Environment-Strategy-Structure-Operations (ESSO) Business Model Development
(copyright: Dr. Michael Lim 2010)
Environment
PESTEL and Opportunities and Threats
How do they affect us and our Customers,
Competitors & Suppliers
Operations
•Key activities
•Key resources
•Key competitors
•Key suppliers and partners
•Key customers- segment, channel
(e.g. direct, franchise)
•Cost and Revenue
Operational
Competitive priorities
•Cost
•Quality
•Time
•Flexibility
•Innovation
•Affective
Strategy
Market opportunities
Competitive advantage
Resource based view
Market access e.g. government contracts
Customer base– broad or narrow/ focused/ niche
Knowledge Management
•Knowledge in people’s heads
•Documents, Databases and Resource Planning Programs
•Strategy, Structure and Operations
Structure
•Hierarchy
•Community (flat)
•Mixed
Design Copyright: Dr. Michael Lim (2010)
Lim, M. 2010. Environment-Strategy-Structure-Operations (ESSO) Business Model. Knowledge Management Module at Bangor University, Wales. Available at:
http://www.communitiesofinnovation.com/L/Dr_Michael_Lim_%20Business_Model_Knowledge_Creation_and_Innovation_Lecture%209.ppt
(last accessed 02/12/10)