Search results
1 – 5 of 5Risto Rajala, Saara A. Brax, Ari Virtanen and Anna Salonen
The purpose of this paper is to identify integrated solutions business as the first generation of servitized offerings and modular solution offerings as the second development…
Abstract
Purpose
The purpose of this paper is to identify integrated solutions business as the first generation of servitized offerings and modular solution offerings as the second development phase in servitization of original equipment manufacturers. This study examines how the servitized manufacturer, Kone, moves from integrated solutions to modular solutions business and develops the requisite capabilities to design, produce and implement modular solution offerings.
Design/methodology/approach
The paper reports a longitudinal case study of a provider of integrated solutions installed in buildings. During the ten years studied, the manufacturer implemented a strategic initiative to modularize its integrated solutions offering.
Findings
The firm’s transition to modular solutions progressed through three major capability development phases: solutions based on ad hoc integration, smart solutions based on modular design and through-chain modularity. The modular structure aims at fostering the efficiency of the solution offering and the associated production system.
Research limitations/implications
Leveraging the benefits of modularity calls for an aligned combination of strategic, operational and technical capabilities contributing to the integration of resources in a modular production system for the solution providers’ competitive performance.
Practical implications
The study reports how a solution provider can develop the operational capabilities to integrate the core and peripheral components into the solution, and orchestrate the modular production system.
Originality/value
This study is a rare longitudinal analysis of how a manufacturer builds a modular offering, the solution platform and the required competitive capabilities to provide the solution.
Details
Keywords
Anna-Sophie Oertzen, Gaby Odekerken-Schröder, Saara A. Brax and Birgit Mager
The purpose of this paper is to assess, clarify and consolidate the terminology around the co-creation of services, establish its forms and identify its outcomes, to resolve the…
Abstract
Purpose
The purpose of this paper is to assess, clarify and consolidate the terminology around the co-creation of services, establish its forms and identify its outcomes, to resolve the conceptual pluralism in service co-creation literature.
Design/methodology/approach
A focused literature review screened the articles published in five major service research journals to determine relevant contributions on the concept of co-creation of services. Then, a thematic analysis identifies the forms, themes and outcomes of co-creating services in the set of 80 qualifying articles.
Findings
The study reduces conceptual pluralism by establishing different forms of co-creating services and developing an explicit definition of co-creation in services. The authors develop an integrative framework that recognizes involvement, engagement and participation as prerequisites for co-creation. Relating to the different phases of the service process, the specific co-creation forms of co-ideation, co-valuation, co-design, co-testing and co-launching are classified as regenerative co-creation, while the specific co-creation forms of co-production and co-consumption are recognized as operative co-creation. Both beneficial and counterproductive outcomes of co-creation are identified and arranged into a typology.
Research limitations/implications
The integrative framework illustrates that service providers and customers are involved, engaged and participate in co-creating services, which manifests in specific forms of co-creation; they attain beneficial and counterproductive outcomes (personal, social, hedonic, cognitive, economic and pragmatic); and are influenced by a contextual multi-actor network.
Practical implications
Co-creation in services is actionable; the typology of outcomes suggests service managers ways to motivate customers and employees to participate in co-creating services.
Originality/value
This paper defines and establishes the conceptual forms of co-creating services and the identified outcomes, and develops an integrative framework of co-creation in services.
Details
Keywords
Saara A. Brax, Armando Calabrese, Nathan Levialdi Ghiron, Luigi Tiburzi and Christian Grönroos
Previous research reports mixed results regarding the performance impact of servitization in manufacturing firms. To resolve this, the purpose of this paper is to develop a…
Abstract
Purpose
Previous research reports mixed results regarding the performance impact of servitization in manufacturing firms. To resolve this, the purpose of this paper is to develop a conceptually consistent and comprehensive measurement framework for both dimensions, servitization and its performance effect, and apply in a configurational analysis to reexamine previous evidence, arriving at a configurational theory of the relationship between servitization and firm performance.
Design/methodology/approach
Combining systematic literature review (SLR) and inductive reasoning, the existing indicators for servitization and performance are identified and clustered into groups that adequately represent both dimensions. The dataset is reanalyzed against the resulting framework to identify the configurational patterns and to formulate the theoretical propositions.
Findings
Financial and nonfinancial indicators of servitization and its performance impact are organized into a comprehensive measurement framework grounded on existing research. The subsequent meta-analysis shows that the positive or negative impacts of servitization on performance depend on how firms implement servitization strategies and which performance aspects are examined.
Research limitations/implications
The results explain when servitization can be successful and confirm the existence of the so-called servitization paradox. The meta-analysis identified patterns that explain the previous mixed results, shaping a configurational theory of servitization. Thus, the measurement framework is conceptually robust and has sufficient detail to capture servitization and its performance outcome as it feasibly distinguished between different organizational configurations.
Originality/value
The framework provides a comprehensive portfolio of indicators for both managers and scholars to measure servitization intensity and performance. This supports managers of servitizing firms in leading this organizational transformation while avoiding its organizational and financial paradoxes.
Details
Keywords
Wenting Zou, Saara A. Brax, Mervi Vuori and Risto Rajala
To build a more comprehensive understanding of factors affecting the success of service contracting, the purpose of this paper is to investigate the influences of service…
Abstract
Purpose
To build a more comprehensive understanding of factors affecting the success of service contracting, the purpose of this paper is to investigate the influences of service complexity, contract structure and contracting process on the buyer-perceived supplier performance in business-to-business (B2B) services.
Design/methodology/approach
A research model is developed based on transaction cost economics and the research on service contracting. The model is tested by the survey data collected. Professional focus groups on LinkedIn are used to generate the list of potential respondents. The sample consists of 177 purchasing professionals from 25 countries.
Findings
The results indicate that three major contract dimensions and follow-up management practices positively influence buyer-perceived supplier performance. Furthermore, service complexity amplifies the effects of incentives designed in the contract and the buyer’s follow-up contract management on perceived supplier performance.
Research limitations/implications
The sample consists of respondents from 25 countries and provides good geographic coverage. However, the results should be generalized with caution because not all countries were represented equally.
Practical implications
The study suggests a framework and guidelines for purchasing managers to improve the design and management of service contracts to secure good performance from their supplier.
Originality/value
This paper contributes to understanding the performance-enhancing aspects of designing and monitoring service contracts in B2B contexts. It also adds to the knowledge of the role of service complexity in successful B2B service purchasing.
Details
Keywords
Glenn C Parry, Saara A. Brax, Roger S. Maull and Irene C. L. Ng
Improvement of reverse supply chains requires accurate and timely information about the patterns of consumption. In the consumer context, the ways to generate and access such…
Abstract
Purpose
Improvement of reverse supply chains requires accurate and timely information about the patterns of consumption. In the consumer context, the ways to generate and access such use-visibility data are in their infancy. The purpose of this study is to demonstrate how the Internet of Things (IoT) may be operationalised in the domestic setting to capture data on a consumer’s use of products and the implications for reverse supply chains.
Design/methodology/approach
This study uses an explorative case approach drawing on data from studies of six UK households. “Horizontal” data, which reveals patterns in consumers’ use processes, is generated by combining “vertical” data from multiple sources. Use processes in the homes are mapped using IDEF0 and illustrated with the data. The quantitative data are generated using wireless sensors in the home, and qualitative data are drawn from online calendars, social media, interviews and ethnography.
Findings
The study proposes four generic measurement categories for operationalising the concept of use-visibility: experience, consumption, interaction and depletion, which together address the use of different household resources. The explorative case demonstrates how these measures can be operationalised to achieve visibility of the context of use in the home. The potential of such use-visibility for reverse supply chains is discussed.
Research limitations/implications
This explorative case study is based on an in-depth study of the bathroom which illustrates the application of use-visibility measures (UVMs) but provides a limited use context. Further research is needed from a wider set of homes and a wider set of use processes and contexts.
Practical implications
The case demonstrates the operationalisation of the combination of data from different sources and helps answer questions of “why?”, “how?”, “when?” and “how much?”, which can inform reverse supply chains. The four UVMs can be operationalised in a way that can contribute to supply chain visibility, providing accurate and timely information of consumption, optimising resource use and eliminating waste.
Originality/value
IDEF0 framework and case analysis is used to identify and validate four UVMs available through IoT data – that of experience, consumption, interaction and depletion. The UVMs characterise IoT data generated from a given process and inform the primary reverse flow in the future supply chain. They provide the basis for future data collection and development of theory around their effect on reverse supply chain efficiency.
Details