Business Model Canvas

Prof. Madya Dr. Wan Fauziah Wan Yusoff

Pen. Naib Canselor (Kelestarian Kewangan)
What to look for?

 Limitations of what’s currently available

 Trends and changes (beware fads)
 Something new and different
 Unfilled niche
 Technological advances
 Speed to market
3 important aspects……
 WHAT IS BUSINESS MODEL CANVAS
(BMC)?
 Developed by Alexander Osterwalder in 2009
 Is a visual representation of current or new
business models
 Provides a holistic view of the business as a
whole
 Generally used by strategic managers.

Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka

 7 4
2 1
8
3
6

9 5
Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka
8 7 4 1
2
The most
Some activities Solve customer What type of
important things a For whom are we
are outsourced: problems and relationship does
company must do creating values?
• Suppliers satisfy customer each of our
to make its Who are our most
• partners needs with value customer
business model important
proposition. segments expect
work. customers?
us to established
and maintained

6
3
Assets required to Value
offer and deliver propositions are
your value delivered to
proposition. customers
through
communication,
distribution, sales
and channels.
9 Most important 5
costs incurred:
-startup cost
-operating cost How the business is making
money? Where is the income
Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka
coming from?
THE NINE COMPONENTS OF BUSINESS
MODEL CANVASS

1. Customer segments
 For whom the product and/or the technology is useful and what for – such
as basic need, solving problem
 Types of customers – mass market, Niche market, segmented
2. Value proposition
 the value created for users by the product or service containing
the new technology;
 Describes the bundle of products that create value for specific
customer segment
 What value do we need to deliver?
 Newness – new set
 Performance
 Customizations
 Getting the job done
 Design
 Brand/status
 Price
 Cost reduction
 Accessibility,
 Usability
Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka
3. Channels
 How a company communicate with and reaches its
customer segments to deliver the value propositions.
Depending on types of channels.
 Channels types – sales force, website, own store,
partners store, wholesaler
 Channel phases - awareness, evaluate, purchase,
delivery, after sales services.
4. Customer relationship
Describe the types of relationship a company
establish with specific customer segment
Types of relationship:
 Personal assistance –communicate directly
 Self service
 Automated services
 Co-creation – YouTube/facebook
5.`Revenue Stream
The cash a company generate from each customer segment
Two types of Revenue streams:
 Transaction revenue – cash payment
 Recurring revenue – on going payment

Ways to generate revenue streams:

 Assets sales – products
 Usage sales – phone calls
 Lending, licensing
 Subscription fees
 Advertising
6. Key Resources
Resources require to make a business model work
Key resources:
 Physical – building, machines
 Intellectual – brand, knowledge, IP
 Human – expertise
 Financial
7. Key Activities
Things a company must do to make its business model work
Category of key activities:
 Organizing
 Production
 Problem solving
 Marketing

Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka

8. Key partnership
Network of suppliers and partners that makes the business model
work
Four different types of partnership:
 Strategic alliance
 Cooperation
 Joint venture
 Buyer-supplier relationship
3 motivation for partnership
 Optimization of economy of scales
 Reduction of risks
 Acquisition of resources and activities

Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka

9. Cost structure

All cost involved to operate business models

Two types:
 Cost driven – minimizing cost
 Value driven – concern of value

Characteristics of cost structure:

 Fixed cost – salaries, rental, physical facilities
 Variable costs

Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka

Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka
Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka
 Business Model Canvas
Rakan-Rakan Aktiviti- Keistimewaan Perhubungan Segmentasi
Utama Aktiviti Utama Produk atau Pelanggan Pelanggan
Customer
Key Activities
Perkhidmatan Customer
Key Partners Relationships Segments
Value
7 Proposition 4
- Pelbagai Pusat perhubungan
8 promosi 1
2
- Lapangan Terbang Sumber- Cara Pelanggan yang
LCCT Sumber Utama Harga murah Pemasaran mahukan harga
Key murah
- Ejen pelancongan
Resources 3 -pelajar
6 - Laman web -berpendapatan
Staf Professional rendah
- Ejen pelancongan
Keupayaan Teknologi -penjimat

Kos-Kos Cara-Cara Menjana

Perbelanjaan 9 Pendapatan 5
- Membayar anak-anak kapal - Penjualan tiket
Cost Structure Revenue
- Membeli kapal terbang pelancongan
Streams
- Kos-kos lapangan terbang - Servis-servis tambahan

Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka

 Exercise
 Plot the canvas on a poster
 Put the poster on the wall
 Sketch out your business model

Bengkel Apperentis Keusahawanan 4 (Women Entrepreneurs), 22 - 24 September 2016, Melaka