What is the difference between Business models and Business processes?

Business models and business processes are two different concepts in the world of business, but they are closely related and often work together.

📊 Business Model:

A business model is a high-level plan for how a business intends to generate revenue and make a profit. It describes the way a company creates, delivers, and captures value. Business models typically encompass elements such as the target customer segments, value proposition, revenue sources, cost structure, and competitive strategy.
Business models are more strategic in nature and focus on how a company creates value for its stakeholders.
Business models are usually depicted in a business model canvas, which is a visual chart with elements like key partners, key activities, key resources, value propositions, customer relationships, channels, customer segments, cost structure, and revenue streams.

🔄 Business Processes:

Business processes, on the other hand, are the specific activities and tasks that are performed within a business to achieve a particular goal. They represent the operational workflows and procedures that are followed to deliver products or services to customers.
Business processes are more tactical and operational in nature, detailing the steps needed to carry out specific functions within the organization.
Business processes are often represented through flowcharts or process diagrams that illustrate the sequence of steps, decision points, and interactions involved in completing a task or achieving an outcome.

📌Source: Compiled information.

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