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)

Buffer: Gaining an edge in the Valley with a 100% remote workforce model
Ritika Singh
Last modified on December 7, 2015 at 11:54 pm
Buffer combines a unique labor model with radical transparency to maintain its competitive advantage.
B&M: The Secret Source in European Value Retailing
benjaminthomasphillips
Posted on December 7, 2015 at 6:52 pm
Disrupting the UK high street with unreplicable lowest prices and best sourcing.
Zara: a Retailing Force to Be Reckoned With
Natasha Dossa
Last modified on December 9, 2015 at 11:42 pm
From fabric to fashion: a vertically integrated operation engineered to maximize relevancy and minimize costs.
Iora Health: Redefining primary care medicine
Nicole
Posted on December 9, 2015 at 8:42 pm
Iora Health’s innovative and well-aligned business and operational models are setting a new standard for what is possible in healthcare.
Rolling into eCommerce: The Tire Rack pioneers eCommerce Tire Sales
Michael Yaro
Posted on December 9, 2015 at 10:25 pm
Founded as a family business in 1979 in Indiana, the Tire Rack successfully pioneered a shift in the $17 billion tire industry, once dominated by in-person purchases, to mail order and, later, in 1997, ecommerce. In order to achieve this, [...]
Singapore Airlines: Service Excellence at Low Cost
HuiChan
Posted on December 9, 2015 at 4:37 pm
In an industry where bankruptcies are commonplace, Singapore Airlines soars above the rest by achieving the paradox of premium service at low cost.
Alinea Restaurant: Dining Unconventionally
Ari Wright
Last modified on December 5, 2015 at 6:46 pm
One of the finest restaurants in the world is disrupting the conventional dining experience and improving operational efficiency with its shift to a pay-in-advance variable-pricing ticketing model.
Rocket Internet’s venture building platform makes entrepeneurship scalable
E
Last modified on December 8, 2015 at 12:51 am
Rocket Internet developed an operating model in the form a venture-building platform that facilitates the effective launch, growth and exit of its portfolio companies.
Healthcare software forecast: partly cloudy with a chance of innovation.
ryanj
Posted on December 9, 2015 at 8:17 pm
Can athenahealth’s cloud healthcare products overcome traditional installed solutions from established providers?
Cementing a Position
Kobe Bryant = GOAT
Posted on December 8, 2015 at 11:54 pm
The Dangote Group is a Nigerian industrial conglomerate that operates across the African continent, producing salt, fertilizer, flour, noodles and, most notably, cement. What is founder Aliko Dangote's secret sauce?
Royal Mail Plc – Heavy Lies the Crown
Daniel Danev
Posted on December 9, 2015 at 6:06 pm
Tracing its roots back to 1516, Royal Mail (RM) is the incumbent postal service provider in the UK, offering letter and parcel delivery and international logistics services. After almost 500 years of public ownership, the British Government IPO-ed the business [...]
The IKEA Concept: More than just a good meatball
Jessica Sites
Posted on December 5, 2015 at 6:56 pm
As students, I’m sure most of us are familiar with the surprisingly affordable, yet frustratingly complicated, Ikea furniture.  But for those who may not know, Ikea is a Swedish home furnishing company known for their broad range of products at [...]
Lululemon: From Niche Market Pioneer to Apparel Ubiquity
BM
Posted on December 9, 2015 at 9:46 pm
How Lululemon created an activewear empire from a niche product with broad appeal
The Tragic Map Of The Only Places You Can Get In-N-Out Burger [1]
Kevin H
Last modified on April 20, 2018 at 5:20 pm
In-N-Out quality tied to the west coast...for now.
Groupon: Now 85% Off!
Rohan Nagesh
Posted on December 9, 2015 at 11:23 pm
Groupon's Roller Coaster Journey as Told by a Former Employee
Arc’Teryx: consistently producting THE cutting edge activewear and gear
Ali G
Last modified on December 9, 2015 at 4:02 pm
Actually listening to what your customers want and investing in the R&D to make that happen can lead to continued long term financial success.
Microstar: Untapping Growth in Craft Beer
Ian
Last modified on December 7, 2015 at 11:29 pm
Microstar leans on interconnected business and operating models to help craft breweries achieve their potential.
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