Aligning Monitoring and Compliance Requirements in Evolving Business Networks

Dynamic business networks (BNs) are intrinsically characterised by change. Compliance requirements management, in this context, may become particularly challenging. Partners in the network may join and leave the collaboration dynamically and tasks over which compliance requirements are specified may be consequently delegated to new partners or backsourced by network participants. This paper considers the issue of aligning the compliance requirements in a BN with the monitoring requirements they induce on the BN participants when change (or evolution) occurs. We first provide a conceptual model of BNs and their compliance requirements, introducing the concept of monitoring capabilities induced by compliance requirements. Then, we present a set of mechanisms to ensure consistency between the monitoring and compliance requirements when BNs evolve, e.g. tasks are delegated or backsourced in-house. Eventually, we discuss a prototype implementation of our framework, which also implements a set of metrics to check the status of a BN in respect of compliance monitorability

Multi-factor service design: identification and consideration of multiple factors of the service in its design process

Service design is a multidisciplinary area that helps innovate services by bringing new ideas to customers through a design-thinking approach. Services are affected by multiple factors, which should be considered in designing services. In this paper, we propose the multi-factor service design (MFSD) method, which helps consider the multi-factor nature of service in the service design process. The MFSD method has been developed through and used in five service design studies with industry and government. The method addresses the multi-factor nature of service for systematic service design by providing the following guidelines: (1) identify key factors that affect the customer value creation of the service in question (in short, value creation factors), (2) define the design space of the service based on the value creation factors, and (3) design services and represent them based on the factors. We provide real stories and examples from the five service design studies to illustrate the MFSD method and demonstrate its utility. This study will contribute to the design of modern complex services that are affected by varied factors

The state of the art of innovation-driven business models in the financial services industry

Emerging innovation-driven business models are changing the financial services landscape. Most companies are using innovation to sustain their business models. However, new entrants into the financial services market innovate in a way that disrupts the industry. Typically, directions for innovation initiatives in financial services are absent. In this report, we present a structured method to analyze innovation initiatives and their impact on the financial services industry. Our method is based on innovation and business model frameworks that let us analyze business models driven by different kinds of innovations. We apply our method to emerging innovation-driven business models providing an overview of the financial services industry. Companies in financial services can use this report as an overview of the state of the art and as a guiding tool for their innovation initiatives. We contribute to the innovation and business models research fields, presenting a unified method to analyze business models driven by innovation in financial services

BASE/X business agility through cross-organizational service engineering : the business and service design approach developed in the CoProFind project

Many business domains are currently characterized by a move from an asset-orientation to a service-orientation: customers recognize that business value is not in owning assets, but in using the services offered by assets (which they do not need to own). This creates service-dominant business markets. The not-so-physical characteristics of these markets give rise to high levels of dynamism. This places high demands on the agility of service providers operating in these markets. These providers find their agility, however, heavily constrained by the business and IT platforms they use to deliver their services. This paper proposes the BASE/X framework for agility in service-dominant business, which has been developed in the CoProFind project, a strategic collaboration between Eindhoven University of Technology and De Lage Landen International B.V. This framework makes two fundamental distinctions in the setup of a service-dominant business environment. Firstly, the framework separates two concepts in business conception: business strategy and business models. Business strategy is linked to the identity of an organization and hence is relatively stable in time. Business models specify the operation in the here and now of changing markets, and hence change frequently. Secondly, the framework separates two concepts in business implementation: service capabilities and service offerings. Service capabilities are relatively stable in time as they are based on the resources of an organization (both human and non-human). Service offerings change over time – they revolve with market dynamics as operationalization of network-centric business models of a provider. The framework provides a basis for structural agility by on the one hand coupling the stable elements to each other and on the other hand the fluid elements. The concepts of BASE/X are combined in a service-dominant business structure that provides an operationalization of the framework. As this is a structure with stable outer layers and flexible inner layers, we call this the business sandwich model. Applying this sandwich model to the way business is organized thoroughly changes the traditional way of thinking in terms of decision horizons where it comes to implementing agility. The business sandwich model describes the business view on agility. To enable automated support of agile business, the sandwich is mapped to an information system stack. This mapping how the business is connected to automated business applications at each of the layers of the sandwich. The information system stack is in its turn mapped to an infrastructure stack, which describes the basic IT platforms that form the implementation basis for the business applications. The BASE/X framework described in this document is a structure for the development of new service-dominant business: business strategy, business models, their operationalization in service compositions, business services, and their implementation in state-of-the-art automated service management platforms. To aid in the use of this structure, the framework embeds tools that are tailored to business design in a servicedominant context. Application of the framework and its tools lead to well-structured management of the complexity of service-dominant business and short time-to-market of new business models. The approach is illustrated by a case study of an advanced travel industry service orchestrator

Creating agility in traffic management by collaborative service-dominant business engineering

Traffic management is a business domain characterized by an infrastructure-dominant approach to new developments: the focus is typically on innovating assets such as traffic detection systems, road signage and traffic information systems. This domain also has a large number of involved stakeholders, such as road authorities, municipalities, technology providers and road users of various kinds. Faster changing traffic management requirements and increasing complexity of the collaborative networks required to meet these requirements render traditional approaches to business design in traffic management too rigid. We have applied collaborative, service-dominant business engineering to prototype a basis for new levels of business agility in multi-stakeholder traffic management. Collaborative workshops have shown to be a useful means to quickly arrive at agile, customer-centric business models that allow decoupling from long-term infrastructure considerations. This paper demonstrates that service-dominant business engineering can be effective in an asset-dominant domain to increase business resilience in complex environments

Architecting service-dominant digital products

Presently, many companies are transforming their strategy and product base, as well as their culture, processes and information systems to become more digital or to approach for a digital leadership. In the last years new business opportunities appeared using the potential of the Internet and related digital technologies, like Internet of Things, services computing, cloud computing, edge and fog computing, social networks, big data with analytics, mobile systems, collaboration networks, and cyber physical systems. Digitization fosters the development of IT environments with many rather small and distributed structures, like the Internet of Things, Microservices, or other micro-granular elements. This has a strong impact for architecting digital services and products. The change from a closed-world modeling perspective to more flexible open-world composition and evolution of micro-granular system architectures defines the moving context for adaptable systems. We are focusing on a continuous bottom-up integration of micro-granular architectures for a huge amount of dynamically growing systems and services, as part of a new digital enterprise architecture for service dominant digital products