Providing a method for composing modular B2B services

Abstract

Purpose -The purpose of this paper is to provide a method that allows the decollating of formerly monolithic services into separate modules. To provide a semantically equivalent decomposed model, structure and dependencies need to be defined. This fine-grained image of the service allows an easier configuration and optimisation of single service modules and the service portfolio as a whole. Design/methodology/approach -As an initial point of the work the authors conducted an extensive literature review, transferring insights from other domains that already make use of modularisation, such as industrial engineering and software engineering. The method developed on that basis was evaluated consecutively in use cases conducted with three companies. Findings -As research in the fields of industrial and software engineering has shown, modularisation is a suitable approach for handling complexity. In this paper approaches and concepts of modularisation in industrial and software engineering were identified, adapted, and transferred into the field of service engineering, resulting in a method to modularise services. Additionally, potential positive effects of modularisation were compiled.Research limitations/implications -The process of modularising in general requires three aspects: an architecture to describe the system's structure; interfaces to describe the interaction of modules; and standards for testing a module's conformity to the design rules. The method presented contributes primarily to the architecture. Further research efforts need to be conducted regarding aspects of interfaces and standards. Practical implications -Nowadays, service providers are facing growing competition, which requires greater economical efficiency. Furthermore, customers increasingly demand individualised services, which can only be offered by applying the concepts of mass customisation. Both challenges can be met with the application of the concept of modularisation. Originality/value -While service modularisation is increasingly discussed for the service domain, only little work has been done on presenting a method for a structured description. The provision of a method for describing the architecture of services and service portfolios can be used as the basis for further research regarding optimisation and configuration of service offers.

Modularizing product extension services: An approach based on modified service blueprint and fuzzy graph

“…Advantages of service modularization includes cost reduction, high service quality, service customization, flexibility, reusability, standardization, and simplification (Burr, 2005;de Blok, Luijkx, Meijboom, & Schols, 2010;Rahikka, Ulkuniemi, & Pekkarinen, 2011). Böttcher and Klingner (2011) also propose that service modularization can minimize the problems in service offerings, such as loss of economies of scale caused by no standardization of complex services, less structured planning and provision caused by no ability to handle the service complexity, reinventing or re-planning existing service offerings resulted from no opportunity to reuse existing service offerings, and suboptimal offerings derived from no or poorly documented service catalogues. van Hoek and Weken (1998) note that modularity in logistics services can help to decrease service complexity and achieve better responsiveness in terms of variety.…”

“…Böhmann and Krcmar (2006) discuss modular service architectures theoretically and give an IT industry example. Böttcher and Klingner (2011) provide a method that allows the structuring of service modules for service configuration. Bask, Lipponen, Rajahonka, and Tinnilä (2011) introduce a framework with which different customer service offerings, service production processes, and service production networks can be analyzed in terms of both modularity and customization.…”

On Service Innovation and Realization in Manufacturing Firms

“…Such characteristics prevent economies of scale, and the cost efficiency of service deployment diminishes. Furthermore, the inability to reuse elements of a resource-specific, advanced service offering demands more reinvention, which again increases costs (Böttcher & Klingner, 2011). Over time, these traits of advanced service offerings affect the profitability and productivity of many firms, especially businessto-business (B2B) service providers.…”

The Concept and Effects of Service Modularity -- A Literature Review

“…First, coming to the service focus of the article, this review demonstrates that the authors concerned with the topic apply modularity to a wide range of services, e.g., industry services (Bask et al [4], Raddats [23], Yu et al [32]), logistics services (Lin and Pekkarinen [15], Lin et al [14]), healthcare services (De Blok et al [6], business services (Böttcher and Klingner [7], Ho et al [9], Pekkarinen and Ulkuniemi [22]), banking services (Moon et al [20]), physical services (Voss and Hsuan [30]) and others. For some papers, we cannot identify a specific service focus.…”