Business Models

These models and simulations have been tagged “Business”.

Related tagsTechnology

Insight diagram
​Purpose
Enables the different components in the 5 capability model in a visual manner for Enterprise and Business Architecture stakeholders.  

Enter volumes based on transactions from all your applications based on the business process layer.  Actual transaction volumes recorded for your expense or revenue stream.  Example; how many applications are sponsored by engineering that allow CREATE and UPDATE of a supplier or customer.  Enter the number of transactions in the engineering variable.  The engineering group has no authority to create either a supplier or customer.  All organizations are allowed to submit a certain set of inputs for a super user group to review and then those super users create and update the master record.  

Food for thought, the difference between the records created by the super user group and the volume of created party management records is the opportunity to scale and protect the reputation of your client.  

Now lets do the same for every update to a party management record.  All changes to a supplier or customer could effect pricing and tax or duty fees and each must use the formal change management process with many changes needing to have an authorized representative from the supplier or customer.  Digital records are in need of key control designs.  These are monitored and reported to the SEC.  

BUSINESS ARCHITECTURE 

5 Capability Model
The 5 capability model has many stock and flow children which each organization will need to model based on their current state.  

  • Aligns to APQC Process Framework
  • Aligns to Principles in ISO 9001, 26000 and 27001 

ENTERPRISE ARCHITECTURE 
Aligns Zachman Framework Enterprise and Business Architecture with Executive and Leaders from a business management level across any organization.  

A method in which to align and benchmark any organization or agency, with the system(s) logic required from Architects in Row 3, to enable Row 4 engineers who need to supply physics. 


Semantic
Getting terms to align to the generic objects can be a trying task, unless you simply list the stakeholders "semantic" term below the stakeholder in the presentation layer by order shown in the business process management section above the capability management group.  



Clone of As Is and To Be Business and Technology Architecture
Insight diagram
​Purpose
Enables the different components in the 5 capability model in a visual manner for Enterprise and Business Architecture stakeholders.  


BUSINESS ARCHITECTURE 

5 Capability Model
The 5 capability model has many stock and flow children which each organization will need to model based on their current state.  

  • Aligns to APQC Process Framework
  • Aligns to Principles in ISO 9001, 26000 and 27001 

ENTERPRISE ARCHITECTURE 
Aligns Zachman Framework Enterprise and Business Architecture with Executive and Leaders from a business management level across any organization.  

A method in which to align and benchmark any organization or agency, with the system(s) logic required from Architects in Row 3, to enable Row 4 engineers who need to supply physics. 


Semantic
Getting terms to align to the generic objects can be a trying task, unless you simply list the stakeholders "semantic" term below the stakeholder in the presentation layer by order shown in the business process management section above the capability management group.  



Clone of To Be Business and Technology Architecture
Insight diagram
Building a simple model to understand how to run a profitably fishing business
FishBanks_Karan_DA
Insight diagram
​The Problem: 
What is the true cost of escalation?

Things to measure: How does this impact:1. (MONEY) Cost per incident - what does this cost the business? 2. (TIME) Service Level - how does this impact desired service levels/SLAs? 3. (PEOPLE) Agent utilization - how does this impact backlog? are we overworking engineers? Does this contribute to staff burnout?

Clone of Clone of AGILE 2017: True Cost of Escalation
Insight diagram


Clone of Clone of 2 Sided Marketplace with Churn
Insight diagram
Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach. 

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend. 

Important Variables:
1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)
2. LAC (should equal what it cost you to acquire a lead)
3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:
4. Price : Avg spending amount per new customer
5. Total Available Market : Total available market size
6. Conversion Rate : the % of your target market that will become a lead


Clone of Bottom-up Sales Forecasting
Insight diagram

Model of growth from diffusion from John Morecroft's Strategic Modelling and Business Dynamics Book Ch6 p174-191. A discussion of a bigger model of People's Express is in http://bit.ly/HdaGy4 for a related You Tube video by John Morecroft on Reflections on System Dynamics and Strategy

EasyJet Fliers Model
Insight diagram
This causal loop diagram is the first step in looking at the relationship between business analysis performance and organizational performance. Over time it will be extended by IIBA R&I to form a simulation.

© International Institute of Business Analysis
Organizational System Performance Model
Insight diagram
The Simple Retail Sector model from Section 1.7 of DYNAMO User's Manual by Alexander L Pugh III, which is adapted from one from Industrial Dynamics by Jay Forrester.

http://www.amazon.com/DYNAMO-Manual-Edition-System-Dynamics/dp/0262660296 (I bought the 5th edition without realising there was a later one, hopefully it's still the same model in there.)

A tweaked version with slightly more explicit stocks is here: http://insightmaker.com/insight/14467
Clone of Clone of Simple Retail Sector
Insight diagram
​The Problem: 
What is the true cost of escalation?

Things to measure: How does this impact:1. (MONEY) Cost per incident - what does this cost the business? 2. (TIME) Service Level - how does this impact desired service levels/SLAs? 3. (PEOPLE) Agent utilization - how does this impact backlog? are we overworking engineers? Does this contribute to staff burnout?

Clone of AGILE 2017: True Cost of Escalation
Insight diagram
ABM approach to Bass Model of diffusion with a detractor state.

Still a work in progress.
Clone of ABM Bass Diffusion with Detractors
Insight diagram
The Simple Retail Sector model from Section 1.7 of DYNAMO User's Manual by Alexander L Pugh III, which is adapted from one from Industrial Dynamics by Jay Forrester.

http://www.amazon.com/DYNAMO-Manual-Edition-System-Dynamics/dp/0262660296 (I bought the 5th edition without realising there was a later one, hopefully it's still the same model in there.)

A tweaked version with slightly more explicit stocks is here: http://insightmaker.com/insight/14467
Clone of Clone of Simple Retail Sector
Insight diagram
The Simple Retail Sector model from Section 1.7 of DYNAMO User's Manual by Alexander L Pugh III, which is adapted from one from Industrial Dynamics by Jay Forrester.

http://www.amazon.com/DYNAMO-Manual-Edition-System-Dynamics/dp/0262660296 (I bought the 5th edition without realising there was a later one, hopefully it's still the same model in there.)

A tweaked version with slightly more explicit stocks is here: http://insightmaker.com/insight/14467
Clone of Simple Retail Sector
Insight diagram
Two loop structure which reflects the reinforcing effects of profits/investment, as well as profits/employee retention.
Clone of Business Growth and Stability
Insight diagram
Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach. 

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend. 

Important Variables:
1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)
2. LAC (should equal what it cost you to acquire a lead)
3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:
4. Price : Avg spending amount per new customer
5. Total Available Market : Total available market size
6. Conversion Rate : the % of your target market that will become a lead


Clone of Bottom-up Sales Forecasting
Insight diagram
Example from David Lane's Systems Research 2016 article abstract​
Unintended effects of cutting wages
Insight diagram
Coffee making process.
Café Coffee Simulation Final Deliverable
Insight diagram

model

Clone of model - flights
Insight diagram
Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach. 

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend. 

Important Variables:
1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)
2. LAC (should equal what it cost you to acquire a lead)
3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:
4. Price : Avg spending amount per new customer
5. Total Available Market : Total available market size
6. Conversion Rate : the % of your target market that will become a lead


Clone of Bottom-up Sales Forecasting
Insight diagram
Clone of Grocery Store System - Stock & Flow Diagram/SD Model
Insight diagram
The Simple Retail Sector model from Section 1.7 of DYNAMO User's Manual by Alexander L Pugh III, which is adapted from one from Industrial Dynamics by Jay Forrester.

http://www.amazon.com/DYNAMO-Manual-Edition-System-Dynamics/dp/0262660296 (I bought the 5th edition without realising there was a later one, hopefully it's still the same model in there.)

A tweaked version with slightly more explicit stocks is here: http://insightmaker.com/insight/14467
Clone of Simple Retail Sector
Insight diagram
Production and Inventory Model
Insight diagram
The Simple Retail Sector model from Section 1.7 of DYNAMO User's Manual by Alexander L Pugh III, which is adapted from one from Industrial Dynamics by Jay Forrester.

http://www.amazon.com/DYNAMO-Manual-Edition-System-Dynamics/dp/0262660296 (I bought the 5th edition without realising there was a later one, hopefully it's still the same model in there.)

A tweaked version with slightly more explicit stocks is here: http://insightmaker.com/insight/14467
Clone of Simple Retail Sector
Insight diagram

Simple Bass diffusion modified from Sterman Business Dynamics Ch9. Compare with the SI infectious disease model Insight 584, to which we added churn and duplicated it to model a 2 sided marketplace..

In this 2-sided market model -- take etsy for example --  the adoption rate of end users is also a factor of how many vendors the company has on-boarded.  You can control the impact on end user adoption via the Choice Impact Factor.

Conversely,  the rate at which vendors will be on-boarded is a factor of the perceived opportunity they have to sell their wares.  You can control the rate at which suppliers are on-boarded via the Opportunity Impact Factor.

Copyright 2016 Whatifics Pte Ltd

Clone of Clone of 2 Sided Marketplace with Churn