Insurance companies are in the midst of massive disruptive change occurring as a result of new consumption models and technologies. Companies unable to keep up with the rapid pace of change run the risk of disappearing. Service Design has become an essential practice for firms competing in experiencecentred sectors. However, Service Design is not only limited to improving customer experience: it has also been proposed as an enabler for strategic and organisational change. This paper presents a case study in which Service Design was applied to foster transformative strategy and processes in an insurance company. The experiment has shown that Service Design can help companies to identify new business opportunities, as well as assisting organisational transformations. The findings in this paper show that by adopting Design-led approaches, firms can achieve faster and more flexible New Service Development processes able to significantly reduce time to market.

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This article seeks to answer the question of how value proposition is created using a human-centred approach in the context of deservitization, in general, and service dilution, in particular. The article aims to describe the journey of a company which undertook service dilution and used human-centred design to create a new product-oriented value proposition. The study adopted a research through design approach in conjunction with a single case study of an engineering and manufacturing services provider that recently initiated a service dilution process. Within the framework of university-business collaboration, a design project was developed. The main insights of the study pertain to the role of human-centred design as a way of learning and surpassing the pure exploitation of existing capabilities during the service dilution process. Learning by design is also seen as a potential alternative learning process that fuels exploration during the service dilution process.