Smart Service Systems and Viable Service Systems: Applying Systems Theory to Service Science

Abstract

he objective of this paper is to review recent developments in service theory and systems theory with a view to identifying common features between the two. In particular, the study explores the issue of whether so-called 'smart service systems' can be understood in terms of the 'viable systems approach' of systems theory. The paper begins with a review of recent developments in service theory by examining the fundamental principles of service-dominant logic (S-D logic) and service science (SS). The similarities and differences of the two are explored, with particular emphasis on the common feature of the service system. The study then moves to the realm of systems theory by exploring the main proposals of the viable systems approach (VSA), which is an interdisciplinary systems theory that includes elements derived from resource-based theory, biology, sociology, and mechanics. The paper then draws together service theory and systems theory by examining whether 'smart service systems' can be best understood in terms of 'viable service systems'. The most important finding of the study is that the VSA provides valuable insights into the design and management of smart service systems, especially with regard to harmonisation, systems governance, and successful value co-creation processes.

Enabling a transformative service system by modeling quality dynamics

“…It indeed highlights the centrality of continuous interactions, reticular relationships and value co-creation (Barile and Polese, 2010). In this context, studies also highlight the importance of viability in service systems by transforming socioeconomic relationships, which is a critical component of value co-creation in S-D logic (Barile and Polese, 2010;. The extant literature also argues that the viability of service systems is dependent on service excellence or quality of the overall service systems (Lusch et al, 2010 ;.…”

“…A service system is a complex and dynamic network structures that consist of people, technologies, and other resources as an integrated whole influencing satisfaction and value creation (Edvardsson et al, 2011). It indeed highlights the centrality of continuous interactions, reticular relationships and value co-creation (Barile and Polese, 2010). In this context, studies also highlight the importance of viability in service systems by transforming socioeconomic relationships, which is a critical component of value co-creation in S-D logic (Barile and Polese, 2010;.…”

The interaction type approach to relationships management

“…The VSA comprises 10 fundamental concepts (FCs) that concern structure and dynamics of social systems. These fundamental concepts, together with several key related principles, can be found in Barile and Polese (2010), Barile et al (2012) and in Polese and Di Nauta (2013).…”

A Service Science View of a Sustainable Destination Management

“…Subsequently, interaction becomes a value driver that allows for service systems to develop a joint process of value creation, service systems can create competitive advantages by improving reticular relationships (Lusch, Vargo, & Tanniru, 2009). Therefore, the value generation process of a destination and related management models both refer to a co-creation logic in which territorial actors actively participate within a sophisticated organization (Crouch, 2006), a production district, a social system or a smart service system (Spohrer, 2010;Barile & Polese, 2010Demirkan, Spohrer, & Krishna, 2011a, 2011b. In tourism destinations, achieved mechanisms of co-production and a universal image for communications and marketing allow for the entire system to take on the role of real resource integrator, with distinctive features and specific final goals.…”