The TOM Challenge: TOM Winners and Losers Assignment

December 09, 2015

Read The Full Prompt

The basic thesis of the TOM course is that company performance is driven by the alignment between the company’s business model and operating model. As defined in the “Introduction to the RC TOM Course” note, a business model is defined as how the firm creates and captures value, and an operating model refers to the processes that transform a firm’s assets (e.g., capital, labor, intellectual property, equipment, etc.) into valuable actions.

Please identify one organization in the global economy that you think is highly effective (or one that is highly ineffective) at driving alignment between its operating and business models

  1. Did you choose the company as an example of effectiveness or ineffectiveness? Why?
  2. Describe the company’s business and operating models. What is interesting about them?
  3. Do the models align and support each other?  How?  What specific features of the operating model are designed to create and sustain competitive advantage?  What features of the business model leverage unique capabilities of its operating model?  What are the implications for performance?

Submitted (929)

Rocket Internet – a copycat business model
Markus Maier
Last modified on December 4, 2015 at 6:48 pm
Rocket Internet created a business model of “stealing” business models and combining them with a hyper-effective operating model!
When BYD Meets Mercedes-Benz: a Joint-Venture in China
Yubo
Last modified on December 8, 2015 at 12:05 am
BDNT, a joint-venture between Daimler and BYD, faced unique challenges in launching the company and its electric vehicle and developed unique business model. But operating the business model may not be challenge-free.
To Infinity and Beyond
Roxy
Last modified on December 14, 2015 at 3:27 pm
Pixar, as a business, teaches us a lot about what is possible and that business models and processes can be vehicles for humans to move beyond possible.
The Milky Way: The evolving National Dairy Development Board of India
Tania
Last modified on December 9, 2015 at 10:21 pm
Milk in India India took over the European Union as the largest producer of milk [1} with over 138 million tonnes of milk produced in 2014[2]. With over 1.25 billion people in the country [3], we get a per capita [...]
Massively Popular, Massively Challenged? Coursera and the rise of MOOCs
Sam Stone
Last modified on December 7, 2015 at 4:11 pm
Coursera is a pioneer in the Massive Open Online Course ("MOOC") space. While MOOCs appear poised to reshape higher education, the landscape is becoming increasingly crowded. Coursera sets itself apart by delivering a differentiated value proposition to student, universities, and [...]
Fastenal: Focusing on Nuts and Bolts
Adam Gunter
Last modified on December 9, 2015 at 6:47 pm
What's behind the success of a 48-year old wholesaler and distributor of nuts and bolts? Their secret lies in the execution of a customer-focused business model.
Systematizing Success at Inner City Public Schools
Dan Egan
Posted on December 9, 2015 at 9:03 pm
Success Academy employs a highly centralized, process driven model to improve the quality and consistency of student outcomes and attract donor dollars.
DoorDash: on-demand delivery at your door
Nikos
Last modified on December 7, 2015 at 5:57 pm
With its logistics algorithms, an army of crowd-sourced couriers and the use of location data, DoorDash aspires to change the same-day delivery landscape.
NYCEDC: An Effective Means to a Worthy End
QFKA
Last modified on December 14, 2015 at 10:27 pm
When Michael R. Bloomberg was sworn in as the 108th Mayor of New York City, he set out not only to revive the city’s economy after the September 11th attack but to transform it in ways not seen in decades. [...]
Axalta: “We Paint Winners”
Winnie Liu
Last modified on December 9, 2015 at 4:46 pm
Axalta, a market leader in coatings, has accelerated its growth following the recent realignment of the Company's business and operating models.
Fast growing high-end kindergarten chain in China-Etonkids
Susan Wang
Last modified on December 6, 2015 at 11:05 pm
How could a high-end kindergarten chain to quickly expand in China?
American Tower Company: An Operational Beauty in Ugly Masses of Steel!
Brighton Mudzingwa
Last modified on December 9, 2015 at 8:47 pm
How a simple operational model has turned a boring business model into a fascinating cash cow.
Excellence in Education: Demonstrating what’s possible when a school aligns its mission, model, and operations
Chelsea
Last modified on December 14, 2015 at 6:53 pm
Brooke Charter Schools defy the odds and achieve extraordinary results for every child. The schools are the highest performing schools in the state while serving a high need student population. How do they do it? By focusing relentlessly on teacher [...]
Soulcycle: Intense Brand Loyalty
MR
Last modified on December 9, 2015 at 4:14 pm
The fitness studio that created a community.
Paddle8 – Shaking up the auction world
Chrislisl
Posted on December 8, 2015 at 4:22 pm
Moving from the gavel to the mouse
Wechat – Leaving Money on the Table or Disrupting Social Platforms with Innovation ?
Kevin Zhang
Last modified on December 10, 2015 at 12:29 am
The biggest struggle for social platforms is when and how to monetize the platform without sacrificing user experience. Has Wechat found the right formula?
Box: Culture, Press, and Sales driving enterprise value
Erik K
Posted on December 9, 2015 at 11:12 pm
Box aligns its business and operating models via culture, PR and Sales to drive rapid product development.
Verisk Analytics: Repurposing Data to Deliver Unique Customer Value
KMC
Posted on December 9, 2015 at 10:48 pm
"In God we trust, all others must bring data." - W. Edwards Deming
Boston’s Office of New Urban Mechanics: Innovation for the Public Good
mdhellauer
Last modified on December 8, 2015 at 6:58 pm
The Boston Mayor’s Office of New Urban Mechanics uses a private sector innovation model to promote more effective government. It is trailblazing the way for how cities are run, one app at a time.
SpaceX: Revolutionizing Space Travel
Merry Batter
Posted on December 9, 2015 at 4:27 pm
How Elon Musk is colonizing Mars one operating efficiency at a time...
The Weather Company: Affecting Everyone’s Lives and Making No Money
Shimon Elkabetz
Last modified on December 4, 2015 at 6:44 pm
Weather affects every aspect of our lives and every sector of our economy. So how can the biggest weather company in the world generate only $270m revenues?
View from the top – How has OMOTENASHI been performed in the sky?
ymatsuzawa
Posted on December 9, 2015 at 8:34 pm
Omotenashi, a word famously used by Christel Takigawa during her final presentation for a bid for Tokyo Olympics 2020, means the hospitality in Japanese. All Nippon Airways has always emphasized the importance of the hospitality for its success.
Winning with Lolly Wolly Doodle: Saving “Made in America” by being the “The Dell of Apparel”
Doug
Posted on December 9, 2015 at 7:57 am
Lolly Wolly Doodle: Being Just-In-Time with customizable fashion.
SpaceX – Low cost access to space
Greg
Posted on December 9, 2015 at 11:03 pm
$60 million rockets? What a bargain!