13/12/2019 The Operating Model Canvas for Uber - EN | Van Haren Publishing

Uber is one of the world’s most successful technology companies. The company is the world’s largest taxi service
without actually employing any taxi drivers. It matches passengers (riders) with drivers through a mobile phone app.
However, the operating model involves a lot more than a platform. Starting in 2010, Uber operates in more than 250
cities and had a market capitalisation in 2016 of over $50 billion. Uber offers different levels of service. UberBlack is a
limousine service, whilst UberX is a low cost service.

Processes
In a chosen city, Uber negotiates with regulators for access; recruits suitable drivers (the drivers are all self-employed);
issues drivers with a smartphone and Uber’s software; trains drivers in how to use the software; markets the app to
riders in the city; matches riders with drivers; enables drivers and riders to rate each other; and processes payments.
The drivers take the rider to the rider’s required destination. As far as is legally permitted in each jurisdiction, Uber takes
no responsibility for the quality of the taxi ride.

Suppliers
Drivers are the main suppliers to Uber, in addition, of course, to technology suppliers. But Uber’s success depends on
other stakeholders as well. Uber launches with ‘influencers’ such as attendees at tech conferences who are likely to
tweet about the experience. Uber is dependent on social media. Uber also needs good relations with city regulators or
good lawyers when regulators resist the service.

Organization
Each city is a business unit. All the business units draw on strong central functions – finance, technology, human
resources, marketing, legal, etc. The functions provide services and promote best practice sharing across geographies.

Locations
Uber focuses on big cities where its initial investment will pay back with subsequent traffic.

Information
https://www.vanharen.net/blog/operating-model-canvas-uber/ 1/2
13/12/2019 The Operating Model Canvas for Uber - EN | Van Haren Publishing

The central technology function, the platform that Uber uses and the app software that connects riders and drivers, as
well as allowing dynamic pricing, group rides and ratings, are the company’s prime sources of advantage.

Relevant Reading
Title: Operating Model Canvas
Price: €34,95 excl. VAT; $36,99 excl. VAT; GBP
31,99 excl. VAT
Author: Andrew Campbell, Mikel Gutierrez , Mark
Lancelott

https://www.vanharen.net/blog/operating-model-canvas-uber/ 2/2