[G1] PR-3 – Architecture
Principles for designing a successful platform

WHY

BEYOND THE CORE INTERACTION

HOW

Core interaction

Re-Architecting the Platform

iterative improvement

Analyze the degree of modularity the system has ready achieved

Value unit

Filter

Participants

Producers (create value)

Consumers (consume value)

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users may perform the same role in an interaction

the same user may play a different role in differing interactions

Youtube, Airbnb, Uber

Facebook, Instagram

created by the producers who participate in the platform

foster a culture of quality control

develop filters

create "factory floor"

enable the exchange of appropriate value units between users

search query

information (location, occupancy)

Facilitate

Match

Pull

Attracting consumers

solve a chicken-or-egg problem

keeping the interest of users

create and exchange value

through the design structure matrices

the anti-design principle

leave room for serendipitous discovers

keep open mind

users lead the way to where the design should evolve

modularity

units are designed independently but still function as an integrate whole

part information into visible design rule, hide design parameters

should be precise, unambiguous and complete

Avoiding innovation, facing fail.

advantage

Innovation lead to complexity, makes the platform difficult to user

subsystems can be designed independently so long as they adhere to overall design rules and connect to the rest of the system only through standard interfaces

APPLYING THE END-TO-END PRINCIPLE

allow a visual examination of the dependencies in complex systems

attract an initial customer base β€œin every market.

Layering new interactions

Emerging from

Experience

Observation

Necessity

The ways that new interactions

By allowing users to exchange new kinds of value units

By curating existing users to create a new category of users

By introducing a new category of users

By changing the value unit exchanged between existing users

Activities that are valuable only to users should be located at the edges of the network

Reasons

The user experience will be much cleaner.

The platform ecosystem can evolve faster

best-designed platforms

A stable core layer that restricts variety

Focuses on optimizing a handful of basic operations

An evolving layer that enables variety

Provides purpose-built apps

feedbaack loop

create a constant strem of self-reinforcing activity

help to swelll the network

increase value creation

enhance network

single-user feedback loop

multi-user feedback

create an infrastructure

value create and exchange as easy as possible

lay out principles

govern interactions

reducing barriers to usage

courages interractions

helps expand participation

increasing barriers

develop intrusive rules for

curating value units

other producer-created content

encourage desirable interactions / discourage undesiralbe ones

WHAT

Producers

Consumers

value exchange

direct connection

value exchange mechanism

create mutually rewarding matches on a consistant basis

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Exchange of goods or service

Exchange of currency

Exchange of information

enables the parties to decide whether and how to engage in further exchange

every platform interaction starts with the exchange of information

physical goods and services must enable the exchange of information

inside of platform

outside of platform

youtube, facebook

uber, airbnb

continual improvement of data acquisition / analysis methods

money

attention

uber, airbnb

twitter, youtube

pay for "eyeballs" attracted

facebook advertisemant

develop an explicit data acquisition strategy

ensuring that the most relevant goods and services are exchanged

by matching the right users with one another

creates efficiencies

Balancing the three functionss

using data about

data requied for optimal matching may be extremely diverse

consumers

the value units created

producers

the goods and services to be exchanged

users vary greatly in their willingness to share dataand their readiness to repond to data-driven activity recommendations

incentives

leverge game elements

third-party providers

other factors strengthen or weaken a platform's ability to pull users

the increased attractiveness of the currency available on a platfom that is a growing size

increased by leveraging the outside networks of participants