MGMT20143 Think Big (Business Model Generation) Report 1 Sample

MGMT 20143 Think Big (Business Model Generation) Report 1

This is an individual assessment. The organisation you are expected to analyse is Airtasker ( https://www.airtasker.com/au/about/ ). You are required to prepare a business report that deconstructs a business model of the assigned organization.

Objective of Assessment 1

1. Develop, through independent research, an advanced and integrated understanding of the key concepts of innovation, business models, and new ventures in commercial, digital, service, and social contexts.

2. Critically analyse cases of disruptive innovation by applying lean entrepreneurship principles.

3. Critically discuss and reflect on the technical, financial, and organisational constraints for innovative new ventures.
Task description

• You are required to prepare a business report that deconstructs a business model of an organisation (given on Moodle under assessment 1) and identifies the critical success factors that make the business sustainable.

• Your analysis will demonstrate your critical thinking skills and ability to articulate your findings professionally.

• Use the Business Model Canvas proposed by Osterwalder & Pigneur (2010) - https://assets.strategyzer.com/assets/resources/busines s-model-generation-book-preview- 2010.pdf • Copy of the Business Model Canvas template is given on Moodle under assessment 1

• An assessment exemplar is also given on Moodle.

• To achieve a result that meets your study objectives, please ensure the business report addresses each of the assessment criteria given on the next slide, which are included in the marking rubric. Marking criteria

1. Provide a succinct description of the business, the industry in which it operates, the markets and or markets it serves and the products and or services it provides (10%).

2. Deconstruct the business model of the selected business using the nine building blocks in Osterwalder & Pigneur (2010) 's business model canvas (30%).

3. Explain the key interrelationships that exist across the nine building blocks (30%).

4. Identify and discuss the critical success factors the business has to get right to achieve sustainable success.

5. Quality of written submission and APA referencing format. A minimum of 6 relevant peer- reviewed academic journals having discussion sufficiently linked with literature along with nonacademic references (websites/databases/news etc.) used to gather information on the company (10%).

Solution

Introduction

Business model in the era of globalisation can be defined as drafting a model that supplements the function able approach in projection of services to larger audience driving high revenue generation. Air Tasker a public limited company that conspires to function in community based services and outsourcing work for Australian companies. As per the MBA Assignment Expert overview, the organisation was founded in year 2012 and has been growing with high urge of labour demand in current market place. Business model evaluation of the organisation will be presented in the above report. The first section will highlight the functioning of Air tasker and its attributes impacts in Australian industry. The business model canvas in context with external and internal stakeholder’s evaluation will be elevated in second section of report. Further, relationship between the nine blocks of canvas will be presented in the report. The last section of report will incur the identification of all types of critical success factor for air tasker in order to achieve goals in given frame of time.

Succinct description of the business

The global outsourcing business has a net worth of 261.9 billion dollars for year 2022, with a growth of 9.4% from year 2023 till 2030 (Smith & Krivacek, 2019). Air tasker is a company that has been furnishing the norms of outsourcing businesses Australian industry from year 2012 (airtasker.com, 2023). The attributing factors like budget, task required, time frame and community based bid are generated by Air tasker and the work is sourced for all types of national and international organisation by the brand. The organisation has 17 number of employees, 2,000,000 number of users and serves in areas like Australia, UK, Singapore, Unite States, New Zealand and Ireland with its services. Additionally, the organisation has high customer base due to its high product diversification in provision of outsourcing of many types of services on one platform.

Figure 1 achievements by Air tasker
(source: airtasker.com, 2023)

Fee based services is governed by organisation in order to govern revenues and profits from any type of customer. Air tasker is basically locally owned public service company that aids in provision of services for customers in outsourcing functions and eras accountable profit margins through commissions (airtasker.com, 2023).

Business model canvas

Business model canvas is a type systematic tabulated tool that aids in understanding the functions of business in context with stakeholders and values (Osterwalder, & Euchner, 2019). According to Sort & Nielsen, (2018) The business model canvas is a useful tool for honing down on the individual components that make up a business model and for seeing how they all fit together. Air Tasker’s business model canvas has been presented below:

With reference to Daou et al., (2020) The tool's adaptability to the unique circumstances of each organisation makes it useful for stimulating fresh ideas on sustainability and the circular economy.

The key interrelationships that exist across the nine building blocks
Values of Air tasker is to govern community based services in which product diversification plays a vital role (Osterwalder et al., 2019). The outsourcing of services is required by all industries and to cover larger pace of market the organisation must govern many types of services.

Figure 2 high product diversification by brand
(source: airtasker.com, 2023)

This type of diversification aids in governance of higher pace of customer audience drafting accountable revenues. It can be analysed from business model can be analysed that digital presence of organisation in terms of current time is not up to the mark. The lesser digital presence can govern delays in communication (Fielt, 2013). Additionally, brand has only two to three partners in counting which does not give it a pump to have larger customer base. Most of the time, the website is loaded with very high traffic and this does not govern customers with frictionless online experience (Chungyalpa, 2022).

Additionally, the organisation has very good core values and intends to function with goodwill in market place. The resources that is 175 employees are trained in order to draft positive activities for Air tasker. This also helps in connecting with more customers that help in better sales of the company. The business uses a differentiation approach to meet the needs of its diverse clientele. After doing comprehensive market research, they redesign current items to better suit customer needs.
According to Todorova, (2015) customer target of audience and its communication methods align with one another which help Air tasker in consolidated customer base. The key areas where in organisation needs to have more work on are digital services, service innovation and more streams of revenue collection.

Identify and discuss the critical success factors the business has to get right to achieve sustainable success

Air Tasker is an organisation that might be cultivating from very long time but in current era the AI and new tech based functions intend to trigger the dimension of growth of organisation. Hence apprehended changes in digital streams and revenue collection streams need to applied by organisation in strategic manner (De Medeiros et al., 2014). Additionally, in comparison to fixed cost and variable cost the revenue stream by brand is only based on one type of function. From year 2012 till 2023 the commission based services market place gained high utility but issues in future can be seen. Despite the fact that private initiatives have the potential to address regulatory gaps and promote forward momentum, these activities should not be seen as a replacement for complete state regulation.

With a focus on reducing manufacturing costs and expanding the company's network of distributors, the company employs cutting-edge technology for effective supply chain management (Forsyth, 2020). Successful operation of the company depends on meeting the needs of a big number of customers with varying tastes. Gig economy can be drafted as new best opportunity by the Air Tasker in order to govern good growth.

As per Aguado et al., (2013) the corporation uses a technique called lean production to keep output under control. The fundamental goal of this approach is to minimise waste generated during production so that resources are used effectively and economically (Enholm et al., 2022). Air tasker grasp on quality management in place, a company can better meet the challenges of its rivals and ensure its own survival in the long run. The success of the procedure depends on the competence and diligence of the operation's management.

Figure 3 growth of gig economy in world
(source: statista.com 2023)

Sustainable growth methods and strategies that have higher scope can be understood by data analysis. Additionally, AI based functions can be drafted by Air tasker as well in order to govern good marketing and communication with customers. By exceeding expectations in both product quality and customer service, the team successfully executed on the differentiating plan. The feasibility of strategic choices was tested over the simulation using a wide range of methods and performance activities (Forsyth, 2020).

Conclusion

The above report concludes that Air tasker needs to up lift its innovation strands and function out more revenue streams in order to encourage good development and growth of organisation. The above report represents the business model canvas of Air Tasker and its nine block evaluation is presented in the above report. The issues in current functioning with factors that can be touched in order to govern sustainable growth has been presented in the above report.

References

Chungyalpa, W. (2022). DEVELOPING BUSINESS MODELS USING THE BUSINESS MODEL CANVAS (BMC) BASED ON DEPENDENCIES AND INTERCONNECTIONS. Galaxy International Interdisciplinary Research Journal, 10(5), 103-112.

Enholm, I. M., Papagiannidis, E., Mikalef, P., & Krogstie, J. (2022). Artificial intelligence and business value: A literature review. Information Systems Frontiers, 24(5), 1709-1734.

Forsyth, A. (2020). Collectivising the gig economy in Australia. International Union Rights, 27(3), 18-28.

Forsyth, A. (2020). Playing catch-up but falling short: Regulating work in the gig economy in Australia. King's Law Journal, 31(2), 287-300.

Osterwalder, A., & Euchner, J. (2019). Business model innovation: An interview with Alex Osterwalder. Research-Technology Management, 62(4), 12-18.

Osterwalder, A., Pigneur, Y., Smith, A., & Etiemble, F. (2020). The invincible company: how to constantly reinvent your organization with inspiration from the world's best business models (Vol. 4). John Wiley & Sons.

Smith, A. D., & Krivacek, S. (2019). Making the case for Global outsourcing: Cases of business complexities and success.
Online Company analysis 2023 [accessed through] [online] https://www.airtasker.com/au/about/ [accessed through 3rd August 2023]

growth of gig economy in world 2023 [accessed through] [online] https://www.statista.com/statistics/1034564/gig-economy-projected-gross-volume/ [accessed through 3rd August 2023]
Appendix

Sort, J. C., & Nielsen, C. (2018). Using the business model canvas to improve investment processes. Journal of Research in Marketing and Entrepreneurship, 20(1), 10-33. https://vbn.aau.dk/ws/files/311111263/Accepted_author_manuscript_Jesper_Sort.pdf

Daou, A., Mallat, C., Chammas, G., Cerantola, N., Kayed, S., & Saliba, N. A. (2020). The Ecocanvas as a business model canvas for a circular economy. Journal of Cleaner Production, 258, 120938.

Fielt, E. (2013). Conceptualising business models: Definitions, frameworks and classifications. Journal of business models, 1(1), 85-105. https://eprints.qut.edu.au/75316/30/75316.pdf

Todorova, G. (2015). Marketing communication mix. Trakia Journal of sciences, 13(1), 368-374. http://www.uni-sz.bg/tsj/Vol.%2013,%202015,%20Suppl.%201,%20Series%20Social%20Sciences/SF/SF/Predpriem.%20i%20biznes/G.Todorova.pdf

De Medeiros, J. F., Ribeiro, J. L. D., & Cortimiglia, M. N. (2014). Success factors for environmentally sustainable product innovation: a systematic literature review. Journal of cleaner production, 65, 76-86. https://www.academia.edu/download/49475461/Success_factors_for_environmentally_sust20161009-19274-1mygqn9.pdf

Aguado, S., Alvarez, R., & Domingo, R. (2013). Model of efficient and sustainable improvements in a lean production system through processes of environmental innovation. Journal of Cleaner Production, 47, 141-148. https://www.sciencedirect.com/science/article/pii/S0959652612006427