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The personalization of products and services is expected to become an indispensable feature of manufacturing. Because the concept of personalization ranges over a variety of domains from the manufacturing of a prosthetic foot to a web recommendation, there exist no commonly applicable design methodologies for product personalization. The purpose of this research is to propose methods of personalization. Therefore, this paper is focused on designing procedures of personalization, which include preparation, readout, design, production and provision, use, and feedback. For supporting the design of personalization procedure, we developed ten personalization strategies, a step-flow model, and a design procedure. Finally, the advantages of this method are investigated through a case study. [ABSTRACT FROM AUTHOR]

The growing attention on environmental and social sustainability issues is pushing companies to move towards new business models. In this context, PSS (Product Service System) seems to be one of the most suitable model to foster the transition to sustainable economic models. The PSS is composed of a mix of tangible products and intangible services. The method proposed in this paper supports the PSS design. The objective of this work is to integrate careful assessment of economic, environmental and social sustainability supporting the transition towards new business models and strategic company decision-making. The method is then validated through a case study on the management of urban waste. [ABSTRACT FROM AUTHOR]

Recent economic developments and the spread of technology are pushing companies toward the provision of complex and innovative Product-Service System (PSS). On the other side, information and communication technologies are enabling the identification of a plethora of PSSs characterized by different levels of integration among products, services and infrastructure. In this context, many companies are experimenting difficulties in selecting the proper PSS to be developed, that is the one that concurrently considers the needs of multiple stakeholders and a good engagement of them in the value creation and engineering process. This paper exploits the Engineering Value Assessment (EVA) method to support the evaluation and the assessment of PSS solutions in a B2C context where the management of multiple stakeholders’ perspectives is of utmost relevance. To demonstrate the EVA method applicability, the airport context was selected as an example of system complexity since it involves manifold actors: passengers, airport and airlines. Four different PSSs for the self-drop bag were identified and further analyzed through the EVA method in order to identify which is the best one to be adopted in the studied airport in the north of Italy considering the preferences of the three actors: the passengers, the airport and the airlines. [ABSTRACT FROM AUTHOR]

Product-service systems (PSS) are seen as the 21st-century solution for direct delivery of value to customers under the requirements of high availability, quality, and reduced risks. With mutual benefits for customers, manufacturers, service providers and often the environment, PSS represent a promising approach to sustainable development. This paper addresses the integrated development of product-service systems consisting of physical products/systems and services and proposes an integrated modeling framework that utilizes the Systems Modeling Language. A use case from Lenze, a German automation company, demonstrates the applicability of the integrated modeling framework in practice. [ABSTRACT FROM AUTHOR]

The concept of a circular economy (CE) can be regarded as a way to operationalise the aim of accomplishing sustainable development (SD) on a macro level. Product-Service Sytems (PSS), business models (BM) that combine tangible products with intangible services to jointly satisfy a customer’s needs, are well suited to align with CE principles. Whether applying CE principles leads to value creation for a broader group of stakeholders, however, is not yet sufficiently proven. The study presents CE principles, elements that govern the decision-making process of a firm and uses the example of PSS to demonstrate how these principles are applied in the design of the supply chain network. A definition of value creation for multiple stakeholders is presented, and the example of mobility as a service used to highlight the importance of system and life cycle (LC) thinking to prevent rebound-effects and fully understand the trade-offs of a circular PSS. [ABSTRACT FROM AUTHOR]

Bicycle sharing systems (BSS) arise as a proposal to respond to the challenges of urban mobility as a healthy, efficient, and relatively inexpensive mean of transportation. Although these systems are widespread, BSS still present challenges for implementation. In this context, this paper aims to identify the barriers to implementation of this kind of product-service systems (PSS) and to analyze which ones most impacted the failure of two BSS. The main results demonstrate that resistance to change both by users and those involved with the project hinders BSS implementation. Besides involving several actors, the system needs an adequate projection of the demand and costs. Some alternatives are: the integration of stakeholders in the development of the solution and the promotion of policies for the diffusion of sharing systems and education to conscious consumption. The results could be used in future PSS implementations to support overcoming the barriers. [ABSTRACT FROM AUTHOR]

The increasing interest and dissemination of PSSs and their potential to be created and used in a more sustainable way than todays “regular” products is widely discussed in research and practice. Even though companies start shifting their business model to PSSs, they do not incorporate tools to implement economic, environmental and social sustainability. Existing literature widely discusses benefits and risks of PSSs regarding sustainability, but often do not provide sufficient solutions for sustainability-related problems. Therefore, we provide a basis for creating such solutions by carrying out a systematic literature review, analyze 71 scientific publications, and derive identified and relevant factors. Six PSS-characteristics are determined and investigated to reach higher sustainability-levels through PSSs. [ABSTRACT FROM AUTHOR]

Product-Service Systems (PSS) are a promising opportunity for manufacturing companies to realign their value creation process towards customer-oriented and resource efficient solutions. However, many companies still struggle to create new business models based on providing efficient solutions instead of physical products. The concept of PSS has been the subject of research for many years, yet there is a severe lack of utilizing the most crucial resource of the information age: Data. The authors propose products enriched with digital services based on customer data to develop a cohesive value proposition as the basis for business model innovation in manufacturing companies. [ABSTRACT FROM AUTHOR]

Industry 4.0 (I4.0) technology developments in Cloud Manufacturing (CMfg) are challenging traditional business models, and adapting these is key to a sustainable competitive advantage. In parallel, pay-per-use strategies are being discussed as an enabler to future sustainable societies. The general benefits of CMfg services are clear, but to date the actual business implications from a service provider perspective have not been discussed. This article explores new business model opportunities based on the idea of providing CMfg as a completely new type of Product-Service Systems. Technology developments and business recommendations are defined, considering the proposed business model targets the manufacturing industry as a whole. Manufacturers make use of their spare capacity by purchasing time on networked equipment on a pay-per-use basis. This allows costs to be brought down, whilst creating new revenue streams. It also increases machine hosts’ competitiveness by reducing investment costs and enabling instant manufacturing scalability. CMfg is then classified into three levels of machine autonomy, arguing that as technology develops intermediaries may slowly integrate vertically and eventually replace manufacturers by completely autonomous equipment. The proposed business model presents both a first step and a baseline point of reference towards bridging the gap between advanced manufacturing technology and new business development in the context of I4.0 (Smart Manufacturing). [ABSTRACT FROM AUTHOR]

Service-dominant logic (SDL) provides a conceptual understanding of and widens the view on value creation in service innovation for product-centric companies. However, empirical research linking SDL and service innovation is still limited albeit expanding. This study provides insights beyond existing discussions on product and service dimensions using the theoretical lens of the value logic perspective. More specifically, the purpose of this study is to examine how value can be understood, targeted, and created in the pursuit of service innovation by product-centric manufacturing companies. Building on a previous investigation of two multinational product-centric manufacturing companies, this paper identifies and develops a theoretical model to describe the space shift in service innovation with four different kinds of value logics, namely, product-based value logic, service-based value logic, virtual-based value logic, and systemic-based value logic. Using a digitalization-driven new service innovation, namely the My Control System, which is a web-based service delivery platform, this paper describes space shifts to enhance value through four value logics as efforts. Further, challenges associated with different value logics are described in terms of complexity traps and service gaps. The study also contributes to bridging the gap between SDL theory and practice by developing a midrange theoretical model for value creation as a specification and amendment to SDL that supports SDL-guided service innovation and servitization in practice. [ABSTRACT FROM AUTHOR]

This paper investigates the value of servitization in the context of real estate development projects. A qualitative case study research approach is adopted, and the principles of the Delphi study applied. The findings indicate that the outputs of the real estate development projects have become systems of both project components and added services. These systems are the result of servitization strategies in the real estate development projects that shift the industry focus from only designing and selling a physical output to delivering a system of services integrated to the project, which together are capable of adding more customer value. The research identifies several types of services, which are used to develop four categories of servitization in the real estate development projects. The research develops the value chain of servitization strategy and it was found that offering services in real estate development projects is an incremental process; offering basic services (order qualifier) adds additional value for customers and makes the project 'more' valuable. However, basic services will not ensure competitive success. More advanced services such as customer-orientated-services need to be provided to enhance the project's competitive advantage (order-winners). However. it the system solutions that shape the order-winning criteria of the construction industry. [ABSTRACT FROM AUTHOR]

Modern manufacturing businesses increasingly engage in servitisation, by offering advanced services along with physical products, and creating “product-service systems”. Information Technology infrastructures, and especially software, are a critical part of modern service provision. However, software development in this context has not been investigated and there are no development methods or tools specifically adapted to the task of creating software for servitised businesses in general, or manufacturing in particular. In this paper, we define the requirements for software engineering in servitised manufacturing. Based on these, we describe a model-driven software engineering workflow for servitised manufacturing, supporting both structural and behavioural modelling of the service system. Furthermore, we elaborate on the architecture of an appropriate model-driven Integrated Development Environment (IDE). The proposed workflow and a prototype implementation of the IDE were evaluated in a set of industrial pilots, demonstrating improved communication and collaboration between participants in the software engineering process. [ABSTRACT FROM AUTHOR]

New trends in product development aim at integrating the improvement of all activities related to the products’ life-cycle, particularly when considering environmental issues. Within this context, Product-Service System (PSS) appears as a promising model, representing a win-win solution for both companies and customers. In particular, the medical devices industry is a sector where the PSS approach can assume a key role. However, despite the potential benefits deriving from the implementation of PSS solutions, few studies on PSS consider this sector. To accomplish this, the paper proposes a methodology based on the analysis of the market demand and customers’ needs by means of the Quality Function Deployment (QFD) method, and the simulation of life-cycle scenarios through the Screening Life Cycle Modelling (SLCM) method supported by Life Cycle Assessment (LCA) and Life Cycle Costing (LCC) tools. A case study performed in collaboration with a manufacturer of biomedical devices showed the benefits of the proposed methodology in the development of sustainable PSS solutions. Actually, the results demonstrate the validity of such an approach in enhancing customer satisfaction, while reducing environmental concerns and costs. [ABSTRACT FROM AUTHOR]

The concept of circularity has been widely discussed in the literature, but the implementation of the circular economy at the micro-level remains unexplored. It is still not clear what are the antecedents for circular economy implementation at the industry level, instead of cleaner production principles and practices have been discussed as essential for circular economy adoption from the bottom up, but more empirical studies are still necessary to better understand the adoption and effects of cleaner production in promoting circular economy. Thus, this paper aims to explore the cleaner production principles and practices adopted by a manufacturing company located in an emerging economy in order to understand how these were valuable in foster circular economy implementation. A case-based research approach was adopted in this investigation. The circular economy practices introduced by the company were analyzed by considering their connections with the requirements when transitioning to a circular economy paradigm, within company-related processes in addition to circular economy areas at the micro-level. An inductive approach was adopted for data analysis to develop some propositions regarding circular economy interactions. The main findings revealed that cleaner production practices for product optimization are valuable to circular economy implementation regarding circular product design strategies. The cleaner production principle of input substitution is valuable for reducing input and use of natural resources as well as increasing the share of renewable and recyclable resources. Technological optimization can contribute to reducing emissions levels. In addition, field data showed that cleaner production practices at the production area enable circular economy practices to be implemented at the micro-level, as well as there is a connection with other circular economy areas (i.e. waste management, consumption, and support). Moreover, the findings confirmed that all cleaner production practices and principles implemented by the organization are connected to each other and across the processes. Further studies may focus on testing the propositions developed in this study in other manufacturing contexts, as well as on the investigation of possible cause-effect relationships that may exist between cleaner production and circular economy transition pathways. [ABSTRACT FROM AUTHOR]

Servitization requires an important strategic shift to drive changes in the operations of manufacturing firms. Using a large-scale survey, the purpose of this paper is (1) to build and validate an operations strategy model of servitization confirming previous case study findings on servitization as a strategic action and (2) to explore the role of sustainability pressures in, and the sustainability performance effects of, pursuing service-based operations strategies. To reach these objectives, a dataset including the responses of 735 manufacturing plants from 21 different countries is analyzed using the PLS-SEM method. The results indicate that the sustainability pressures of stakeholders can push manufacturers to adopt a service-based operations strategy, materializing in the provision of both basic (product-oriented) and advanced (customer-oriented) services (BAS and ADS). Our analysis further indicates that while offering BAS is a precondition for ADS provision, only ADS can offer a competitive edge for manufacturers, both in terms of service and sustainability-related operational performance. [ABSTRACT FROM AUTHOR]

Copyright of Revista Producao Online is the property of Associacao Brasileira de Engenharia de Producao and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Numerous companies in manufacturing industries have “servitized” their value propositions to address issues on product commoditization and sustainability. A key component of servitization is informatics, which transforms product and customer data into information for customers. In this study, informatics-based service is defined as a type of service wherein informatics is crucial to customer value creation. Despite the importance of this concept, studies on the design of informatics-based services in manufacturing industries are rare. This paper reports on two case studies on such designs. Informatics-based services have been designed for a major Korean automobile manufacturer and the Korea Transportation Safety Authority (TS) based on their large vehicle-related databases. The first case study with the automobile manufacturer aims to design vehicle operations and health management services for passenger vehicle drivers while the second study with TS focuses on the design of driving safety enhancement services for commercial vehicle (i.e., bus, taxi, and truck) drivers. Based on the case studies, this paper discusses various aspects of informatics-based service design in manufacturing industries. This study would assist researchers and practitioners in designing new informatics-based services and contribute to promoting and inspiring research on intelligent services in manufacturing industries under the current information economy. [ABSTRACT FROM AUTHOR]

The key for addressing the contradiction between personalization and low cost is to achieve modularity within a product-service system (PSS). In order to obtain maximum customer satisfaction and the lowest lifecycle cost in a PSS, a portfolio of modules should be optimally planned for the service solution layer of the PSS. First, a methodology for planning the module portfolio for a PSS service solution layer is proposed. The methodology consists of four phases which are (1) service requirement acquisition, (2) finding the principal solution and building the preliminary modular structure, (3) configuring the portfolio of principal solutions, and (4) evaluating the modular solutions (the four phases include five steps). Detailed technical steps and implementation methods for each stage are presented. Second, an evaluation method is proposed for the PSS module portfolio of solutions based on utility price ratios. Based on customer utility and the lifecycle costs of the PSS, a solution is implemented incorporating a maximum ratio between customer satisfaction and service usage. Finally, a case study involving a power transformer using the PSS solution is carried out to validate the methodology proposed in the paper. [ABSTRACT FROM AUTHOR]

The sustainability, the environmental impact, as well as the operating costs of a production site, are highly dependent on energy consumption. Having as a main objective to address the aforementioned challenges, this work proposes an energy services framework which introduces a new way of energy services management and which aims at reducing the environmental footprint of production sites through the control and monitoring of electrical energy usage. Following the shift to Servitization, energy suppliers want to offer more than traditional energy contracts to their industrial customers. Considering that tendency, an Energy Services Framework with three interdependent services namely Environmental Impact Calculator, Energy Demand Management and Power Interruption Planner is proposed. The proposed framework is validated using real data from an energy supplier and its potential customers. [ABSTRACT FROM AUTHOR]

Abstract: Many manufacturers are today striving to offer a large number of value-added PSSs (Product-Service Systems). The increased number of PSS hinders potential buyers from effectively discovering the most suitable PSS to satisfy their personalized requirements. To accurately find the needed or wanted PSS with lower search costs, it is effective to recommend suitable PSS solutions to the right buyers. However, service, a component of PSS, brings more subjective and imprecise information in acquiring users' preferences due to e.g. their different experience and knowledge on services. Moreover, the interactions within user's preferences are often omitted in previous methods, which may lead to inaccurate recommendation results. Therefore, to solve these problems, an innovative method for PSS recommendation is developed. This method explicitly takes into account the environmental aspect of PSSs in question so that a method user can be guided to select an environmentally superior alternative. In addition, rough DEMATEL (Decision-Making and Trial Evaluation Laboratory) is proposed to manipulate the interactions of vague user preferences in multi-criteria weight determination. Furthermore, a rough collaborative filtering approach is developed to make PSS recommendation under vague environment. A case study of elevator PSS recommendation shows the feasibility and potentials of the proposed approach. Theoretically, the new method can produce more reasonable PSS recommendation results by considering the interdependencies between different recommendation criteria. In marketing practice, the method can suggest proposals of new offerings to customers in a proactive manner. [ABSTRACT FROM AUTHOR]

Copyright of European Review of Service Economics & Management / Revue Européenne d'Economie et Management des Services is the property of Classiques Garnier and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)