Adopting the Concept of Business Models in Public Management

Adopting the Concept of Business Models in Public Management

Barbara Kożuch (Jagiellonian University in Kraków, Poland) and Adam Jabłoński (University of Dąbrowa Górnicza, Poland)
DOI: 10.4018/978-1-5225-2215-7.ch002
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Abstract

The aim of the chapter is to propose the principles of adopting the concept of business models in public management. The scope of the work includes the specific principles of business management and public management, examined in terms of integrating the attributes of public organizations that ensure they achieve appropriate functionality. The result of scientific reflections is an attempt to design the canvas of the public organization business model based on an analogy taken from business management for the conceptualization and operationalization of the specific key attributes of the public organization business model. The justifiability of adopting the concept of a business model in the theory and practice of public organization functioning will be illustrated by the solutions used in local units of public employment services in Poland.
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Background

For many years, the concept of business models has played a key role in the implementation of strategic management mechanisms. This ontological being has become an inherent part of management science in both theory and practice. Nowadays competing by means of business models has become a reality. The peculiar configuration of tangible and intangible resources that captures value from the market through one’s own value created and supported with the understandable logic of generating income for the organization determines the development of modern entities. What is amazing is that the concept, due to its universality, can be applied not only in business but also to the rules of the functioning of social and public entities, due to the fact that collaborative advantage is of similar importance to competitive advantage in companies in the latter. In view of the above, it can be stated that the dynamics of using the concept of business models in the theory and practice of modern organizations is highly surprising. In particular, since 1995 there has been an increased emergence, among others, of a number of scientific publications in both global and local scientific journals. An even greater increase took place after 2005.

At the same time, people have always known how to organize numerous individual and collective actions at work, during a fight, in religious practices, and even during games. A well-known example of great achievements in the field of work organization is building a fleet of 120 large rowing warships for the summer campaign with Carthage in the Roman shipyards within a few months in 260 BC. This was possible due to the use of the assembly line. A similar solution was used in the 12th and 13th centuries in English manufactories for the production of arrow points. This invention of the ancient times had the largest application in the 20th century due to its introduction into the automotive industry by H. Ford.

The issue of organized human activities has been reflected on for a long time as well. The first scientific reflection of this kind emerged thousands of years before the discipline called today management sciences was developed.

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