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Understand

Business Model Literacy

Understanding how an organization creates value, delivers it and earns enough to keep going.

What is Business Model Literacy?

Understanding how an organization creates value, delivers it and earns enough to keep going.

What you learn

Know how each design choice changes revenue or cost.

When it helps

you don’t know how the business makes money, or your design proposals lack support.

Use it at work

  1. Draw how money comes in and goes out.
  2. Mark where your product sits in that flow.
  3. For each proposal, write what it changes in revenue or cost.
  4. Check whose interests the change helps or hurts.

Your output

Draw how money flows through your product. For your next proposal, mark what it changes in revenue or cost.

Watch for

Proposing designs without knowing their business effects.

Related practices

Sources

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