BM.16 Evaluate the costs

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OVERVIEW

The aim of this activity is to capture (and quantify) the costs of implementing each of the business model concepts in a systematic manner using the Business Model Canvas template.

INPUT

• Complete business model concepts, from the activity BM.4 Generate business model concepts at the big picture level.

• Data from In-Depth Assessment, from the activity BM.2 Gather additional data on the business model, and the activity: BM.3 Gather additional data on operational performance.

OUTPUT

• An assessment of the implementation costs of the business model concepts, used in the activity BM.18 Integrate all the evaluations and make the final selection.

TEMPLATE

HOW TO GO ABOUT IT

1.

Review the Business Model Canvas for one of the business model concepts. Start by look at block of the canvas and compare the list of points in that block with the list of points in the same block of the current business model.

2.

Give each point in that block a separate rating using the following scale:
– – A key activity, capability, channel or resource required for the new business model is not present or is significantly below the performance required.
– A key activity, capability, channel or resource required for the new business model is present but is below the performance required.
+ A key activity, capability, channel or resource required for the new business model is present and meets the performance required.
No symbol against a point means that no change is required.

3.

Do the same for each of the remaining eight blocks of the canvas until you have rated the entire business model.

4.

Repeat the process for the remaining business model concepts.

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