PARAMETERS OF DIFFERENTIATION 1.

NATURE

BUSINESS MODEL INNOVATION Business model innovation aims to create, capture and deliver value to your customer segments. By observing the current business model innovation of a firm we do not know how that business model will be changed (as prescribed by the firm s strategy) incase contingencies in future takes place. Business model innovation takes into account strategic innovation.

STRATEGIC MODEL INNOVATION A strategy model of innovation is a contingent plan of action as to what business model to use depending on the resolution of the contingency. Modification in the plan of action (changespolicies, assets, governance) due to contingencies is well taken care in the strategic model innovation. Strategy is much more than the mere selection of a business model; it is a contingent plan as to how the business model innovation should be configured, depending on contingencies that might occur. Not every organization has a strategy innovation. (An organization has no Strategy innovation when it has no plan of action for the different contingencies that may arise).

2. PLAN OF ACTION

3. SCOPE

4. MANDATORY

Every organization has some business model innovation (because every organization makes some choices and the choices have consequences)

FIGURE: STRATEGIC AND BUSINESS MODEL INNOVATION

The Seven Dimensions of Strategic Innovation The Strategic Innovation framework weaves together seven dimensions to product outcomes that drive growth. These dimensions are: A Managed Innovation Process Business Strategy Strategic Alignment Building Support Industry Foresight Understanding Emerging Trends Consumer/Customer Insight Understanding Articulated and Unarticulated Needs Core Technologies and Competencies Leveraging and Extending Corporate Assets Organizational Readiness The Ability to Take Action Disciplined Implementation Managing the Path from Inspiration To Business Impact. portoflio of

Combining Non-Traditional and Traditional Approaches to