Sustainability _ Business Models

Sustainability & Business Models Gill Joy – ESYS plc Oscar Struijve – Education for Change Sustainability & Business Models  Introduction  Findings from ESYS and EFC studies  Models  Q&A and Discussion  Participants‟ examples of useful models Sustainability & Business Models Sustainability Study: Common Services and Digital Infrastructure ESYS plc PortAhead Sustainability Study: Portals Education for Change Ltd University of Wales Institute Cardiff Overview of ESYS study IESR/ JOIN-UP DIGITAL ENVIRONMENT •Fit with wider IE •Likely take-up Wider IE issues Emerging Framework issues Outputs & benefits Stakeholders & linkages Activities & roles •Project > service transition •Impact of new roles Service assessments Recommendations for projects Recommendations for wider communities Sustainability models Sustainability – key issues External dynamics Roles, structures, processes Creating value Criteria for sustainability Routes to sustainability External dynamics •Trends and dynamics of funding modalities •Timescale set for funding programme strategic goals •Breadth of markets to be addressed •Changing external standards •Market entry strategies of a range of commercial players •Decisions by major players (eg BL, OCLC etc) Criteria - Primary Competitiveness - Adds value - Cost effective - Ease of access - Simple use/concept - Consistent quality Availability Reliability Scalability Affordability Visibility Open standards Institutional acceptance Criteria - Secondary Factors such as: Innovation Knowledge transfer Impacts on working practices Staff training Embedding Organisational impacts Roles, Structures, Processes - PROJECTS PROCESSES •Embedding in other IE and JISC services needs support •Influencing commercial players is a barrier •No funding for scaling up or technology shift ROLES •Business/commercial skills •Understanding of “service readiness” •Few entrepreneurial leaders STRUCTURES •Projects (and institutions?) not geared to service delivery •Ownership and risk issues not clear at project level Roles, Structures, Processes - JISC PROCESSES •No overall business/technology management process •Need to manage expectations of sustainability •Earlier engagement with commercial sector •Support to projects for sustainability planning STRUCTURES ROLES •JISC cannot mandate use of ICT services • JISC is not a business • No technology investment/business group •No structure to manage project:service transition • Tension between R&D role and supporting services •Need market/business roles in development groups Routes to sustainability Interesting project but no continuation of funding •Outputs used as training tool •Outputs exploited internally by partner institutions •By-products continue to be used / are further developed •Work leads to follow-on project under separate funding Routes to sustainability Catalytic effect – project outcomes influence other JISC developments •Help make more informed specifications for other products/services •Contribution to open source solution Routes to sustainability Elements of project IPR exploited •Software supported but not available as full product or service •Publications, surveys •Methodologies formalised and further developed •Early standards formulation Routes to sustainability Project becomes a fully funded JISC Service •New service in own right •Additional component for existing JISC service Routes to sustainability Project becomes self-supporting service •Public/private funding mix •Fully commercial •Core elements free and premium elements paying Routes to sustainability: a question … What is it then, that JISC should try to put on the route(s) to sustainability? •Grounding in user / stakeholder needs •Portfolio mapping / gapping: feasibility studies and risk assessment •Cost/benefit analysis •Articulate expectations => where is the road supposed to „end‟ for specific activities? Models to support JISC planning •JISC Technology/Business planning •JISC products/services portfolio • Engagement Adoption and Sustainability •Project assessment model •Classic business model Technology & investment planning NEEDS JISC Strategy Technology Strategy Service Development Strategy MARKET Maintain current services/systems Undertake R&D project Leave to marketplace Adapt current services/systems Develop new service/system Investment plan – Technology implementation plan – Business models Service level agreement Service Dev fund Development Programme Procurement (int or ext) High JISC product/service portfolio JISC Service fully funded Self sustaining service Embedding in IE Low Fully funded pilot/demo JISC endorsed service High Critical mass of users High JISC product/service portfolio IESR Embedding in IE Low BALSA X-Grain Open URL Router Zetoc Docusend High Critical mass of users High JISC product/service portfolio IESR Include commercial targets Embedding in IE Low Embed in portals BALSA X-Grain Open URL Router Zetoc Docusend Increase user base High Critical mass of users Engagement Adoption and Sustainability From: Intro to Sustainable Portals - GUIDELINES FOR PORTAL PLANNING http://docs.communitye.net/engage_adopt_sustain/guidelines_html From idea to sustained provision … Research Learning and teaching Administration Knowledge transfer Other contexts From: Intro to Sustainable Portals - THE BUILDING BLOCKS TO SUSTAINABILITY http://docs.communitye.net/engage_adopt_sustain/building_blocks_html Project sustainability assessment Project sustainability assessment Cost to scaleup Leverages other JISC investments Competitive advantage Market demand Classic business model Business model •Market •Value proposition •Value chain •Cost and profit Technical inputs: •feasibility •performance Economic outputs: •value •price •profit •Value network •Competitive strategy Method of doing business by which a company sustains itself – that is, generates revenue Discussion topics Needs analysis and business case development How to scope and develop the business case for projects and services - two aspects in particular:  do participants believe that the activities funded / explored in these areas address HE/FE needs?; how is / can this be ensured?  is the current system of JISC calls and community responses seen as a good and transparent way of focussing development effort in the areas of portals and Common Services and Digital Infrastructure? Alternatives / refinements possible? Discussion topics Need for new JISC processes and funding mechanisms  What new JISC processes, organisational structures and funding mechanisms are needed to manage sustainability and expectations throughout the programme/project lifecycle?