1A BUSINESS MODEL ARCHITECTURE: OBSERVATION PROBLEMS AND SOLUTIONS IN MODELLING BUSINESSES AND THEIR NETWORKS

This study uses the Hierarchy Theory concepts of criteria, grain and extent, together with the concept of mutual value exchange, to construct an architectural model of the relationship between any two members of a network. These dyadic architectures can be assembled into a business model architecture that can be used to analyse the ‘health ’ of the network, to support management or automation and to predict sustainability. This business model architecture theoretically develops the business model literature and the linked area of business process modelling and it produces a practical insight into the developing area of orchestrating networked businesses. An analysis of a network of organisations that produce Information, Advice and Guidance services for job seekers is used to illustrate the use of the model. The analysis produces theoretical implications about the relationship between modeller, model and subject as well as practical management implications for the manager as modeller and contrasting inter-organisational perspectives