HR business thinking practice 4: business model

After clarifying the company culture and analyzing the external market environment, we should understand the logic of our company to earn money, which is also c...

Jul 14,2022 | Claudia

After clarifying the company culture and analyzing the external market environment, we should understand the logic of our company to earn money, which is also called business model, which is the foundation of the company's strategy.

The development of general corporate strategy goes through three steps (provided that the company has clarified its vision,payment gateways for woocommerce mission and values): first, strategic insight, analyzing the external and internal environment of the company, conducting SWOT analysis, clarifying its own strengths and weaknesses, and then finding market opportunities and potential threats; second, strategic response, clarifying the business model, determining the way the company makes money and deriving development strategies; third, strategic decoding, putting Third, decoding the strategy, decomposing the development strategy into "accounting-customer-internal management-learning and growth" BSC, clarifying the evaluation indicators of each level of objectives, i.e. performance indicators, and then decomposing them into departments and employees one by one. The key point of this article is to share how to sort out the business model.

A business model is a structure of transactions between a company and its stakeholders (customers, suppliers, external partners, departments and employees) that is built to achieve profitability, specifically by completing nine processes in sequence and finally presenting the results of the thinking and discussion on a piece of paper, also known as the business canvas, which visually and clearly tells how the company makes money from beginning to end.

The following will share these nine processes, you can follow the order of your own company or other enterprises to carry out business model analysis training, the development of business thinking must be constantly trained, at first may not understand anything, very ignorant circle, practice for a long time will be inspired, we have to do is to find an effective thinking framework, according to the gourd drawing, continuous training, until one day it dawned on you, the inner understanding of their own, to create a personal and efficient understanding and analysis of strategy. Generate a personal and efficient understanding and analysis of strategic tricks.

Process 1: Define the target customer, i.e. who does the company create wealth for? Try to describe the characteristics of the target customer as precisely as possible.

Take an individual example, e.g. ourcnc machining rapid prototyping target customer is, for example, a SME (total number of people in the range of 100-5000) that values training in its actions (annual training program and budget).

Process two: clear target group, that is, for the target customers to provide what value? To highlight the value characteristics, to meet the principle that no one has, no one has, I have, and no one has, I am new, describe the principle: everyone's xx products and services, for xx customers, provide xx value, complete xx effect, different from the competitors xx target group.

Take our company as an example, such as their target group: change, constant, affordable.

Their customized internal training, leadership and talent development integrated products and services, for small and medium-sized enterprises, to provide support strategy, in-depth business, deal with the troubled, practical and useful, continuous guidance, inexpensive and high-quality customized training, to complete so that customers get the effect of behavior change and performance development, as opposed to the competition's emphasis on courses and teachers rather than output effectiveness of the target group. (But to be clear, the prerequisite for the success of any knowledge product is that the customer wants to make the change, we can never wake up a sleeping person, so our focus is to do our best to apply these customers who want to change but lack the means and resources).

Process three: sort out the channel channels, that is, the way we touch customers, generally divided into online and offline, direct sales and distribution, we can organize according to this type.

Process four: clear customer relationship,s19 pro 110t that is, the way we develop association with the target customers, this can be thought of diffusely, take Xiaomi for example, the way they develop association with customers is mainly for cooperative development: create Xiaomi community, let enthusiasts participate in cooperative development; fans: supporting Mi chat and related mobile game software, generate 100,000 enthusiasts army.