The Key Dimensions Of Business Ecosystems

CIOs need to think about strategy, relationships and value exchange when considering digital ecosystems, writes Gartner’s Betsy Burton.

- Betsy Burton

Business ecosystems sometimes create partners from competitors, at least for a little while. When BMW and Toyota need to develop key technologies, such as batteries, they may join together and then later go on to compete in the marketplace. Apple, Fitbit and Garmin created an ecosystem focused on fitness and apps. In a less competitive ecosystem, groups in the government, charity and community spaces might collaborate on health or public policy because each entity has a shared interest and goal.

Ecosystems enable organisations to exist in an increasingly digital world. CIOs and IT leaders must shift and expand their approach to focus on their organisation’s strategy and execution within their business ecosystems, from an outside-in perspective.

Ecosystem strategy

Every organisation exists in multiple business ecosystems. These ecosystems are networks of entities interacting with each other to create and exchange sustainable value for participants. The challenge is deciding how your organisation will survive and thrive in its ecosystem.

Know that ecosystems can emerge organically or deliberately. Organic business ecosystems are created based on evolving industry, government and market trends. Deliberate business ecosystems might emerge in a more planned manner — for example, Amazon’s ecosystem of sellers, buyers, advertisers and collaborators.

Decide what role your organisation will play in these ecosystems: Leader, disruptor, niche player, orchestrator, or something else.

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