TOPIC 5

BUSINESS STRUCTURE - BUSINESS MODEL

LEARNING OBJECTIVES

1. Understand business organizations/ownership

2. Understand organization structure

3. Describe business model

4. Business Ecosystem

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 KEY TERMS

− Business structure

− Organization structure

− Business model canvas – BMC

− Business Ecosystem

Choosing a Business Structure

WHY?

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 ORGANIZATION STRUCTURE

• Organization structure
• A company’s organization structure has a dramatic influence on the way employees and
managers make decisions, communicate, and accomplish important tasks. This
structure helps the company achieve its goals by providing a framework for managers to
divide responsibilities, effectively distribute the authority to make decisions, coordinate
and control the organization’s work, and hold employees accountable for their work.

• Organization chart
• an organization chart to provide a visual representation of how employees and tasks
are grouped and how the lines of communication and authority flow

Copyright © 2017 Pearson Education, Ltd. 5

Choosing a Business Structure

• Organizing involves coordinating and allocating a firm’s resources so that

the firm can carry out its plans and achieve its goals.
• This process is accomplished by:
• Determining work activities and dividing up tasks (division of labor)
• Grouping jobs and employees (departmentalization)
• Assigning authority and responsibilities (delegation)

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 Choosing a Business Structure

Organizations base their frameworks on traditional, contemporary,

or team-based approaches.
Traditional structures are more rigid and group employees by
function, products, processes, customers, or regions.
Contemporary and team-based structures are more flexible and
assemble employees to respond quickly to dynamic business
environments.
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Traditional Structures - Departmentalization

• Functional departmentalization, which is based on the primary functions

performed within an organizational unit (marketing, finance, production,
sales, and so on).
• Product departmentalization, which is based on the goods or services
produced or sold by the organizational unit
• Process departmentalization, which is based on the production process used
by the organizational unit
• Customer departmentalization, which is based on the primary type of
customer served by the organizational unit (such as wholesale or retail
purchasers).
• Geographic departmentalization, which is based on the geographic
segmentation of organizational units
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 Traditional Structures -
Departmentalization

Decisions about how to departmentalize

affect the way management assigns
authority, distributes resources, rewards
performance, and sets up lines of
communication.

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Copyright Rice University, OpenStax, under CC BY 4.0 license.)

Line-and-Staff Organization

• As an organization grows and becomes more complex, the line

organization can be enhanced by adding staff positions to the
design.
• Staff positions provide specialized advisory and support services
to line managers in the line-and-staff organization,
• Individuals in line positions are directly involved in the processes
used to create goods and services.
• Individuals in staff positions provide the administrative and
support services that line employees need to achieve the firm’s
goals.
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 Line-and-Staff Organization

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Copyright Rice University, OpenStax, under CC BY 4.0 license.)

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Mechanistic vs Organic Structures

• A mechanistic organization is characterized by a relatively high

degree of job specialization, rigid departmentalization, many layers
of management (particularly middle management), narrow spans
of control, centralized decision-making, and a long chain of
command.

• An organic organization is characterized by a relatively low

degree of job specialization, loose departmentalization, few levels
of management, wide spans of control, decentralized decision-
making, and a short chain of command.

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 Factors Influencing the Choice
between Mechanistic and Organic

• Firm’s overall strategy,

• Size of the organization, and

• Stability of its external environment...

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SPAN OF MANAGEMENT

• Span of management (số nhân viên quản lý)

• The number of people under one manager’s control
• Also known as span of control

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 Forms of Business Ownership
Luật của Hoa Kỳ Luật Doanh nghiệp 2020 - VN

Sole Proprietorship Doanh nghiệp tư nhân (chương VII)

Limited Liability Company (LLC) Cty trách nhiệm hữu hạn (chương III)

C Corporation Công ty cổ phẩn (chương V)

S Corporation

B Corporation
Partnership/Cooperative Công ty hợp danh/Hợp tác xã (chương VI)
Corporation - Nonprofit Doanh nghiệp xã hội (điều 10)

Doanh nghiệp Nhà nước (chương IV)

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https://www.sba.gov

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Forms of Business Ownership

Questions need to consider:

• Will you need financing?
• How easy will it be to obtain?
• Will you attract employees?
• How will the business be taxed, and who will be liable for the
company’s debts?
• If you choose to share ownership with others, how much
operating control would they want, and what costs would be
associated with that?
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https://www.sba.gov

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 CASE STUDY 1
Company: K’ho Coffee
Giả sử bạn và các thành viên của nhóm nghiên cứu
doanh nghiệp K’ho Coffee, nếu bạn và nhóm có vai trò
như Roland K Lieng và Josh thì:
1. Loại hình doanh nghiệp bạn chọn là gì? Tại sao?
2. K’ho Coffee có thể xây dựng Hệ sinh thái kinh doanh
không? Tại sao và tại sao không?

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CASE STUDY 2
Company: Sapa O’ Chau

Giả sử bạn và các thành viên của nhóm nghiên cứu

doanh nghiệp Sapa O’Chau, nếu bạn và nhóm có vai trò
như Shu Tan:
1. Loại hình doanh nghiệp bạn chọn là gì? Tại sao?
2. Sapa O’Chau có thể xây dựng Hệ sinh thái kinh
doanh không? Tại sao và tại sao không?

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 WHAT IS A BUSINESS ECOSYSTEM
BCG (2019): a business ecosystem is a dynamic
group of largely independent economic players
that create products or services that together
constitute a coherent solution.
https://www.bcg.com/publications/2019/do-you-need-business-ecosystem
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BUSINESS
ECOSYSTEM
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James F. Moore, 1993. Havard Business Review.
Hệ sinh thái như “một cộng đồng kinh tế được
hỗ trợ bởi nền tảng là sự tương tác giữa tổ
chức và các cá nhân”.
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Những đặc điểm khác biệt so với các mô
hình quản trị khác, hệ sinh thái kinh doanh:
▪ Modularity
▪ Customization
▪ Multilateralism
▪ Collaboration
Ý tưởng về hệ sinh thái kinh doanh được cho là giúp
các công ty hiểu cách thức để phát triển mạnh trong
môi trường kinh tế thay đổi nhanh chóng ngày nay.
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 BUSINESS
ECOSYSTEM

THINKING: Theo bạn, trong

một hệ sinh thái kinh doanh,
có những stakeholders nào?

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Một hệ sinh thái kinh doanh bao gồm:

• nhà sản xuất
• nhà phân phối
• người tiêu dùng
• chính phủ, Hiệp hội
• Đại học, Viện nghiên cứu
• qui trình,
• sản phẩm
• đối thủ cạnh tranh??
• ….
Khi một hệ sinh thái kinh doanh phát triển mạnh,
điều đó có nghĩa là những người tham gia thị
trường đã thành công trong việc sắp xếp và tổ
chức hợp lí hóa luồng ý tưởng, tài năng và vốn
BUSINESS trong toàn hệ thống.

ECOSYSTEM
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 BUSINESS MODEL

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BUSINESS MODEL?

Theo Alexander Osterwalder & Yves Pigneur:

“A business model decribes the rationale of how an organization creates,

delivers and captures the value”

→ Mô hình kinh doanh diễn giải tính hợp lý trong cách tổ chức tạo ra,
phân phối và nắm giữ giá trị

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 When is a business model sustainable?

A business model will only be sustainable if this equation holds true

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 BUSINESS MODEL CANVAS

The Business Model Canvas allows you to describe any

business model based on nine fundamental building blocks.
It's a practical business tool to design, test, implement, and
manage business models over their lifecycle.

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What really Product/service

Who can help need to be able that create Types of User and paying
you leverage to perform value to relationship customer
your business customer

Which assets Channel which

are touch to
indispensable in customer &
your business delivering value

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 Business Model Canvas
Designed for: Designed by: Date: Version:

Key Partners Key Activities Value Propositions Customer Relationships Customer Segments

Key Resources Channels

Cost Structure Revenue Streams

Original version: Strategyzer.com

This work is licensed under the Creative Commons Attribution-ShareAlike 4.0 International License.

businessmodelanalyst.com

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