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Prognostics and health management (PHM) can support product‐service systems (PSS) contracts, especially in the case of high technology products where their condition and performance can be monitored. The purpose of this paper is to investigate how PHM can support effective execution of some PSS contracts and to set out the future research agenda for the development of an online simulation modelling framework that will further harness the interaction between PHM and PSS.

The research methodology commenced by collating facts and figures from the existing body of knowledge, from which a set of key findings is presented from both technical and business perspectives. Analysis of the key findings highlights the current state of PHM‐PSS interaction, the capability of existing tools and techniques and a comprehensive analysis of PSS performances, with and without PHM.

Increased demand for total asset performance from the customers has been the main driver for PSS providers to adopt PHM technology. In the case of high value assets, PHM is used to capture the condition of the assets and to feed this information back to the PSS operations management which, in turn, will be used to plan a maintenance regime, spare parts provision, as well as to mitigate the dynamic behaviour which commonly occurs in PSS. Simulation modelling, driven by asset health condition, shows a considerable potential as an effective tool to control the execution of the PSS contract. In addition to the benefits from the maintenance services, the PHM‐PSS interaction can increase the controllability of the PSS contract execution and allow future modifications to PSS contracts.

The value of this paper lies in the comprehensive analysis of the interaction between PHM and PSS, especially focusing on the interaction during the PSS contract execution. This paper demonstrates the strengths and weaknesses of existing research in the research domain, and highlights the opportunities for future research.

The purpose of this paper is to analyze the impact of interstate migration of individuals with different qualification levels on human capital formation in the migrant’s place of origin.

A dynamic panel model with data from the National Household Sample Survey (Pesquisa Nacional por Amostra de Domicílios (PNAD)), between 2001 and 2013, is used.

The results indicate that the migration of high-skilled people boosts school attendance in fifth grade elementary school and first year high school, but it does not affect the levels of those entering first year in higher education. However, the migration of low-skilled workers discourages people from entering higher education, as those living in less developed areas do not need higher education qualifications to get higher incomes. Thus, they migrate to developed areas with the education levels they already have. The brain gain hypothesis is not, therefore, confirmed in the context of higher education attendance.

This paper’s contribution is its investigation into the effect of interstate migration on human capital formation in Brazil, through testing the brain gain hypothesis in a national context. In addition, it also analyzes the impact of the migration of people of low and intermediate qualification levels on human capital, with a view to verifying if the mobility of people with other levels of qualification could discourage the formation of human capital.