Question: What is the best way for me to get training and advice on building a business model for my new company but also getting help on the personal side of setting up and running a new business?
Answer: This question often comes up in the development of training programs on entrepreneurship. They are focused upon the operations of the business, such as marketing, finance, administration, and internal processes. But not on their individual and personal aspects of being a successful entrepreneur.
A tool which can help incorporate both personal and business aspects of starting a business might be found in the visual tool known as the business model canvas, and its companion canvas, the personal model canvas. Listed below are the various component of each:
The foundational concept of the business:
STEP 1-THE BUSINESS AND PERSONAL VALUE PROPOSITION
Build the business that solves customer problems and leads to satisfaction through user experience.
Business Model Canvas and Process Personal Model Canvas and Process
| The Business Value Proposition-What is our promise to the user | We solve customer problems through experimentation | The Personal Value Proposition-What value do we provide | We provide value through enhanced customer experience | |
STEP 2-THE ACTIVITIES, PARTNERS AND RESOURCES NEEDED TO DELIVER THE VALUE PROPOSITION
Build the Administrative structure needed to deliver solutions and great user experience simultaneously
Business Model Canvas and Process Personal Model Canvas and Process
| Business Activities
What do we need to accomplish |
We are striving to develop an organization to deliver products on time and competitively priced | Personal activities
What we do to build great people |
We are building a great company staffed by dedicated people who are trained and motivated to provide excellent service | |
| Business Partners
Who do we affiliate with to build our product quality and our sustainability |
We seek to build capabilities that enhance our ability to deliver our products competitively and consistently | Personal Partners
Who helps us |
We seek relationships that build our capabilities, provide advice and counsel | |
| Business Resources
What financial and other resources do we need to satisfy our customers |
We need Financial, Administrative, Marketing and Production staff | Personal Resources
Who we are and what you have |
We need to build our organization with people who value integrity, truth, and honesty and our dealings with customers, suppliers and staff and our actions must always reflect our commitments to these principles | |
STEP 3-THOSE WE SERVE WE SERVE VIA RELATIONSHIPS, MARKET SEGMENTS AND CHANNELS
Build the business that maintains customer satisfaction with relationships, segment service and channels
Business Model Canvas and Process Personal Model Canvas and Process
| Business Relationships
How you service customer needs |
Personal Relationships
How you interact with your clients |
Continuous improvement of all phases of customer interaction including product design and development always customer focused. | |
| Business Market Segments
How you identify and target market segments |
Personal Segmentation
Who you help |
Identify those parts of the market that you are uniquely capable of serving | |
| Business Channels
How you reach target market segments |
What method of channel concentration will products the best financial results | Personal Channels
How they know you and how you deliver |
How you are known through consistent good service and innovation in channel usage |
STEP 4-FINANCIAL ASPECTS OF BUSINESS AND PERSONAL MODEL CANVAS-WHAT WE GIVE-WHAT WE GET
Build the business that operates sustainably enabling its owner/manager to do good while doing well
Business Model Canvas and Process Personal Model Canvas and Process
| How you detect and manage Costs-Direct and Indirect | Indirect costs, commonly known as overhead and direct costs, known as the cost of production must always be related to the level of operations in order to be revealing | What you give
Sometimes not financial They could be uplifting or anxiety producing. They do involve time and opportunity |
Costs need to be managed on a continuing basis first to be able to secure initial funding, later to manage funding, and finally to develop a rewarding exit strategy |
| Revenue and benefits
The business process of operating profitably |
Revenue from operations should produce profit on a sustainable basis to enable the business to offer a return to its owner(s) | What you get
The overall personal objective of revenue development is to meet the needs of all those involved |
Revenue should be planned and managed so as to create benefits for all parties enabling the owner entrepreneur to do good while doing well. |