The Business Model Canvas I did was for the company I currently work for, UTC Aerospace Systems (UTAS) Electric Systems. UTAS is a subsidiary of United Technologies Corporation and Electric Systems is a business unit of UTAS. UTAS is an aerospace company that has market share in both commercial and military aerospace. They are a major supplier to large aerospace original equipment manufacturers like Boeing and Airbus. The Key Partners I selected were Raw Material Suppliers, Supplier Designed Equipment Suppliers, and Contract/Labor Agencies. Each of these partners are key to the business's success. The Key Activities are Engineering, System Integration, Hardware/Line Replaceable Unit Design, and Software Design. For revenue streams I decided for simplicity reasons to focus just on hardware. It is hard to quantify revenue for development/engineering for this canvas so the revenue is understated a little bit. The cost structure is complex and difficult to estimate as far as amounts go, but I took a shot. The costs include Company Funded Engineering, Development Hardware, Overhead, and Raw Material. When it comes to customer segment market sizes I tried to estimate aircraft produced yearly in both military and commercial segments. The military segment has significantly less aircraft manufactured yearly which means the variable costs that affect that segment tend to be lower. This canvas only allows you to account for fixed costs. Based on the information provided, the UTAS business model is very profitable. Like I mentioned earlier this is a very rough model due to so many complex issues and unforeseen costs. UTAS holds a strong position when it comes to market share and this is a strong contributor to the high profitability. This is primarily due to the limited number of suppliers of aerospace electrical systems. Overall the Business Model Canvas for UTAS Electric Systems shows a good outlook for the company.
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