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Generic Business Model Types for Enterprise Mashup Intermediaries

SYSTEMATIC THOUGHT LEADERSHIP FOR INNOVATIVE BUSINESS

Volker Hoyer1 2 and Katarina Stanoevska-Slabeva2

1

SAP Research Center St. Gallen, Switzerland 2 University of St. Gallen, =mcminstitute, Switzerland

Generice Business Model Types Executive Summary

Business Needs

Current discussion in the scientific community is limited on technical aspects Business models for these new kinds of grassroots platforms

Interaction Phase Model for Enterprise Mashup Environments Organization similar to communities and electronic markets. Identification of three business model types (Discovery, broker, marketplace)

Technology Trends

Problem Statement

Design: Interaction Phase Model

Growing numbers of company internal and external Web-based resources based on open standards New upcoming tools to create adhoc enterprise-class applications without any programming skills

© SAP 2009 / Generic Business Model Types for Enterprise Mashup Intermediaries / Page 2

Contribution to Knowledge Base Scientific: Interaction Phase Model as an artefact Practice: Guideline for designing Enterprise Mashup platforms

Agenda

1. 2. 3. 4. 5. 6.

Motivation and Problem Scope Research Approach: Design Science applied Related Work and Objectives of the Solution Design: Interaction Phase Model for Enterprise Mashup Intermediaries Demonstration: Multi-Case Studies Conclusion and Outlook


Motivation

Productivity

“Yes, we can!“ - From Automation to Peer Production

Automating Transactions

Adoption of ERP, CRM, SCM User assigned by management Users must comply with rules Often complex technolgy investment

Enabling collaboration and participation

Enterprise Mashups

Adoption of Corporate Technology 1990s

“

2009

Adoption of Web 2.0 tools User groups can form unexpectedly User engage in high degree of participation Technology investment often a lighweight overly to existing infrastructure

Time

An Enterprise Mashup is a Web-based resource that combines existing resources, be it content, data or application functionality, from more than one resource by empowering the actual end users to create individual information centric and situational applications”


Motivation

Research Question

Which features have to be provided by Enterprise Mashup Intermediaries in order to match supply and demand? What generic business model types exist?


Agenda

1. 2. 3. 4. 5. 6.



Research Approach

Artefact Design

Objectives of the Solution

Identification of the Problem

Design Science applied

Research Methods Literature Analysis

Preliminary study on the practical need

Analysis of Enterprise Mashups

Interaction Model

Business Model

Interaction Phase Model for Enterprise Mashup Intermediaries (Knowledge, Intentions, Contract/Design, Settlement)

Artefact Demonstration

Generic Business Model Types (Directory, Broker, Marketplace)

Application of Interaction Phase (StrikeIron, Seekda, ProgrammableWeb.com, iGoogle, IBM Mashup Center)

* Peffers, K., Tuunanen, T., Rothenberger, M., Chatterjee, S. (2008). A Design Science Research Methodology for Information Systems Research. Journal of Management Information Systems, 24,3, 45-77. © SAP 2009 / Generic Business Model Types for Enterprise Mashup Intermediaries / Page 7

Literature Analysis

Literature Analysis Reference Modeling (Electronic Markets)

Multi-case (embedded) Studies

Agenda

1. 2. 3. 4. 5. 6.



Enterprise Mashups

Enterprise Mashup Stack and User Roles*

Mashup

Compostion of Widgets (Wiring) to enterprise-class applications

Widget

User-friendly Building Blocks

Resource

Enterprise Mashup Stack

User Roles

Provide graphical and simple user interaction mechanism Abstracting from the complexity of the underlying resources Core Building Blocks Respresent actual content, data or application functionality Encapsulated via well-defined interfaces (APIs)

End users run Mashups Consume Mashup Personalize Mashup (e.g., change background color)

Product List

OK

Cancel

Key users create Mashups Add pre-build widgets (from the catalogue) Connecting widgets by wiring their in-/out- ports Consultants create Widgets Binding generic User Interfaces to resources Transforming and aggregating data (piping) Developers implement the services Create and deploy services Make resources available (e.g., RSS Feeds, SAP Enterprise Services)

* Hoyer, V., Stanoevska-Slabeva, K., Janner, T., Schroth, C. (2008). Enterprise Mashups: Design Principiles towards the Long Tail of User Needs. In Proceedings of the 2008 IEEE International Conference on Service Computing (SCC 2008). © SAP 2009 / Generic Business Model Types for Enterprise Mashup Intermediaries / Page 9

Enterprise Mashups

Interaction Agent Model*

Three Agent Roles well known from Electronic Markets and Service-Oriented Architectures (SOA) Provider implements and hosts a mashable component (Mashup, Widget, Resource) Intermediary mediates between providers and consumers (improving navigation, transparency and governance) Consumer is able to retrieve and compose Mashup components according to his individual needs * Hoyer, V., Stanoevska-Slabeva, K.: Towards a Reference Model for Grassroots Enterprise Mashup Environments, In: Proceedings of the 17th European Conference on Information Systems (ECIS), Verona, Italy, 2009 © SAP 2009 / Generic Business Model Types for Enterprise Mashup Intermediaries / Page 10

Business Models

Business Model Hierarchry*

Definition

Business Model Concept Business Model Concept

2 Business Model Types Business Model Type A

3

Business Model Type B

Company A

Framework What components belong into a business model?

Taxonomy of business model types

Instances (view of a company)

Business Model Company A

Conceptual Level

What is a business model?

Company B

Company B

Company C

Company C

Company D

Company D

Instance Level

1

Modelled instances

Real world company

* Osterwalder, A., Pigneur, Y., Tucci, C.L. (2005). Clarifying Business Models: Origins, Present, and Future of the Concept. Communications o fthe AIS, 15 © SAP 2009 / Generic Business Model Types for Enterprise Mashup Intermediaries / Page 11

Business Models

Business Model Hierarchry* MCM Business Model Concept Business Model Concept

Societal Environment

Business Model Concept Value Chain

Feature ofDefinition the specific Product What is a business model?

Conceptual Level

1

Financial Flow

Potential Customer Flow of Goods &What Services components belong into a

Framework

business model?

Feature of the

Interaction Phase Model specific Medium 2 Business Model Types Business Model Type A

Business Model Type B


Multi-Case Studies Instances (view of a company)

Business Model Company A

Company A

Company B

Company B

Company C

Company C

Case 1

Company D

Company D

Case 2

Instance Level

3

Case 3

Case 5

Modelled instances

Real world company

* Osterwalder, A., Pigneur, Y., Tucci, C.L. (2005). Clarifying Business Models: Origins, Present, and Future of the Concept. Communications o fthe AIS, 15 © SAP 2009 / Generic Business Model Types for Enterprise Mashup Intermediaries / Page 12

Case 4

Agenda

1. 2. 3. 4. 5. 6.



Interaction Phase Model Overview

Characteristics Organization similar to communities and electronic markets Permament loops between the converging design and runtime phases Real data sources © SAP 2009 / Generic Business Model Types for Enterprise Mashup Intermediaries / Page 14

Interaction Phase Model

Knowledge and Intentions Phase



Contract (Design) and Settlement Phase


Agenda

1. 2. 3. 4. 5. 6.



Demonstration

Multi-Case Studies

Case 1: StrikeIron Case 2: Seekda Societal Environment

Value Chain

Feature of the specific Product Case 3: Programableweb.com Societal Environment Feature of the Case 4: iGoogle Gadgets Financial Flow specific Product Societal Environment Potential Feature of the Customer specific Product Case 5: IBM Mashup Center Financial Flow Flow of Goods & Services Interaction Phase Potential Societal Environment Feature of the Value Chain Customer specific Product Financial Flow Flow of Goods & Services Interaction Phase Feature of the Potential Societal Environment Feature of the Value Chain specific Medium Customer specific Product Financial Flow Flow of Goods & Services Interaction Phase Feature of the Potential Value Chain specific Medium Customer Financial Flow Flow of Goods & Services Interaction Phase Feature of the Potential Value Chain specific Medium Customer Flow of Goods & Services Interaction Phase Feature of the specific Medium Feature of the specific Medium

Multi-Case (embedded) Studies Unit of Analysis: Feature of the specific Product (Interaction Phase Model) © SAP 2009 / Generic Business Model Types for Enterprise Mashup Intermediaries / Page 18

Demonstration

Multi-Case Studies (Context)

Intermediary

StrikeIron

Seekda

Programmable Web.com

iGoogle Gadgets

IBM Mashup Center

Owner

StrikeIron

University of Innsbruck

John Musser

Google

IBM, Greenhouse Project

Supported mashable components

Resources

Resources (Web Services)

Resources (Web Services, REST, etc.)

Widgets

Resources, Widgets, Mashups

# components (Mashups, Widgets, Resources)

40 Resources

27813 Resources

1171 Resources 3731 Mashups

> 50.000 Widgets

475 Resources, 47 Widgets 107 Mashups

Active

2002 – today

2006 – today

2005 – today

2006 – today

2008 – today

Description

Traditional intermediary (heavy weight Web Services)

Web crawler, EU reserach project

Mashup intermediary

Consumer-oriented Mashup platform

Commercial Enterprise Mashup platform

General Information


Demonstration

Multi-Case Studies (Knowledge and Intentions Phase) Intermediary

StrikeIron

Seekda


iGoogle Gadgets

IBM Mashup Center

Component description

Name, description, features, benefits, price conditions

Name, provider, user ratings, tags, availability

Name, provider, tags, ratings, data added, licensing

Name, provider, widget preview, popularity, rating

Name, provider, popularity, version, rating

Aggregation of collegected information about compponent‘s quality

Monitoring of performance and uptime

Extensive analysis of the availability (i.e., response time)

-

-

Popularity

Browsing/ discovery of the catalogue

Free text search, sort by categories

Free text search, most used, recently found services, providers by country, tag cloud

Free text search, sort by categories, newest, most popular, API scorecard, Mashup matrix, tag clould

Free text search, sort by categories, hottest, most users, newest

Free text search sort, by categories, top ratings, most popular, tag cloud

Certification

-

-

-

-

-

Components Annotations

-

Tagging, ratting, reviewing

Tagging, rating, reviewing

Tagging, rating, reviewing, sharing (Google contacts)

Tagging, rating, reviewing

Publication of Mashup components

-

Online form to add resources (URL) for the crawling engine

Online form and API to add a resource or Mashup

Adding of new widgets/ feeds (URL)

Provider is able to specify the permission of a component

Promotion of components

-

-

-

-

-

Knowledge Phase

Intentions Phase

Please find the details in the paper.


Demonstration

Multi-Case Studies (Contract and Settlement Phase) Intermediary

StrikeIron

Seekda


iGoogle Gadgets

IBM Mashup Center

Design and creation of an individual working environment/ application

Sample application allows tesing of a component

A Web Services invoker allows to test a Web Service,; a real design environment does not exist

-

Individual Mashup with several themes and so-called Google gadgets (widgets) can be added to the environment

It allows to create an individual Mashup by adding widgets from the catalogue.

Composition of mashable components

-

-

-

-

Widgets can be wired, resources can be piped with each others.

Composition matching

-

-

-

-

-

Monitoring the consumption of mashable components and consumer behavior

-

Long term database monitors the availability of the Web Services.

The popularity of APIs is documented indirectly.

Popularity based on the consumer consumption is documented

Popularity based on the consumer consumption is documented.

Billing usage of mashable components

Commercial agreements and sales conditions

-

-

-

-

Management of the payment

Online subscription with credit card payment

-

-

-

-

Contract (Design) Phase

Settlement Phase


Demonstration

Generic Business Model Types

1

Definition

Business Model Concept


Directory

3

Broker

Marketplace

Business Model ProgrammableWeb IBM Mashup Center

Programmable Web.Com

IBM Mashup Center

Seekda

Seekda


StrikeIron

StrikeIron

Instance Level

2 Business Model Types

Conceptual Level


Framework What features are supported by an Mashup intermediary?


Instances (view of an Mashup intermediary)

Modelled instances

Real world intermediaries

Agenda

1. 2. 3. 4. 5. 6.



Conclusion and Outlook

Interaction Phase Model for classifying Business Model Types for Enterprise Mashup Intermediaries Three generic Business Model Types (Directory, Broker, Marketplace) Contribution to the Knowledge Base according to the three cycles of design science research as proposed by Hevner Scientific: Interaction Phase Model as an artefact Practice: Guideline for designing Enterprise Mashups environments (Platform as a Service, PaaS)


Future Work

Enterprise Mashup Platform as a Marketplace

1

Definition

Business Model Concept


Directory

3

Broker

Marketplace

Business Model ProgrammableWeb IBM Mashup Center

Programmable Web.Com

IBM Mashup Center

Seekda

Seekda


RoofTop

RoofTop

Instance Level

2 Business Model Types

Conceptual Level


Framework What features are supported by an Mashup intermediary?


Instances (view of an Mashup intermediary)

Modelled instances

Real world intermediaries

Future Work

SAP Research RoofTop Marketplace Prototype

Knowledge Intentions Contract (Design) Settlement


Thank you! Contact Volker Hoyer =mcminstitute, University of St. Gallen and SAP Research Center St. Gallen Blumenbergplatz 9 9000 St. Gallen Switzerland http://www.mcm.unisg.ch, http://www.sap.com/research

[email protected], [email protected]

© SAP 2008 /Enterprise Mashups: Design Principles towards the Long Tail of User Needs / Page 27

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