In an open business model, the manufacturing and development of products and services may actually be outsourced to other companies. Open business models delegate many of the day-to-day operations of a company to others and concentrate entirely on the creative aspects of the products and services. This type of business model is becoming more prevalent with Internet-based companies.
Instructions
1. Determine if an open business model is compatible with your business goals and your management style. With an open business model, you must surrender some control, something that many managers and business owners find difficult. On the other hand, if you're the type of business owner who wants to be more of a visionary, an open business model may be the answer.
2. Find the right vendors and business partners for your outsourcing needs. For instance, if you want to spend less time hiring or training your staff, let a recruitment process outsourcing company do it for you. Or, if you want to cut costs in manufacturing, outsource the labor to an overseas operation where labor is more affordable.
3. Use the open business model by hiring an independent sales staff to market your products. Many large retail organizations follow this aspect of the open business model, especially if a large percentage of their total sales are generated on the Internet or by phone solicitation.
4. Allow independent contractors access to some of your technology and data. While this may seem like an exceedingly risky business strategy, in practice this results in the development of innovations to your original products and services, generating more interest in your sector. This is also an excellent way to foster new business partnerships and licensing.
5. Maintain control over the proprietary elements of your business. While the open business model may free your time for more creative pursuits, it is also easy for your own business to slip through your fingers. Poor quality control or customer service from one vendor or partner can sabotage your entire business, so pay attention.
