It is important to recognise how a platform business model differs from a traditional linear business model to understand the value of a platform business as Platform business models have transformed the way businesses are conceptualized and conducted to inculcate digital transformation.

Whilst:

• a traditional linear business model creates value by selling products down the supply chain,
• the platform business model brings together a community of users (two or more groups of users) by providing a common platform for transactions and interactions between the members of such groups.

Let’s look at a few key aspects to adopt the Platform Business Model which implies adapting the digital transformation and hence technological advancements. Platform Business Models

a) Assists in building a Customized Platform using Agile Methodology:

Whether revamping an existing technology platform or aiming to build a platform business model there needs to be a well-diversified strategy in place involving the key players within the model. The cornerstone is to have a legal framework pertaining to the Platform business model in order to protect itself. Two such associated risks are related to

• intellectual property &
• data protection

A Compliance Strategy with Smart Risk Management Procedures in place meeting the varied regulatory requirements across the globe as a part of the overall strategy for the Platform Business Model will ensure its success.

b) Dynamic Business Opportunities:

There are several successful variants of platform business models adopted by various organizations across the globe such as

• online marketplaces,
• social networks,
• sharing economy,
• payment systems etc.

as the platform model is a dynamic business model that scales quickly and grabs a bigger market share by enabling interactions and collaborations across a large number of participants as a part of the ecosystem.

Two key aspects where platform business models have a significant edge over their predecessors are:

• having favourable reduced cost structures (close to zero marginal costs) and
• creating greater value through network effects (value addition by the increase in the number of users)

This further assists in addressing the interdependency of demand between the different platform user groups as a part of the Platform Business Model Ecosystem.

c) Ensure Data Protection:

Making use of data within legal boundaries is always crucial despite having loads of data.

Because of network effects, data is even more of a compelling and complex challenge to handle, as a part of the Platform Business Model. Hence, there is an intrinsic need or requirement for platform businesses to ensure compliance procedures with applicable data protection and security regulations in place stringently without posing a financial risk and hence an operational risk and a regulatory risk.

Continual Vigilance is important when platform business is made operational, as IP issues and data protection obligations persist.

d) Maintain Data Privacy by safeguarding Intellectual Property:

IP is the most valuable asset for any business model and it is even more significant in the platform business model is digital in nature. Therefore it is important to clearly define the IP assets and have insights on the rights involved as clearly defined procedures entail identifying:

• the nature of the use of the IP assets,
• accessing the IP protection and
• protecting it by solid contractual agreements

As mentioned, having a sophisticated and effective IP strategy in place as a part of the platform economy will avoid financial and operational risks due to IP right infringements or imitations, brand damage and dilution of rights.

Conclusion:

In order to remain successful, Collaboration with a trusted partner who understands the platform economy business and its (legal) implications is key to preparing, supporting and navigating the several hurdles for sustainable growth and protection of business as

• Platform business model differs from a traditional linear model by providing a common platform of transactions and interactions between communities of users, within the ecosystem and across multiple platforms.
• Key elements where platform business models have a significant edge over traditional business models are favourable cost structures and the creation of greater value through network effects which are the core constituents of the platform business model.
• Two essential risks associated with building a platform model, are related to intellectual property (IP) and data protection and need to be addressed as a part of the overall strategy for a platform business model.
• Varying regulatory requirements of both IP and data protection in countries across the globe necessitate having an adequate compliance strategy and using a smart risk management approach from the beginning when the conceptualization of building a platform business model is made.

Learning a design & validation framework for leading Intrapreneurs to create their own platform and fine-tune a sustainable business model around it paves a way for how to launch and monetise digital marketplaces.

Arriving at a prototype approach in building the platform with a roadmap with step-by-step actions to validate platform ideas and test them repeatedly to arrive at actionable tools and techniques to evolve needs to be in place to succeed and prosper.

The organization benefits from digital transformation and the many opportunities it offers for timely communication and exchange.

As a part of digital transformation and being technology innovators making use of learning experience platforms at mPowerO, we are well versed in understanding traditional business models across industries that can be reshaped into platform business models to facilitate accelerated growth, in order to adapt to digital innovation.

Our aim is to facilitate in co-developing the business platform concept together with our clients while we help structure the technology framework that will enable the digital platform to go live in the shortest possible time, hence providing an end-to-end solution that encompasses business and technology, making mPowerO a pioneer and a one-stop shop for our clients’ platform transformation journey.

The digital revolution has brought new network-based value chains and “coopetitive” business models. Traditional, linear value chains with their competitive business models – otherwise known as product-based business models – are striving to/have been replaced by platform-based business models as platform-based businesses are winning & hence thriving with more enhanced visibility and profits.

As the transformation to digitalization continues to evolve, now are exciting times for businesses who want the opportunity to get us there collectively through the implementation of SDGs and allowing us to guide platform privacy, security, and ethical standards.

The platform revolution has opened up myriad new opportunities/challenges in meeting global sustainability goals.

An LXP such as mPowerO, can help you in an end-to-end training development solution, from identifying the right skills to building them while providing an impactful learning experience, across various verticals & industry sectors, for organizations, in order to achieve sustainable growth.

For instance, as the distributed workforce does not have time to learn, they need an OJT platform that is mobile-friendly as they are always on the go, to remain on par with the competition and technological evolution.

Upskilling the Frontline workforce with Learning Experiential Platforms (LXP) driven by the latest advanced technologies is crucial to get the most out of this valuable resource. Creating a culture of continuous, interactive learning/training through on-the-job training for the frontline staff via m-Learning with the LXP tool from mPowerO, a frontline workforce enablement solution can help train the frontline and take them to the desired next level, to achieve desired goals.

mPowerO platform can assist in managing the complete lifecycle of a frontline, from onboarding to moving them up the career ladder by empowering them with the right skills and knowledge, with improved performance.

OJT with the right mix of the latest technology via an automated skilling platform creates uninterrupted learning/training and seamlessness in a hybrid work model/environment, thus promoting impactful learning experiences.

An LXP can be a definitive helping hand in providing impactful personalized learning/training experiences in order for the employees to be successful and also the organization.

An LXP powered by the latest AI could further keep up the Frontline workforce up-to-date through micro-learning content merged with AI content recommendations along with an advanced data analytics platform to showcase the outcomes for better learning/training outcomes and learning/training experiences.

For upskilling Your Frontline workforce, mPowerO provides continuous support and is an end-to-end offering to Online Learning Platforms/Solutions, Digital Publishing Solutions, Upskilling/ReSkilling and Skilling training opportunities for medium to large companies.

mPowerO has evolved from being an Online Learning Solution (LMS) to serving as LXP in order to accommodate larger targeted audiences for educational/publishing and skilling requirements of various medium to large organizations/enterprises.

Talk to our expert team members for a deeper understanding and more related information.

Reach out via email at info@mpowero.com or visit us at https://www.mpowero.com/ for more information.

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