Business Models Inc.

10 reasons to use the Business Model Toolbox!

May 22, 2011 | Patrick van der Pijl

In 2009 our book team self published Business Model Generation. At the moment more than 140.000 copies are sold all around the world. Every day the business model Canvas is used by students, entrepreneurs, consultants and corporates to make better decisions about their future. We use it on our workshops every day. Although the Canvas is already easy to use and understand the Business Model core team took the Business Model Canvas to the next level. This month, they launched the Business Model Toolbox iPad application. Here we share our experiences working with our clients and the tool.

What is the Business Model Toolbox about?

The iPad application makes it possible to work with the Canvas in the same way you use the Canvas on paper. Stick (digital) post-its on the nine building blocks to make your business model concrete. It only takes a couple of minutes to create your own business model. But then the magic starts; add ball park figures to every component of your business model. For instance: What about the market size of your business? How many clients are you going to serve? What is the (estimated) size of your revenue streams? After adding the figures into the Canvas the application will translate the business model Canvas into a profit & loss overview! With the application you can instantly test the profitability of your ideas by playing with the figures and the business model Canvas.

10 reasons why you should use the Business Model Toolbox
We have been using the business model toolbox in our client work. Our clients love the iPad app and the results are amazing! We identified 10 reasons why the iPad Application helps you to make better decisions:

1. Speedy design of your model!

Design your business model in less than 5 minutes. No, powerpoint or keynote takes you more than 20 minutes, trust me.

2. Visual!

The digital post-its look similar to your canvas and post-it notes on the wall. It focuses on the elements that matter.

3. You can record, adapt and save your model.

The post it notes are easy to edit and (re)move, you can also change the colors of the post-its.

4. Share with your team by email!

After finishing your Business Model design you can easily share the canvas by sending it through e-mail.

5. It’s easy!

Just start the Ipad app and write and stick the post-its to create your business model. Just check the ‘help function’ if you want more details on the definition of the nine building blocks. Kids in Kindergarten can use it too.

6. No bullshit!

The first version of a business model is about inspiration. But how to make sense of it all? Toolbox forces you to make connections between the different building blocks. What revenue stream can be connected to what value proposition and clients? What costs can be connected to resources or activities?

7. No more spreadsheets!

Once you designed a Business Model you are facing new challenges. You need help with putting numbers in there. Mostly you are killed by the slow response of your finance department or an overload of financial information. But you want to focus on what is relevant and you need to get the information now. Not next week.

8. No more powerpoint or keynote!

Designing business models fun now, believe me! It saves you so much time not needing to copy and paste and drag and drop and edit and replace post it notes.

9. Instant insight in the profitability!

After adding numbers to your business model, push the overview button and the profit & Loss overview will show you the profitability of your idea or model.

10. A shared language in your company!

By using the tool you can connect business developers, marketing managers, product managers, financial managers, controllers and the ceo.

Client feedback

Csaba Debreczeny from Schott Rohrglass GmbH, Germany: “It is unbelievable to see. After two days of Business Model Innovation workshops I was wondering how our people could make the business models concrete. Our CEO is interested in our ideas but would like to see the numbers. This tool is easy, fun and also saves us a lot of time. We have a reason to buy an Ipad.” For information about the Business Model Toolbox take a peek in the App store.

Next Steps…

Of course, working with the tool makes you think of additional features. Could we use it on the Web also without the Ipad? Can we visualize business models? etc. Please take a look at www.businessmodelgeneration.com for more details and we keep you up to date on new developments and features.