The Last Border for Servitization

Paslauski, Carolline Amaral; Ayala, Néstor Fabián; Tortorella, Guilherme Luz; Frank, Alejandro Germán

doi:10.1016/j.procir.2016.03.056

Cited by 17 publications

(16 citation statements)

References 6 publications

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“…The results of our study highlight the blurriness of the boundaries among commodities, services, goods, experiences, and their transformations that companies experience when trying to fulfill changing customer demands, as also observed by Schwab [162] and Seidman [163]. This means that some factors (such as integration along the supply chain management) can be both a challenge and a driver at the same time.…”

Section: Discussionsupporting

confidence: 72%

“…As mentioned by Schwab [162], decision-makers are usually driven by the "traditional, linear (and non-disruptive) thinking", which does not help them recognize possible "forces of disruption and innovation shaping our future". The intention of the current paper is to present managers with a tool to understand the different challenges and drivers most commonly discussed regarding servitization in order to identify and seize innovation opportunities together with the risks that emerge, to make a comprehensive evaluation of the factors involved in the decision, together with the maturity of servitization approaches, both in its company and within the industry.…”

Section: Managerial Implicationsmentioning

confidence: 99%

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From Goods to Services and from Linear to Circular: The Role of Servitization’s Challenges and Drivers in the Shifting Process

2021

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To move closer to achieving the United Nations’ Sustainable Development Goals (SDGs), a change from the traditional paradigm of the linear economy towards the circular economy is of paramount importance. One of the key promoters of this shift is servitization, which involves a shift from a purely transactional product-selling model to customer satisfaction through providing the service inherent to the product. Although servitization is a promising field for academics and practitioners, its adoption faces different challenges and drivers that need to be understood and addressed. A latent issue is the lack of common language around the topic. In the present study, a systematic literature review has been conducted to allow the identification and classification of the main challenges and drivers. Based on the findings, we propose a classification framework that identifies, classifies, and groups common challenges and drivers to different areas of knowledge on servitization through intensity heat maps. From a managerial point of view, our results highlight the importance of embracing servitization as a collective effort from the different departments within a company.

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Section: Discussionsupporting

confidence: 72%

Section: Managerial Implicationsmentioning

confidence: 99%

From Goods to Services and from Linear to Circular: The Role of Servitization’s Challenges and Drivers in the Shifting Process

2021

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“…A final version of this manuscript has been published at the International Journal of Operations and Production Management (DOI:10.1108/IJOPM-08-2017-0484) 21 We included control variables in our regression models for servitization performance following Paslauski et al (2016). First, we considered firm size with two dummies for three main levels, following the Brazilian government definition: small (<100 employees), medium (100 to 500 employees) and large (>500 employees).…”

Section: Cfamentioning

confidence: 99%

Managing servitization in product companies: the moderating role of service suppliers

Ayala

Gerstlberger

Frank

2019

IJOPM

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Purpose-The purpose of this paper is to study service innovation in product companies (servitization) by considering the relationship (moderation) between product companies and service suppliers. Methodology-Using a relational view of the firm, we propose that there are three main business dimensions that product companies have to manage in servitization and that the support of service suppliers can moderate the effects of these dimensions on the benefits obtained from the Product-Service System (PSS) delivered. To test these hypotheses, we perform a cross-sectional quantitative survey in 104 Brazilian and Italian product companies. Findings-Our findings show that the three business dimensions are important for servitization while there is a trade-off decision regarding service suppliers' involvement since suppliers act differently depending on the PSS orientation (product or service-oriented). Research limitations/implications-Our work is limited to the analysis of what should change in a company during servitization and the impact of supplier's support. Further research is needed to complement this study by analyzing the process and context of the organizational change. Originality/value-This is one of the first quantitative studies to provide evidence of how service supplier' support affects different servitization business dimensions and the obtained benefits for both product and service-oriented outputs. Practical implications-Our research contributes an understanding about how the benefits practitioners can obtain from servitization are strongly influenced by the involvement of service suppliers and how this influence depends on the PSS orientation of the product company.

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“…Little is known about the operational implications of a strategic shift towards service or customised solutions on processes geared towards developing products for volume production. Understanding the operational implications and adaptation of capabilities demands research that captures multiple perspectives in NPD (Paslauski et al, 2016) and allows a process view of BMI (Sosna et al, 2010). For this reason, an in-depth case study is used in which the unit of analysis is the NPD process and the adaptation of capabilities within the process.…”

Section: Methodsmentioning

confidence: 99%

A design-thinking perspective on capability development

Beltagui

2018

IJOPM

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Purpose The purpose of this paper is to examine the interaction between new product development (NPD) capabilities and business model innovation (BMI) by studying the adaptation of capabilities in a manufacturing firm as it adopts a service business model. Design/methodology/approach An in-depth case study is used to identify design capabilities and document how these have been developed as the firm has adapted its NPD processes to the needs of its service business model. Findings Design capabilities are proposed as a facilitator of servitization, allowing a manufacturing firm to develop service offerings that build on resources such as knowledge and experience. Conversely, the scope of servitization is restricted by the extent to which these design capabilities can be updated to suit the demands of a new business model. Practical implications Servitization is presented as an imperative for manufacturing firms, yet research has not addressed the implications for NPD nor investigated how BMI affects NPD capabilities. This study shows the need to identify whether current NPD processes help or hinder BMI and proposes how managers can adapt NPD processes to a new business model. Originality/value A three-stage process is identified for adapting NPD processes – as BMI changes the nature of products and services required, existing processes are supplemented by design activities requiring expert knowledge, these are subsequently refined into design methods that can be incorporated into the NPD process, and eventually design tools allow automation and efficiency.

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The Last Border for Servitization

Cited by 17 publications

References 6 publications

From Goods to Services and from Linear to Circular: The Role of Servitization’s Challenges and Drivers in the Shifting Process

From Goods to Services and from Linear to Circular: The Role of Servitization’s Challenges and Drivers in the Shifting Process

Managing servitization in product companies: the moderating role of service suppliers

A design-thinking perspective on capability development

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