Starting Point
A mid-size mechanical engineering company with approximately 850 employees was under increasing pressure: price competition, interchangeable products, and no strategically sharpened business model. Innovation happened incrementally in the product, not in the business model. Competition was intensifying while margins eroded.
Challenge
- Growing price pressure alongside rising development costs
- Stagnating growth despite strong product quality
- No clearly defined value proposition against emerging competitors
Objective
- Make the current business model visible and comprehensible
- Open new innovation pathways and develop concrete hypotheses
- Create a strategic foundation for growth and differentiation
Approach
- 2-day business model innovation workshop with a cross-functional team
- Visualization of the current business model using the Business Model Canvas
- Assessment of the existing business model’s strengths and weaknesses
- Environmental analysis to identify external drivers and opportunities
- Development and discussion of three innovative business model patterns
Outcome
- Shared understanding of the current and future business model
- Clarity on differentiators and new customer segments
- Initial platform model concept developed and tested against assumptions
- Strategic follow-up process with prototyping and pilot customers initiated
“For the first time, we see our business from the customer’s perspective — that changes everything.” — CEO, Workshop Participant (paraphrased)
Anonymized and condensed: to protect clients, details have been changed and experiences from several engagements combined or split across cases. Quotes are paraphrased.