Radical Business Model Transformation

Business models are everywhere, each one proclaimed as the current “best thing” that will help steer a business forward, re-evaluate its options and work towards it gaining a competitive edge. This book goes further, seeking to show that times change and many companies rely on a business model from a different era, and that a new and radical approach may be needed.

The authors have looked at hundreds of companies within different sectors who have successfully and radically changed business models, considering their motivation, implementation strategy, transformation successes and, of course, any small diversions along the road! The result is a considered textbook and benchmarking roadmap that companies can use to validate (or start) their transformative efforts. It is backed by theoretical thought and a mass of case studies from some well-known companies to add further authority and information to the mix.

A key message is that successful companies invariably had to do more than an incremental change process if they wanted to stay ahead of their competition, requiring often fundamental changes that could lead to a radical shift. Companies may know their business but they don’t necessarily know their deployed business model type and whether better, more suitable, alternatives exist. The change, itself, might not be easy but if you are aware of the need to change at least it may be manageable when you can do it on “your terms” rather than when fighting a rear-guard action whilst your business bubbles away down the drain.

Of course, nothing stands still and this book will gradually date, yet the key basic material should remain valid and provide a sufficient skeleton for your future transformative needs. A lot of material was packed into a relatively concise book, written in an accessible style that makes you want to keep reading, learning and eventually doing! Comprehensive endnotes allow the reader to investigate deeper a given point or bolster their knowledge; a great way of making the book suitable for many audiences. The case studies could be, for many, sufficient to buy the book too, if they are not necessarily involved with the company’s strategic direction.

A book worthy of closer consideration.

Radical Business Model Transformation, written by Carsten Linz, Günter Müller-Stewens & Alexander Zimmermann and published by Kogan Page. ISBN 9780749480455. YYYYY

The three authors, Carsten Linz, Günter Müller-Stewens, and Alexander Zimmermann, have been driven by the question of how to transform a company's business model into the next one - to (re)gain competitive advantage. In Radical Business Model Transformation Gaining the Competitive Edge in a Disruptive World, the result of their scientific research, discussions with an online community, and numerous case studies is described.

The book provides answers to some key questions today's leaders face: What business model choices are there? Where does our firm stand now? Is our current business model sustainable, or do we need to change it? If we need to change, how can we transform our business model? Which options do we have, and what are the specific challenges and requirements of each path? What were the experiences of other firms and leaders on their radical transformation journeys?

Today's trends like digitization and servitization putting established business models under pressure. The only way forward is a radical change. But transforming to a new business model is easier said than done. Sometimes a change of senior management and application of their lessons learned is helpful. At other times large investments are needed to change course. A change introduces risks, and just like many of the startups, chances of failure are huge. This book highlight a few models to plot business models. For the rest lot of attention is given to case studies to benefit from. Examples are Netflix, Uber, Daimler, Infosys, and SAP. Various strategies can be successful and neither is generally superior. In one or two decades from now, we will see new or better approaches in hindsight. For now, Radical Business Transformation provides a solid foundation for today's business model options.