CIOs need to think about strategy, relationships and value exchange when considering digital ecosystems. Your dynamic business ecosystems may sometimes create partners from competitors, at least for a little while. When BMW and Toyota need to develop key technologies, such as batteries, they may join together and then later go on to compete in the marketplace. Apple, Fitbit and Garmin created an ecosystem focused on fitness and apps. In a less-competitive ecosystem, groups such as a government, charity and a community group might collaborate on health or public policy because each entity has a shared interest and goal. “Digital business drives dramatic changes in organizations’ business ecosystems, making them larger, more complex and essential to strategy,” says Betsy Burton, vice president and distinguished analyst. “CIOs and IT leaders must shift and expand their mindset and approach to focus on their organization’s strategy and execution within their business ecosystems from an outside-in perspective.”
ICT-enabled business solutions have created a possibility for automated business relations and transactions. Digital business ecosystems are becoming an increasingly popular concept for modeling and building distributed systems in heterogeneous, decentralized and open environments. However, traditional economic and computing theories do not focus on digital business ecosystems as a separate form of organization and they do not provide conceptual frameworks that can be used to explore digital business ecosystems. In this paper, we present a framework for exploring digital business ecosystems developed from Zachman’s enterprise architecture. This framework serves as a structure for exploring the value network and the enterprise as part of a digital business ecosystem.
For most companies today, the only truly sustainable advantage comes from out-innovating the competition.
This paper contributes to the business ecosystem literature by offering a classification model, allowing the differentiation of intercompany connections. The problem arose for the researchers that the definition of a business ecosystem lacks separation in the types of connection between companies. Business ecosystems are found to differentiate significantly, starting from loosely coupled to highly regulated and organised company relationships. Some may even result in newly founded business ventures. The authors are proposing a classification model for business ecosystems to allow further classifications in studies.
From Enterprise Architecture to Business Ecosystem Architecture: Stages and challenges for extending architectures beyond organizational boundaries
Today, Enterprises act in an increasingly interconnected world and in different kinds of collaborative networks. They are part of business ecosystems in which they interact with their customers, partners and competitors. The processes of analyzing and planning the intertwinement of business and IT architecture within enterprises has been successfully supported by enterprise architecture management (EAM) approaches. In this paper, we analyze four cases from different industries (health care, logistics, retail, and education) and argue that the intra-organizational concepts of enterprise architectures (EA) and EAM need to be extended to grasp the challenges of the enterprises’ interconnectedness. Beyond the known concepts of extended enterprise architecture and federated architectures, we define five stages of extended architectures. Additionally, we describe challenges and existing solutions, which are relevant for this extended perspective.
Businesses are moving beyond traditional industry silos and coalescing into richly networked ecosystems, creating new opportunities for innovation alongside new challenges for many incumbent enterprises.
Each year Gartner conducts the world’s largest CIO survey to track how senior IT leaders around the globe are balancing their strategic business, technical and management priorities. We then generate the annual Gartner CIO Agenda Report, which presents survey findings and case studies, plus expert analysis and insight — enabling CIOs to compare priorities and actions with global peers, and glimpse what the future may hold. This year’s survey includes the views of 2,598 CIOs across 93 countries, representing approximately $9.4 trillion in revenue/public-sector budgets and $292 billion in IT spending. Here are some key insights from the 2017 report
Business ecosystems are gaining more relevance both in research and in practice. The analysis of business ecosystems is thereby a data intense process. To better understand the current state-of-the-practice within enterprises addressing the analysis of business ecosystem we conducted an online survey asking participants about their division of labor, collection, documentation and processing of business ecosystem related data. 52 experts from mainly German based companies completed the questionnaire stating, inter alia, that the main data sources in use are internal company information sources and online search engines, and additionally that the time-consuming process of collecting and documenting business ecosystem related information is perceived as a major challenge in the context of business ecosystem analysis.
Today's marketplace is seeing radical changes in the way companies do business with one another. New partnerships and alliances are constantly being forged, the lines between industries have blurred, and it has become difficult to tell one business from another, and who's competing with whom. The Death of Competition helps managers make sense of this chaos. Using biological ecology as a metaphor, it reveals how today's business environment parallels the natural world, and how, just like organisms in nature, companies must coexist and coevolve within their own business ecosystems. Through numerous examples, he explains the radically new cooperative/competitive relationships like the one forged between IBM and Microsoft and provides a comprehensive framework businesses can use to enhance their own collaborations with their customers, suppliers, investors and communities.
Enterprises develop, produce, and distribute their products and services nowadays in complex and increasingly digital business ecosystems consisting of business partners, suppliers, competitors, start-ups, public institutions, and costumers. These business ecosystems exhibit a high dynamic: new actors enter and leave the ecosystem continuously. Thus, for enterprise business and IT strategy the knowledge about and active design of the business ecosystems are gaining more relevance. Various stakeholders within the enterprise need to collaborate to achieve a holistic understanding of the ecosystem, all with different requirements towards the ecosystem model. As visualizations have proven to support stakeholders in fulfilling their ecosystem related tasks, the aim of this research project is the modeling and visualizing of business ecosystems addressing the identified challenges.
Ecosystem-inspired enterprise modelling framework for collaborative and networked manufacturing systems
Rapid changes in the open manufacturing environment are imminent due to the increase of customer demand, global competition, and digital fusion. This has exponentially increased both complexity and uncertainty in the manufacturing landscape, creating serious challenges for competitive enterprises. For enterprises to remain competitive, analysing manufacturing activities and designing systems to address emergent needs, in a timely and efficient manner, is understood to be crucial. However, existing analysis and design approaches adopt a narrow diagnostic focus on either managerial or engineering aspects and neglect to consider the holistic complex behaviour of enterprises in a collaborative manufacturing network (CMN). It has been suggested that reflecting upon ecosystem theory may bring a better understanding of how to analyse the CMN. The research presented in this paper draws on a theoretical discussion with aim to demonstrate a facilitating approach to those analysis and design tasks. This approach was later operationalised using enterprise modelling (EM) techniques in a novel, developed framework that enhanced systematic analysis, design, and business-IT alignment. It is expected that this research view is opening a new field of investigation.
As the most enterprises are relying on relations to other enterprises, it is relevant to consider enterprise architecture for inter-organisational relations particularly those relations involving technology. This has been conceptualised as Extended Enterprise Architecture, and a systematic review of this discipline is the topic of this paper. This paper is taking a point of departure in general theories of business-to-business relationships along with inter-organisational information systems, interoperability and business ecosystems. The general theories are applied to the Extended Enterprise Architecture to emphasize paradoxes, problems and potentials in extending EA across organisational boundaries. The purpose of this paper is to review the concept of Extended Enterprise Architecture (EEA) theoretically and empirically to identify viability of Enterprise Architecture (EA) initiatives spanning across organisational boundaries. A case is presented of an enterprise engaging in technology-based business process integration that in turn is explicated as enterprise architecture initiatives with both more and less powerful partners. This paper underlines the necessity to be able to have EA spanning initiatives across multiple enterprises, but a range of problems is illuminated related to (lack of) precision, imbalance, heterogeneity, transformation, temporality, and (operational) maturity. The concept of EEA is seemingly vague, however this paper calls for a strengthen emphasis on redefining general architectural frameworks to embrace EEA in order to handle typical and modern forms of organisational designs relying on virtual and cross-company as cornerstones.
Digitization is causing a radical reordering of traditional industry boundaries. What will it take to play offense and defense in tomorrow’s ecosystems? Rakuten Ichiba is Japan’s single largest online retail marketplace. It also provides loyalty points and e-money usable at hundreds of thousands of stores, virtual and real. It issues credit cards to tens of millions of members. It offers financial products and services that range from mortgages to securities brokerage. And the company runs one of Japan’s largest online travel portals—plus an instant-messaging app, Viber, which has some 800 million users worldwide. Retailer? Financial company? Rakuten Ichiba is all that and more—just as Amazon and China’s Tencent are tough to categorize as the former engages in e-commerce, cloud-computing, logistics, and consumer electronics, while the latter provides services ranging from social media to gaming to finance and beyond.
The design of digital solutions has become a pressing concern for practitioners faced with a plethora of technology impacting their business. From cloud computing to social networks, mobile computing and big data, to the emerging of Internet of things, all of which are changing how enterprise products, services, rooms and buildings are connected to the wider ecosystem of networks and services. This book defines digital ecosystems with examples from real industry cases and explores how enterprise architecture is evolving to enable physical and virtual, social, and material object collaboration and experience. The key topics covered include: Concepts of digitization Types of technological ecosystems Architecting digital workspaces Principles of architecture design Examples architecting digital business models Examples of digital design patterns Methods of monetization
Geoffrey Moore follows up a request from the World Economic Forum for thoughts about the Digital Ecosystem, in preparation for framing the 2007 agenda at Davos.