ideas

collaborated to resolve differences in opinion, create consensus, and provide additional information to Dell.

Exploring the Organization-User Relationship in Private-Collective Knowledge Communities

Robin TeiglandElia GiovacchiniBjørn-Tore FlåtenPaul M. Di Gangi

Currently under review at the CK Prahalad SMS Special Conference.

Relational Dynamics

Theme One

Relational Dynamics

“Did you mean the communication between <NAME REMOVED> and the eZ publish community? Yes, it’s very

nice!”

“I think the communication by <NAMES REMOVED>… is great, but one gets the feeling that they may not have the

best communication with eZ Systems.”

Responses suggest a distinction among organizational agents (those working within eZ Publish community) and the organization (eZ Systems) when it comes to

perceptions about communication.

Decision Making Process

Theme Two

Decision Making Process

“Maybe more trusted people could make/develop eZ Publish. More people from community could become

professional or ‘half-professional’ eZ partners, developers…”

“… It’s harder to give confidence to an open-source community driven by an editor than a community driven

by a democratic or autocratic authority.”

Responses suggest a significant interest in understanding the dynamics that exist in terms of the decision making process, “rights” of the community”,

and the benefits of commitment to community.

Member Development

Theme Three

Member Development

“Creating the badge/grade/xp/achievement system…”

“Focus heavily on the noob. Hard core devs are already here, but there are not that many in the world. Grooming noobs is a growth opportunity.”

Responses focused on interest in developing & nurturing the growth of the community via technical (e.g., achievement system & webinar features) and social adjustments (e.g., training and mentorship for

new members & inexperienced developers).

Need to develop a deeper understanding of the relationships within the eZ Share community.

Overarching Finding

3OA

CM OA

OA

3OA

CM

eZ Organizational Agent

3rd Part Organizational Agent

Community Member

eZ

OACM

How can I 933|< out?

Socio-Technical System

Platforms

People Societal Shifts

Thank You for Engaging

Modified version of these slides will be available @ www.slideshare.com/pmd06c

Contact @ pdigangi@gmail.com | Website @ www.paulmdigangi.com