The document discusses the evolution from value chains to value networks due to digitization. Value networks involve multiple stakeholders co-creating value through platforms, which are centered around APIs. For platforms and APIs to be successful, they must meet two key challenges: be attractive by having valuable, simple APIs that leverage open standards; and be findable by facilitating connections and exchange between producers and consumers through matchmaker tools and discovery platforms. API management platforms help developers and providers govern APIs and educate the market to support this evolution.
Strategies for using alternative queries to mitigate zero results
APIs Enable Value Networks
1. @ManfredBo
APIs
From Value Chains to Value Networks
Manfred Bortenschlager
I work at 3scale.net
Out-of-the-box API Management
@3scale
APIDays Mediterranea
May 30, 2014
2. @ManfredBo2
What do I want to achieve?
Describe a current evolution
Highlight challenges
Suggest solutions
3. @ManfredBo3
Context
Technology of APIs
Business of APIs
Politics of APIs
Source: Kin Lane
http://apievangelist.com/2014/05/06/remembering-why-this-whole-api-thing-is-working--apidays-berlin/
9. @ManfredBo9
A value network…
…is defined as a value creating system
in which all involved stakeholders
co-produce value.
Source: Normann and Ramirez (1993)
16. @ManfredBo16
Benefits of Platforms
Acceleration via network effects
Increased rate of innovation
Contribution of complementary elements
Increased number of channels
Evolution and stabilizing
Increased visibility
Reduction of cost and risk
Source: Gawer & Cusumano (2002): Platform Leadership
23. @ManfredBo23
Challenge 2: Be Findable
Connection + Gravity + Flow
Flow
how well the platform fosters exchange and co-creation of value.
Matchmaker Tools
facilitates connections between producers and consumers.
Source: Sangeet Paul Choudary (2013)
Platform Thinking
29. @ManfredBo29
Wrap-up & Take-away
Emergence of value networks due to digitization
Platforms are at the heart of value networks and allow
more efficient value co-creation.
Challenge 1: be attractive
leverage open standards / APIcommons
Challenge 2: be findable
discoverability / APIs.io
Diagram not important.
Linear process between discreet/closed units – within an organization or between organisations.
No feedback loop.
Businesses more and more digitized
Emergence of more and more digital services and products.
Many stakeholders in twitter network that co-create value
A great portion of the twitter traffic is actually not produced by twitter products but comes out of twitter’s value network.
If you use twitter APIs – you are a stakeholder too and co-create value too.
Vendor decides to create a Virtual or physical platforms which enable 3rd parties to leverage the assets provided by a platform
Facilitates integration and collaboration
Enable and foster co-creating of value
Railway in USA
Decide on shape, form, width of rails itself -> standard -> platform
Development of rail network spanning the USA -> platform for distribution of goods, post, people consequential economic benefit
Spotify / Airbnb / evernote
Scalability and speed –
vgl. Jordi from Redbooth (API-first business development)
Many. Intuitively clear. Backed up by research.
Highlight one: innovation
Example given by Fabernovel:Fitbit: externalised R&D via apis. 20 apps -> 1m usd. No cost for them exept api program
(Metcalfe’s law)
Code reusabilitys
Don’t re-invent the wheel
Speed
Client and server code are based on same standard
Shared tooling
This role combines parts of many conventional roles.