Differences Between an Execution Model and a Business Model
drs. ing. Peter Cleton, Member
Maybe this is helpful. I distinguise between Business Model and Execution Model. (So no Operating model):
- The Business Model is the LOGIC a company earns money.
- The Execution Model is the execution of that logic.
I use the Extended Business and IT (BITA) Alignment model from Henderson and Venkatramen (more
), defined as follows: 3x3 matrix:
- Columns named C1: Business, C2: IM, C3: IT.
- Rows named R1: Strategy, R2: Tactics, R3: Operations.
The Business Model can then be 'projected'/translated into execution, on all of these nine blocks. So lefttop will be the business strategy, midtop will be the Information Management strategy and righttop will be the IT strategy, and so on.
This way a single business logic acts as a shared view for all those people in the execution of the logic, being all those in each of the 3x3 matrix.
I hope this practical approach was helpful.