The 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 a set of self-reflection 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.
The importance of acquiring knowledge is highlighted in the workbook, such as the difference between value-in-exchange and value-in-use. By incorporating the mindset that should arise from understanding value-in-use, organisations will exploit more naturally the potential opportunities of service-oriented business. The workbook continues with a detailed description of the concept of value propositions.
Building on the background information on value propositions, the workbook presents a customer-oriented categorisation of value propositions, which suppliers can use to asses what are they currently proposing to their customer. These four value propositions are: Asset-Centric, Recovery Provision, Availability Maximisation and Outcome-Based.
The Asset-Centric VP's focus on the sale of equipment through transactions, with little influence on customer’s usage of equipment.