Study of Relation between Business Model and Sensemaking Decisions

Innovation of the business model is mainly proposed in an environment that is changing and undergoing some complexity. The function of sense-making has eliminated this ambiguity, and helps the organization direct the business model, which is identified by organizational senior decision makers. This research has studied the relationship between organizational sense-making capability and the business model innovation. The dynamic factors of the environment and the characteristics of the senior management team are described as moderating variables of this relationship. By conducting this survey in the ICT industry, on 287 sample organizations, the significant relationship between the sense-making and the business model innovation was confirmed by means of PLS-SEM. The dynamics of the business environment, the level of education of the senior management team and the comparative strategies of the organization have been identified as the moderating factors for this relationship.

Keywords:

Business environment dynamism , Business Model Innovation , Strategic sensemaking , Strategy topology , Top management team