“Ordinary people believe only in the possible. Extraordinary people visualize not what is possible or probable, but rather what is impossible. And by visualizing the impossible, they begin to see it as possible.”
~ Cherie Carter-Scott
This is the challenge for most entrepreneurs is that we often get caught up so much in daily things that we failed to see the big picture, focus on that and put it to work.
The startup business framework created by Tom Hulme, IDEO’s Design Director at their London’s office, is simple enough for anyone to use. Whether you just have this idea that you think is very interesting, to large companies.
There are 5 steps to begin visualizing your business model:
Step 1: the most important bit.
This is the backbone for your business model. It deals with your value proposition and market segments. This is your how and why. What is it that you’re creating and how it’s going to benefit the people who are going to use them?
Step 2: how you deliver and realize value.
This is where you deliver it through channels, the distribution channels (how you’re going to distribute it) and marketing channels (how you’re going to communicate it) and pricing it. He said that the difference between successful and failing is just in the marketing channel.
Step 3: how it’s different.
Think about who you are really competing with. Sometime the competition are not what we think they are. How are you going to enter the market and why you think you’re going to win?
Step 4: how you create value.
This is how you’re going to drive the value. It deals with process and capabilities: who are your teams, what skills needed to bring to the table, and what can you bring it on a temporary basis.
Step 5: how will you grow.
Think this is probably the most important question of the day. How are going to grow the business? This is where most entrepreneurs have problems visualizing it.
The framework of visualizing your business model is what IDEO uses to help their large (corporate) clients think like – startups.
Take a look the how-to. (you can also download the framework, here).