In an era where IP plays a crucial role in shaping competitive advantage, the sixth and final module of the Master of Intellectual Property Law and Management (MIPLM) at CEIPI with the EPO dives deep into digital business transformation. This module, curated by Prof. Dr. Alexander J. Wurzer and subject matter experts at the IP Business Academy Dr. Oliver Baldus, Hannes Burger and Ilanit Appelfeld equips IP leaders and innovation managers with strategic tools to navigate and master the dynamics of digital change.

  • Business Models and Business Planning
  • Creation and Design of New Business Models
  • Change Management
  • Digital Business Transformation

Let’s explore each part in detail — and see how they interlock to enable IP experts to drive successful digital strategies.

1 . Business Models and Business Planning

At the heart of every digital transformation lies a robust business model. The MIPLM module opens by revisiting this timeless truth: a good business model articulates how an organization creates, delivers, and captures value. But what does this mean for IP managers?

What is a business model?
Drawing from Henry Chesbrough’s seminal work on Open Innovation, a business model has six essential functions:

  • It articulates the value proposition: the benefit delivered to customers.
  • It identifies the market segment: who benefits from the technology.
  • It defines the structure of the value chain: the internal process that produces and delivers the offering.
  • It estimates the cost structure and profit potential: how money is made.
  • It describes the firm’s position within the value network: its links to suppliers and customers.
  • It formulates the competitive strategy: how the firm sustains advantage.

For IP-driven industries, intellectual property shapes many of these dimensions. A robust IP strategy can enhance a firm’s unique selling proposition (USP) by protecting critical knowledge and creating barriers to entry for competitors.

Here you will find literature on the concepts explained in the lecture in the digital IP Lexicon 🔗dIPlex:

👉 Glossary entry on Business Model

👉 Glossary entry on IP Driven Business Model

👉 Glossary entry on Competitive Advantage and IP

👉 Glossary entry on Unique Selling Proposition (USP)

What is a Business Model by Harvard Business Review

📋 The Role of Business Planning

A business plan operationalizes the business model. According to the module, a solid business plan:

  • Clarifies what the company does, who does it, how they do it, and why it matters.
  • Serves as a communication tool for diverse stakeholders — investors, employees, customers, and partners.
  • Aligns internal operations with external market realities.
  • Provides a blueprint for growth and strategic milestones.

Key components include:

  • Executive summary (crucial for investors)
  • Market analysis (drivers, size, constraints)
  • Competitor analysis
  • Marketing & sales strategy
  • Organizational structure
  • Financial projections
  • Intellectual property strategy

The IP angle is vital: licensing models, patent portfolios, trademarks, trade secrets, and know-how transfer all feed into the value proposition and revenue streams.

Practical Insights

Examples like Xerox vs. Japanese copier manufacturers, and the shift in IBM’s PC business, illustrate how tweaks in a business model can turn the tables in hyper-competitive markets. The razor-and-blade model, where the core product is sold cheaply while consumables drive profit, is a classic lesson in leveraging IP for recurring revenue.

👉 Here are the IP strategies of Xerox and Canon on copiers explained

👉 Glossary entry on Lean IP

2 . Creation and Design of New Business Models

Innovation rarely stops at refining the old — it demands new models. The MIPLM module shows that the rise of digital technologies challenges organizations to design new value propositions and explore co-creation and open innovation.

🔬 Open Innovation as a Catalyst

In traditional, closed innovation, R&D was largely in-house. The open innovation paradigm, popularized by Chesbrough, flips this approach:

  • Good ideas can come from anywhere — inside or outside.
  • Firms can license out their unused IP, or license in complementary technology.
  • Startups, suppliers, universities, and even competitors become partners.

For IP managers, this means orchestrating ecosystems. The Hilti case (included as an exercise) exemplifies this: the tool manufacturer embraced digitalization not just in products, but also in customer experience and data-driven services. This demanded a new business model canvas where IP rights protect the digital layers — from software to data analytics.

👉 Here you can find the Hilti case with solution

Co-Creation and Industrial R&D

Co-creation extends open innovation by involving partners in the value creation process. Think of Airbus vs. Boeing or LEGO’s digital designer tools — they actively invite external designers or communities to co-develop products. This reshapes the classic make-or-buy decision and unlocks new markets including open innovation.

The MIPLM slides emphasize designing value capture structures: whether through licensing, spin-offs, strategic alliances, or integrating new capabilities. Companies must decide:

  • Will they build a new venture internally?
  • Will they license out and capture royalties?
  • Will they partner with startups?
  • Will they spin off IP into separate ventures?

This strategic flexibility is crucial in tech-heavy industries where IP assets are the primary drivers of competitive advantage.

👉 Here is the case of LEGO

👉 Here is the case of Airbus vs. Boeing

👉 Here is the case of Apples Lock-In Effects

👉 Glossary Entry on Co-Creation

Henry Chesbrough explains Open Innovation

3 . Change Management

Even the most ingenious business model or co-creation scheme fails without people on board. That’s why change management is an indispensable pillar of digital transformation.

The MIPLM module highlights that managing change means:

  • Navigating the human dimension of transformation.
  • Communicating the why, not just the what.
  • Empowering teams to adapt to new ways of working.
  • Redesigning processes and structures to match the new model.

A robust change strategy involves:

  • Clear communication plans: from top-level vision down to daily tasks.
  • Stakeholder mapping: identifying champions, resisters, and influencers.
  • Training and upskilling: equipping teams with digital competencies.
  • Iterative feedback loops: adjusting the plan as adoption progresses.

One key insight: transformation is less about technology, more about people and culture. Resistance can stem from uncertainty about new roles or fear of redundancy. Successful leaders anticipate these frictions and build trust by involving employees early and visibly demonstrating commitment.

👉 Glossary Entry on Change Management

Change Management by Gavin Wedell

4 . Digital Business Transformation

The final cornerstone ties it all together: digital transformation is the real-world integration of the ideas covered above. It demands that IP professionals actively engage with new tools, platforms, and business logics.

From Pipelines to Platforms

Apple’s IP strategy — another module case — is a prime example. Apple fuses pipelines (traditional linear value chains) with platforms (ecosystems that enable third-party value creation). IP underpins both:

  • Patents protect unique hardware and design.
  • Trademarks anchor brand power.
  • Licensing agreements foster developer ecosystems.

The strategic fusion creates lock-in effects, switching costs, and powerful network effects. This is the IP manager’s new battlefield.

👉 The difference between Pipeline and Platform Business Models

Leveraging Technology Markets

The module also discusses the markets for technology — how IP becomes tradable. Licensing, technology transfer, and spin-offs transform internal know-how into external value. IP finance (like patent-backed securitization) is an emerging tool for monetizing intangible assets.

👉 Glossary entry on Technology Transfer

The Data Layer

Modern digital business models increasingly revolve around data. Products become smart, generating usage data that feeds back into product development, customer insights, or even predictive maintenance. IP rights alone may not cover this — data governance, privacy compliance, and trade secrets add new dimensions.

Case Exercises: ASICs and Modular Innovation

The slides point to the ASICs (Application-Specific Integrated Circuits) case. Modular design allows for reuse and customization, enabling flexible architectures. This reduces the “stickiness” of information and makes technology transfer smoother. It demonstrates how engineering decisions intertwine with IP, value creation, and competitive dynamics and how trades secrets are managed.

👉 Glossary Entry on Knowledge Management

👉 Glossary Entry on Trade Secret Management

👉 Glossary entry on Modular Innovation

Conclusion

This sixth module of the MIPLM is not just an academic exercise — it’s a roadmap for IP experts who want to lead their organizations through digital change. By mastering business models, designing new ones, managing change, and embracing the full potential of digital business transformation, IP managers become enablers of growth and resilience.

In the age of intangible assets, IP is no longer a defensive tool only — it’s an active driver of new revenues, partnerships, and digital opportunities.

Examination Committee for the 2025 CEIPI-EPO MIPLM: Dr. Oliver Baldus, Dr. Thibaud Lelong, Dr. Hannes Burger, Prof. Dr. Kelvin Willoghby (guest) and Prof. Dr. Alexander Wurzer

As this module of the CEIPI-EPO master program on IP management (MIPLM) shows, the future belongs to those who understand how to align IP strategy, business models, and digital capabilities into a coherent, adaptive system.