The role of competence in initiating the transition from products to service
Managing Service Quality: An International Journal
ISSN: 0960-4529
Article publication date: 4 September 2009
Abstract
Purpose
The aim of this paper is to suggest a new competence‐based framework for describing and analysing the initiation of the transition of goods‐dominant companies to service providers. The paper seeks to illustrate the relevance of the new framework in an empirical study of a knowledge‐intensive mechanical engineering company.
Design/methodology/approach
A single‐case study of the world's leading maker of tool steel forms the empirical basis for the paper. A study based on a qualitative research methodology, involving inductive inquiry and a field study over six years focusing on “narratives from the field” was conducted.
Findings
New competencies are needed to initiate the transition from products to service and to manage service‐based offerings. The findings are summarised in two categories. The first, “customer value socialisation”, refers to the sharing of experiences and knowledge among employees. The second, “customer value management”, refers to management's ability to encourage employees to create value‐in‐use for the customers.
Originality/value
The study contributes to the literature by: focusing on issues related to competence (rather than organisational structures and strategy); identifying “customer value socialisation” and “customer value management” as the important dimensions for engendering competence in employees; and introducing the concepts of “unfreezing”, “movement”, and “refreezing,” into the management of the necessary cultural change that must accompany the transition.
Keywords
Citation
Bjurklo, M., Edvardsson, B. and Gebauer, H. (2009), "The role of competence in initiating the transition from products to service", Managing Service Quality: An International Journal, Vol. 19 No. 5, pp. 493-510. https://doi.org/10.1108/09604520910984346
Publisher
:Emerald Group Publishing Limited
Copyright © 2009, Emerald Group Publishing Limited