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TOMASZ RUDOLF THE RISE OF INTERNET-MODIFIED BUSINESS MODELS AIP BUSINESS LINK Warszawa, October 29th, 2012

The Rise of Internet-Modified Business Models

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An opening keynote presentation by Tomasz Rudolf at a seminar organized by Google and Demos Europa in October 2012 in Warsaw. How does internet change the DNA of companies and modify their business models? Using the metaphor of GMOs and business model canvas developed by Alex Osterwalder, Tomasz Rudolf presents how internet affects business models.

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TOMASZ RUDOLF

THE RISE OF INTERNET-MODIFIED BUSINESS MODELS

AIP BUSINESS LINK Warszawa, October 29th, 2012

Source: wikipedia

Genetically modified organisms (GMO) are used as a stronger alternative to their natural versions …

Source: GloFish

GloFish has used this method to create unique, fluorescent fish

Source: http://zioloweinspiracje.blogspot.com

There is a lot of controversy around the GMO and its impact on our world…

Organizations have a DNA that can be genetically modified just like living organisms – we call it a Business Model.

IMO INTERNET-MODIFIED

BUSINESS MODEL

Internet is changing the business DNA in a way that impacts jobs & markets by creating IMOs – Internet-Modified Organizations

The book publishing industry for example is undergoing big changes, with a majority sold now as e-books on Amazon

8

New business models like Lulu.Com disrupt this industry, by allowing anyone to self-publish their book and put in the store

How does the internet affect business models?

przez innowacje

We help companies grow revenue through innovation.

The glass seems emptier for many

companies…

In some companies revenues are falling…

…as business model innovators

disrupt their industries.

At Innovatika, we work a lot with the methods inspired by Alex Osterwalder, author of Business Model Generation

Source: businessmodelgeneration.com

Beyond using the method in our strategy work for for clients, we are also partners of the Polish edition of the book

Source: OnePress.pl

We shared our experise on business models together with Alex during our Warsaw Innovation Summit in March 2012

What is a business model?

Business model canvas

Source: businessmodelgeneration.com

REVENUE STREAMS

VALUE PROP

CHANNELS KEY RESOURCES

KEY PROCESSES

PARTNERS CUSTOMER SEGMENTS

COST STRUCTURE

RELATIONS

How does the internet affect business models?

Business model canvas

Źródło: businessmodelgeneration.com

REVENUE STREAMS

VALUE PROP

CHANNELS KEY RESOURCES

KEY PROCESSES

PARTNERS CUSTOMER SEGMENTS

COST STRUCTURE

RELATIONS

Global reach

Business model canvas

Źródło: businessmodelgeneration.com

REVENUE STREAMS

VALUE PROP

CHANNELS KEY RESOURCES

KEY PROCESSES

PARTNERS CUSTOMER SEGMENTS

COST STRUCTURE

RELATIONS

E- Commerce

Business model canvas

Źródło: businessmodelgeneration.com

REVENUE STREAMS

VALUE PROP

CHANNELS KEY RESOURCES

KEY PROCESSES

PARTNERS CUSTOMER SEGMENTS

COST STRUCTURE

RELATIONS

Mass customiz-

ation

Transformational

3 IMO

Catalytic

1 IMO

What is the influence of the Internet on firms?

Źródło: Tomasz Rudolf

Destructive / Distruptive

4

No impact

5

Additive

2 IMO

Catalytic

1 IMO

New players for the Internet Era 1

IMO

New players for the Internet Era 1

IMO

28

Local Motors IMO 1

29

Crowdsourcing IMO 1

Additive

2 IMO

Source: www.rp.pl

Additive 2

IMO

+

32

Moving towards Software as a Service (SaaS)

Source: www.sage.pl

2

IMO

+

Some companies find it hard to make the shift...

Źródło: Microsoft ClipArt

IMO

3 Transformational

35

End of paper!

Source: www.pkt.pl

IMO

IMO

Destructive / Distruptive

4

No impact

5

IMO FREE INDUSTRY

The last group are companies where the role of the Internet in the business model is marginal – you could call them IMO free

Looking at Top 500 Polish companies you can see a lot of mostly traditional industries, with limited role of the Internet

The same happens when you look at Fortune 500. The role of the Internet in the business models is not obvious…

What’s next?

The Internet of Things – connecting objects, not just people will transform even more tradtional industries into IMOs…

Even areas like agriculture will be affected…

Danish company Sparked is using wireless sensors on cattle that send SMS messages when they are ill

Internet of Cows?

THE OPPORTUNITIES ARE ONLY JUST

BEGINNING

NGOs and Governments change their models

to IMOs too…

We will change our personal business models too…

Tomasz Rudolf Chief Innovation Igniter at INNOVATIKA Speaker, consultant and facilitator of

strategy & innovation projects We lead workshops and consulting projects in USA, Germany, Sweden, Italy, France, Saudi Arabia and Poland. Our clients include 3M, Aon, Abbott, AkzoNobel, Coca-Cola, Deutsche Bank, Deutsche Post, Deutsche Telekom, Goodyear, HJ Heinz, Netia, Masterfoods, Polish Telecom, Saudi Aramco, Sage, Warsaw Stock Exchange and many more. I have a passion for turning leading management books & theories into practical tools that help teams with strategy development and revenue generation.

Email: [email protected]

www.innovatika.com

www.facebook.com/innovatika