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![7ES / ENVS7999 Thesis, © Antony Upward, 2013
Summary of Evaluation Results –
Confirming Utility“I really liked is that it
really makes youmakes you
thinkthink about things
that you would never
consider before”
Management Consultant
“You've ratcheted it upYou've ratcheted it up to the
next degree of specificity and
made sure that it is truly about
sustainable businesses. Whereas
the current [tools] that I’ve seen,
honestly could be applied to any
kind of business”
Sustainable Business NGO
“The power of this thing is
it’s really the first to takethe first to take
the social aspect and thethe social aspect and the
biophysical intobiophysical into
considerationconsideration. And I
haven’t seen that that any
other business model
that would take that into
consideration”
Business Architect / Professor /
Consultant
“This is an
impressive
body of work”
Management
Consultant
“I like the tool and think
it provides a great way
to analyze a company”
Leader Eco-Industrial Park
“It’s about timeIt’s about time
somebody did
something like
this”
Author / Consultant
“I recognize this firm.”
“This gets the zeitgeist ofThis gets the zeitgeist of
who we arewho we are, which is great”
(Reacting to his business
described using the Canvas)
CTO Small Manufacturer
“If I was starting a
brand new business, a
significant business today,
I would use thisI would use this business
model to help me define
and develop a pure
detailed business plan”
Management Consultant](https://image.slidesharecdn.com/mesthesisdefense-upwarda-v1-130807052703-phpapp01/75/MES-Thesis-Ontology-Canvas-for-Strongly-Sustainable-Business-Models-Oral-Defense-7-2048.jpg)
![20ES / ENVS7999 Thesis, © Antony Upward, 2013
Contribution: Revised / Novel Definitions (2 / 2)
A description of how an organization defines and achieves success over time.
A Business ModelA Business Model: the logic for an organization’s
existence: who it does it for, to and with; what it
does now and the future; how, where and with
what does it do it; and how it defines and
measures its success.
“A Business Model describes the rationale of how an organization
creates, delivers and captures value [in monetary terms]”
Value isValue is the perception by a human or non-
human actor of a need being met; measured in
aesthetic, psychological, physiological, utilitarian
and / or monetary terms.
From
To
Value is created when needs are met via
satisfiers that align with the recipients
world-view, and destroyed when they don’t
Necessary, but not Sufficient
p. 14 Osterwalder, A., & Pigneur, Y. (2009). In Clark T. J., Smith A. (Eds.), Business model generation: a handbook for
visionaries, game changers, and challengers](https://image.slidesharecdn.com/mesthesisdefense-upwarda-v1-130807052703-phpapp01/75/MES-Thesis-Ontology-Canvas-for-Strongly-Sustainable-Business-Models-Oral-Defense-20-2048.jpg)
Uploaded byAntony Upward
MES Thesis - Ontology & Canvas for Strongly Sustainable Business Models - Oral Defense
The document outlines Antony Upward's thesis on creating an ontology and canvas for strongly sustainable business models, aimed at addressing gaps in existing literature regarding sustainability definitions and business model designs. It presents a design science research approach to develop a usable framework for firms aiming to achieve strong sustainability, emphasizing the need for a new understanding of business models that integrate social and environmental factors. Evaluation results indicate the constructs and methodologies developed have utility but also highlight areas needing improvement for future research and practical applications.
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MES Thesis - Ontology & Canvas for Strongly Sustainable Business Models - Oral Defense
- 1. 1 ES / ENVS7999Thesis, © Antony Upward, 2013 Towards an Ontology and Canvas for Strongly Sustainable Business Models A Systemic Design Science Exploration MES* Thesis Defense August 6, 2013 Antony Upward† , CMC, C.Eng‡ * York University Masters of Environmental Studies with Graduate Diploma in Business and the Environment Faculty of Environmental Studies and Schulich School of Business † Full resume at www.linkedin.com/in/antonyupward ‡ Certified Management Consultant www.cmc-canada.ca, Chartered Information Systems Engineer www.engc.org.uk ThisworkislicensedunderaCreativeCommonsAttribution-NonCommercial-ShareAlike3.0 UnportedLicense.Permissionsbeyondthescopeofthislicensemaybeavailableat http://www.theUpwards.net/Permissions Download to Access Speakers Notes on Many Slides
- 2. 2ES / ENVS7999Thesis, © Antony Upward, 2013 Gap and Impact • Gap: – No micro- economic, social and environmental definition of strong sustainability – No conceptualization of such a definition within existing business model literature – No taxonomy for patterns of strongly sustainable business model designs (nor visual design tool) • Impact of Gap: – Desirable achievement of sustainability outcomes by organizations unlikely (unreliable) and difficult (inefficient) (Doig, 2003; Ehrenfeld, 2008;McDonough & Braungart, 2002) • Benefit Audiences if Gap Closed – New and Existing Firms, Policy Makers, Advisors, Investors, Incubators
- 3. 3ES / ENVS7999Thesis, © Antony Upward, 2013 Methodological Challenge / Resolution How can knowledge of strong sustainability, useful to managers, be created?* – Challenge: Lack of extant strongly sustainable businesses to theorize from using descriptive science methods – Resolution: use design science to undertake applied exploratory research: • Systems Thinking • Focus on net-profit making organizations Design science creates knowledge based on the experience gained from the rigorous construction and evaluation of artefacts useful to managers solving problems using the best available knowledge. * Knowledge of what constitutes a strongly sustainable business is urgently needed to avoid the worst effects of Climate change and other elements of the Global Problématique (Ozbekhan, 1970)
- 4. 4ES / ENVS7999Thesis, © Antony Upward, 2013 Research Question RQ: Is it possible to design an ontology that can be usefully employed to describe a firm’s strongly sustainable business model design? * Ontology is the artefact being built and evaluated by the systemic design science epistemological approach
- 5. 5ES / ENVS7999Thesis, © Antony Upward, 2013 Research Activities and Outputs Design Science Research Activity Streams Output Elements P. D. E. Prepare Build (Develop / Design) Evaluate (Validate) i. Constructs Understand the literature: – Business Models (Profit-First & Strong Sustainability) – Epistemology Entities Complete? Consistent? ii. Models Entity Relationship Model Comprehendible? Real-world Likeness to Artefact? iii. Instantiations Case Studies Useful? (Effective, Efficient) iv. Method Systemic Design Science Rigorous enough to design useful artefact? DesignScience ResearchOutput Synthesized from Table 3-13 and 6-25: Table Structure derived from March & Smith, 1995, p.255; with additions from Vaishnavi & Kuechler, 2009, p.6
- 6. 6ES / ENVS7999Thesis, © Antony Upward, 2013 Designed Artefacts Overview Wall charts of four of the Thesis Supplementary Materials displayed: – SM4b: Strongly Sustainable Business Model Ontology (Chapter 7) – SM6a: Example instantiation of the Strongly Sustainable Business Model Ontology (Timberland, Chapter 8) – SM5c & SM7: Example summary instantiation of Timberland using Strongly Sustainable Business Model Canvas (Chapter 8 and 7 respectively)
- 7. 7ES / ENVS7999Thesis, © Antony Upward, 2013 Summary of Evaluation Results – Confirming Utility“I really liked is that it really makes youmakes you thinkthink about things that you would never consider before” Management Consultant “You've ratcheted it upYou've ratcheted it up to the next degree of specificity and made sure that it is truly about sustainable businesses. Whereas the current [tools] that I’ve seen, honestly could be applied to any kind of business” Sustainable Business NGO “The power of this thing is it’s really the first to takethe first to take the social aspect and thethe social aspect and the biophysical intobiophysical into considerationconsideration. And I haven’t seen that that any other business model that would take that into consideration” Business Architect / Professor / Consultant “This is an impressive body of work” Management Consultant “I like the tool and think it provides a great way to analyze a company” Leader Eco-Industrial Park “It’s about timeIt’s about time somebody did something like this” Author / Consultant “I recognize this firm.” “This gets the zeitgeist ofThis gets the zeitgeist of who we arewho we are, which is great” (Reacting to his business described using the Canvas) CTO Small Manufacturer “If I was starting a brand new business, a significant business today, I would use thisI would use this business model to help me define and develop a pure detailed business plan” Management Consultant
- 8. 8ES / ENVS7999Thesis, © Antony Upward, 2013 Make it “better,better, faster,faster, strongerstronger” ? Learning by Using / TestingTesting it out someit out some moremore? Summary of Evaluation Results – Opportunities for Improvement A better way to introduce and summarize the canvas A methodologymethodology for designing great sustainable business models? An “app” so I can do this on my tablet with my clients? A communitycommunity of people using and improving it? Ensuring the design principles align with the emerging “Gold Standard” for Sustainable Business? Training / Workshops for Social / Environmental Entrepreneurs ? A Consulting Service that uses the Canvas to Diagnose and Improve the Sustainability of Business? The design principlesdesign principles to help me come up with great answers to the 14 questions? How about some more examples and case studiescase studies?
- 9. 9ES / ENVS7999Thesis, © Antony Upward, 2013 Contributions Summary 1. RQ can be answered Yes – The Strongly Sustainable Business Model Ontology and Canvas achieved a satisfactory level of utility with opportunities for improvement identified 2. Framing of the problem and solution – Weaknesses, world-view, inter-disciplinarity, definitions, proto- theory/design principles 3. Improvements to (systemic) design science preparation, build and evaluation research design and execution • Limitations – Time, business process detail, design mode use, longitudinal use, design method
- 10. 10ES / ENVS7999Thesis, © Antony Upward, 2013 Further Work: Academic & Practitioner • Opportunities to contribute to multiple fields via Multiple epistemic modes • International practitioner / academic network is growing – Crowd-funded collaborative “Strongly Sustainable Business Model Innovation” Toolkit planned • Book, app, education and consulting versions • Full alignment with emerging “Gold Standard” for Strongly Sustainable Business Join Us! http://signup.SSBMG.com
- 11. 11ES / ENVS7999Thesis, © Antony Upward, 2013 Discussion
- 12. 12 ES / ENVS7999Thesis, © Antony Upward, 2013 Backup Slides
- 13. 13ES / ENVS7999Thesis, © Antony Upward, 2013 Comparing Descriptive and Design Science Research Activity Tendency Purpose Output Examples Descriptive Science Inquiry Describing and explaining the bio- physical and social Theoretical Truth: the description / explanation / theory is true Theory* & Evidence Physics, Chemistry, Biology, Ecology, Sociology, Economics, Psychology Design Science Inquiry Building and evaluating something new Applied Efficacy: the built artefact is useful Artefacts* & Evidence Engineering, Medicine, Architecture, Law, Management, Information Systems * Note that Theories and Artefacts are both credentialed knowledge, but the process of credentialing is different. Table 3-3, Derived from Derived from: Lee, 2000, Slides 15-16 speakers notes; Romme, 2003b, Table 1 & 2)
- 14. 14ES / ENVS7999Thesis, © Antony Upward, 2013 “Discovery” “Justification” …of Theories “Build” “Evaluate” …Artefacts Provides “truths” Guide generation, construction and evaluation of designs Phenomena in Context Descriptive Science Research Design Science Research Provides “value & utility” Phenomena are created through the use of artefacts. Informs creation of theories via observation of phenomena Tends to be disciplinary i.e. Theoretical / Experimental Tends to be Trans-, Inter- or Multi-disciplinary i.e. Applied / Action Research * Figure 3-5: Derived from text of March & Vogus, 2010 Design and Descriptive Science – A Causal Loop Diagram
- 15. 15ES / ENVS7999Thesis, © Antony Upward, 2013 People • Executives, Managers, Entrepreneurs, Investors, Business Architects, Consultants Organizations • Strategy, operations and innovation planning and decision making groups Technology • Communication support • Generative (Abduction) support • Evaluative (Decision Making) support Environment Research D. Build • Strongly Sustainable Business Model Ontology artefact: i. Constructs ii.Model iii.Instantiation iv.Method E. Evaluate E1: Self E2: Third-Party E3: Case Study E4: Synthesis/Analysis Philosophical • Critical pragmatism Epistemological 1. Design 2. Information 3. Systems Key Disciplinary Frames • Natural & Social science • Ecological: sociology, economics & management • Organization (Innovation, Strategy, OM/IS) Methods • Data collection, analysis design and evaluation techniques Tools / Techniques / Formalisms • Literature Review • Entity Relationship Modelling • Interviews Knowledge Base Iterative Design Process (D1-4)assess refine Relevance Rigor P1. Problem P2. Applicable Knowledge C1. Application to solve problem C2. Additions to knowledge base Quality (reliability, consistency, effectiveness) and efficiency of creation of strongly sustainable business models Consistent explicit process choosing relevant knowledge (A-Search, B- Reflect, C-Apply) Research Process – Prepare (P), Build (D), Evaluate (E) Figure 3-19, Derived from Hevner et al., 2004, Fig.2 p.80
- 16. 16ES / ENVS7999Thesis, © Antony Upward, 2013 Overall Process for the Design of the Business Model Ontology Iterative Abduction*, Induction & Deduction Analysis & Synthesis * Informed guessing…Charles Sanders Pierce’s "abductive logic" (Martin, 2009). 1. Build “What should this strongly sustainable business model ontology consist of?” Iterative Feedback & Evaluation Analysis & Synthesis 2. Evaluate “Is the strongly sustainable business model ontology useful?” Comparator Knowledge from Existent Businesses (Formal & Tacit) (“K1…6”) Representation of Existent Businesses Business Models as Instantiations of Ontology Natural andSocial ScienceTheoreticalKnowledge Formal Science Theoretical Knowledge 3. Knowledge of Real Businesses Business Models Represented Using Ontology (2 Case Studies) 2. Knowledge from Real Businesses (7 Expert Interviews) 1. Knowledge Embedded in Sustainability Measurement Tools Strongly Sustainable Business Model Ontology & Canvas (Designed Artefacts) “K0” “K0-PF” “K0-SS” Key Theoretical Frames • Formal Science Information Systems (Computation), Systems, Chaos & Complexity • Natural Science Physics, Chemistry, Biology& Ecology • Social Science Ecological: Sociology, Economics & Management Incl. Reflexive Modernization, Strong vs. Weak Sustainability • Organization & Management Innovation, Strategic, Ops & Mgt Info. Systems
- 17. 17ES / ENVS7999Thesis, © Antony Upward, 2013 Research Activities and Outputs Design Science Research Activity Streams Output Elements P. D. E. Prepare Build (Develop / Design) Evaluate (Validate) i. Constructs Literature Review of Key Theoretical Frames – Summarized in Design Principles (ODPs, DDPs) Entities Identified from Design Principles Complete? Consistent? ii. Models Entity Relationship Model developed from Design Principles & Entities Comprehendible? Real-world Likeness to Artefact? iii. Instantiations Case Studies Identified Case Study Instantiations Developed Useful? (Effective, Efficient) iv. Method Literature Review of Design Science Literature – Summarized in Build Principles (BPs) Research Design that Attempts to Minimize Bias by Maximizing Rigour Rigorous enough to design useful artefact? DesignScience ResearchOutput Synthesized from Table 3-13 and 6-25: Table Structure derived from March & Smith, 1995, p.255; with additions from Vaishnavi & Kuechler, 2009, p.6
- 18. 18ES / ENVS7999Thesis, © Antony Upward, 2013 Contributions by Output and Activity Design Science Research Activity Streams Output Elements P. D. E. Prepare Build (Develop / Design) Evaluate (Validate) i. Constructs Rigorous understanding the Problem and related Definitions Rigorous definition of constructs Rigorous definition of metrics ii. Models Rigorous identification of ontology design principles which relates the definitions Rigorous coding and capture of all the construct inter-relationships Rigorous relation of metrics to research question and objective iii. Instantiations None None Novel instantiations of existing business iv. Method Improvements in (systemic) design science, ontology engineering and soft systems preparation activity design Improvements in (systemic) design science, ontology engineering and soft systems build activity design Improvements in (systemic) design science, ontology engineering and soft systems evaluation activity design v. Better Theory Proto-theory of the Conditions Required for the Emergence of Strongly Sustainable Organization Proto-Principles for the Design of Strongly Sustainable Organizations None DesignScience ResearchOutput Table Structure derived from March & Smith, 1995, p.255; with additions from Vaishnavi & Kuechler, 2009, p.6
- 19. 19ES / ENVS7999Thesis, © Antony Upward, 2013 Contribution: Revised / Novel Definitions (1 / 2) • A “profit-first” organization is one in which monetary profit is the sole legitimate objective; success is defined in terms of attempting to maximizing monetary profit at all times and over time. (Derived from Friedman, 1962) • A “strongly sustainable” organization is one in which all of its behaviours and all the behaviours of all other relevant social, economic and biophysical actors, lead to the possibility that human and other life will flourish on the planet forever. (Derived from Ehrenfeld, 2008)
- 20. 20ES / ENVS7999Thesis, © Antony Upward, 2013 Contribution: Revised / Novel Definitions (2 / 2) A description of how an organization defines and achieves success over time. A Business ModelA Business Model: the logic for an organization’s existence: who it does it for, to and with; what it does now and the future; how, where and with what does it do it; and how it defines and measures its success. “A Business Model describes the rationale of how an organization creates, delivers and captures value [in monetary terms]” Value isValue is the perception by a human or non- human actor of a need being met; measured in aesthetic, psychological, physiological, utilitarian and / or monetary terms. From To Value is created when needs are met via satisfiers that align with the recipients world-view, and destroyed when they don’t Necessary, but not Sufficient p. 14 Osterwalder, A., & Pigneur, Y. (2009). In Clark T. J., Smith A. (Eds.), Business model generation: a handbook for visionaries, game changers, and challengers
- 21. 21ES / ENVS7999Thesis, © Antony Upward, 2013 Comparing Profit-First & Strongly Sustainable Business Model Canvases V1.031 + + Δ + Δ + + + + + Δ Δ Δ + + Δ Δ Δ Δ Δ Δ + + = New concept in SSBMC which doesn’t appear in BMC Δ = Change / extended concept in SSBMC which does appear in some form in BMC (as indicated by green arrow).
- 22. 22ES / ENVS7999Thesis, © Antony Upward, 2013 Evaluation Results Detail Research Objective Aspect of Utility Metrics Summary Metric Values Confirmatory Opportunity for Improvement RO0 Rigor Context M1 Expectation High GR1-11M2 Desirability High M3 Importance High RO1a Reliability Completeness M4a Completeness (reliable) Satisfactory GU1-6 M5 Level of Detail Satisfactory – Highly Satisfactory GU8 Quality M6a Comprehensibility (reliable) Satisfactory – Highly Satisfactory GU7, GU9, GU10 M7 Real-world Likeness Satisfactory – Highly Satisfactory None RO1b Consistency Quality M8 Internally consistent Satisfactory None RO1c Effectiveness Generic M9 Useful to user Satisfactory – Highly Satisfactory GU9, GU11 Beauty M10 Elegance (technical, aesthetic) Satisfactory None RO2 Efficiency Completeness M4b Completeness (efficiency) Satisfactory GU1-6 Quality M6b Comprehensibility (efficiency) Satisfactory GU7, GU9, GU10 M11 Easy to use Satisfactory GU9, GU11 Table 8-14. GR = Gap in Research Rigour; GU = Gap in Artefact utility; Both identified by evaluation activities (Thesis Chapter 8)
- 23. 23ES / ENVS7999Thesis, © Antony Upward, 2013 Further Work: Academic • Opportunities to contribute to…multiple fields via – Existing field Profit-First Business Models – Adding the Bio-physical Environment & Society to Operations and Management Information Systems – New field of Strongly Sustainable Business Models • …via Multiple epistemic modes – Design Science: Changes to improve artefact utility – Descriptive Science: 5 testable hypothesis – Action Research: Bring practitioner version of Strongly Sustainable Business Model Canvas and method for its effective use to market
- 24. 24ES / ENVS7999Thesis, © Antony Upward, 2013 Further Work: Practitioner • 46 International members of OCADU Strategic Innovation Lab Strongly Sustainable Business Model Group • 10 International “First Explorers” using SSBMCanvas now – Further feedback accumulating • Planning for not your typical business “book” underway – 10 International co-contributors identified – Self Publish, 2014 – Crowd-Funded • Individuals & Organizations • Sufficient Funding Gate ~Fall 2013 • “app” – Design Tool – Business Learning Game • Community Revenue Opportunities via – Training Service “Toolkit” – Consulting Service “Toolkit” – Education / Classroom “Toolkit” – Sustainability Entrepreneur’s “Toolkit” – Industry Specific “Toolkits” – Sustainability Maturity Level Specific “Toolkits” • Full alignment with emerging “Gold Standard” for Strongly Sustainable Business – Measurement “Toolkit” • Best Practices & More Case Studies Now Next Join Us! http://signup.SSBMG.com
- 25. 25ES / ENVS7999Thesis, © Antony Upward, 2013 Possible Table of Contents for “Book”
- 26. 26ES / ENVS7999Thesis, © Antony Upward, 2013
- 27. 27ES / ENVS7999Thesis, © Antony Upward, 2013 www.SSBMG.com • About the Strongly Sustainable Business Model Canvas ~ 3 minute Audio Visual Overview • Survey to give input to book – survey.SSBMG.com • Mailing List sign-up – signup.SSBMG.com • Learning / Knowledge – wiki.SSBMG.com/home/learning-map • Blogs – blog.SSBMG.com – slab.ocad.ca/blogs/antony-upward http://www.facebook.com/ StronglySustainableBusinessModels @aupward #SSBMG info (at) SSBMG.com blog.SSBMG.com Mailing List sign-up signup.SSBMG.com
- 28. 28ES / ENVS7999Thesis, © Antony Upward, 2013 Citation • Preferred citation for this work is: – Upward, A. (2013). Towards an Ontology and Canvas for Strongly Sustainable Business Models: A Systemic Design Science Exploration. (Masters of Environmental Studies / Graduate Diploma in Business + Environment, York University, Faculty of Environmental Studies and Schulich School of Business), 1-891 (i-xx). (http://hdl.handle.net/10315/20777) – Electronic copy will be available at this handle/DOI after Aug 30, 2013 • All citations in this presentation may be found in the Bibliography of the thesis.
Editor's Notes
- #3 V1.1 p.7 (1.3.2) V1.1 p.11 (2.1) How did this research start? From my studies I identified what appeared to be a gap in knowledge… Overriding but implicit normative assumption shared by nearly all business model scholars: all business model designers agree that the only social purpose of business to increase monetary profits Hence, practitioners and researchers with a normative goal of a strongly sustainable organization, must first determine the elements and inter-relationships in a strongly sustainable business model in order to design or study one Who cares? I do…and based on conversation with other practitioners I am not alone For new firms: increase likelihood of strong sustainability outcomes from day 1 (or at least understanding of gaps) For existing firms: Faster and more comprehensive understanding of gaps and hence action towards strong sustainability For policy makers: framework to: understand impact of policy at the firm level, design policies to encourage strong sustainability For advisors: research to support advice / positions (Consultants e.g Business Architects, financiers (e.g. banks, venture capitalists) etc., NGOs trying to influence business, etc.) For business investors / incubators: Faster and more comprehensive assessment of likelihood of strong sustainability outcomes
- #4 3.3 / 3.4 (v1.1) Quote from 3.4.1 p47 (v1.1) Figure 3-5 p.49 (v1.1) How can knowledge useful to managers wishing to avoid worsening or better improve the “Global Prolématique” be created? Challenge At this time strongly sustainable businesses are not known to exist - No phenomena to study using descriptive science to discovery and justify theory based on a micro- economic definition of strong sustainability Imperative practical and ethical need for such businesses (Lubin & Esty, 2010 – HBR) Resolution Design science Adding systems approaches to increase tractability Focusing explicitly on organizations with goals that include net profit making Descriptive science does appear to have truths of antecedents for organizational sustainability do exist Design science builds and evaluates utility of artifacts using these truths Systems approaches improve tractability (of problem: given systems nature of sustainability problems space, and of solution development: e.g. function, structure, process, context – repeat) When used, if the artefacts are useful, they not only help managers improve the sustainability of their organizations, the artefacts help create phenomena for subsequent descriptive science study / theorization.
- #5 p.12 (2.3) p.162 p.165 (v1.1) The artefact to be built and evaluated is an ontology: an explicit partial account of a shared conceptualization of a strongly sustainable business model. Research Question Details RQa : How can strong sustainability emerge as an outcome of an organization understood as a multi-minded ideal-seeking purposeful system (analysis), and what systems contain / provide context for an organization so understood (synthesis)? (Chapter 4 - prepare) RQb : How can such an understanding be modelled using an ontology in order to enable a tool useful for managers attempting to design the conditions from which strongly sustainable outcomes may emerge from and for their organizations? (Chapter 7 – research output) Research Objectives RO0 : The research design will be of the highest quality possible: minimizing bias by maximizing rigour, hence maximizing the legitimacy of the research output. RO 1: Increase the quality of strongly sustainable business models RO1a: Reliability, RO1b: Consistency and RO1c: Effectiveness RO2 : The efficiency of their production. Critical pragmatic philosophical bias If, upon critical examination, an ontological or epistemological perspective makes a practical difference in achieving the research objective, as per the world-views of the researcher and/or managers in firms, it is to be considered.
- #6 Table 3-13 p.159 (v1.1) Table 6-25 p.424 (v1.1) Prepare Literature Review of Key Theoretical Frames – Summarized in Design Principles (ODPs, DDPs) (Chapter 3 & 4) Case Studies Identified Literature Review of Design Science Literature – Summarized in Build Principles (BPs) (Chapter 3-6) Build Entities Identified from Design Principles Entity Relationship Model developed from Design Principles & Entities Case Study Instantiations Developed Research Design that Attempts to Minimize Bias by Maximizing Rigour
- #7 SM4b : Detailed, formal diagrammatic representation of the Strongly Sustainable Business Model Ontology showing all entities, details of inter-entity relationships and all entity attributes (v1.031) (See Chapter 7 for full description) SM6a : Example instantiation of the Strongly Sustainable Business Model Ontology (v1.022) showing the business model of The Timberland Company in detailed tabular form using spreadsheet tables (See Chapter 8). SM5c & SM7 : Example summary instantiation of the Strongly Sustainable Business Model Ontology showing the business model of The Timberland Company expressed using the Strongly Sustainable Business Model Canvas with post-it notes (v1.031) (See Chapter 8 and 7 respectively)
- #8 So what did my respondents have to say about the utility of the strongly sustainable business model canvas, and the underlying technical ontology?
- #9 But I also got lots of ideas for improvements from the feedback – things like: A method for the effective and efficient use of the canvas Design principles to follow to help create good answers to the 14 questions the canvas poses A Better way of summarizing / introduce the canvas More case studies of its use Gaps in Utility 1-11 GU1 - 5 – solved in v1.031 GU6: The Need and Criterion entities are missing an attribute to conceptualize the time horizon for a need. GU7: Concepts of mission (goals), vision, and values (culture, ethics, rights, leadership and decision making style) are inherent in the constructs within the Measurement and other perspectives (7.4.5.1). However, the familiarity of respondents with this specific terminology suggests that their omission (or at least a lack of an explicit explanation of how they relate to constructs in the SSBMO), reduces utility. The experts expected these concepts to be included in what they understood by a business model; their omission was unexpected and hence set up a barrier to engaging with the tool. GU8 : Find a better way to address the relationships between the constructs in summary (SM3) and overview (SM5a) visualizations. GU9 : Find a better way to provide a more accessible introductory visualization. GU10 : Determine better labels for Decision, Capability and Value Configuration entities. GU11 : Determine a mechanism to record information necessary to tell the story of why an organization is successful or not (i.e. the logic which connects instances of entities to success or failure, i.e. the why). This would include the ability to describe large vs. small gaps between each instance of each entity to either the designed level of importance, or actual performance, to achieving the organizations definition of success.
- #10 Limitations L1-L7 2.6 p.16 (v1.1) The Strongly Sustainable Business Model Ontology and Canvas achieved a satisfactory level of utility with opportunities for improvement identified Business Models that may enable strongly sustainable outcomes are now more possible Research Question may be answered: Yes Framing of the problem and solution Identification of weaknesses and gaps in existing business model knowledge Recognizing the importance of business model designer world-view Inter-disciplinary stance not previously attempted in business model research Novel / Improved definitions Organizational Strong Sustainability, Value (Creation & Destruction), Strongly Sustainable Business Model, Tri-Profit Proto theory of conditions required for Strongly Sustainable Organizations and the principles of their design (conceptual framework) Improvements to (systemic) design science preparation, build and evaluation research design and execution Identification and resolution of descriptive and design science modes of knowledge production weaknesses when applied to organizational strong sustainability Limitations Time, business process detail, design mode use, longitudinal Use, design method
- #11 Opportunities to contribute to… Existing field Profit-First Business Models Adding the Bio-physical Environment & Society to Operations and Management Information Systems New field of Strongly Sustainable Business Models … via Multiple epistemic modes Design Science: Changes to improve artefact utility Descriptive Science: 5 testable hypothesis Action Research: Bring practitioner version of Strongly Sustainable Business Model Canvas and method for its effective use to market 46 International members of OCADU Strategic Innovation Lab Strongly Sustainable Business Model Group 10 International “First Explorers” using SSBMCanvas now Further feedback accumulating Planning for not your typical business “book” underway 10 International co-contributors identified Self Publish, 2014 Crowd-Funded Individuals & Organizations Sufficient Funding Gate ~Fall 2013 “ app” Design Tool Business Learning Game Community Revenue Opportunities via Training Service “Toolkit” Consulting Service “Toolkit” Education / Classroom “Toolkit” Sustainability Entrepreneur’s “Toolkit” Industry Specific “Toolkits” Sustainability Maturity Level Specific “Toolkits” Full alignment with emerging “Gold Standard” for Strongly Sustainable Business Measurement “Toolkit” Best Practices & More Case Studies For more details of the Gold Standard Work see: http://ecoopportunity.net/2013/02/the-sustainability-gold-standard-the-pathway-to-capitalism-2-0-event-summary-feb-7-2013/ http://www.naturalstep.ca/gold-standard
- #14 Table 3-8, p.48 (v1.1)
- #15 Figure 3-5, p.49 (v1.1)
- #16 Figure 3-19, p.160 (v1.1)
- #17 This chart shows how I am using design science steps (build / evaluate) to build and evaluate the business model ontology.
- #18 Table 3-13 p.159 (v1.1) Table 6-25 p.424 (v1.1)
- #19 Table 10-2 p.805 (v1.1)
- #21 A key contribution is new / revised definitions: First the offering of a definition of organizational strong sustainability: 1. The folks who place the goal of wealth maximization first, and suggest this is the sole role of business (a world-view I call “profit-first”) have suggested that a business model… p. 14 Osterwalder, A., & Pigneur, Y. (2009). In Clark T. J., Smith A. (Eds.), Business model generation: a handbook for visionaries, game changers, and challengers . Amsterdam: Alexander Osterwalder & Yves Pigneur. 2. But this definition becomes quite problematic if ones goal is based on a world view which includes any level of recognition of the ultimate contexts for business and a goal of flourishing of human and other life. (I call this alternative world-view, in its most extreme form “strongly sustainable”.). At best one might say this description of a business model includes the necessary, but not all the aspects to be sufficient. 3. For example recent work on fundamental human needs and their satisfiers suggests that the definition of “value” is is far more universal… 4. Value is: Created when needs are met via satisfiers that align with the recipient’s world-view. Destroyed when previously met needs go unmet due to: the withdrawal of satisfiers, the application of inappropriate (pseudo) satisfiers, or the application of satisfiers that do not align with the recipient’s world-view. This based largely on the works of Manfred Max-Neef, whose ideas of Fundamental Human Needs (unchanging at all times and places) and large number of satisfiers of those needs (which are highly context dependent) Max-Neef, M., Elizalde, A., & Hopenhayn, M. (1991). Human Scale Development: Conception, Application and Further Reflections [Desarollo a Escala Humana: una opción para el futuro]. Uppsala, Sweden; New York City, New York, U.S.A.: Dag Hammarskyöld Foundation; The Apex Press, an imprint of the Council on International and Public Affairs. 5. In turn, this understanding of value within the fundamental contexts of all human organizations, suggests that a business model is something more… 6. Which we can simplify as… Tri-Profit: The net harm or benefit arising as a result of firm’s activities in each of the environmental, social and economic contexts in a given time period.
- #22 1-16 + = New concept in SSBMC which doesn’t appear in BMC Δ = Change / extended concept in SSBMC which does appear in some form in BMC (as indicated by green arrow).
- #23 Table 8-14 p.762 (v1.1)
- #24 Opportunities to contribute to… Existing field Profit-First Business Models Adding the Bio-physical Environment & Society to Operations and Management Information Systems New field of Strongly Sustainable Business Models …via Multiple epistemic modes Design Science: Changes to improve artefact utility Descriptive Science: 5 testable hypothesis Action Research: Bring practitioner version of Strongly Sustainable Business Model Canvas and method for its effective use to market
- #25 For more details of the Gold Standard Work see: http://ecoopportunity.net/2013/02/the-sustainability-gold-standard-the-pathway-to-capitalism-2-0-event-summary-feb-7-2013/ http://www.naturalstep.ca/gold-standard
- #26 As a working title we’re calling the “book” “Strongly Sustainable Business Model Innovation” This slide gives an outline of the table of contents with section 2 describing the strongly sustainable business model canvas, section 3 describing how to answer the 14 questions the canvas asks well, so you will score highly, for example, on the B Lab Benefit Impact Assessment Survey, align with the BALLE localist principles or the Framework For Strategic Sustainable Development Sustainability Principles (3 environmental and *NEW* 5 social), plus Transition Towns, Institute for Local Self-Reliance, etc. and the emerging “Gold Standard” section 4 describes how to use the canvas to create a strongly sustainable business model section 5 provides more case studies… Image: http://bookmarks.mikis.it/wp-content/uploads/2010/11/escher-two-drawing-hands.jpg