This third workbook in the PROTEUS series helps the reader to assess, whether his/her company is ready - and indeed suitable - to transition from a traditional transactional orientation over to a long term, relational orientation, where a more holistic notion of value proposition becomes central to the innovation thinking inside the company.
Reader's guide to other workbooks - [Click to enlarge]
The workbook starts by presenting five themes for self-reflection: Market Dynamics, Business Models, Partnerships, Organisational Dynamics and Value Propositions. For each of them a description and self-reflecting questions are provided. All areas besides the Value Propositions are covered in one of the other workbooks, therefore an introduction to value propositions is presented.
In it is highlighted the importance to acquire knowledge such as the difference between value-in-exchange and value-in-use. By incorporating the mindset that derivates from understanding value-in-use, organisations will exploit more naturally the potential opportunities of service-oriented business. The book continues with a detailed description of the concept of value propositions, and its nuances.
Building on the background information on value propositions, the workbook presents a customer oriented categorisation of value propositions suppliers can use to asses what are they currently proposing to their customer. This four value propositions are: Asset-centric, Recovery Provision, Availability Maximisation and Outcome-based.
The Asset-Centric VP focus on the sale of equipment through transactions, with little influence on customer’s usage of equipment.