The term strategy, which together with the tactical term has its origin in the military world, refers to the relationship between objectives and means, between the results we want to achieve, and the resources we have at our disposal to do so. In other words, conceive and subsequently execute courses of action to achieve one or more objectives.
Leaving the military and entering the business, usually consider two types of strategies: corporate strategy and competitive strategy.
The corporate strategy defines the markets and businesses in which the company operates. It revolves around the definition of the Mission and Vision, which indicate what the company does, why it exists and what it wants to convert.
The competitive strategy or business strategy defines the bases on which the company will compete in a certain business. It is based on the capabilities or competencies of the company, its strengths and weaknesses in relation to the characteristics of the market, and the corresponding capabilities, strengths and weaknesses of its competitors.
The strategies of a company must meet the following characteristics:
- They must be the means or ways that achieve the objectives; the objectives must be the “ends” and the strategies “the means” to achieve them (Efficiency).
- Should guide the achievement of objectives with the least amount of resources, and in the shortest time possible (Efficiency)
- They must be clear and understandable to everyone.
- They must be aligned and be consistent with the values, principles and culture of the company
- They must adequately consider the capacity and resources of the company.
- They must represent a challenge for the company.
- They must be able to be executed in a reasonable time.
New business model, unit or reengineering
What is the canvas model and what is it for?
The model canvas or business model canvas is a tool created by Alex Osterwalder and is the basis of his book Generation of Business Models
It is one of those essential books for any entrepreneur in which you will also find different examples of canvas.
The canvas format is divided into nine modules and each of them are the pieces that a company needs to obtain income.
We could summarize in a very simple way that the business model of a company makes reference to how it is going to generate income.
That’s what the canvas system is about, to see which are the most important areas and which a company must take into account to get income.
We will see step by step the nine modules that are part of the canvas method, but I anticipate that we could summarize it in four different areas.
These four areas are essential in any business model and are:
The offer
The clients
The structure
The economic viability of the project
Benefits of the canvas model for your business
Now that we have seen what the canvas model is, we will see what benefits it can bring you to carry it out.
- The main advantage of the canvas model is the simplicity with which you can work when defining a business model.
- One of the main benefits of canvas canvas is that we can see in a very visual way the most important elements of the business model of an organization.
- It also allows us a greater adaptation to change. The canvas methodology is based on trying to adapt your business model to the changes that are taking place in the environment and in the company itself. By seeing the most important elements of the organization in an integral way, it can be easier to determine which elements are failing in the achievement of the objectives.
- Another advantage of adopting the canvas methodology is that it allows teamwork.
Being able to work as a team can allow you to know different positions and opinions different from yours that can enrich your project.
And now, let’s see step by step how to make a canvas model of a company.
How to make the canvas model of your business step by step
Before I see how to fill the canvas canvas and to understand it in a simpler way, I will summarize what the canvas method consists of.
That value proposition must be communicated to the clients so we must establish a relationship with them.
But to communicate your value proposition you need to use a series of channels (online and offline channels).
In addition, to create your value proposition you will need to have a series of key resources to be able to carry out different key activities.
And for all this it will be necessary to have a series of key alliances (key partners) with which to establish the business relationships that are needed.
Finally, it will be necessary to analyze the company’s cost structure and sources of income.
These last two sections are fundamental for the viability and economic survival of the company.
Example of the canvas model and how it is filled step by step
If you notice, in the following image we see an example of the canvas of canvas separated in two zones.
The right area refers to those external factors that may directly affect the canvas business model.
That is, they would be part of:
- The market segment
- The value proposition
- The channels
- customer relationship
- The sources of income
While the left zone refers to the internal elements of the company itself, such as:
- The key partners
- The key activities
- The key resources
- The cost structure
That is why we have previously separated the business model matrix into two quadrants: the right and the left.
What I recommend is that you download and print the template canvas model, you buy post-it and begin to fill each of the elements.