Designing Business Models for the Internet of Things

This article investigates challenges pertaining to business model design in the emerging context of the Internet of Things (IOT). The evolution of business perspectives to the IOT is driven by two underlying trends: i) the change of focus from viewing the IOT primarily as a technology platform to viewing it as a business ecosystem; and ii) the shift from focusing on the business model of a firm to designing ecosystem business models. An ecosystem busi- ness model is a business model composed of value pillars anchored in ecosystems and fo- cuses on both the firm's method of creating and capturing value as well as any part of the ecosystem's method of creating and capturing value. The article highlights three major chal- lenges of designing ecosystem business models for the IOT, including the diversity of ob- jects, the immaturity of innovation, and the unstructured ecosystems. Diversity refers to the difficulty of designing business models for the IOT due to a multitude of different types of connected objects combined with only modest standardization of interfaces. Immaturity suggests that quintessential IOT technologies and innovations are not yet products and ser- vices but a "mess that runs deep". The unstructured ecosystems mean that it is too early to tell who the participants will be and which roles they will have in the evolving ecosystems. The study argues that managers can overcome these challenges by using a business model design tool that takes into account the ecosystemic nature of the IOT. The study concludes by proposing the grounds for a new design tool for ecosystem business models and suggest- ing that "value design" might be a more appropriate term when talking about business models in ecosystems

Designing Business Models for the Internet of Things

This article investigates challenges pertaining to business model design in the emerging context of the Internet of Things (IOT). The evolution of business perspectives to the IOT is driven by two underlying trends: i) the change of focus from viewing the IOT primarily as a technology platform to viewing it as a business ecosystem; and ii) the shift from focusing on the business model of a firm to designing ecosystem business models. An ecosystem business model is a business model composed of value pillars anchored in ecosystems and focuses on both the firm's method of creating and capturing value as well as any part of the ecosystem's method of creating and capturing value. The article highlights three major challenges of designing ecosystem business models for the IOT, including the diversity of objects, the immaturity of innovation, and the unstructured ecosystems. Diversity refers to the difficulty of designing business models for the IOT due to a multitude of different types of connected objects combined with only modest standardization of interfaces. Immaturity suggests that quintessential IOT technologies and innovations are not yet products and services but a "mess that runs deep". The unstructured ecosystems mean that it is too early to tell who the participants will be and which roles they will have in the evolving ecosystems. The study argues that managers can overcome these challenges by using a business model design tool that takes into account the ecosystemic nature of the IOT. The study concludes by proposing the grounds for a new design tool for ecosystem business models and suggesting that "value design" might be a more appropriate term when talking about business models in ecosystems

Business model innovations for the Internet of Things: a focus on the retail setting

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Business Model Frameworks in IoT Context -- A Literature Review

Employing the Internet of Things (IoT) in business changes the way in which value is offered to customers. To enable and ensure effective value exchange, proper business models are required. In this literature review study (n=56), business model frameworks created for the IoT context were evaluated. The results show that although most of the frameworks emphasize the ecosystemic nature of IoT, even they still largely do not describe the connections, dynamics, and causality between the business model components. While IoT as such does not necessarily need a specific business model, the ecosystemic nature of IoT is bound to influence the business model, thus making IoT business models more integrative, inter-relational, and complex. The results also suggest that the ecosystem-level co-creation of business models needs to be emphasized and studied further

The roles of internet of things in enabling servitized business model : a systematic literature review

Internet of things has increasingly gained attention regarding its potential in enabling servitized business model. However, the academic research that explains this concept is still underexplored. Thus, this paper aims to provide a consolidation and comprehensive analysis of the relevant literature, through conducting a systematic review. From analysing 53 articles, four types of IoT-enabled servitized business model: add-on, sharing, usage-based and solution-oriented are identified. The framework was established to present the relationships of the roles of IoT, firm’s benefit and inhibiting factors in enabling each type of business model. This framework provides a useful and inclusive overview of the topic

The Development of Pantiku Application Business Strategy Using Business Model Canvas Approach

Based on data from the Ministry of Social Affairs, there are 7,000 more orphanages in Indonesia and 500-600 thousand people are living in the orphanage. To make efficient operational activities and monitoring activities of the orphanage and to facilitate the provision of assistance, the orphanage uses the PantiKu application. The PantiKu application currently does not have an optimal business model so that the right strategy is needed to develop the business model. The objectives of this study are (1) To map the current PantiKu business model; (2) Analyze SWOT of current PantiKu business model; (3) Formulate and determine the strategy for developing the PantiKu business model. The method used in this study is the Business Model Canvas approach and SWOT Analysis. This research produces strategies for each BMC element including element (1) customer segment: serving orphanage volunteers by adding special volunteer features; (2) value proposition: providing ease of logistics processes and transactions by developing IoT technology and Fintech features; (3) channels: adding application tutorials using e-learning; (4) customer relationship: take advantage of opportunities for grants and business incubation and work together in CSR programs; (5) revenue stream: utilizing the use of digital financial instruments; (6) key resources: adding relationship development staff; (7) key activities: developing a data management dashboard and evaluate expenses; (8) key partners: adding strategic partner & collaborate with competitors; (9) cost structure: cost of research.Keywords: pantiku, business model, business strategy, bmc, application developmen

Development of a business model for Industry 4.0 based on industrial analytics

Over the last few years, the manufacturing sector has changed and is continuing to change due to the use of new technologies resulting from the advent of the fourth industrial revolution (Industry 4.0), such as the Internet of Things (IoT), technology whose importance is becoming increasingly recognized by citizens, businesses and governments and which is proving capable of changing not only our daily way of life, but also the way companies carry out their activities, redefining the relationships between companies themselves and their customers, employees and partners. This technology also allows the exploitation of new Industrial Analytics processes, which allow companies to perform a systematic computational analysis of data and statistics in order to better interpret such data, applying models that make the decision-making process more effective. The goal of this thesis is to develop a new business model for Industry 4.0 based on Industrial Analytics. This model intends to act as a starting point and help for all those companies that want to install IoT solutions or platforms based for Industrial Analytics. The methodology used to achieve this goal has consisted in administering a questionnaire to 3 companies, with the aim of understanding how these companies are changing their way of doing business thanks to the advent of the IoT, of Industrial Analytics. and other technologies that are part of the Industry 4.0 context. The analysis of the responses to the questionnaire was the basis for the development of the business models of the three companies interviewed. Finally, by comparing the three models, a new business model for Industry 4.0 based on Industrial Analytics was developed.Nos últimos anos, o setor industrial mudou e continua mudando devido ao uso de novas tecnologias decorrentes da quarta revolução industrial (Indústria 4.0), tais como a Internet of Things (IoT); esta é uma tecnologia cuja importância está a ser cada vez mais reconhecida por cidadãos, empresas e governos e que se mostra capaz de mudar não só o nosso quotidiano, mas também a forma como as empresas desenvolvem as suas atividades, redefinindo as relações com os seus clientes, colaboradores e parceiros. A IoT viabiliza ainda a exploração de novos processos de Industrial Analytics, que permitem às empresas realizar uma análise computacional sistemática de dados e estatísticas conducente a uma melhor interpretação dos mesmos, aplicando modelos que tornam mais eficaz o processo de tomada de decisão. O objetivo desta tese é desenvolver um novo modelo de negócios para a Indústria 4.0 baseado em "Industrial Analytics". Este modelo pretende ser um ponto de partida e ajudar todas as empresas que pretendam instalar soluções IoT ou plataformas baseadas em "Industrial Analytics". A metodologia utilizada para atingir este objetivo consistiu na aplicação de um questionário a três empresas, com o objetivo de compreender como elas estão a mudar a sua forma de fazer negócio graças ao advento da IoT, da "Industrial Analytics" e de outras tecnologias que fazem parte do âmbito da Indústria 4.0. A análise das respostas ao questionário serviu de base para o desenvolvimento dos modelos de negócio das três empresas entrevistadas. Finalmente, desenvolveu-se um novo modelo de negócio para a Indústria 4.0 com base na análise avançada de dados industriais e por comparação dos três modelos previamente concebidos

Data Analysis Services Related to the IoT and Big Data: Potential Business Opportunities for Third Parties

The Internet of Things (IoT) provides the tools for the development of a major, global data-driven ecosystem. When accessible to people and businesses, this information can make every area of life, including business, more data-driven. \ \ In this ecosystem, with its emphasis on Big Data, there has been a focus on building business models for the provision of services, the so-called Internet of Services (IoS). These models assume the existence and development of the necessary IoT measurement and control instruments, communications infrastructure, and easy access to the data collected and information generated by any party. \ \ Different business models may support opportunities that generate revenue and value for various types of customers. \ \ This paper contributes to the literature by considering business models and opportunities for third-party data analysis services and discusses access to information generated by third parties in relation to Big Data techniques and potential opportunities