Performance Estimation of Networked Business Models: Case Study on a Finnish eHealth Service Project

Journal of Business Models (2014), Vol. 2, No. 1 pp. 71-88

18 Pages Posted: 27 Feb 2015

See all articles by Marikka Heikkilä

Marikka Heikkilä

University of Turku - Centre for Collaborative Research

Sam Solaimani

Nyenrode Business University

Aki Soudunsaari

University of Jyväskylä

Mila Hakanen

University of Jyväskylä

Leni Kuivaniemi

University of Jyväskylä

Mari Suoranta

University of Jyväskylä

Date Written: 2014

Abstract

Purpose: The objective of this paper is to propose and demonstrate a framework for estimating performance of a networked business model.

Design/methodology/approach: Our approach is design science, utilising action research in studying a case of four independent firms in Health & Wellbeing sector aiming to jointly provide a new service for business and private customers. The duration of the research study is 3 years.

Findings: We propose that a balanced set of performance indicators can be defined by paying attention to all main components of the business model, enriched with measures of network collaboration. The results highlight the importance of measuring all main components of the business model and also the business network partners’ view on trust, contracts and fairness.

Research implications: This article contributes to the business model literature by combining business modeling with performance evaluation. The article points out that it is essential to create metrics that can be applied to evaluate and improve the business model blueprints, but it is also important to measure business collaboration aspects.

Practical implications: Companies have already adopted Business model canvas or similar business model frameworks and tools to innovate new business models. We suggest that companies continue their business model innovation work by agreeing on a set of performance metrics, building on the business model frameworks enriched with social measures of network collaboration.

Originality/value: This article contributes to the business model literature and praxis by combining business modeling with performance evaluation.

Keywords: Business Model, Business model innovation, Performance Metrics, Performance indicators, Business network, collaborative network

JEL Classification: M10, M40

Suggested Citation

Heikkilä, Marikka and Solaimani, Sam and Soudunsaari, Aki and Hakanen, Mila and Kuivaniemi, Leni and Suoranta, Mari, Performance Estimation of Networked Business Models: Case Study on a Finnish eHealth Service Project (2014). Journal of Business Models (2014), Vol. 2, No. 1 pp. 71-88, Available at SSRN: https://ssrn.com/abstract=2570044

Marikka Heikkilä (Contact Author)

University of Turku - Centre for Collaborative Research ( email )

Sam Solaimani

Nyenrode Business University ( email )

Straatweg 25
P.O. Box 130
Breukelen, 3620 AC
Netherlands

Aki Soudunsaari

University of Jyväskylä ( email )

Seminaarinkatu 30
Jyväskylä, 40100
Finland

Mila Hakanen

University of Jyväskylä ( email )

Seminaarinkatu 30
Jyväskylä, 40100
Finland

Leni Kuivaniemi

University of Jyväskylä ( email )

Seminaarinkatu 30
Jyväskylä, 40100
Finland

Mari Suoranta

University of Jyväskylä ( email )

Seminaarinkatu 30
Jyväskylä, 40100
Finland

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