Choosing the right sourcing model for CRE outsourcing agreements

The paper presents an UML-business-model-driven approach to the automated design of the initial conceptual database model. The proposed approach is based on: (i) extraction of characteristic concepts from the business model consisting of a finite set of UML activity diagrams representing the business processes of the whole enterprise, and (ii) automated generation of the UML class diagram representing the target conceptual model. The implemented two-phase automatic generator iterates through the source business model, processes all activity diagrams and generates the target class diagram. The classes are being generated in the first phase, while the class associations are being added in the second phase. The application of the implemented generator is illustrated on the simplified real business model.KeywordsBusiness ModelActivity DiagramClass DiagramConceptual ModelUMLADBdesignTopcased

Perhaps no other topic creates as much apprehension between a buyer and a supplier as trying to negotiate a fair price for corporate real estate (CRE) services. The conventional procurement process puts buyers and sellers on opposite sides of the table until the parties ‘get to yes’. While a buying company and service provider often ‘get to yes’ and establish a business agreement, they will frequently face renegotiations. Buyers especially become frustrated — often blaming suppliers for not honouring their original price. Rather than being frustrated, buyers should look in the mirror and say: ‘Did I get what I paid for? And if not — why?’ The primary reason is that the process for establishing pricing between buyers and suppliers has historically been broken. How so? At the heart of the misalignment is that conventional sourcing business models usually result in the buyer company and their supplier establishing a ‘price’ that reflects the circumstances at a point when the business agreement is established. A ‘price’ is not responsive to changes in the scope of work, in the market, or in corporate strategy. In addition, many companies do not take the time to use more advanced sourcing business models and pricing mechanisms designed to keep a buyer and supplier relationship in equilibrium as ‘business happens’. In the October 2018 issue of the Corporate Real Estate Journal (CREJ) (Vol. 8, No. 2) we shared the fundamental tools practitioners can use for pricing a CRE deal. This paper goes a step further and provides a deep-dive into pricing and suggests the most appropriate way to establish fair pricing for each type of sourcing business model. We conclude with a call to action for practitioners to evaluate existing pricing models to ensure appropriateness for the business.

In the digital platform economy, individual freelance workers are matched to their temporary employers thorough online systems. Workers interact with platform firms individually, undermining collective action and hence worker power. This is an issue for policy, as these workers do not have the protections afforded to those in traditional industries. The platform economy has also enabled open source, where the software architect creates a boundary around the software code they accept from a distributed group of contributors. The role of the software architect raises interesting questions about power in what can be seen as a form of networked organisation. Open source can be viewed as a narrative of software code and discussions about it that create a boundary around the project. Open source can also be framed as a business model, where value created by contributors is captured by the software architect for the benefit of both contributors and users. Business models can be viewed as a narrative that can both express and create a desired future for the entrepreneur. The potential of open source to inform narrative forms of business model is the research area. Taking a social constructionist perspective, this study used workshop and participant observation techniques to engage with the founders and other stakeholders in three case study organisations. The empirical contribution is that a narrative form of open source business model can have a power-balanced structure through a discursive process of boundary management. The methodological contribution is that annotated portfolio techniques can reveal an entrepreneur’s business model design from ethnographic data. The theoretical contribution is the importance of conceptual integrity to business models as well as to software engineering. The issue of conceptual integrity can be explored further in future research on factors in business model success.

Social media users cannot protect privacy or control the use of internet activity and other personal data collected by social media enterprises. Numerous studies and surveys confirm that social media users and the public at large are increasingly concerned about privacy and activities of social media companies. This author examined what are the societal and user concerns about privacy self-management (PSM), data security, and social media company actions and asks if this suggests that there might be potential market interest in a social media platform to ensure user PSM, control, and monetization their data. The author then reviewed what market-driven applications using existing technology could be used to develop a social media platform to allow the user to ensure privacy and control of PSM and Personal Data, and to monetize activity and static user data. It then developed a conceptual functional model of the platform using existing technology.Social media enterprise business models and technologies drive the revenue strategies of the enterprise. Those models benefit the enterprise’s customers, such as advertisers and merchants, and drive technology design and development to more effectively user data to evaluate, track, and influence those individuals. The users, and their personal data, are the products, not the customers; they have little control or even knowledge about the collection and use of their personal data; and do not realize direct value from its use. These business models create profit for social media enterprises, and increasing concern is being expressed by individuals and governments that commercial excesses do not benefit individuals, create risk, and, through behavior modification, cause actual harm. Yet, the very business models that use free or cheaply acquired personal data to influence individuals make it impossible, or highly difficult, for the industry to become more sensitive to the users’ (in particular, non-paying users) needs, rights, desires, and wellbeing.The author provided a background on the current state of the social media market space. The researcher reviewed published statistics on social media use and privacy, government and legislative actions to regulate social media enterprise activities, and business and technology models that social media enterprises employ to collect and exploit social media user data. The author also provided a background on user preferences and societal concerns about privacy and control of personal data. The researcher conducted a survey of late Millennial and Generation Z (18-39) social media users to gauge market interest in social media services that would safeguard their personal data and enable these users to monetize their data. The author investigated whether there is sufficient interest in an alternative business model supported by existing and new technology that could disrupt the existing social media industry by enabling individuals to gain control, secure, establish ownership of their own user data and create value for themselves by monetizing their own data.The author illustrated a conceptual systems engineering model that integrates existing technology (e.g., open source and licensed software, and commercial services). The researcher examined the feasibility of the model using four methods: conducting a literature search on relevant, existing technologies to protect privacy, control, and monetize social media user data; building a high-level systems model; validating technology choices by review of an expert panel; and validating model functionality by simulating several use cases. The author established that there is almost universal concern about privacy and increasing concern about behavioral manipulation and actual harm caused by social media as well as a desire by users to be able to control their private data. The author concluded that there is a market opportunity for a platform that would enable social media users to control and monetize personal data.The author also determined that there are numerous off-the-shelf open source and commercial technologies available to integrate into a privacy-forward social media platform with a minimum of capital, appropriate for a start-up enterprise. The author concluded by developing a systems model using available technology that a platform that could be built that would enable social media users to control and monetize personal data. <br>

PurposeThe purpose of this paper is to contribute to the understanding of the servitization phenomenon of product-centric companies, by identifying the resources, capabilities and organizational aspects needed to successfully deploy a servitized business model (BM).Design/methodology/approachBy adopting a literature-based approach, this paper develops a servitization maturity model (SeMM) aimed at assessing and positioning companies in the servitization journey. The paper also illustrates the model application to two small and medium-sized enterprises (SMEs), a machinery and a forklift truck company.FindingsThe SeMM identifies a set of 85 critical requirements that are used to evaluate the servitization level of product-centric companies, through a specific five-stage measurement scale. The requirements are categorized into: five maturity dimensions (organizational approach, process management, performance management, tools, capabilities) and nine BM Canvas components. The empirical application exemplifies how the SeMM can support managers in identifying and bridging the gaps in their servitization journey.Originality/valueThe SeMM adopts an original bi-dimensional approach and provides an operationalization of the servitization process through the identification of specific critical requirements framed on established BM and maturity dimensions taken from the literature. Moreover, the model responds to a call for research to develop practitioner-oriented tools and guidelines to support the servitization process, in particular for SMEs, and to the need to go beyond to measures of servitization based on indicators about number of services offered or their turnover.

The major trends characterising the development of e-business platforms include increasing the performance-to-price ratio of hardware components (e.g., servers and chips), as well as the declining costs of operating systems and middleware software as organisations switch from expensive proprietary software (e.g., Microsoft Windows) to open source software (e.g., Linux). The unique origins of Linux and open source software require the adoption of new business models to allow key players to sustain themselves long-term. Using a historical review of the open software movement and a value chain analysis for the open software industry, we examine, using primary data from interviews, the business models of five Linux players (Red Hat, Novell, Navica, Open Country and SohoLaunch). Case analyses enable us to identify four open source business models that should be sustainable in the long run.

Logistics service providers (LSPs) conduct their business in an environment of steadily changing stakeholders and business models. Social media (SM) has become an important communication tool and source for new business models for LSPs. Nevertheless, a lot of LSPs struggle with the utilization of SM. In this paper, we develop an SM maturity model (MM) for LSPs. By doing so, our research sheds light on the use of SM at LSPs and reveals impediments. Thus, the developed MM will help researchers better understand the utilization of SM at LSPs and practitioners to improve their business processes.

This research is a part of previous research which succeeded in producing business model architecture planning, the purpose of this research is to develop previous research using business model maturity measurement methods as a proposed business model architecture planning concept. By taking the same case study theme as Tiara Payung Putra (TPP) company. TPP is known as a distributor company in cooperation with Pertamina's (Bulk LPG Filling and Filling Station). TPP's main business activity is to distribute goods in the form of LPG to 76 bases spread across the Balaraja district. The current condition of the business model architecture illustrates the business activities that exist in the TPP. The main problems that occur in the TPP are not integrated the external system with internal business activities in the company, and the lack of IT resource support. For this reason, the Business Process Maturity Model is needed as a benchmark, which can be proposed as a business architecture planning concept. Support for the Enterprise Architecture Planning (EAP) Framework method focuses on the business model architecture domain. The architecture of the business model illustrates how TPP carries out business activities and functions to achieve its objectives. The results of this study produce proposed business model architecture planning concepts in the form of Business Model Maturity Level Measurement, SI / IT architecture concepts, and Business Architecture Planning roadmap, which are beneficial for Tiara Payung Putra (TPP) company for business model architecture planning.

Characterizing Circular and Open Business Models in a profit-driven environment through Business Model Patterns

Focusing on businesses, digital transformation has a significant impact on various sectors. It enables innovation practices, new or improved designs and processes, and new business models, restructuring the business value chain. Digital transformation is not just about development through adoption of new technologies. Even though organisations differ regarding their digital transformation process, there is a need for digital maturity models in order to assess the status quo of their digital transformation. Therefore, there is a lack of understanding on which are the critical elements that organisations need to take into consideration for their digital transformation journey. The purpose of this paper is to propose both a scientific and practical framework for designing, developing, and implementing a digital transformation journey. Many different digital maturity models have been examined and analysed implementing a three-phase literature review methodology. Based on the prior literature of digital transformation maturity models, a conceptual framework is proposed and tested with a case study. As a result, the synthesized framework could serve as a blueprint of strategic decision-making in digital transformation. This research spreads light on the field of digital transformation by expanding the role of digital maturity models. It is stated that more research needs to be done aiming to gain a deeper understanding of this topic.

Artificial intelligence (AI) has the potential to change the world of work radically. Wherever information processing is involved, AI can be integrated into processes with added value. From the perspective of Human Resource (HR) management, this implies three things: first, business models and performance processes in the company will undergo change; second, employee requirements will change; and third, HR processes will change. While the literature describes various AI maturity models, there has been no dedicated consideration of HR management. This article, therefore, aims to identify relevant influencing factors for an AI-orientated approach to HR management and to describe these in more detail using maturity levels in a Human Resources Artificial Intelligence Maturity Model (HR-AIMM). The resulting HR-AIMM consists of eleven dimensions. These include anchoring the AI topic in the corporate and HR strategy, its use in selected HR processes, considering ethical, data-related, and infrastructural principles, and organisational, cultural, and competence-related anchoring. The characteristics of these factors enable the identification of four maturity levels for using AI in HR management: from a curious start to the level of holistic integration. Our framework supports researchers and companies in understanding and evaluating the factors influencing the professional application of AI in HR management.

&lt;p&gt;The Internet has escorted in mammothalterations in the marketing strategy by coalescing many diversities of business models involving affiliate marketing, direct sales, viral marketing and marketing online. It has been evidenced that blogs play an imperative role in facilitating customers to form a buying decision. In fact, blogs have an upshot on purchase behavior far more than the social networking platforms. Blogs have unremittingly garnered a reliable audience. When the demonstrative bond between the blogger and the consumers gets very substantial, it can lead the latter to really build a buying decision. The impact of blogs is so intense that it is sometimes stated as &ldquo;Blogging Effect&rdquo; on buying behavior. The present study is an endeavor to derive the two important mathematical instigation of the &ldquo;blogging effect&rdquo;-&lt;/p&gt;

Global economy is experiencing a transition from industrial, product-centered to innovation, service-centered. This paper provides business model which originated from the integration of views of firm development theory, and then we get a business model based on open innovation paradigm. Open business model is an analysis concerns both value appropriation and value creation. Open-source is a special strategy in knowledge economy and we define different open-source business model according to different kinds of licenses.

This chapter discusses the nature of free and open source software from the perspective of business models that can be used to operate within this emerging industry. The focus in the chapter is on free and open source software in general rather than on the specific geospatial domain, however this area of activity is used in several places for reference and by example. The chapter also examines the closed and proprietary complements of the free and open source world and contrasts the rationale and behaviours of software developers and users within both market places. While it is not the intention to set one or the other markets up as a straw man, it is clear from the discussion that the free and open source alternatives have a number of advantages in terms of developing high quality outputs that are responsive to end user needs while embodying the principles of innovation and advancing knowledge.

Greater investment is required in developing new drugs and vaccines against malaria in order to eradicate malaria. These precious funds must be carefully managed to achieve the greatest impact. We evaluate existing efforts to discover and develop new drugs and vaccines for malaria to determine how best malaria R&D can benefit from an enhanced open source approach and how such a business model may operate. We assess research articles, patents, clinical trials and conducted a smaller survey among malaria researchers. Our results demonstrate that the public and philanthropic sectors are financing and performing the majority of malaria drug/vaccine discovery and development, but are then restricting access through patents, ‘closed’ publications and hidden away physical specimens. This makes little sense since it is also the public and philanthropic sector that purchases the drugs and vaccines. We recommend that a more “open source” approach is taken by making the entire value chain more efficient through greater transparency which may lead to more extensive collaborations. This can, for example, be achieved by empowering an existing organization like the Medicines for Malaria Venture (MMV) to act as a clearing house for malaria-related data. The malaria researchers that we surveyed indicated that they would utilize such registry data to increase collaboration. Finally, we question the utility of publicly or philanthropically funded patents for malaria medicines, where little to no profits are available. Malaria R&D benefits from a publicly and philanthropically funded architecture, which starts with academic research institutions, product development partnerships, commercialization assistance through UNITAID and finally procurement through mechanisms like The Global Fund to Fight AIDS, Tuberculosis and Malaria and the U.S.’ President’s Malaria Initiative. We believe that a fresh look should be taken at the cost/benefit of patents particularly related to new malaria medicines and consider alternative incentives, like WHO prequalification.