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1 – 10 of 585Daniel Kindström and Christian Kowalkowski
This article aims to investigate the nature and characteristics of business model elements required for successful service innovation. The authors examine which unique resources…
Abstract
Purpose
This article aims to investigate the nature and characteristics of business model elements required for successful service innovation. The authors examine which unique resources and capabilities product-centric firms should develop and deploy to pursue service innovation.
Design/methodology/approach
Data collected from several research projects support iterations across empirical data and theory, in an abductive process. Empirical data come from product-centric firms; interviews and focus groups were the main data collection methods.
Findings
Specific resources and capabilities are needed for the proposed business model elements, as defined by the overarching strategy and structure. Firms can approach the process of service innovation from different starting points and sequences, depending on the context.
Research limitations/implications
Because it takes a synthesizing approach, this research lacks some detail. By taking a business model approach with a holistic perspective, it forgoes detailed descriptions to provide greater breadth.
Practical implications
Managers can use business models as tools to visualize changes, which should increase internal transparency, understanding, and awareness of service opportunities and necessary changes. Dependencies exist among elements; a change in one element likely affects the others. This study provides insights into which efforts are necessary and offers managers a guiding framework.
Originality/value
By providing a multidimensional perspective on service innovation, this study merges various previous research into a synthesized discussion. Combining a resources and capabilities perspective with a business model framework also leads to new insights regarding service innovation and associated activities.
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Anna Salonen, Onur Saglam and Fredrik Hacklin
The purpose of this paper is to explain why product-centric manufacturers utilize advanced services not as vehicles of transformation, but of reinforcement, to strengthen their…
Abstract
Purpose
The purpose of this paper is to explain why product-centric manufacturers utilize advanced services not as vehicles of transformation, but of reinforcement, to strengthen their established business model logic based on selling products and basic product-related services.
Design/methodology/approach
The empirical basis of this study relies on an in-depth case study of a globally operating manufacturer of industrial pumps and related services. The data includes 31 interviews conducted over several years of in-depth collaboration with the studied firm.
Findings
Product-centric manufacturers utilize advanced services as engagement platforms to facilitate the external and internal engagement of the actors and the resources controlled by them. Externally, advanced services facilitate access to customer decision makers and insights into their latent needs. Internally, advanced services help the manufacturer to more effectively leverage resources that reside within its different organizational units. Ultimately, in leveraging advanced services as engagement platforms, the manufacturer seeks to boost activities with the greatest immediate impact on its market performance: the sale of products and basic product-related services.
Practical implications
The study explains why managers should invest into development of advanced services even if such services contribute only marginally to the manufacturer’s direct revenues and profits.
Originality/value
This study contributes to development of an alternative explanation of servitization that departs from the current paradigmatic assumptions in the field.
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The purpose of this paper is to articulate a customer-centric logic to explain the strategic behavior of multi-product corporations whose portfolio of complementary product…
Abstract
Purpose
The purpose of this paper is to articulate a customer-centric logic to explain the strategic behavior of multi-product corporations whose portfolio of complementary product offerings belong to diverse industries.
Design/methodology/approach
The paper develops a theoretical framework to explain the heterogeneity in multi-product corporations ' motivation and ability to leverage the demand-side strategic assets developed in their home-markets to enter new markets and thereby improve their long-run corporate performance.
Practical implications
The paper includes implications for strategic behavior of multi-product corporations in various industrial sectors such as telecommunications, financial services, consumer discretionary and staples, real estate, and so on.
Originality/value
The profitable applicability of demand-side strategic assets to new contexts should be explained both by the motivation of multi-product consumers (to purchase a portfolio of complementary products from a diversified seller) as well as the motivation of multi-product corporations (to leverage their demand-side strategic assets to enter new markets).
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Christian Kowalkowski, Jochen Wirtz and Michael Ehret
Technology-enabled business-to-business (B2B) services contribute the largest share to GDP growth and are fundamental for an economy’s value creation. This article aims to…
Abstract
Purpose
Technology-enabled business-to-business (B2B) services contribute the largest share to GDP growth and are fundamental for an economy’s value creation. This article aims to identify key service- and digital technology-driven B2B innovation modes and proposes a research agenda for further exploration.
Design/methodology/approach
This conceptual paper adopts a techno-demarcation view on service innovation, encompassing three core dimensions: service offering (the service product, or the “what”), service process (the “how”) and service ecosystem (the “who/for whom”). It delineates the implications of three digital technologies – the internet-of-things (IoT), intelligent automation (IA) and digital platforms – for service innovation across these core dimensions in B2B markets.
Findings
Digital technology has immense potential ramifications for value creation by reshaping all three core dimensions of service innovation. Specifically, IoT can transform physical resources into reconfigurable service products, IA can augment and automate a rapidly expanding array of service processes, while digital platforms provide the technical and organizational infrastructure for the integration of resources and stakeholders within service ecosystems.
Originality/value
This study suggests an agenda with six themes for further research, each linked to one or more of the three service innovation dimensions. They are (1) new recurring revenue models, (2) service innovation in the metaverse, (3) scaling up service innovations, (4) ecosystem innovations, (5) power dependency and lock-in effects and (6) security and responsibility in digital domains.
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Joy M. Field, Liana Victorino, Ryan W. Buell, Michael J. Dixon, Susan Meyer Goldstein, Larry J. Menor, Madeleine E. Pullman, Aleda V. Roth, Enrico Secchi and Jie J. Zhang
The purpose of this paper is to present exciting and innovative research questions in service operations that are aligned with eight key themes and related topics determined by…
Abstract
Purpose
The purpose of this paper is to present exciting and innovative research questions in service operations that are aligned with eight key themes and related topics determined by the Journal of Service Management (JOSM) Service Operations Expert Research Panel. By offering a good number of such research questions, this paper provides a broad range of ideas to spur conceptual and empirical research related to service operations and encourage the continued creation of deep knowledge within the field, as well as collaborative research across disciplines that develops and incorporates insights from service operations.
Design/methodology/approach
Based on a Delphi study, described in the companion article, “Service Operations: What Have We Learned?,” the panel identified eight key research themes in service operations where leading-edge research is being done or has yet to be done (Victorino et al., 2018). In this paper, three or four topics within each theme are selected and multiple questions for each topic are proposed to guide research efforts. The topics and questions, while wide-ranging, are only representative of the many ongoing research opportunities related to service operations.
Findings
The field of service operations has many interesting research topics and questions that are largely unexplored. Furthermore, these research areas are not only increasingly integrative across multiple themes within operations but often transcend functional disciplines. This creates opportunities for ever more impactful research with a greater reach throughout the service system and suggests that service researchers, regardless of functional affiliation, can contribute to the ongoing conversation on the role of service operations in value creation.
Originality/value
Leveraging the collective knowledge of the JOSM Service Operations Expert Research Panel to expand on the research themes generated from the Delphi study, novel questions for future study are put forward. Recognizing that the number of potential research questions is virtually unlimited, summary questions by theme and topic are also provided. These questions represent a synopsis of the individual questions and can serve as a quick reference guide for researchers interested in pursuing new directions in conceptual and empirical research in service operations. This summary also serves as a framework to facilitate the formulation of additional research topics and questions.
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María-Luz Martín-Peña, José-María Sánchez-López and Eloísa Díaz-Garrido
This paper aims to present a comprehensive framework that integrates the emerging trends of servitization and digitalization in manufacturing. The influence between digitalization…
Abstract
Purpose
This paper aims to present a comprehensive framework that integrates the emerging trends of servitization and digitalization in manufacturing. The influence between digitalization and servitization is defined and quantified. Their contribution to firm performance is analyzed.
Design/methodology/approach
This paper presents a theoretical model that captures the relationships between the analyzed variables. Drawing on the Spanish Business Strategy Survey, hypothesis testing is conducted using data on 828 Spanish industrial firms. Linear regression models are built to capture the effect of each variable on firm performance and the type of interaction between the variables.
Findings
Servitization and digitalization are positively related to firm performance. Digitalization positively mediates the relationship between servitization and firm performance. The mediating effect of digitalization contributes to differentiating between the direct and indirect effects of servitization on firm performance.
Practical implications
The paper provides a useful analysis framework for firms to evaluate servitization and digitalization as success strategies. It is proposed that firms must simultaneously commit to digital transformation and the incorporation of services to create value, especially in business-to-business settings. Servitization and digitalization interact to exert a greater influence on performance.
Originality/value
The paper contributes to the theory on service strategy by providing an analysis model that includes digitalization as a mediator of the relationship between servitization and firm performance. Digitalization may provide a mechanism to unlock the benefits of servitization and thereby enhance firm performance.
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Roberto Grandinetti, Maria Vincenza Ciasullo, Marco Paiola and Francesco Schiavone
Industry 4.0 is dramatically affecting businesses behaviours and strategies, transforming products design, manufacture, operations and services. An outcome of this transformation…
Abstract
Purpose
Industry 4.0 is dramatically affecting businesses behaviours and strategies, transforming products design, manufacture, operations and services. An outcome of this transformation is digital servitization. This paper aims to contribute to the extant literature about digital servitization in B2B contexts by analysing how I4.0-based servitization affects the quality of supplier–customer relationships.
Design/methodology/approach
The authors adopted a qualitative methodology based on an exploratory multiple case study. In particular, the study included 22 Italian B2B manufacturing firms whose I4.0-based digital servitization approaches are described and, then, analysed in relation to the quality of supplier–customer relationships.
Findings
The access to customers and data is critical to enable advanced digital services and for improving relationship quality; the levels of relational intimacy and informational openness lead to two subsequent levels of data-driven efficiency and data-driven effectiveness, impacting significantly on relationship quality and enabling relational innovation.
Originality/value
The research explores the link, so far underestimated, between digital servitization and relationship quality in industrial contexts.
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Robert C. Wolcott and Mohanbir Sawhney
In December 1999 Thomson Financial (TF) began a radical transformation from forty-one divisions toward a more integrated firm organized around customer segments. This required…
Abstract
In December 1999 Thomson Financial (TF) began a radical transformation from forty-one divisions toward a more integrated firm organized around customer segments. This required active, coordinated involvement from business, organization, and technology functions, as well as sustained investment and execution through the crises of the technology market crash and September 11, 2001. By 2005 TF had emerged as one of the top three financial information firms globally (with Bloomberg and Reuters).
Understand: 1. Building the customer-centric firm; “synchronizing” marketing (branding and sales), organizational, and technological infrastructure to focus on customer segments rather than products. 2. Making transformative, long-term investments under difficult circumstances. 3. Coordinating business, organization, and technology strategies throughout a long-term transformation process.
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Stagl, Salas, Rosen, Priest, Burke, Goodwin, and Johnston review a series of factors determining the effectiveness of distributed team performance, thereby providing an effective…
Abstract
Stagl, Salas, Rosen, Priest, Burke, Goodwin, and Johnston review a series of factors determining the effectiveness of distributed team performance, thereby providing an effective overview of existing literature, particularly at the intrapersonal and interpersonal levels. Although the effort to provide guidelines for future research in the form of 14 propositions is less effective than might have been hoped, there is sufficient focus to suggest fruitful areas for future inquiry. The exploration of their work suggests that it would prove valuable to both scholars and practitioners if greater attention were concentrated on the interactive effects of distributed teams and organizational-level phenomena.
Federico Adrodegari and Nicola Saccani
The purpose of this paper is to contribute to the understanding of the servitization phenomenon of product-centric companies, by identifying the resources, capabilities and…
Abstract
Purpose
The purpose of this paper is to contribute to the understanding of the servitization phenomenon of product-centric companies, by identifying the resources, capabilities and organizational aspects needed to successfully deploy a servitized business model (BM).
Design/methodology/approach
By adopting a literature-based approach, this paper develops a servitization maturity model (SeMM) aimed at assessing and positioning companies in the servitization journey. The paper also illustrates the model application to two small and medium-sized enterprises (SMEs), a machinery and a forklift truck company.
Findings
The SeMM identifies a set of 85 critical requirements that are used to evaluate the servitization level of product-centric companies, through a specific five-stage measurement scale. The requirements are categorized into: five maturity dimensions (organizational approach, process management, performance management, tools, capabilities) and nine BM Canvas components. The empirical application exemplifies how the SeMM can support managers in identifying and bridging the gaps in their servitization journey.
Originality/value
The SeMM adopts an original bi-dimensional approach and provides an operationalization of the servitization process through the identification of specific critical requirements framed on established BM and maturity dimensions taken from the literature. Moreover, the model responds to a call for research to develop practitioner-oriented tools and guidelines to support the servitization process, in particular for SMEs, and to the need to go beyond to measures of servitization based on indicators about number of services offered or their turnover.
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