Skip to main content

Enabling Design-Integrated Assessment of Service Business Models Through Factor Refinement

  • Conference paper
  • First Online:
Designing for Digital Transformation. Co-Creating Services with Citizens and Industry (DESRIST 2020)

Abstract

Business Model Innovation is a complex task, which requires creativity and is often performed in interdisciplinary workshop settings. To support this, practical techniques have been developed, e.g. the Business Model Canvas (BMC). It has been found that assessing financial and non-financial effects of the current business model (BM) design likely influences design decisions. However, such an assessment is difficult to integrate into the design process. Business model development tools (BMDT) are an emerging category of software, which supports business model innovation. While they have the potential to shorten the feedback cycles between the design and assessment of BMs, there is little design knowledge available on this integration. In this paper, we introduce the factor refinement approach, which establishes a link between models for the canvas-based BM design and information for their assessment on factor level. The concept is made actionable in a tool prototype, which has been found to be practically applicable in a demonstration. With that, we contribute to the design knowledge for BMDTs particularly regarding the design-integrated assessment of BMs. While our tool uses the service business model canvas, the factor refinement concept is transferable to extend other canvas-based BMDTs with assessment functionality as well.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 39.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 54.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Notes

  1. 1.

    Accessible at https://yc8uyf.axshare.com/sbmc_editor.html, tested with Firefox and MS Edge.

References

  1. Allmendinger, G., Lombreglia, R.: Four strategies for the age of smart services. Harvard Bus. Rev. 83, 131 (2005)

    Google Scholar 

  2. Wuenderlich, N.V., et al.: “Futurizing” smart service. Implications for service researchers and managers. J. Serv. Mark. 29, 442–447 (2015)

    Google Scholar 

  3. Fielt, E.: Business Service Management. Understanding Business Models (2011)

    Google Scholar 

  4. Grönroos, C.: Adopting a service business logic in relational business-to-business marketing. Otago Forum 2, 269–287 (2008)

    Google Scholar 

  5. Zolnowski, A.: Analysis and Design of Service Business Models (2015)

    Google Scholar 

  6. Ojasalo, K., Ojasalo, J.: Adapting business model thinking to service logic. an empirical study on developing a service design tool. THE NORDIC SCHOOL, vol. 309 (2015)

    Google Scholar 

  7. Osterwalder, A., Pigneur, Y.: Business model generation. A Handbook for Visionaries Game Changers and Challengers. Wiley, Hoboken, NJ (2010)

    Google Scholar 

  8. Zott, C., Amit, R., Massa, L.: The business model. Theoretical roots, recent development, and future research. J. Manage. 37, 1019–1042 (2011)

    Google Scholar 

  9. Tesch, J.F., Brillinger, A.-S., Bilgeri, D.: Internet of things business model innovation and the stage-gate process. an exploratory analysis. Int. J. Innov. Mgt. 21 (2017)

    Google Scholar 

  10. Turetken, O., Grefen, P., Gilsing, R., Adali, O.E.: Service-dominant business model design for digital innovation in smart mobility. Bus. Inform. Syst. Eng. 61(1), 9–29 (2018). https://doi.org/10.1007/s12599-018-0565-x

    Article  Google Scholar 

  11. Szopinski, D., Schoormann, T., John, T., Knackstedt, R., Kundisch, D.: Software tools for business model innovation: current state and future challenges. Electron. Mark. 30(3), 469–494 (2019). https://doi.org/10.1007/s12525-018-0326-1

    Article  Google Scholar 

  12. Grossman, T.A., Mehrotra, V., Özlük, Ö.: Lessons from mission-critical spreadsheets. Commun. Assoc. Inform. Syst. 20, 60 (2007)

    Google Scholar 

  13. Reschenhofer, T., Matthes, F.: An empirical study on spreadsheet shortcomings from an information systems perspective. In: Abramowicz, W. (ed.) BIS 2015. LNBIP, vol. 208, pp. 50–61. Springer, Cham (2015). https://doi.org/10.1007/978-3-319-19027-3_5

    Chapter  Google Scholar 

  14. Kayaoglu, N.: A Generic Approach for Dynamic Business Model Evaluation (2013)

    Google Scholar 

  15. Daas, D., Hurkmans, T., Overbeek, S., Bouwman, H.: Developing a decision support system for business model design. Electron. Mark. 23, 251–265 (2013)

    Article  Google Scholar 

  16. Bouwman, W., et al.: Business models. Tooling and a research agenda. In: Bled eCommerce Conference (2012)

    Google Scholar 

  17. Jesus, D.M., Mira da Silva, M.: Financial Projections based on Business Model Canvas. In: Proceedings of the 19th IBIMA Conference (2012)

    Google Scholar 

  18. Dudin, M.N., Kutsuri, G.N., Fedorova, I.J.’e., Dzusova, S.S., Namitulina, A.Z.: The Innovative Business Model Canvas in the System of Effective Budgeting. ASS 11 (2015)

    Google Scholar 

  19. Iacob, M.E., Meertens, L.O., Jonkers, H., Quartel, D.A.C., Nieuwenhuis, L.J.M., van Sinderen, M.J.: From enterprise architecture to business models and back. Softw. Syst. Model. 13(3), 1059–1083 (2012). https://doi.org/10.1007/s10270-012-0304-6

    Article  Google Scholar 

  20. Meertens, L.O., Starreveld, Eelco., Iacob, M.-E., Nieuwenhuis, B.: Creating a business case from a business model. In: Shishkov, B. (ed.) BMSD 2013. LNBIP, vol. 173, pp. 46–63. Springer, Cham (2014). https://doi.org/10.1007/978-3-319-06671-4_3

    Chapter  Google Scholar 

  21. Brussee, R., de Groot, Peter H.T.: An online tool for business modelling and a refinement of the business canvas. In: International Conference on University Industry Interaction (2016)

    Google Scholar 

  22. Fritscher, B., Pigneur, Y.: computer aided business model design: analysis of key features adopted by users. In: Sprague, R.H. (ed.) Proceedings of the 47th Annual Hawaii International Conference on System Sciences, pp. 3929–3938. IEEE, Piscataway, NJ (2014)

    Google Scholar 

  23. Zolnowski, A., Anke, J., Gudat, J.: Towards a cost-benefit-analysis of data-driven business models. In: 13th International Conference on Wirtschaftsinformatik (2017)

    Google Scholar 

  24. Anke, Jürgen: Design-integrated financial assessment of smart services. Electron. Mark. 29(1), 19–35 (2018). https://doi.org/10.1007/s12525-018-0300-y

    Article  Google Scholar 

  25. Peffers, K., Tuunanen, T., Rothenberger, M.A., Chatterjee, S.: A design science research methodology for information systems research. J. Manag. Inf. Syst. 24, 45–77 (2007)

    Article  Google Scholar 

  26. vom Brocke, J., Maedche, A.: The DSR grid: six core dimensions for effectively planning and communicating design science research projects. Electron. Mark. 29(3), 379–385 (2019). https://doi.org/10.1007/s12525-019-00358-7

    Article  Google Scholar 

  27. Eppler, M., Hoffmann, F., Bresciani, S.: New business models through collaborative idea generation. Int. J. Innov. Mgt. 15, 1323–1341 (2011)

    Article  Google Scholar 

  28. Becker, J., Clever, N., Holler, J., Shitkova, M.: Towards a Usability Measurement Framework for Process Modelling Tools. In: PACIS Proceedings (2013)

    Google Scholar 

  29. Boardman, A.E., Greenberg, D.H., Vining, A.R., Weimer, D.L.: Cost-benefit Analysis. Concepts and Practice. Cambridge University Press, Cambridge, New York (2018)

    Book  Google Scholar 

  30. Gray, D.: Impact & Effort Matrix. http://thetoolkitproject.com/tool/impact-effort-matrix

  31. Johannesson, P., Perjons, E. (eds.): An Introduction to Design Science. Springer (2014)

    Google Scholar 

  32. Desyllas, P., Sako, M.: Profiting from business model innovation. Evidence from Pay-As-You-Drive auto insurance. Res. Policy 42, 101–116 (2013)

    Google Scholar 

  33. Zolnowski, A., Böhmann, T.: Formative evaluation of business model representations - the service business model canvas. In: 22nd European. Conference on Information Systems (2014)

    Google Scholar 

  34. Terrenghi, N., Schwarz, J., Legner, C., Eisert, U.: Business model management: current practices, required activities and IT support. In: 13th International Conference on Wirtschaftsinformatik (2017)

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Jürgen Anke .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2020 Springer Nature Switzerland AG

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Anke, J. (2020). Enabling Design-Integrated Assessment of Service Business Models Through Factor Refinement. In: Hofmann, S., Müller, O., Rossi, M. (eds) Designing for Digital Transformation. Co-Creating Services with Citizens and Industry. DESRIST 2020. Lecture Notes in Computer Science(), vol 12388. Springer, Cham. https://doi.org/10.1007/978-3-030-64823-7_38

Download citation

  • DOI: https://doi.org/10.1007/978-3-030-64823-7_38

  • Published:

  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-030-64822-0

  • Online ISBN: 978-3-030-64823-7

  • eBook Packages: Computer ScienceComputer Science (R0)

Publish with us

Policies and ethics