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What is an Operating Model?

 , updated on January 19, 2017
An operating model is how a business is run. It describes the basic structures and processes that are used to create a firm's products and services.

Definitions

  1. The structure of business operations.
  2. A method for delivering core business objectives.
  3. The structures, processes and methods employed to execute a business strategy.

      4. Example

      A software company develops its services on a third party cloud platform. The company focuses on software development with little capital. Sales are transacted through an app exchange on the cloud platform. The company engages customers in social media and by networking at industry events. Its sales and marketing teams are small.
      Overview: Operating Model
      TypeBusiness Operations
      Related ConceptsBusiness Model
      Business Capabilities
      Business Processes

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