liu.seSearch for publications in DiVA
Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • oxford
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Designing and providing integrated product-service systems: challenges, opportunities and solutions resulting from prescriptive approaches in two industrial companies
Linköping University, Department of Management and Engineering, Environmental Technology and Management. Linköping University, Faculty of Science & Engineering.ORCID iD: 0000-0003-4259-1681
Linköping University, Department of Management and Engineering, Environmental Technology and Management. Linköping University, Faculty of Science & Engineering.ORCID iD: 0000-0001-5259-8137
Linköping University, Department of Management and Engineering, Environmental Technology and Management. Linköping University, Faculty of Science & Engineering.ORCID iD: 0000-0002-5991-5542
2018 (English)In: International Journal of Production Research, ISSN 0020-7543, E-ISSN 1366-588X, Vol. 56, no 6, p. 2150-2168Article in journal (Refereed) Published
Abstract [en]

Due to customer pressure and growing competition, industrial companies are increasingly moving towards providing integrated offerings of products and services (PSS). Despite this trend, literature providing a deep understanding of the challenges associated with this transition is limited, while publications discussing approaches that focus on overcoming these challenges are particularly lacking. This article is based on a multi-case study of two Swedish industrial companies undergoing the transition to designing and providing PSS. It reports on the challenges identified at the case companies as well as opportunities arising from and solutions to these challenges. Subsequent to initial research on the challenges, prescriptive approaches such as a life cycle costing method and a PSS design method were applied in the case companies over an extended time frame. On the one hand, these prescriptive approaches provided both a deeper understanding of the challenges, which include a persistent product centred mindset, a lack of adjustment to changed incentive structures and the separation of product and service design. On the other hand, they also led to effective solutions such as focusing on customer value and introducing a PSS transition facilitator for the design team. These solutions were adapted to the situations in the respective companies and they partly went beyond the prescriptive measures first introduced. Therefore, the article shows the applicability of prescriptive approaches and methods to detect, understand and alleviate the challenges of PSS design and provision. Further, the article provides broadly applicable learning for industrial companies undergoing this process.

Place, publisher, year, edition, pages
Taylor & Francis, 2018. Vol. 56, no 6, p. 2150-2168
Keywords [en]
PSS, servitisation, design method, implementation, product–service integration
National Category
Other Mechanical Engineering
Identifiers
URN: urn:nbn:se:liu:diva-137904DOI: 10.1080/00207543.2017.1332792ISI: 000433967100005Scopus ID: 2-s2.0-85020232003OAI: oai:DiVA.org:liu-137904DiVA, id: diva2:1110611
Funder
Mistra - The Swedish Foundation for Strategic Environmental Research, 2014/16Vinnova, Strategic Innovation
Note

Funding agencies: Mistra REES (Resource Efficient and Effective Solutions) programme - Mistra (The Swedish Foundation for Strategic Environmental Research) [2014/16]; programme for Strategic Innovation - Vinnova (Swedish Governmental Agency for Innovation Systems)

Available from: 2017-06-16 Created: 2017-06-16 Last updated: 2019-04-10Bibliographically approved
In thesis
1. Effective and efficient design and provision of product-service systems: challenges, opportunities, and solutions
Open this publication in new window or tab >>Effective and efficient design and provision of product-service systems: challenges, opportunities, and solutions
2019 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

The world manufacturing companies operate in is changing. In the past, these companies relied on the design and sale of products. Today, this linear model of business is becoming increasingly insufficient. As customers are more and more focused on their core business, buying and operating machinery and other goods becomes unattractive to them. In response to this, manufacturing companies are expanding their value capture into additional stages of the product lifecycle by providing integrated offerings of products and services — Product-Service Systems (PSSs).

Designing and providing PSSs is fundamentally different from traditional product sales. Expanding to become a PSS provider is, therefore, challenging for companies with a history of designing and selling products. Departing from this, it is the aim of this thesis to support manufacturing companies in their expansion to effective and efficient design and provision of PSSs. The research reported has both descriptive and prescriptive properties, reflecting the goals of understanding the status quo in manufacturing companies’ practice and providing support based on this.

To establish a point of departure, the current design and provision of two manufacturing companies expanding their business towards PSSs was investigated. From this, an in-depth understanding of the status quo and a number of challenges emerged.

Based on this, the research had the goal to contribute to identifying and developing solutions to these challenges, with an initial focus on methods supporting PSS design and provision. However, although methods fitting to the challenges identified exist, they appear to receive limited uptake in manufacturing companies’ practice. In order to improve their practical utility, a structured method is proposed to assist users in both academia and practice in developing methods in a requirements-oriented fashion. The utility of methods in improving the efficiency and effectiveness of PSS design and provision is thereby to be enhanced.

A particular challenge for manufacturing companies expanding to become PSS providers is the change in how value is captured: Resulting from the extensive involvement throughout the lifecycle, a need for a broader, multidimensional understanding of value capture was identified. However, the manufacturing companies investigated have been found to experience challenges in grasping this change, with a focus on a product sales-centric understanding of value capture remaining prevalent. To support companies towards reaping the benefits of the expansion to PSS design and provision, methods to explore how value is currently created and captured in the use phase and how to enhance the future value capture based on that information in the design phase have been developed and applied. As a result, broadly relevant value dimensions were attained, aiming to facilitate a lifecycle-focused, effective, and efficient design and provision of PSSs.

Eventually, to broaden the understanding of effective and efficient design and provision of PSSs in practice today, the potential contributions of real-world PSSs to a circular economy were investigated based on an existing framework. The result was ambiguous, indicating both advancements compared to traditional sales and substantial room for improvement, particularly with a focus on the absolute decoupling of economic activity and resource use.

Based on the synthesis of the research results, manufacturing companies are supported in their expansion to effective and efficient design and provision of PSSs — and towards a promising future.

Place, publisher, year, edition, pages
Linköping: Linköping University Electronic Press, 2019. p. 120
Series
Linköping Studies in Science and Technology. Dissertations, ISSN 0345-7524 ; 1978
Keywords
Product-Service Systems, Servitization, Value, Design, Circular Economy
National Category
Environmental Management
Identifiers
urn:nbn:se:liu:diva-156261 (URN)10.3384/diss.diva-156261 (DOI)9789176850916 (ISBN)
Public defence
2019-05-08, ACAS, A Building, Campus Valla, Linköping, 09:15 (English)
Opponent
Supervisors
Available from: 2019-04-10 Created: 2019-04-10 Last updated: 2019-04-10Bibliographically approved

Open Access in DiVA

fulltext(431 kB)59 downloads
File information
File name FULLTEXT02.pdfFile size 431 kBChecksum SHA-512
8d08ee5897b594915c9c8ae8fb76783df9a3941cebe04a32828e14b540f72c37518d39491b8d09bfc27a2183f16ff19df7c3c59189688552b4057821451461f0
Type fulltextMimetype application/pdf

Other links

Publisher's full textScopus

Search in DiVA

By author/editor
Matschewsky, JohannesKambanou, Marianna LenaSakao, Tomohiko
By organisation
Environmental Technology and ManagementFaculty of Science & Engineering
In the same journal
International Journal of Production Research
Other Mechanical Engineering

Search outside of DiVA

GoogleGoogle Scholar
Total: 59 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

doi
urn-nbn

Altmetric score

doi
urn-nbn
Total: 1009 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • oxford
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf