Developing or analyzing business models helps a company isolate where and how in its value chain it creates profit and value. With such understanding, a company can better discern how to exploit the potential of its markets, increase customer satisfaction, and raise barriers to entry from competitors. Using such an approach, a company has the tools to relentlessly improve upon its business practices to build sustainable long-term competitive advantage.

In the current economy, a company must operate at a higher “clock speed” and the members of its staff need clear goals and rules to be proactive in their responsibilities. Managing by business models is a very effective way to develop clear communications within a company as well as with its economic partners, from customers to investors.

When people refer to business models, they usually talk about only one of its components: “How does the company make money?”

Based on the BizModel Institute’s approach, ACTEAM has developed a proprietary methodology to analyze and evaluate the parameters that have a significant impact on the profit and value generation of a company. Starting from an assessment of the market opportunity, the methodology then helps analyze how a company satisfies the customer in the context of what the competition does, and how this process is transformed into profit and value in the shorter and longer terms.

Using such an approach, a company can build a roadmap for its development and benchmark its existing or prospective business against its competition. Using this framework the company can maximize its value for the medium to long term.