The roles and levels of work that you need in your company depend on your business model sitting on your business platform.
- S-V – Industry platform, where our enterprise competes using industry standard practices.
- S-IV – Market platform, where our multiple systems integrate with market systems.
- S-III – Single serial system platform, where we see the introduction of warranties as a competitive edge.
- S-II – Process implementation platform (of someone else’s system, like a franchisee).
- S-I – Product or service platform, where it’s all about the product.
Yesterday, we looked at a product or service platform. When it’s all about the product, how many roles and how many people do you need? For Bob’s Burgers, all you need is Bob. Can you make money on this platform? Yes. Just not very much. The product or service platform will always struggle with revenue.
In fact, as a competitor, how can you beat Bob? Assuming Bob has the best burger going, how do you beat Bob? You get more trucks than Bob. Actually, Bob read my column before today, he is already going there. In this video, Bob moves from a product platform to a process platform. It is no longer about the burger, now, it’s all about the number of trucks. More trucks, more revenue. But, the video also shows more trucks, more overheard. Where the product platform struggles with revenue, the process platform struggles with profitability.
Everyone always says, “I want to take my company to the next level.”
Most have no clue. Business platforms help you understand your business model, where it succeeds, its problems and what the next level looks like. (Yes, I have a 3-hour in-person program on business platforms.)
Next, the system platform.