Based On The Profitability Of The Business Model Of Organizational Innovation

This paper intends to create a mode of profit based on organizational innovation to fit the fast development of information technology and the requirement of the change from hierarchical and transverse organizational form to network organizational form. Organizational innovation includes innovation of organizational culture , organizational structure and organizational flow in this paper. That analyzing principles how innovation of organizational culture , organizational structure , organizational flow and information technology reach value increase sets up a bridge for the relationship between organizational innovation an profit model. The design of profit model should start from enterprise's strategy and assemble enterprise's existing resources, the result of that is to increase the profit return to stakeholders. The paper explains how enterprise's strategy, value chain, operation flow and organizational culture create profit in the course of organizational innovation, then realize the establishment of enterprise's profit model. The paper also analyze revenue model and cost model of network organizations and the development of enterprise's profit model, then to provide evidence for enterprise establishes its model. In the end, aim at the development of network enterprises, summarize the profit models of network enterprises in our country. The case of HaiEr Bloc demonstrates this paper's theories.