Abstract
Recent advances in the Industrial Internet of Things (IIoT) and ‘Smart Products’ within manufacturing industries have promoted a shift to service-related offerings [1], often inadvertently and without the prerequisite foundations in place, in terms of operating models, impact upon revenue streams, and business strategy. This paper endeavors to investigate this by reviewing three distinct examples of ‘smart innovations’ for medium-sized industrial businesses and considers the impact upon the business when a service becomes ‘smart.’ We further review the impact and suggest mitigation approaches relevant to Servitization, and the key factors to enable a more effective digital transformation. Findings indicate that ‘Accidental Servitization’ can occur within industrial firms, irrespective of their digital experience. Also, that these firms need to ensure an underpinning organizational change is established to support new, disruptive business.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Similar content being viewed by others
References
Rymaszewska, A., Helo, P., Gunasekaran, A.: IoT powered servitization of manufacturing – an exploratory case study. Int. J. Prod. Econ. 192, 92–105 (2017). https://doi.org/10.1016/j.ijpe.2017.02.016
Porter, M., Heppelmann, J.: How smart, connected products are transforming companies. Harvard Bus. Rev. 93(10), 96–114 (2015)
Monostori, L., et al.: Cyber-physical systems in manufacturing. CIRP Ann. 65(2), 621–641 (2016). https://doi.org/10.1016/j.cirp.2016.06.005
Budris, A., Bloch, H.: Pump User’s Handbook: Life Extension. River Publishers, New York (2021)
Grönlund, J., Sjödin, D.R., Frishammar, J.: Open innovation and the stage-gate process: a revised model for new product development. Calif. Manage. Rev. 52(3), 106–131 (2010). https://doi.org/10.1525/cmr.2010.52.3.106
Porter, M., Heppelmann, J.: How smart, connected products are transforming competition. Harvard Bus. Rev. 92(11), 64–88 (2014)
Baines, T., Lightfoot, H., Benedettini, O., Kay, J.: The servitization of manufacturing: a review of literature and reflection on future challenges. J. Manuf. Technol. Manag. 20(5), 547–567 (2009). https://doi.org/10.1108/17410380910960984
Lay, G. (ed.): Servitization in Industry. Springer, Cham (2014). https://doi.org/10.1007/978-3-319-06935-7
Marjanovic, U., Rakic, S., Lalic, B.: Digital servitization: the next “big thing” in manufacturing industries. In: Ameri, F., Stecke, K.E., von Cieminski, G., Kiritsis, D. (eds.) APMS 2019. IAICT, vol. 566, pp. 510–517. Springer, Cham (2019). https://doi.org/10.1007/978-3-030-30000-5_63
Freitag, M., Hämmerle, O.: Agile guideline for development of smart services in manufacturing enterprises with support of artificial intelligence. In: Lalic, B., Majstorovic, V., Marjanovic, U., von Cieminski, G., Romero, D. (eds.) APMS 2020. IAICT, vol. 591, pp. 645–652. Springer, Cham (2020). https://doi.org/10.1007/978-3-030-57993-7_73
Kesier, Y.: Digital twin in manufacturing: improving the efficiency of a furniture production by means of a digital twin (Master’s thesis). Lucerne University of Applied Sciences and Arts, Lucerne (2021)
Leminen, S., Westerlund, M., Rajahonka, M., Siuruainen, R.: Towards IOT ecosystems and business models. In: Andreev, S., Balandin, S., Koucheryavy, Y. (eds.) NEW2AN/ruSMART -2012. LNCS, vol. 7469, pp. 15–26. Springer, Heidelberg (2012). https://doi.org/10.1007/978-3-642-32686-8_2
C.a.R. Hilger, J.: Auto-ID integration-a bridge between worlds. German Harting Mag., 14–15 (2013)
Anderson, J., Narus, J.: Business market management: understanding, creating, and delivering value. J. Bus. Ind. Mark. 14(3), 76–80 (1999). https://doi.org/10.1108/08858629910272265
Toivonen, M. (ed.): Service Innovation. TSS, vol. 6. Springer, Tokyo (2016). https://doi.org/10.1007/978-4-431-54922-2
Kohtamäki, M., Rajala, R.: Theory and practice of value co-creation in B2B systems. Ind. Mark. Manage. 56, 4–13 (2016). https://doi.org/10.1016/j.indmarman.2016.05.027
Grönroos, C., Helle, P.: Adopting a service logic in manufacturing: conceptual foundation and metrics for mutual value creation. J. Serv. Manag. 21(5), 564–590 (2010). https://doi.org/10.1108/09564231011079057
Vargo, S.L., Lusch, R.F.: Service-dominant logic: continuing the evolution. J. Acad. Mark. Sci. 36(1), 1–10 (2008)
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2021 IFIP International Federation for Information Processing
About this paper
Cite this paper
Anderson, M., West, S., Harrison, D. (2021). Exploring Accidental Digital Servitization in an Industrial Context. In: Dolgui, A., Bernard, A., Lemoine, D., von Cieminski, G., Romero, D. (eds) Advances in Production Management Systems. Artificial Intelligence for Sustainable and Resilient Production Systems. APMS 2021. IFIP Advances in Information and Communication Technology, vol 632. Springer, Cham. https://doi.org/10.1007/978-3-030-85906-0_15
Download citation
DOI: https://doi.org/10.1007/978-3-030-85906-0_15
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-030-85905-3
Online ISBN: 978-3-030-85906-0
eBook Packages: Computer ScienceComputer Science (R0)
