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Sustainable product service systems enable firms that are operating under resource limitations to deliver the best possible outcomes in terms of social well-being and economic growth. However, prior studies have not yet investigated the function of service innovation in sustainable product service systems or analyzed the convergence of importance and performance weighting in maximizing resource utilization in the supply chain. Moreover, prior studies have not yet integrated and proposed a complex interrelationship-driven hierarchical model including qualitative preferences or identifying weighting under linguistic preferences. This study applied the fuzzy Delphi method, fuzzy importance performance analysis and an analytical network process to analyze an interrelationship-driven hierarchical model of service innovation in sustainable product service systems. Hence, this study provides a set of attributes and a hybrid method to assess the model as well as linguistic preferences to weight the importance and performance measures. The results present four features that are included in the model: sustainable consumption, collaborative advantage, innovation activities and service innovation capabilities. Therefore, when building sustainable product service systems, firms should maintain operations and aim for business synergy in self-generated innovative products/services along with high-quality products/services, collaboration innovation and product and service innovations. Managerial and theoretical implications are discussed.

To achieve sustainability, the circular economy (CE) concept is challenging traditional linear enterprise models due to the need to manage geographically distributed product life cycle and value chains. Concurrently, Industry 4.0 is being used to bring productivity to higher levels by reducing waste and improving the efficiency of production processes via more precise real-time planning. There is significant potential to combine these two frameworks to enhance the sustainability of manufacturing sectors. This paper discusses the fundamental concepts of Industry 4.0 and explores the influential factors of Industry 4.0 that accelerate the sharing economy in the CE context via a case of electric scooters in Taiwan. The result shows Industry 4.0 can provide an enabling framework for the sharing economy in CE implementation.

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