The Value Model

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The Value Model™ (VM) is a holistic model of how to create unrivalled customer value in products, systems and services. The Value Model explains how customer value works and how customer value is made a practical tool – from market segmentation and discovering the business opportunity all the way to product launch. The model as a whole handles agile product development in a multi project environment. It is sometimes described as the core of UX design.

Collecting, refining and developing best practice in mindset, processes, tools and methods from Lean product development, SixSigma, Systems engineering, Value Management, Quality function deployment, Voice of the customer etc., The Value Model is a holistic framework for how to work with customer value creation and innovation in practice.

One of the success factors of The Value Model is the information structure in which the information concerning the value creation process is organized. The information structure is designed based on how the human mind works. It connects the different domains of information and phases of the development process and gives traceability with a minimum of documentation.

The model is used in parts by small product and business development projects as well as in whole R&D organizations. When used as a company strategy and as a platform for customer value development, the tools and methods support Research and Development, Market and Sales. The model help management in balancing the company resources in PD projects, long term research and technology development.

Three processes[edit]

According to The Value Model, three processes are going on in a product development project. Each process has its own recipient (or customer).

Main process – Customer Value Creation (Recipient: the satisfied customers) ”This is a process in which a product is developed, produced and delivered, based on an assessment of the future needs of the customers. It can be described as an algorithm. Information is captured and gradually refined so that a product with outstanding customer value can be created. Creativity and innovation is a prerequisite for success.”

Support process – Project Management (Recipient: the contented sponsors and owners) “This is a process in which a project is defined, divided into phases and implemented phase by phase. It is a repetitive process in which planning, implementation and reviews are repeated several times.”

Support process – Team (Recipient: the successful team) “This is a process in which a group of people is cultivated into a team. It is an organic process in that a good environment fosters the development of a productive and creative team.”


The Value Model most often wins its approval on the fact that it is common sense and that users feel they are really understanding customer value.

The fact that a number of companies very profitable products are results of using The Value Model framework makes people believe that it is the best way of working.