Modeling Your Business Structure in the Most Cohesive Way

World Business Garden Towers

For lean startup companies, founders usually have difficulties structuring their business model. They try making their structures while forgetting many important elements. Over time they continually renew their construction only to see little to no improvement. Thankfully, Business Model Canvas was developed. It has helped many startup entrepreneurs structure their first business models in an organized manner.

Business Model Canvas or B.M.C. is a management and startup template for creating new business models. With the Business Model Canvas, it becomes possible to assemble a very detailed version of your company vision, with its nine key elements that represent the complete model of your business.

These key elements are the customer segments, channels, value propositions, customer relationships, key activities, key resources, key partnerships, revenue streams, and cost structure.

B.M.C. Nine Elements

  1. Customer Segments is who your customers are and what problems does your product solve.
  2. Value Propositions is the product or service, its features, benefits, and advantages versus competition. It also defines the size of the market opportunity and the minimum viable product or MVP that illustrates your product quickly to obtain feedback from customers right away.
  3. Channels are how you are to distribute and your-your product or service.
  4. Customer relationships. This is about how you create customer demand.
  5. Revenue streams. This is the profit and revenue sources and size.
  6. Key activities. These are the tasks the company should perform to succeed.
  7. Key resources. These are commodities, suppliers, and other elements necessary for the business.
  8. Key partnerships. These are the other enterprises can be-be essential for the success of your business.
  9. Cost structure. These are the variable and fixed costs necessary for your business to operate.

The Business Model CanvasFundamentally, Canvas delivers three things:

  • Focus – Getting rid of a hundred pages of ‘documents’ in a traditional business plan, users of BMC have improved their clarity and focus on the core of the business.
  • Flexibility – Business model canvas makes it easier to modify the model and try new things on something that you can see in just one page.
  • Transparency – The members of your team will have an easier time understanding the business model in your firm and become more likely to agree with your vision when it is presented in a single page.

With all these things in hand, you can then validate your vision with your possible “validators”, which are your potential customers. As these customers pan elements of your business model, you then iterate the design and modify it over time based on the feedback that you have received. The consistently updated business model becomes a record for monitoring the progress of your company.

In your lean startup company, using canvas is a very useful tool in creating your companies model. If it is your first time with canvas, printing it out or having it projected on a whiteboard is highly suggested. Once it is on your whiteboard or printed and hung up in the office, fill out the nine elements for your business and ask yourself what the most critical components and linkages of the model are. This will help you make the most out of this amazing new company based structure.

Whiteboard view of BMC Business Model

Different Levels of Business Management

Business degrees and careersBusiness is becoming increasingly global. Having a general business degree allows someone to be flexible when it comes to job finding. This type of degree covers a broad range of subjects in accounting, management, finance, sales, marketing, etc. Most of these different focuses can qualify the person for many entry-level positions.

Here are some careers to consider if you’re a graduate of general business.

Financial Business Planner

Many business owners and clients hire people to assist them with financial decisions such as investments, taxes, and insurance.

No specific degree is specifically needed for this position. However, it is common to hire business and finance graduates for this particular career.

A master’s degree in Business Administration will qualify candidates for managerial positions in bigger corporations.

Budget Analyst

Budget analysts keep track of the organizational spending and prepare reports of the financial status of an institution. A bachelor’s degree is required for this at an entry-level position, but some companies often prefer a graduate degree holder. Entry-level employees are often in a year-long training for them to learn the corporate system and budgeting processes for a complete cycle.

Success in business

Management Analyst

According to a Yahoo! survey, management consultation is one of the highest paying jobs in the business market. Consultants are often tasked to guide managers in profitability and efficiency in the workplace.

A bachelor’s degree in any business related focus is often required for this entry-level position. Higher positions may require a graduate’s or master’s degree. According to the Bureau of Labor Statistics, there is about 28 percent of management analysts that had graduate degrees as of 2010. This job is attractive because of the many problems that are encountered by managers when it comes to employee productivity and company profitability.

Sales Manager

Sales managers are tasked with the training and organization of sales teams, analyzing statistics, and forecasting sales goals. They play a significant role in sales and distribution companies. At entry-level positions, a bachelor’s degree is often required, but a graduate’s degree is preferred for advancements.

Other degrees for this position may include business law, economics, management, or marketing. Employers often prefer hiring people who have at least a year of experience in the field.

Management levels of businessMarketing Manager

Marketing plays a significant role in the business world. A marketing manager is in charge of commercialization of products and services that are offered by the company. They need to be outgoing, aggressive and spontaneous in nature to encourage creative ideas in marketing. Competition is fierce, so creativity is an excellent quality required for this position.

Account Manager

The role of the accounting manager is to oversee and develop the system for faster and efficient financial reporting. Accounting managers also execute accounting for human resource objectives such as hiring, selecting and orienting, achieving operational goals, meeting accounting objectives, monitoring the company’s financial status, maintains accounting controls and financial security, and building lasting relationships with the company’s clients. A bachelor’s degree in business with a major in accounting is a requirement at an entry-level position.

There are many job opportunities in business, especially management. Careful career planning and acquiring relevant skills or certificates needed will increase your chances of getting hired.