Exploring how the intangible side of an organization impacts its business model

Abstract

Purpose Information technology/software (IT/SW) professionals use the business model canvas (BMC) to identify innovative digital solutions that improve their client’s business values. This paper aims to address the issue of considering, for a client company, the status of its intangible assets (IAs) in decision-making on the most innovative digital solution. Design/methodology/approach This paper provides a method (BMCIA-method) and a simulation tool (BMCIA-NetSim) to help IT/SW professionals identify and assess an organization’s IAs and their impact on the BMC of digital business. Findings IT/SW professionals used this approach, at 14 small and medium-sized enterprises (SMEs), to identify innovative solutions and add digital value to their businesses. They used the BMCIA to provide their clients (SME’s chief executive officer or chief operating officer) with a view of the BMC enhanced with the status of IAs. These expressed interest in the use of the BMCIA and underscore its importance for making better decisions while aligning IT and the business. A survey reveals how well the BMCIA-method performed during its use to discover the best solution to be developed at each SME. Research limitations/implications IAs affect the achievement of the business goal targeted using the BMC. If these are not identified, valued and properly aligned with the BMC blocks, critical information is hidden from the eyes of IT/SW professionals and their clients, preventing optimal decision-making on which is the best IT/SW solution to be implemented to add digital value to the client company. Originality/value This proposal is unique insofar as it outlines a simulation-based methodological and technical solution using software agents to simulate the impact of the intangible side of an organization on its business model.