Business Model Canvas (BMC) Framework to reflect or capture requirements of ISO 9001.2018 Clause 4.2 Needs and Expectations of Interested Parties

How to use Business Model Canvas (BMC) Framework to reflect or capture requirements of ISO 9001.2018 Clause 4.2 Understanding the Needs and Expectations of Interested Parties

The Business Model Canvas (BMC) is a strategic management tool that can be used to visualize, understand, and design business models. It is a simple one-page document that consists of nine building blocks:

1. Customer Segments
2. Value Propositions
3. Channels
4. Customer Relationships
5. Revenue Streams
6. Key Resources
7. Key Activities
8. Key Partnerships
9. Cost Structure

The Business Model Canvas (BMC) is a strategic management tool that can be used to visualize, analyze, and design a business model. It is a simple one-page document that is divided into nine building blocks:

1. Customer segments:?Who are your customers?
2. Value propositions:?What value do you offer your customers?
3. Channels:?How do you reach your customers?
4. Customer relationships:?What kind of relationship do you want to have with your customers?
5. Revenue streams:?How do you make money?
6. Key resources:?What resources do you need to deliver your value propositions?
7. Key activities:?What activities do you need to perform to deliver your value propositions?
8. Key partnerships:?Who are your key partners?
9. Cost structure:?What are your costs?

The BMC can be used to reflect or capture the requirements of ISO 9001.2018 Clause 4.2 Understanding the Needs and Expectations of Interested Parties by mapping the needs and expectations of each interested party to the appropriate building blocks.

For example, the needs and expectations of customers will be mapped to the Customer Segments and Value Propositions building blocks. The needs and expectations of employees will be mapped to the Key Resources and Key Activities building blocks. The needs and expectations of suppliers will be mapped to the Key Partnerships building block. And so on.

The Business Model Canvas (BMC) is a strategic management tool that can be used to visualize, understand, and design a business model. It consists of nine building blocks that represent the core elements of a business:

• Customer segments: Who are the organization's customers?
• Value propositions: What value does the organization offer its customers?
• Channels: How does the organization reach its customers?
• Customer relationships: What kind of relationships does the organization have with its customers?
• Revenue streams: How does the organization generate revenue?
• Key resources: What resources does the organization need to operate?
• Key activities: What activities does the organization need to perform to deliver its value propositions?
• Key partnerships: Who are the organization's key partners?
• Cost structure: What are the organization's costs?

The BMC can be used to reflect and capture the requirements of ISO 9001:2018 Clause 4.2 Understanding the Needs and Expectations of Interested Parties in the following ways:

• Customer segments:?The BMC's customer segments building block represents the organization's different groups of customers. ISO 9001:2018 Clause 4.2 requires the organization to identify and understand the needs and expectations of all relevant interested parties, including customers. The BMC can be used to identify the organization's key customer segments and to understand their specific needs and expectations.
• Value propositions:?The BMC's value propositions building block represents the value that the organization offers to its customers. ISO 9001:2018 Clause 4.2 requires the organization to determine the needs and expectations of interested parties that are relevant to the scope of its quality management system. The BMC can be used to identify the needs and expectations of interested parties that are relevant to the organization's value propositions.
• Channels:?The BMC's channels building block represents the ways in which the organization reaches its customers. ISO 9001:2018 Clause 4.2 requires the organization to communicate with relevant interested parties to obtain their feedback on the effectiveness of the quality management system. The BMC can be used to identify the channels through which the organization can communicate with relevant interested parties and obtain their feedback.
• Customer relationships:?The BMC's customer relationships building block represents the types of relationships that the organization has with its customers. ISO 9001:2018 Clause 4.2 requires the organization to maintain relationships with relevant interested parties. The BMC can be used to identify the types of relationships that the organization needs to maintain with relevant interested parties in order to meet their needs and expectations.
• Revenue streams:?The BMC's revenue streams building block represents the ways in which the organization generates revenue. ISO 9001:2018 Clause 4.2 requires the organization to consider the needs and expectations of relevant interested parties when determining the scope of its quality management system. The BMC can be used to identify the needs and expectations of interested parties that are relevant to the organization's revenue streams.
• Key resources:?The BMC's key resources building block represents the resources that the organization needs to operate. ISO 9001:2018 Clause 4.2 requires the organization to identify and understand the needs and expectations of all relevant interested parties, including suppliers. The BMC can be used to identify the organization's key resources and to understand the needs and expectations of the suppliers of those resources.
• Key activities:?The BMC's key activities building block represents the activities that the organization needs to perform to deliver its value propositions. ISO 9001:2018 Clause 4.2 requires the organization to determine the needs and expectations of interested parties that are relevant to the scope of its quality management system. The BMC can be used to identify the needs and expectations of interested parties that are relevant to the organization's key activities.
• Key partnerships:?The BMC's key partnerships building block represents the organization's key partners. ISO 9001:2018 Clause 4.2 requires the organization to identify and understand the needs and expectations of all relevant interested parties, including partners. The BMC can be used to identify the organization's key partners and to understand their needs and expectations.
• Cost structure:?The BMC's cost structure building block represents the organization's costs. ISO 9001:2018 Clause 4.2 requires the organization to consider the needs and expectations of relevant interested parties when determining the scope of its quality management system. The BMC can be used to identify the needs and expectations of interested parties that are relevant to the organization's cost structure.

Once the needs and expectations of all interested parties have been mapped to the BMC, the organization can use this information to:

• Ensure that its business model is aligned with the needs and expectations of its interested parties.
• Identify and address any gaps between the needs and expectations of its interested parties and its current performance.
• Develop and implement improvement initiatives to meet or exceed the needs and expectations of its interested parties.

Here is an example of how the BMC can be used to reflect or capture the requirements of ISO 9001.2018 Clause 4.2 for a small manufacturing company:

Customer Segments:

• Direct customers (OEMs)
• End customers (consumers)

Value Propositions:

• High-quality products
• Competitive prices
• Fast delivery times

Channels:

• Direct sales to OEMs
• Distributors to end customers

Customer Relationships:

• Personal account managers for OEM customers
• Online customer portal for end customers

Revenue Streams:

• Sales of products to OEMs
• Sales of products to end customers

Key Resources:

• Production equipment
• Skilled workforce
• Intellectual property (e.g., patents, trade secrets)

Key Activities:

• Product design
• Manufacturing
• Quality control
• Sales and marketing

Key Partnerships:

• Suppliers of raw materials and components
• Distributors of products to end customers

Cost Structure:

• Cost of goods sold
• Selling and marketing expenses
• Administrative expenses

By mapping the needs and expectations of its interested parties to the BMC, the small manufacturing company can ensure that its business model is aligned with those needs and expectations. For example, the company can ensure that its products meet the quality requirements of its OEM customers and that its delivery times meet the needs of its end customers.

The BMC can also be used to identify and address any gaps between the needs and expectations of interested parties and the company's current performance. For example, the company may find that it needs to improve its quality control processes in order to meet the requirements of its OEM customers. Or, the company may find that it needs to reduce its delivery times in order to compete with other manufacturers.

Finally, the BMC can be used to develop and implement improvement initiatives to meet or exceed the needs and expectations of interested parties. For example, the company may invest in new production equipment in order to improve the quality of its products. Or, the company may hire more sales representatives in order to expand its reach into new markets.

Additional insights

The BMC is a versatile tool that can be used to support a variety of business activities, including ISO 9001 certification. By using the BMC to reflect and capture the requirements of ISO 9001 Clause 4.2, organizations can gain a deeper understanding of their interested parties and their needs and expectations. This information can then be used to improve the organization's business model and its performance.

Here are some additional insights on how to use the BMC to support ISO 9001 certification:

• Identify all relevant interested parties. This includes both internal and external stakeholders, such as customers, employees, suppliers, shareholders, and regulators.
• Understand the needs and expectations of each interested party. What are their priorities? What are their pain points? What are their goals?
• Map the needs and expectations of each interested party to the appropriate BMC building block. This will help you to identify where there are gaps between the needs of your interested parties and your current performance.
• Develop and implement improvement initiatives to address any gaps. This may involve changes to your products or services, your processes, or your organizational structure.
• **Review and update your BMC on a regular basis

Here is an example of how a small company could use the BMC to capture the requirements of ISO 9001.2018 Clause 4.2 Understanding the Needs and Expectations of Interested Parties: Customer segments: Main customers and their end customers Private customers Value propositions: High-quality products and services Competitive prices Excellent customer service Channels: Direct sales Online sales Retail partners Customer relationships: Long-term relationships with customers Personal attention to customer needs Revenue streams: Sales of products and services Key resources: Skilled employees High-quality equipment Reliable suppliers Key activities: Product development Production Sales and marketing Customer service Key partnerships: Suppliers Retail partners Cost structure: Cost of goods sold Selling and marketing expenses Administrative expenses By completing the BMC, the small company can gain a better understanding of its interested parties and their needs and expectations. This information can then be used to develop a quality management system that meets the requirements of ISO 9001.2018. It is important to note that the BMC is just one tool that can be used to capture the requirements of ISO 9001.2018 Clause 4.2 Understanding the Needs and Expectations of Interested Parties. Other tools and methods can also be used, such as surveys, interviews, and focus groups.