Business Case Studies, Executive Interviews, Mark W Johnson on Business Model Innovation

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Executive Interviews: Interview with Mark W Johnson on Business Model Innovation
April 2009 - By Dr. Nagendra V Chowdary

Mark W Johnson
Chairman and Co-Founder of Innosight.

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  • Is there any difference between business model creation for a small company and a larger company? For instance, in the US, there are approximately 25 million small business owners, who create about 70% of all jobs in the country. Some of them go on to become listed companies and also increase their scale and scope of operations. Many others remain for years as they were. Is this difference anything to do with the business model creation and execution?
    Not that I’maware of other than some businesses that are founded on economies of scale and thus need the growth to succeed while others can maintain viability as a stable size.

  • What is the role of leadership and what should be the leadership initiative in creating/ innovating business models?
    Leadership must set the tone. Senior leaders need to empower managers to create new business models, and must also roll up their sleeves and demonstrate desired behaviors like talking with customers, experimenting, and breaking business rules when necessary.

  • No business school in the world offers a course on business models. Do you think it's time to articulate an exclusive course on business models? After all, a wholesome and holistic understanding of creating a business model might open a window to all the other courses?
    I agree 100%. Clay Christensen has incorporated business model thinking into his core class on Building a Successful, Sustainable Enterprise at Harvard Business School, and I definitely think it’s a crucial topic for the leaders of the future to master.

The interview was conducted by Dr. Nagendra V Chowdary, Consulting Editor, Effective Executive and Dean, IBSCDC, Hyderabad.

This interview was originally published in Effective Executive, IUP, April 2009.

Copyright © April 2009, IBSCDC No part of this publication may be copied, reproduced or distributed, stored in a retrieval system, used in a spreadsheet, or transmitted in any form or medium – electronic, mechanical, photocopying, recording, or otherwise

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