Lean Canvas Business Model- Lean Canvas Word Template Example

Lean Canvas Business Model, Lean Canvas Word Template & Example. Lean Canvas Model. Also, Lean Canvas Word Template, Lean Canvas Example, Lean Canvas Elements, Lean Business Model.

Lean Canvas Model

The Lean Canvas model refers to a business plan template outlining nine essential elements of the new business. In 2010, Ash Maurya developed the one-page business template and termed it the Lean Canvas Model. The lean canvas model assists entrepreneurship in pre-assume the nine essential critical ideas related to the Business.

Lean Canvas is adapted from Business Model Canvas introduced by Alex Osterwalder in 2005. Therefore, the lean canvas model is also known as the Lean Canvas Business Model.  The alternative names of the Lean Canvas are the Lean Canvas Model, Lean Business Canvas, Lean Business Model, Lean Startup Canvas, and Lean Canvas Online.

Lean Canvas Business Model

Lean canvas business model refers to a one-page business plan template describing nine key idea elements related to the market: problem, solution, unique value proposition, unfair advantage, customer segments, key metrics, channels, cost structure, and revenue structure. However, the additional elements of the lean canvas model are existing alternatives, high-level concepts, and early adopters. It replaces detailed business plans with a concise and single-page business template. 

History of the Lean Business Model

Lean Canvas Business Model is adopted from Business Model Canvas and Business Model Canvas was adapted from Business Model Ontology. In 2004, Alex Osterwalder introduced Business Model Ontology for digital business. After one year, In 2005, he introduced the Business Model Canvas based on the previous theory “Business Model Ontology.” In 2010, Ash Maurya introduced the Lean Canvas model for entrepreneurship to start a new business with concise information regarding the business, including problem, solution,  target audiences, competitors, and so more.

Lean Canvas Example – Word File Download Link

Lean Canvas Word Template

Lean Canvas Business Model- Lean Canvas Word Template Example
Figure 1: Lean Model Canvas
How to Fill Out a Lean Canvas
Lean Canvas Business Model- Lean Canvas Word Template Example
Figure 2: Instruction To Fill out Lean Model Canvas

lean canvas business model example

BambooS- An Eco-Friendly Company in Malaysia

BambooS is an environment-friendly company in Malaysia that produces bamboo straws. Nowadays, restaurants do not provide plastic straws due to polluting the ocean extremely. So, the BambooS has come up with straw made by Bamboo. These products are cheap, portable, reusable, and decomposable. The government of many countries, including Malaysia, has given directives to reduce the use of plastic. Therefore, many restaurants, including McDonald’s, KFC, PizzaHut, and Nando’s, do not provide plastic straws. It is really difficult to drink juice without a straw; hence BambooS has started to sell portable and reuseable bamboo straw.

It is an example of a Lean Canvas template filled out by BambooS, an eco-friendly company in Malaysia. The student at University Putra Malaysia students completes these lean startups for assignment purposes. However, entrepreneurship also follows the same instructions to complete the lean canvas template. Hopefully, it will assist you in obtaining ideas on how to fill out a lean canvas.

Lean Canvas Business Model- Lean Canvas Word Template Example

The Lean Canvas example will help you to know how to fill the lean canvas word template. The author has attached a blank and filled lean canvas word template for entrepreneurship. It will definitely assist the new businessmen to start new business wisely.

The 9 Elements of the Lean Canvas Business Model are:
  1. Problem
  2. Solution
  3. Unique Value Proposition
  4. Unfair Advantage
  5. Customer Segments
  6. Key Metrics
  7. Channels
  8. Cost Structure
  9. Revenue Structure
1. Problem

Firstly, as an entrepreneur, you have to identify some existing problems that you want to solve with the new products and services. It is very crucial to find out at least three essential problems that your product and service will solve completely. Therefore, the entrepreneur needs to list down three problems under the problem section in the lean canvas.

For example, according to BambooS’ lean canvas, the three problems are environmental pollution, one-time use, and restaurants do not provide plastic straws now. So, BambooS is a new company that has outlined these three problems.

2.Solution

The solution is the goal of your business. So, you must have to outline the solution to the problems mentioned in the problem section. The solutions have to be concise, significant, and capable enough to resolve the problems.

For example, according to figure 3, the three solutions are eco-friendly products, reusable and portable. These three proposed solutions are sufficient to resolve the problems.

3. Unique Value Proposition

A unique value proportion refers to a commitment of value that the product or service will definitely provide. It is the fundamental reason for what the customer will buy the products or services. So, you have to differentiate your product or services from others to grab customer’s attention. The unique value proposition also represents the company tagline somewhat relevant to the mission and vision.

For example, the unique value proposition of the BambooS products is bamboo straws- reusable and eco-friendly products, customized products- different sizes and made by natural material. The tagline is Grab me with zero pollution to save the planet.

4. Unfair Advantage

Unfair advantage denotes something of the company that competitors will not be able to replicate. It is an exceptional quality of the product or services that makes the company distinguished. However, it would help if you had to remember that your unfair advantages are sustainable. 

For example, BambooS’ company’s unfair advantages are the new eco-friendly product in the market, unique packaging with pouch bag made by jute, and providing engraved service. These unfair advantages are sustainable and exceptional that no company offers now in Malaysia. 

5. Customer Segments

The problems and customer segments are interconnected issues; because the customers create problems. So, the problem can not endure without customers.  Additionally, customers are the consumer of your products and services. Therefore, you have to analyze your target customer before identifying the problems. Some questions related to the customers should be kept in mind to segment customers, such as where your customer lives, the economic conditions, the demographic factors, and so more. Customer segmentation is also known as demographic, geographic, psychographic market segmentation.

For example, the BambooS authority has chosen the University Putra Malaysia to target audiences. Additionally, they have included Cafe and Restaurant at UPM, Facebook and Instagram Users, and eCommerce Marketplaces (Lazada & Shopee Users) to the customer segment section. 

6. Key Metrics

Key metric refers to the factors that the company owner measure to run the business properly. The key metric drives the performance of the business, so the owner must need to focus on these factors to keep the record. Actually, key metrics are the statistical data related to market share, consumers, number of new users, revenue per customer, and so more. For example, how many followers of the social media pages and the monthly sales revenue. Sometimes, management invests in marketing based on the key metrics data. Every company invests to get

For example, the three key metrics of the BambooS company are active community growth rate at UPM and bamboo straw users, Social media page followers and monthly selling rate, and customer’s positive feedback vs. sales revenue. These data will definitely help the authority to adopt a strategic marketing policy to increase sales revenue. If the company can sell the product properly on social media platforms compared to offline sales, they definitely focus on increasing followers on social media pages to earn more. 

7. Channels

Channels are the media in which management reaches the customers. The channel plays an essential media in conducting a marketing campaign.  There are many types of channels or media that allow you to reach customers as well as regulate campaigns. The two most important types of communication channels are offline and online channels. The offline channels are face-to-face marketing, placard, banner, festoon, Newspaper, TV, and radio.

On the other hand, online media are social media platforms, e-commerce sites, and website traffic. Usually, the market analyzer researches the customer’s background to decide which channels they want to use to conduct a marketing campaign. Nowadays, most companies utilize e-commerce and social media channels to conduct digital marketing. The covid-19 pandemic has changed people’s lifestyles, business patterns, and education procedures. Nowadays, many organizations are using online meeting platforms to conduct organizational meetings as well as regulate business properly.

For example, the BambooS’ authority has chosen Facebook, Instagram, LinkedIn, company official website, Lazada, Shopee, and  Word-of-mouth marketing- WOM for the UPM community.  

8. Cost Structure

Cost structure refers to the costs of launching the new business, for example, equipment acquisition costs, marketing costs, operational costs, and website domain and hosting costs. According to a statistic report, around 90 percent of new companies fail to operate the business due to not considering the total cost of starting and driving the business. Therefore, the owner needs to launch a new business after arranging the full payment.

For example, the BambooS’ authority outlines the sectors where they have to invest money to launch business initially. The list is following:

  • Purchasing Bamboo, Pouches, Coconut fiber cleaning brush, and Paper box.
  • Delivery fee.
  • 3D Printing service cost.
  • Website design and online Paid-advertising.
9. Revenue Structure

Revenue is the key performance indicator of a company. The factors of the company performance and the revenue has a positive relationship that influences each other. Revenue structure is also known as a revenue stream. You have to assess and set the price of the product before releasing it to the market. Many companies make the mistake that set a meager price when launching the product in the market.

The minimum price may bring an adverse impact on business. It damages the future probabilities of your business. Firstly, you might lose a customer when increasing your product price later. The price module must be tested several times through multiple ways to catch the market by the products. The revenue structure depends on the types of business, whether you want to sell products or services. It also depends on whether the company is online platforms based or physical market-based.

For example, BambooS includes the factors to the revenue model, such as physical product selling, launching price is not so much low or high, and online selling price lower than direct selling.

Difference Between Lean Canvas and Business Model Canvas

Lean Canvas Business Model- Lean Canvas Word Template Example

Firstly, Ash Maurya developed the Lean Canvas Model in 2010, whereas Alex Osterwalder introduced the Business Model canvas in 2005.

Secondly, the nine basic elements of the lean canvas model are the problem, solution, unique value proposition, unfair advantage, customer segments, key metrics, channels, cost structure, and revenue structure. On the other hand, the nine fundamental elements of the Business model canvas are customer segments, value propositions, channels, customer relationships, revenue streams, key resources, key activities, key partnerships, and cost structure.

Additionally, the Lean canvas model is suitable for new entrepreneurship who want to start a new business and startup. In contrast, Business Model Canvas is suitable for an existing business.

Usually, entrepreneurship, founder, and investor of the company apply the lean canvas model. However, the senior manager, marketing manager, and operation manager utilize the business model canvas to yield positive outcomes from the business.

Moreover, the purpose of applying lean canvas is to identify the problem and solution to fit new entrants. On the other hand, the objective of using the Business model canvas is to understand the existing market and identify opportunities.

Furthermore, the basis of the lean canvas model indicates testing ideas, assessing the assumption, and focusing on the value proposition. In contrast, the basis of the Business model canvas shows advance and progressive innovation.

Lean Canvas Versus Business Model Canvas

Lean Canvas Business Model, Lean Canvas Word Template & Example

Lean Model Canvas Example For Google

A sample of a lean model canvas of Google has been presented here for a better understanding of how to fill out the template.

Lean Canvas Business Model, Lean Canvas Word Template & Example

Lean Model Canvas Example For YouTube

Lean Canvas Business Model, Lean Canvas Word Template & Example

Models of Communication, 3 Types of Communication Models Linear, Interactive & Transactional

Models of communication- 3 Types of Communication Models Linear, Interactive and Transactional. Also, Linear Model of Communication, Interactive model of communication and Transactional model of communication.

Models of Communication

Communication models refer to the conceptual frameworks or theories that explain the way of human communication. It also represents the entire process of communication between the sender and the receiver. The communication model tries to answer the 5Ws and 1H questions; for example, what is it? Who is involved in this process? When does it happen? Where does it take place? Why does it occur? And finally, How does it happen?

Additionally, communication models explain the element of the communication process, for example, context, sender, receiver, encoding, decoding, channel, message, feedback, and noise. These are the nine components of communication that describe the entire process of communication. However, some communication models do not have all these elements or features. For example, the linear model of communication does not have feedback. The communication model also explains the factors that prevent effective communication, known as barriers or noise in communication. Communication barriers or communication noises bar effective communication processes.

 Types of Communication Models

The three types of communication models are;

  1. Linear Models of Communication
  2. Interactive Models of Communication
  3. Transactional Models of Communication

The three types of communication models are the Linear Models of Communication, the Interactive Models of Communication, and the Transactional Models of Communication. A list of the best communication models, including the established year, has been outlined below to obtain more knowledge as well as better understanding. The types of communication models have also been discussed in the communication model’s table.

Models of communication, 3 Types of Communication Models Linear, Interactive and Transactional.
Figure 1: Types of Communication Models Linear, Interactive and Transactional.
1. Linear Models of Communication

The linear model of communication is a one-way interaction where feedback is not present. Linear is the primary communication model; whereas, the transactional model is formed based on the linear model. The sender communicates with the receiver without receiving feedback. It also represents the one-way process of communication.

Many scholars have established linear communication models, such as Aristotle’s Model of Communication, Shannon-Weaver Model of Communication, Lasswell’s Model of Communication, Berlo’s SMCR Model of Communication, etc.

Linear Model of Communication Example
Communication Models Year
Aristotle Model of Communication. 300BC
Shannon-Weaver Model of Communication. 1948
Lasswell’s Model of Communication. 1948
Berlo’s SMCR Model of Communication. 1960
2. Interactive Model of Communication

The interactive model of communication refers to the two-way method of communication with feedback. However, feedback is not simultaneous, so it provides slow and indirect feedback. Sometimes, the communication can be linear if receivers do not reply to senders. The interactive model of communication indicates mediated and internet-based communication. For example, Osgood-Schramm Model of Communication and Westley and Maclean’s Communication Model are interactive communication models.

Interactive Model of Communication Example
Osgood-Schramm Model of Communication 1954
Westley and Maclean Model of Communication 1957

3. Transactional Model of Communication

The transitional model of communication seems like a two-way process of communication with immediate feedback. Simultaneous feedback is the essential component of the transitional models of communication. Additionally, the feedback is direct and very fast. The receiver is compelled to provide feedback. Examples of transitional communication models are Wilbur Schramm’s model of communication, Barnlund’s transactional model of communication, Dance’s Helical model of communication, Eugene white’s communication model and so more.

Transactional Model of Communication Example

Wilbur Schramm Model 1954
Barnlund’s Transactional Model 1957
Eugene White’s Model 1960
Dance’s Helical Model of Communication 1967
Different Models of Communication Process

The author will outline and discuss the different types of models in communication; for example, Aristotle’s Model of Communication, Lasswell’s Model of Communication, Shannon–Weaver’s Model of Communication, Berlo’s Model of Communication.

Aristotle Model of Communication

Aristotle’s model of communication refers to the communication model with the elements of speaker, speech, occasion, audience, and effect. In 300 BC, Aristotle developed a linear communication model that mainly focuses on the speaker and messages. Controversially, it is the first model of communication. Aristotle’s model of communication consists of five elements of the primary communication process, for example, Speaker, Speech, Occasion, Audience, and Effect. The speaker plays a crucial role in communication because the speaker sets the message to deliver. However, the speech of the speaker is a message that might vary on occasion.

Aristotle's model of communication
Figure 2: Aristotle Model of Communication

For example, a political leader (speaker/sender) delivers a speech to persuade the voter to vote for him in the election. The political leader is the most important person here who is providing the message or information. The speech is the message that the leader delivers to influence the voters to vote for him. The election is the occasion, and the speech or message of the speaker is set based on the occasion. A political leader might not deliver the same kind of speech before and after the election. Finally, the effect refers to the level of motivation of the voters whether they are motivated to cast a vote for him or not.

Lasswell’s Model of Communication

Lasswell’s model of communication was introduced by political scientist and professor Harold Lasswell in 1948. It is a linear model of communication that also represents the style of one-way communication or interaction. Lasswell’s explains the process of communication by answering the following questions;

  • Who?
  • Says What?
  • In Which Channel?
  • To Whom?
  • With What Effect?
Models of Communication- Lasswel's model of linear communication model
Figure 3: Lasswell’s Model of Communication

Example of Lasswell’s Model of Communication

For example, the BBC News channel has telecasted news regarding the negative impact of social media in spreading fake and misleading information. It also shows how social media can affect people physically and mentally. Finally, they recommend some tips on how to stop spreading fake and disinformation via social media. Based on the set of questions outlined by Lasswell’s communication model and the example, firstly, the answer to “Who” is the news presenter of the BBC News Channel. Secondly, Says What indicates that people use social media to spread fake and misleading information. Thirdly, the answer to the question of “In which Channel” indicates the BBC News Channel. Additionally, “To Whom” refers to the people who are watching this channel. Finally, With what effect shows the awareness.

Shannon–Weaver Model of Communication

Shannon-Weaver model of communication was established by two American scholars Shannon and Weaver, in 1948. The Shannon-Weaver model is called the mother of all communication models; although, it is a linear communication model.  At first, this model was designed to articulate the process of technical communication. Later, it discusses the process of effective communication. The Shannon-Weaver model represents the essential six communication elements: information source, transmitter, channel, receiver, destination, and noise source. This model does not represent feedback; therefore, it is a linear model of communication. Later, this model has been criticized by many other scholars for not having feedback. Feedback is a vital element to create the communication process more interactive and effective. However, Norbert Weiner added the Feedback element to the model.

Shannon–Weaver Model of Communication Example
Shannon–Weaver Model of Communication Example
Figure 4: Shannon–Weaver Model of Communication Example

What is the established date of the Shannon-Weaver model?

The Shannon-Weaver model was introduced in 1948. Although there is conversely regarding the establishment year of the Shannon-Weaver model, in 1948, it was introduced by Claude Shannon through his article name Mathematical Theory of Communication. In 1949, Warren Weaver reprinted the previous article adding more information. So, it is safe to say that the Shannon-Weaver model was introduced in 1948.

Berlo’s Model of Communication

Berlo’s Model of Communication means the SMCR model that includes the element of Source-Message-Channel-Receiver. David Berlo developed Source-Message-Channel-Receiver in 1960. It is also known as the David Berlo SMCR model of communication. However, Berlo invented this model based on the Shannon-Weaver communication model (1949).

David Berlo’s SMCR Model of Communication Example
Berlo’s SMCR Model of Communication
Figure 5: David Berlo’s SMCR Model of Communication
Osgood-Schramm Model of Communication

Osgood-Schramm Model provides a two-way form of communication. Osgood proposed that the communication process is circular rather than linear. So, the person plays a role as the sender and receiver of the message simultaneously. The person receives the message and interprets it to provide feedback. However, Wilbur Schramm adopted the concept from the theory of another scientist Charles Egerton Osgood. Therefore, it is known as the Osgood-Schramm Model of communication.

The elements of the Osgood-Schramm Model are Interpreter, Encode, Decode, and Message.

Osgood-Schramm Model of Communication Example
Osgood-Schramm Model of Communication
Figure 6: Osgood-Schramm Model of Communication
Westley and Maclean Model of Communication

Westley and Maclean’s model is an interactive model of communication that examines the communication process between sender and receiver. Bruce Westley and Malcolm S. MacLean Jr. established the model in 1957. Westley and Maclean’s model of communication was adapted from Newcomb’s model of communication and Lewin’s change model. It represents the two-way process of communication; so, feedback involves in this model. It also explains interpersonal and mass communication. The feedback is indirect and slow in mass communication; whereas, feedback is direct and fast in interpersonal communication. According to Westley and Maclean’s model,  A represents sender, B represents receiver and C represents mass media.

Importance of Models of Communication

Communication models are essential tools to understand the communication processes. Communication models present detailed information regarding the communication process as well as illustrate the flow of information. Therefore, they have a tremendous positive impact on the research because of introducing many conceptual frameworks of communication processes. Additionally, the model introduces the elements of the communication process. Furthermore, the model of communication provides tips on how communicators can communicate effectively. They also represent the barrier or noise that obstacle the process of communication. They also explain the complexities of the communication system. Finally, the model proposes to bring improvement in the communication process to avoid conflict.