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HOLCIM: PAVING THE WAY TOWARDS RADICALLY NEW BUSINESS MODELS
This case documents the multiplication of a business model from Holcim Canada to the emerging market Indonesia. More precisely, the case tells the story of how a fast repair solution for concrete road damages was replicated in Indonesia. The case starts with a brief overview of the Indonesian context explaining the challenges of the notoriously bad road conditions in the country. The case then puts the reader into the perspective of Derek, Director of the Aggregates and Construction Materials Business Unit at Holcim, who initiated the multiplication project which resulted in the SpeedCrete(TM) solution that could solve Indonesian infrastructure problems. The case goes deeper into the multiplication of the business model from Canada to Indonesia and accounts how Holcim developed and implemented the new business model. It describes in detail how Holcim simultaneously designed the four cornerstones of a business model, namely the ‘Who’ (1): depicting how Holcim serves a new customer group, the ‘What’ (2): describing what is offered to the customer, or, put differently, what the customer values, the ‘How’ (3): demonstrating the way Holcim builds and distributes the value proposition, and the ‘Why’ (4): revealing why the business model is financially viable. The case presents an integrated portrayal to how these four questions were simultaneously developed and adjusted. The case concludes with teaching notes on how Holcim should continue leveraging the business model of SpeedCrete(TM). Five teaching videos provide first-hand information on the topic of Business Model Innovation at Holcim and support the teacher in making the class a diversified experience.
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