You have probably already heard about the word Ecosystems. Although it’s mostly used in the context of nature, you can find them everywhere. From business ecosystems to creative ones, from an entrepreneurial tech ecosystem, over urban smart city ecosystems to the gigantic open innovation ecosystem.
But what exactly is an ecosystem? What are the differences and more importantly what are the similarities between them? And how can your company benefit from being part and contributing to an ecosystem and how can you tap into the resources made available in a vibrant ecosystem? In this and other posts, we’ll try to explain to you everything you need to know.
The expression is derived from nature, where an ecosystem refers to various species that thrive by relating in a dynamic and self-adjusting manner. With businesses, it is basically the same thing.
A business ecosystem brings together mutually supportive firms grouped around a particular business, technology, or shared ambition to make differentiated offerings and capture value they could not attain alone.
Generally, a business ecosystem is defined as a dynamic and co-evolving community of diverse participants who create and use new value via both cooperation and competition.
These networks are made up of customers, market intermediaries, companies selling complementary products, suppliers, and of course the company itself. Similar concepts are clusters, federations, associations, and value networks.
Why does it matter?
The capacity of an ecosystem to create and serve markets is beyond that of anyone firm or any single traditional industry. Its diversity and collective capability to jointly learn, adapt and innovate are important determinants of its long-term success. Greatly enhanced through interaction across specialized resources and capabilities, ecosystems develop and co-create new solutions to societal challenges and human needs and desires.
Ecosystems thrive on competition, which is highly motivational and is a perfect conductor for innovation. On the other hand, are actors also incentivized by shared values, goals, and interests. The need to meet customer demands faster and better provide a perfect base for collaboration and mutual investments in the longer-term from which everyone gains benefit.
This combination of these two stimulating factors, also known as coopetition, will ultimately lead to more and faster innovations.
Other benefits of business ecosystems or clusters include better access to employees and suppliers, specialized information and institutions and public goods.
Do you want more information on coopetition? How it affects your ecosystem and vice versa? Be sure to take a look at this blogpost!
Digital ecosystems are gaining momentum in the business world, big companies are always searching for collaboration opportunities, and through building and orchestrating digitally linked ecosystems, -organized networks of companies and customers- that generate value for all their users, they achieve great outcomes.
Here are some reasons to start building a digital ecosystem. But don’t forget that building an enabling ecosystem doesn’t happen overnight. Without the relationship in the first place, you would not be able to tap into synergies and joint capabilities. Check our blog post about Nuances of Collaboration
1. Finances – Creating Revenue Sources, Increasing the Sales, Decreasing the Operational Costs
Via consolidated ecosystem integration, digital platforms drive new revenue sources, enabling companies to monitor and evaluate comprehensive data flowing through the company and use it to develop new goods and services.
The enhanced access to information and the insights it provides helps businesses to better understand their clients. Companies can deliver innovative goods and services that are tailored to meet the ever-changing demands of customers by encouraging innovation based on data insights.
Enhancing workflow productivity and working relationships with clients and partners by building a connected digital ecosystem, minimizes the operational costs. End-to-end automation, in addition to enhancing workflow performance, strengthens the working relationships with clients and stakeholders and eliminates operating costs due to automated data processes and business-wide efficiency.
2. Digitalization – Achieving Digital Maturity, Gaining Pace in Technology
Digital ecosystems encourage companies to truly adopt emerging technologies. Companies can use digital ecosystem integration, which enables them to take full advantage of cloud platforms and SaaS.
While modern customers have shown a growing desire to accept emerging innovations in their daily lives, existing market models also struggle with the implementation of new technology.
Time and budget can be the potential challenges to emerging technology adoption. Yet it will jump-start the digital transition by collaborating with technologically creative businesses. You can access consumer analytics and results, as well as new digital features or goods that would be costly to develop, by creating digital ecosystems.
How can Datascouts help?
When you see these benefits, you want to better understand the ecosystem you are part of and the value network of your company.
That’s where we can help you. DataScouts provides a platform in which you can create a business ecosystem map, monitor your value network, and be aware of what happens in your ecosystem, the trends in your sector, and the achievements of peers.
The DataScouts platform combines public data, own private data, and extra content that is relevant to the specific use case. Without any problem, you can visualize tons of information in no time.
Go to our website and create your own ecosystem today!
Or have a look at one of our existing public ecosystems.