API Economy & Platform Skills HOW DO WE MAKE THE CHANGE HAPPEN? APIDAYS HELSINKI 2020, MARJUKKA NIINIOJA, OSAANGO

1. API Economy &
Platform SkillsHOW DO WE MAKE THE CHANGE HAPPEN?
APIDAYS HELSINKI 2020, MARJUKKA NIINIOJA, OSAANGO

2. Marjukka Niinioja
Founding partner Osaango Oy, local organizer
of apidays Helsinki and APIOps meetups
Consulted and trained 200+ companies and pu
blic sector organizations
on platform economy and
API economy business models, service and prod
uct strategies and enterprise architecture
One of the authors of API Economy 101 –
book (2019) combining research with practical e
xperience
“Mother” of APIOps Cycles method.
Linked
https://www.linkedin.com/in/marjukkaniinioja/
@mniinioja @osaangoltd

3. Dreaming of product, platform, or
an ecosystem?
To create products, you need product design and product
management
To create compliant platforms you need legal design

5. “70% of all
organizational
change
initiatives fail”
Or do they. Actually
30% succeed, and
at least another
30% succeed to
some extent
Source: https://hbr.org/2017/07/stop-using-the-excuse-organizational-change-is-hard
“By priming people with a simple
fact about the high probability of
successful change, the researchers
completely eliminated the negative
bias.”

6. Customer experience
specialists
Marketing, sales
and purchases
responsibles
Business IT
specialists
Integration
specialists
Cloud
infrastructure
specialists
Partnership and
new business
developers
Information
security and
privacy specialists
APIs need the whole village: Marjukka Niinioja & Jarkko Moilanen 2018. From book: API Economy 101
But who are those people in API
Economy?

7. API Economy runs on ecosystem
customer journeys
 Analytics
and content
APIs
 Awareness APIs
 Sense APIs
 Market place APIs
 Search engine APIs
 Product APIs
 Ordering APIs
(own, partner
customer)
 Payment APIs Logistics APIs
To create ecosystem journeys you
need knew forms of service
design and not just UX, but DX
and you need to be ready to let
go of the idea of owning the
customers.

8. APIs as platform boundary
resources
Sorri, K., Seppänen, M., Still, K., &
Valkokari, K. (2019). Business
model innovation with platform
canvas. Journal of Business
Models, 7(2), 1-13.

9. What resources
can be APIfied and
how will this
change our
business models?
“APIfied” = i.e.
bought, sold, rented
and used via APIs
Potential organizational resources in API Economy: Marko Seppänen and Marjukka Niinioja. 2019. API Economy 101

11. Insights from ”Introduction to API Economy” an Open University course by Tampere University and Osaango

12. Amount of APIs
correlates with
the Global
Startup Growth
Index
APIs thrive in
cultures where
marketers and
software
engineers co-
exist and co-
create

13. Key ActivitiesKey Partners
Costs
Key Resources
Name of the API
Relationships
Channels
API Consumer Segment
Revenue Streams
23
4
5
6
7
8
9
API Value Proposition
1
API Canvas
Water meter
technology
companies
Water services
providers
 …
 …
 Support,
communications, sales
etc..…
Integration support, Data storage and maintenance
Developer community growth and management
API, SDK etc. Development
Other risk reducing costs (see Business Impact)
 Construction planners
 Real-estate owners
 Construction planning
software providers
 Building maintenance and
autom. companies
 Energy companies
 Security of supply bodies
 Water services systems
 XXXX € / month
 Monthly data included in supply fees, 99,5 & 24/7
SLA, day-old data and over 90 days retention with
extra fees
 More quota and more sources = more revenue
 Water
consumption
and quality
data for your
building /
real-estate in
a standard
format
 Integrate with
all the other
utility data
 Water cons. API
Developer
experience
Development
activities
Business model of the API & API provider
 … Construction planning
software providers
 Data hub providers
 Own developer site
More
potential API
consumers
www.apiopscycles.com

14. Taxonomy of IoT platform business
models
Hodapp, D., Remane, G.,
Hanelt, A., & Kolbe, L. M.
(2019). Business Models for
Internet of Things
Platforms: Empirical
Development of a
Taxonomy and Archetypes.

15. Weking, J.,
Mandalenakis, M., Hein,
A., Hermes, S., Böhm,
M., & Krcmar, H. (2019).
The impact of
blockchain technology
on business models–a
taxonomy and
archetypal
patterns. Electronic
Markets, 1-21.
Blockchain Business Models

16. Example from MaaS – Mobility as a
Service
Amalia Polydoropoulou, Ioanna Pagoni, Athena Tsirimpa, Athena Roumboutsos, Maria Kamargianni, Ioannis Tsouros,
Prototype business models for Mobility-as-a-Service, Transportation Research Part A: Policy and Practice,
Volume 131, 2020,
Pages 149-162, ISSN 0965-8564, https://doi.org/10.1016/j.tra.2019.09.035.

17. Startups evaluated these skills and
activities to be the most important
to develop
1. Increase dataset
2. Better data with partnerships
3. API development
4. Service offering
5. Go-to-market strategy
6. Expand with partnerships
7. Community building
8. Community manager
9. Distributors
10. Selling the data from the platform
Still, K., Seppänen, M., Valkokari, K., Suominen,
A., & Kumpulainen, M. (2018). Platform
competences of digi-driven start-ups. Manchester:
The International Society for Professional
Innovation Management (ISPIM). Retrieved from
https://search-proquest-
com.nelli.laurea.fi/docview/2186212028?accountid
=12003

18. Direct vs. platform business
models
 Ecosystem is the new supply chain
 Network effect is the new economy of scale
 Information is the new currency
 Community management is the new customer service
 Trust and reputation are the new quality control
 User experience is the new sales pipeline
 Engagement is the new loyalty program
 Escrow is the new payment system
 Algorithms are the new decision makers
 APIs are the key to all of the above

19. See you in apidays Australia with:
APIOps Cycles helps you to remove
the 8 wastes of Lean
APIOps
= DevOps for APIs,
but
APIOps Cycles method
= a specific method combining APIOps
+ “BizDevOps” + Product
management + Minimum Viable API
Architecture + Lean

20. Resources
• https://www.apiscene.io/dx/how-
to-start-an-api-program-using-
apiops-cycles-method/
• https://www.osaango.com/blog/u
nlearning-the-api-economy/
• https://www.osaango.com/should-
your-whole-organization-be-
dreaming-in-digital/
Let’s connect in LinkedIn and Twitter @mniinioja