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Business Model Canvas: GOOD TOOL with BAD INSTRUCTIONS

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Alexander Osterwalder's Business Model Canvas is widely used by entrepreneurs around the world. It is a good tool. However, the Business Model Canvas is not great because it does not explicitly focus on solving the pain of stakeholders. In short, the Business Model Canvas is not a direct tool for pain (problem) solving.

The Business Model Canvas was originally conceived as a 'scorecard' for visually documenting a business model. Consequently, the Business Model Canvas is 'time agnostic:' it can be used for documenting past, present, and future business models. In theory, the Business Model Canvas is a visual synthesis of topics for comprehensively describing a business model or project.

Recognizing the deficit of the Business Model Canvas with regard to pain (problem) solving, several practitioners have tried to modify it as well as add complementary tools and processes. In his Customer Development Stack, Steve Blank adds the process of Customer Development to facilitate pain discovery. He also adds Agile Development (Lean Startup) Method to facilitate experimentation using hypotheses from a "Future (Hypothetical) Canvas."

Ash Maurya has modified building blocks of the Business Model Canvas to suit the mindset and language of "Lean Startup" entrepreneurs as well as directly include the paradigm of pain (problem) solving. Maurya includes building blocks such as for "Problem," "Solution," and "Key Metrics." However, Maurya's building blocks such as "Unfair Advantage" violate the system logic of the Business Model Canvas.

To date, many entrepreneurs are busy completing building blocks of the Business Model Canvas without a clear pain (problem) solving process. The Build-Measure-Learn Loop of the Lean Startup Method can be used with the Lean Canvas. However, to date the process has not been seamlessly integrated with the logic of the Business Model Canvas. So, what are we to do?

This presentation introduces the Pain-Plan-Do-Review (PPDR) Cycle which can be used with or without the Business Model Canvas. Housing the PPDR Cycle is the Community Happiness Canvas which focuses presenting a Pain Solving Question (PSQ) which is answered by using 8 topics of LIST: List of Innovate Salone Topics. The presentation shows correspondences between topics of the Business Model Canvas and Community Happiness Canvas. By using the PPDR Cycle of the Community Happiness Canvas in conjunction with the topics of the Business Model Canvas, entrepreneurs can rapidly solve the pains of stakeholders especially customers.

Publicado en: Empresariales

Business Model Canvas: GOOD TOOL with BAD INSTRUCTIONS

  1. 1. Business Model Canvas: Topics/Ques-ons (Elements of Extended Enterprise/System) Community Happiness Canvas: Topics (Pain-Plan-Do-Review (PPDR) Cycle; Ecosystem) 1.  Customer Segments (CS) 2.  Customer Rela<onships (CR) 3.  Channels (CH) 4.  Key Partners (KP) 5.  Value Proposi<on (VP) 6.  Key Ac<vi<es (KA) 7.  Key Resources (KR) 8.  Cost Structure (C$) 9.  Revenue Streams (R$) PAIN SOLVING QUESTION (PSQ): How Might We Eliminate Pain (HMWEP) of “X”? 1. PAIN (Collect; Empathize; Define) 1.1 Problem/Challenge/Pain 1.2 Customers/Stakeholders 1.3 Other Solu<ons 2. PLAN (To Do: Ideas; Ideate) 2.1 Proposed Solu-on 2.2 Plan of Ac-on 2.3 Resources 3. DO (Doing: Build/ Prototype; Measure; Test) 4. REVIEW (Done: Learn; Innova-on Accoun-ng) 4.1 Budget: COST (STRUCTURE) 4.2 Mo-va-on: BENEFITS – REVENUE (STREAMS) Who are our most important customers? What customer rel. to get, grow, and keep customers? Through which channels are customers to be reached? Who are our key partners? What value do we deliver to customers? What key acQviQes does value proposiQon require? What key resources does value proposiQon require? What are important costs? What do customers pay for? Theme (+/0/-) 1 2 3 4 World’s First Soware for Ideal Community Pain Solving & Design (CPSD) “Eliminate Pain. Accelerate Learning.” Dr. Rod King. rodkuhnhking@gmail.com & @rodKuhnKing Topics of Business Model Canvas vs. Topics of Community Happiness Canvas (CHC) Rapidly Remove Obstacles to Achieving Goals, Dreams, and Visions 4 6 5 2 1 7 3 8 9 TOTAL DESIGN THINKING (TDT) PLATFORM for Business Model Canvas WHO WHY HOW/WHAT
  2. 2. Theme (+/0/-) 1 2 3 4 Business Model Canvas: Topics/Ques-ons (Elements of Extended Enterprise/System) Community Happiness Canvas: Topics (Pain-Plan-Do-Review (PPDR) Cycle; Ecosystem) 1.  Customer Segments (CS) 2.  Customer Rela<onships (CR) 3.  Channels (CH) 4.  Key Partners (KP) 5.  Value Proposi<on (VP) 6.  Key Ac<vi<es (KA) 7.  Key Resources (KR) 8.  Cost Structure (C$) 9.  Revenue Streams (R$) PAIN SOLVING QUESTION (PSQ): How Might We Eliminate Pain (HMWEP) of “X”? 1. PAIN (Collect; Empathize; Define) 1.1 Problem/Challenge/Pain 1.2 Customers/Stakeholders 1.3 Other Solu<ons 2. PLAN (To Do: Ideas; Ideate) 2.1 Proposed Solu-on 2.2 Plan of Ac-on 2.3 Resources 3. DO (Doing: Build/ Prototype; Measure; Test) 4. REVIEW (Done: Learn; Innova-on Accoun-ng) 4.1 Budget: COST (STRUCTURE) 4.2 Mo-va-on: BENEFITS – REVENUE (STREAMS) World’s First Soware for Ideal Community Pain Solving & Design (CPSD) “Eliminate Pain. Accelerate Learning.” Dr. Rod King. rodkuhnhking@gmail.com & @rodKuhnKing Topics of Business Model Canvas vs. Topics of Community Happiness Canvas (CHC) Rapidly Remove Obstacles to Achieving Goals, Dreams, and Visions 4 6 5 2 1 7 3 8 9 Who are our most important customers? Through which channels are customers to be reached? Who are our key partners? What value do we deliver to customers? What key acQviQes does value proposiQon require? What key resources does value proposiQon require? What are important costs? What do customers pay for? TOTAL DESIGN THINKING (TDT) PLATFORM for Business Model Canvas WHO WHY What customer rel. to get, grow, and keep customers? HOW/WHAT
  3. 3. Theme (+/0/-) 1 2 3 4 Business Model Canvas: Topics/Ques-ons (Elements of Extended Enterprise/System) Community Happiness Canvas: Topics (Pain-Plan-Do-Review (PPDR) Cycle; Ecosystem) 1.  Customer Segments (CS) 2.  Customer Rela<onships (CR) 3.  Channels (CH) 4.  Key Partners (KP) 5.  Value Proposi<on (VP) 6.  Key Ac<vi<es (KA) 7.  Key Resources (KR) 8.  Cost Structure (C$) 9.  Revenue Streams (R$) PAIN SOLVING QUESTION (PSQ): How Might We Eliminate Pain (HMWEP) of “X”? 1. PAIN (Collect; Empathize; Define) 1.1 Problem/Challenge/Pain 1.2 Customers/Stakeholders 1.3 Other Solu<ons 2. PLAN (To Do: Ideas; Ideate) 2.1 Proposed Solu-on 2.2 Plan of Ac-on 2.3 Resources 3. DO (Doing: Build/ Prototype; Measure; Test) 4. REVIEW (Done: Learn; Innova-on Accoun-ng) 4.1 Budget: COST (STRUCTURE) 4.2 Mo-va-on: BENEFITS – REVENUE (STREAMS) World’s First Soware for Ideal Community Pain Solving & Design (CPSD) “Eliminate Pain. Accelerate Learning.” Dr. Rod King. rodkuhnhking@gmail.com & @rodKuhnKing Topics of Business Model Canvas vs. Topics of Community Happiness Canvas (CHC) Rapidly Remove Obstacles to Achieving Goals, Dreams, and Visions 4 6 5 2 1 7 3 8 9 TOTAL DESIGN THINKING (TDT) PLATFORM for Business Model Canvas WHO WHY HOW/WHAT

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