e3value user guide

1.3 Value models

E3value is a language and set of analysis techniques to represent and analyse value networks. A value model is a representation of a value network in e3value .

A value model does not represent processes but economic exchanges in which two or more parties exchange something of value for them. It does not represent when and how these exchanges take place. It represents

A value model represents a value network during a period of time, called the contract period. The exchanges among actors represented in the value model are agreements about what objects of economic value the actors will exchange during the contract period.

e3value represents just enough to be able to make revenue estimations and net present value estimates for actors in the network. To do this you annotate a model with estimates of market size, number of customer needs and the monetary value of object exchanges among actors. Our supporting tools can then compute assessment of commercial viability and well-being for a contract period, and can do net present value flow estimations for a sequence of contract periods.