Skip to main content
Book cover

Working Conference on Virtual Enterprises

PRO-VE 2021: Smart and Sustainable Collaborative Networks 4.0 pp 337–344Cite as

Value Co-creation in the Context of Digitally-Enabled Product-Service Systems

Part of the IFIP Advances in Information and Communication Technology book series (IFIPAICT,volume 629)

Abstract

This paper describes the development of a conceptual framework to support the identification of value co-creation within the context of digitally-enabled Product-Service Systems (PSS). The framework was developed based on five themes. It considers how and where value co-creation occurs and also the translation of data into information that can become knowledge for individuals and organizations within the digitally-enabled PSS context. The model brings together the different actors and beneficiaries with a governance process that focuses on supporting value co-creation by integrating the information with data. The framework supports new innovation and improvements to existing PSS.

Keywords

  • Value co-creation
  • Product-service system
  • Digitalization
  • Servitization
  • Lifecycle
  • Service-dominant logic

This is a preview of subscription content, access via your institution.

Chapter
USD   29.95
Price excludes VAT (USA)
  • DOI: 10.1007/978-3-030-85969-5_30
  • Chapter length: 8 pages
  • Instant PDF download
  • Readable on all devices
  • Own it forever
  • Exclusive offer for individuals only
  • Tax calculation will be finalised during checkout
eBook
USD   189.00
Price excludes VAT (USA)
  • ISBN: 978-3-030-85969-5
  • Instant PDF download
  • Readable on all devices
  • Own it forever
  • Exclusive offer for individuals only
  • Tax calculation will be finalised during checkout
Softcover Book
USD   249.99
Price excludes VAT (USA)
Hardcover Book
USD   249.99
Price excludes VAT (USA)
Learn about institutional subscriptions
Fig. 1.

References

  1. Reim, W., Parida, V., Örtqvist, D.: Product-service systems (PSS) business models and tactics - a systematic literature review. J. Clean. Prod. 97, 61–75 (2015). https://doi.org/10.1016/j.jclepro.2014.07.003

    CrossRef  Google Scholar 

  2. Vargo, S.L., Lusch, R.F.: From goods to service(s): divergences and convergences of logics. Ind. Mark. Manage. 37(3), 254–259 (2008). https://doi.org/10.1016/j.indmarman.2007.07.004

    CrossRef  Google Scholar 

  3. Baines, T.S., Lightfoot, H.W., Benedettini, O., Kay, J.M.: 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

    CrossRef  Google Scholar 

  4. Tukker, A.: Eight types of product–service system: eight ways to sustainability? Experiences from SusProNet. Bus. Strateg. Environ. 13(4), 246–260 (2004). https://doi.org/10.1002/bse.414

    CrossRef  Google Scholar 

  5. Zou, W., Brax, S.A., Rajala, R.: Complexity in product-service systems: review and framework. Procedia CIRP 73(1), 3–8 (2018). https://doi.org/10.1016/j.procir.2018.03.319

    CrossRef  Google Scholar 

  6. Kuijken, B., Gemser, G., Wijnberg, N.M.: Effective product-service systems: a value-based framework. Ind. Mark. Manage. 60, 33–41 (2017). https://doi.org/10.1016/j.indmarman.2016.04.013

    CrossRef  Google Scholar 

  7. Kohtamäki, M., Parida, V., Oghazi, P., Gebauer, H., Baines, T.: Digital servitization business models in ecosystems: a theory of the firm J. Bus. Res. 104 380392 (2019). https://doi.org/10.1016/j.jbusres.2019.06.027

  8. Tronvoll, B., Sklyar, A., Sörhammar, D., Kowalkowski, C.: Transformational shifts through digital servitization. Ind. Mark. Manage. 89, 293–305 (2020). https://doi.org/10.1016/j.indmarman.2020.02.005

    CrossRef  Google Scholar 

  9. Wuest, T., Wellsandt, S., Thoben, K.-D.: Information quality in PLM: a production process perspective. In: Bouras, A., Eynard, B., Foufou, S., Thoben, K.-D. (eds.) PLM 2015. IAICT, vol. 467, pp. 826–834. Springer, Cham (2016). https://doi.org/10.1007/978-3-319-33111-9_75

    CrossRef  Google Scholar 

  10. Snyder, H.: Literature review as a research methodology: an overview and guidelines. J. Bus. Res. 104, 333–339 (2019). https://doi.org/10.1016/j.jbusres.2019.07.039

    CrossRef  Google Scholar 

  11. Raja, J.Z., Frandsen, T., Kowalkowski, C., Jarmatz, M.: Learning to discover value: value-based pricing and selling capabilities for services and solutions. J. Bus. Res. 114, 142–159 (2020). https://doi.org/10.1016/j.jbusres.2020.03.026

    CrossRef  Google Scholar 

  12. Valtakoski, A.: Explaining servitization failure and deservitization: a knowledge-based perspective. Ind. Mark. Manage. (2017). https://doi.org/10.1016/j.indmarman.2016.04.009

    CrossRef  Google Scholar 

  13. Payne, A.F., Storbacka, K., Frow, P.: Managing the co-creation of value. J. Acad. Mark. Sci. 36(1), 83–96 (2008). https://doi.org/10.1007/s11747-007-0070-0

    CrossRef  Google Scholar 

  14. Shedroff, N.: Information interaction design: a unified field theory of design. Inf. Des. 267–292 (1999)

    Google Scholar 

  15. Vargo, S.L., Lusch, R.F.: Evolving to a new dominant logic for marketing. J. Mark. 68(1), 1–17 (2004). https://doi.org/10.1509/jmkg.68.1.1.24036

    CrossRef  Google Scholar 

  16. Grönroos, C.: Value co-creation in service logic: a critical analysis. Mark. Theory (2011). https://doi.org/10.1177/1470593111408177

    CrossRef  Google Scholar 

  17. Terzi, S., Bouras, A., Dutta, D., Garetti, M., Kiritsis, D.: Product lifecycle management - from its history to its new role. Int. J. Prod. Lifecycle Manage. (2010). https://doi.org/10.1504/IJPLM.2010.036489

    CrossRef  Google Scholar 

  18. Bertoni, A., Bertoni, M., Isaksson, O.: Value visualization in product service systems preliminary design. J. Clean. Prod. 53, 103–117 (2013). https://doi.org/10.1016/j.jclepro.2013.04.012

    CrossRef  Google Scholar 

  19. Lemon, K.N., Verhoef, P.C.: Understanding customer experience throughout the customer journey. J. Mark. 80(6), 69–96 (2016). https://doi.org/10.1509/jm.15.0420

    CrossRef  Google Scholar 

  20. Paiola, M., Gebauer, H.: Internet of things technologies, digital servitization and business model innovation in BtoB manufacturing firms. Ind. Mark. Manage. 89, 245–264 (2020). https://doi.org/10.1016/j.indmarman.2020.03.009

    CrossRef  Google Scholar 

  21. Kambanou, M.L., Lindahl, M.: A literature review of life cycle costing in the product-service system context. In: Cavalieri, S., Ceretti, E., Tolio, T., Pezzotta, G. (eds.) Product-Service Systems across Life Cycle, vol. 47, pp. 186–191. Elsevier Science Bv, Amsterdam (2016)

    Google Scholar 

  22. Hou, J.C., Neely, A.: Investigating risks of outcome-based service contracts from a provider’s perspective. Int. J. Prod. Res. 56(6), 2103–2115 (2018). https://doi.org/10.1080/00207543.2017.1319089

    CrossRef  Google Scholar 

  23. Kim, S.-H., Cohen, M.A., Netessine, S.: Performance contracting in after-sales service supply chains. Manage. Sci. 53(12), 1843–1858 (2007). https://doi.org/10.1287/mnsc.1070.0741

  24. Story, V.M., Raddats, C., Burton, J., Zolkiewski, J., Baines, T.: Capabilities for advanced services: a multi-actor perspective. Ind. Mark. Manage. 60, 54–68 (2017). https://doi.org/10.1016/j.indmarman.2016.04.015

    CrossRef  Google Scholar 

  25. Chesbrough, H., Schwartz, K.: Innovating business models with co-development partnerships. Res. Technol. Manag. 50(1), 55–59 (2007). https://doi.org/10.1080/08956308.2007.11657419

    CrossRef  Google Scholar 

  26. Frost, R.B., Cheng, M., Lyons, K.: A multilayer framework for service system analysis. In: Maglio, P.P., Kieliszewski, C.A., Spohrer, J.C., Lyons, K., Patrício, L., Sawatani, Y. (eds.) Handbook of Service Science, Volume II. SSRISE, pp. 285–306. Springer, Cham (2019). https://doi.org/10.1007/978-3-319-98512-1_13

    CrossRef  Google Scholar 

  27. Kowalkowski, C., Ulaga, W.: Service Strategy in Action: A Practical Guide for Growing Your B2B Service and Solution Business. Service Strategy Press, Scottsdale (2017)

    Google Scholar 

  28. Sjödin, D.R., Parida, V., Wincent, J.: Value co-creation process of integrated product-services: effect of role ambiguities and relational coping strategies. Ind. Mark. Manage. 56, 108119 (2016). https://doi.org/10.1016/j.indmarman.2016.03.013

  29. Kristensen, H.S., Remmen, A.: A framework for sustainable value propositions in product-service systems. J. Clean. Prod. 223, 25–35 (2019). https://doi.org/10.1016/j.jclepro.2019.03.074

    CrossRef  Google Scholar 

  30. Paschou, T., Rapaccini, M., Adrodegari, F., Saccani, N.: Digital servitization in manufacturing: a systematic literature review and research agenda. Ind. Mark. Manage. 89, 278292 (2019). https://doi.org/10.1016/j.indmarman.2020.02.012

  31. Gebauer, H., Fleisch, E., Lamprecht, C., Wortmann, F.: Growth paths for overcoming the digitalization paradox. Bus. Horiz. 63(3), 313–323 (2020). https://doi.org/10.1016/j.bushor.2020.01.005

    CrossRef  Google Scholar 

  32. Calabrese, A., Levialdi Ghiron, N., Tiburzi, L.: ‘Evolutions’ and ‘revolutions’ in manufacturers’ implementation of industry 4.0: a literature review, a multiple case study, and a conceptual framework. Prod. Plan. Control 32(3), 213227 (2020). https://doi.org/10.1080/09537287.2020.1719715

  33. Naik, P., Schroeder, A., Kapoor, K., Ziaee Bigdeli, A., Baines, T.: Behind the scenes of digital servitization: actualizing IOT-enabled affordances. Acad. Manag. Proc. 89, 232–244 (2019). https://doi.org/10.5465/ambpp.2019.12804abstract

    CrossRef  Google Scholar 

  34. Grubic, T., Jennions, I.: Do outcome-based contracts exist? The investigation of power-by-the-hour and similar result-oriented cases. Int. J. Prod. Econ. 206, 209–219 (2018). https://doi.org/10.1016/j.ijpe.2018.10.004

    CrossRef  Google Scholar 

  35. Hertog, P.D.: Knowledge-intensive business services as co-producers of innovation. Int. J. Innov. Manag. 4(4), 491–528 (2000). https://doi.org/10.1142/s136391960000024x

    CrossRef  MathSciNet  Google Scholar 

  36. Kohtamäki, M., Partanen, J.: Co-creating value from knowledge-intensive business services in manufacturing firms: the moderating role of relationship learning in supplier-customer interactions. J. Bus. Res. 69(7), 2498–2506 (2016). https://doi.org/10.1016/j.jbusres.2016.02.019

    CrossRef  Google Scholar 

  37. Liew, A.: Understanding data, information, knowledge and their inter-relationships. J. Knowl. Manage. Pract. 8(2), 1–16 (2007)

    MathSciNet  Google Scholar 

  38. Aven, T.: A conceptual framework for linking risk and the elements of the data–information–knowledge–wisdom (DIKW) hierarchy. Reliab. Eng. Syst. Saf. 111, 30–36 (2013)

    Google Scholar 

  39. Bagheri, S., Kusters, R., Trienekens, J.: The customer knowledge management lifecycle in PSS value networks: towards process characterization. In: Massaro, M., Garlatti, A. (eds.) Proceedings of the 16th European Conference on Knowledge Management, pp. 66–77 (2015)

    Google Scholar 

  40. Lee, J., Kao, H.A., Yang, S.: Service innovation and smart analytics for Industry 4.0 and big data environment. Procedia CIRP 16, 38 (2014). https://doi.org/10.1016/j.procir.2014.02.001

  41. Rowley, J.: The wisdom hierarchy: representations of the DIKW hierarchy. J. Inf. Sci. 33(2), 163–180 (2007). https://doi.org/10.1177/0165551506070706

    CrossRef  Google Scholar 

  42. Choo, C.W.: The knowing organization: how organizations use information to construct meaning, create knowledge and make decisions. Int. J. Inf. Manage. 16(5), 329–340 (2007). https://doi.org/10.1016/0268-4012(96)00020-5

  43. Sklyar, A., Kowalkowski, C., Sörhammar, D., Tronvoll, B.: Resource integration through digitalisation: a service ecosystem perspective. J. Mark. Manag. 35, 974–991 (2019). https://doi.org/10.1080/0267257X.2019.1600572

    CrossRef  Google Scholar 

  44. Kindström, D., Kowalkowski, C.: Service innovation in product-centric firms: a multidimensional business model perspective. J. Bus. Ind. Mark. 29(2), 151–163 (2014)

    CrossRef  Google Scholar 

  45. Anderson, J.C., Narus, J.A., Van Rossum, W.: Customer value propositions in business markets. Harv. Bus. Rev. 84(3), 2–10 (2006)

    Google Scholar 

  46. Harland, C.M.: Supply chain management: relationships, chains and networks. Br. J. Manag. 7(S1), S63–S80 (1996)

    CrossRef  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Institute of Innovation and Technology Management, Lucerne University of Applied Sciences and Arts, 6048, Horw, Switzerland

    Oliver Stoll & Shaun West

  2. Industrial Engineering and Management, Aalto University, 00076, Aalto, Finland

    Wenting Zou

  3. Thingminds, 8853, Lachen, SZ, Switzerland

    Eugen Rodel

Authors
  1. Oliver Stoll
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Wenting Zou
    View author publications

    You can also search for this author in PubMed Google Scholar

  3. Eugen Rodel
    View author publications

    You can also search for this author in PubMed Google Scholar

  4. Shaun West
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Shaun West .

Editor information

Editors and Affiliations

  1. NOVA University of Lisbon, Caparica, Portugal

    Prof. Dr. Luis M. Camarinha-Matos

  2. Mines Saint-Étienne, Saint-Étienne, France

    Prof. Dr. Xavier Boucher

  3. University of Amsterdam, Amsterdam, The Netherlands

    Prof. Dr. Hamideh Afsarmanesh

Rights and permissions

Reprints and Permissions

Copyright information

© 2021 IFIP International Federation for Information Processing

About this paper

Verify currency and authenticity via CrossMark

Cite this paper

Stoll, O., Zou, W., Rodel, E., West, S. (2021). Value Co-creation in the Context of Digitally-Enabled Product-Service Systems. In: Camarinha-Matos, L.M., Boucher, X., Afsarmanesh, H. (eds) Smart and Sustainable Collaborative Networks 4.0. PRO-VE 2021. IFIP Advances in Information and Communication Technology, vol 629. Springer, Cham. https://doi.org/10.1007/978-3-030-85969-5_30

Download citation

  • DOI: https://doi.org/10.1007/978-3-030-85969-5_30

  • Published:

  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-030-85968-8

  • Online ISBN: 978-3-030-85969-5

  • eBook Packages: Computer ScienceComputer Science (R0)