7 H H Hugsandi Hattar Thinking Hats

New Strategic Business Models

Guðbjörg
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Presentation – Systemic Business Models by Guðbjörg Eggertsdóttir

Contemporary Strategy Models for Modern Businesses

1. The Three Horizons Model (McKinsey)

  • Purpose: Balance innovation with current performance.
  • Horizon 1: Optimize and defend the core business.
  • Horizon 2: Build emerging opportunities.
  • Horizon 3: Create future growth through innovation.
  • Use:
    • Short-term: Strengthen and refine existing operations.
    • Long-term: Invest in new ideas and disruptive innovation.

2. The Business Model Canvas (Osterwalder & Pigneur)

  • Purpose: Visualize and design your business model on one page.
  • Components: Customer segments, value propositions, channels, customer relationships, revenue streams, key resources, key activities, key partnerships, cost structure.
  • Use:
    • Short-term: Test and refine your business model.
    • Long-term: Evolve your model as markets and technologies change.

3. The Lean Strategy Model

  • Purpose: Build strategy through experimentation and learning.
  • Principles:
    • Start small, test assumptions, and iterate quickly.
    • Use customer feedback to guide decisions.
    • Focus on validated learning rather than rigid planning.
  • Use:
    • Short-term: Run experiments to validate ideas.
    • Long-term: Build a culture of agility and continuous improvement.

4. The Flywheel Model (popularized by Amazon)

  • Purpose: Create self-reinforcing growth loops.
  • Concept: Each strategic action strengthens another — for example, better customer experience drives more traffic, which attracts more sellers, which improves selection and value.
  • Use:
    • Short-term: Identify and strengthen your core growth loop.
    • Long-term: Build momentum that compounds over time.

5. The Adaptive Strategy Model

  • Purpose: Thrive in fast-changing environments through flexibility.
  • Principles:
    • Sense and respond to change continuously.
    • Empower teams to make decentralized decisions.
    • Use data and feedback loops to adjust direction.
  • Use:
    • Short-term: Monitor signals and adapt tactics quickly.
    • Long-term: Build resilience and responsiveness into your culture.

6. The Purpose-Driven Strategy Model

  • Purpose: Align business growth with social and environmental impact.
  • Core Idea: Profit and purpose reinforce each other when values guide decisions.
  • Use:
    • Short-term: Define your purpose and integrate it into daily operations.
    • Long-term: Build brand trust and loyalty through authentic impact.

7. The Ecosystem Strategy Model

  • Purpose: Compete through collaboration and interconnected value networks.
  • Concept: Instead of operating in isolation, businesses co-create value with partners, suppliers, and even competitors.
  • Use:
    • Short-term: Identify key partners and shared goals.
    • Long-term: Build an ecosystem that scales innovation and reach.

8. The Circular Strategy Model

  • Purpose: Design for sustainability and resource regeneration.
  • Principles:
    • Eliminate waste, reuse materials, and extend product life cycles.
    • Create closed-loop systems that benefit both business and environment.
  • Use:
    • Short-term: Audit operations for waste and inefficiency.
    • Long-term: Transition to circular business models that ensure long-term viability.

9. The Agile Strategy Framework

  • Purpose: Replace static plans with dynamic, iterative strategy cycles.
  • Approach:
    • Set short planning sprints (e.g., 90 days).
    • Review, learn, and pivot based on outcomes.
    • Keep teams aligned through transparency and collaboration.
  • Use:
    • Short-term: Execute and review in rapid cycles.
    • Long-term: Build adaptability and speed into your strategic DNA.

10. The Regenerative Strategy Model

  • Purpose: Move beyond sustainability to actively restore ecosystems and communities.
  • Principles:
    • Design business systems that give back more than they take.
    • Integrate wellbeing, ethics, and environmental stewardship into strategy.
  • Use:
    • Short-term: Identify areas where your business can contribute positively.
    • Long-term: Build a regenerative legacy that aligns profit with planetary health.

Strategic Insight:
Modern strategy models emphasize adaptability, purpose, and systems thinking — blending innovation, sustainability, and human-centered leadership to create resilient, future-ready organizations.