Product-Service Systems Representation With Product and Service Elements and a Case Study

Author(s):  
Yong Se Kim ◽  
Sang Won Lee ◽  
Dong Chan Koh

This paper proposes a new systematic methodology to schematically represent a Product-Service System (PSS) with product and service elements for effective PSS design. PSS consists of many product and service elements, which are innovatively connected with each other for satisfying customer needs. Therefore, in order to concretely realize a PSS concept, the detailed service and product elements should be properly defined, represented and configured. In this representation scheme, the service element contains service provider and receiver and their activities. In addition, several product elements are associated with a service element. These service elements and associated product elements are explored with the service blueprint method and PSS functional analysis. The concatenation of those many service and product elements is later conducted based on flows that are defined in the PSS function analysis. The case example is studied and it is demonstrated that this method can help to systematically identify critical service and product elements. In addition, alternative product elements and their configuration to be associated with same service element can be easily conceived and compared with the proposed methodology.

Author(s):  
Tuomas Ritola ◽  
Eric Coatanéa

The focus in the businesses of manufacturing and selling technological devices has been increasingly shifting from USA and Europe towards Asiatic countries due to cost-effectiveness and lower costs of resources. In the areas where costs are inevitably higher, new measures have to be considered in order to be able to compete in the global economy. In this article, we study how can we utilize combined benefits of technological and service innovations in competing against the traditional product-oriented offerings. Product-service systems are integrated systems of products and services that create value through use for customers; the hypothesis in this article is that the efficiency of the business network can be increased by designing an integrated product-service system in comparison to the product-oriented approach. The hypothesis is studied via a real-life product-service system design case study of an automated recycling system, and system dynamics simulation is used to analyze the value created with the system in the related business network. In theory, product-service systems have many potential benefits in comparison to product-oriented offerings; identifying the benefits in practice in a case study increases the understanding of product-service systems design and facilitate their application in the industry.


2019 ◽  
Vol 11 (12) ◽  
pp. 3248 ◽  
Author(s):  
Daniel Guzzo ◽  
Adriana Hofmann Trevisan ◽  
Marcia Echeveste ◽  
Janaina Mascarenhas Hornos Costa

Product–service systems (PSSs) have significant sustainability potential. However, limited knowledge is available on the choices to develop circular PSS solutions. The goal of this paper is to provide a circular innovation framework containing circular strategies to facilitate the decision-making in PSS circular innovation. A systematic literature review in combination with content analysis underpinned this research. The strategies were investigated in 45 PSS cases from the literature. A coding system was designed and employed to identify and organize the circular strategies and practices. The statistics techniques employed were frequency and co-occurrence analysis, which aimed to describe the synergies among strategies. The framework proposed contains twenty-one circular strategies. The practical perspective comprises the seventy-seven practices used for the operationalization of strategies. The framework can assist organizations in making strategic to tactical decisions when developing circular PSS solutions. The paper provides a panorama of the strategy applications among the PSS types. Finally, the research approach can be employed to continuously develop an understanding of the application of circular strategies in PSS and other fields.


Kybernetes ◽  
2017 ◽  
Vol 46 (06) ◽  
pp. 1039-1051 ◽  
Author(s):  
Haihua Zhu ◽  
Jing Li ◽  
James Gao ◽  
Weihua Lu

Purpose With the customers’ increasing expectation on the product value, manufacturing enterprises around the world have made significant efforts to provide high value-added services in addition to their traditional product development and manufacturing business. For this reason, it is of great importance to research product service system. The purpose of this paper is to research on the key problem of integrated product service system (IPSS) design. Design/methodology/approach A value-oriented IPSS is developed, which is set up based on “requirements-functions-processes-structures” mapping model to give full consideration to customer value and service functions. An extended product-service blueprint, which stems from the service blueprint, is developed to describe product behaviors, service deliver processes, stakeholders’ activities and supporting activities. An ontology-based design support system is proposed to improve design efficiency and help designers making better-informed decisions. A computer-aided prototype system has been developed, and an initial attempt has been made to demonstrate the role of IPSS in the aerospace industry. Findings Many traditional design methods cannot effectively address the objects and processes integration problem of products and services. Moreover, both product and service should be considered in IPSS design, and both of them extremely depend on designers’ own experience and knowledge. Thus, a broader range of knowledge is required to understand product-service system (PSS) design. Research limitations/implications This research provides a solid foundation for PSS C and promotes an effective means for PSS design. Originality/value A customer value-oriented IPSS is presented. Customer requirements are considered during the design phase of PSS as well as both product and service knowledge.


2019 ◽  
Vol 11 (13) ◽  
pp. 3727 ◽  
Author(s):  
Marina P. P. Pieroni ◽  
Tim C. McAloone ◽  
Daniela C. A. Pigosso

Product—service systems (PSSs) are often outlined as potential enablers of new business models for circular economy. However, not all business models based on product-service systems have superior circularity potential. This research demonstrates how the application of a previously developed business model configurator for circular economy can support the design and assessment of customer value, economic and resource decoupling potential for product-service system business models in practice. By applying action research in two Nordic manufacturing companies from the furniture sector, different business model concepts based on product-service systems were proposed and assessed. Results indicate positive uptake by companies regarding the usefulness of the obtained outcomes. This research identified two key findings about ‘product-service system business models for circular economy’: (i) their configuration should fulfil certain simultaneous conditions—i.e. superior customer value, economic growth, and resource decoupling potential—to contribute to circular economy; and (ii) they are often ‘niche solutions’, fulfilling specific needs and customer segments, and more likely to flourish with certain types/characteristic of products, segments or geographical locations. Lastly, a framework outlining the conditions and trade-offs for assessing the circularity potential of business models based on product-service systems is introduced as one of the key contributions.


2019 ◽  
Vol 50 (2) ◽  
pp. 132-138 ◽  
Author(s):  
Niclas Andersson ◽  
Jerker Lessing

The shipbuilding, automotive and aerospace industries are examples of industries offering product service systems (PSS) to their customers, i.e. they combine physical products with services to add increased value. While product service systems are well established in many manufacturing industries, it has barely emerged in the fragmented and project-based organisation of construction. The objective of this study is to identify and critically review examples of product service systems in construction supply chains, with the purpose of describing how it challenges prevailing business systems and organisation of construction work. The study rests upon two case studies carried out at Gyproc Saint-Gobain in Denmark and Celsa Steel Service in Sweden. The findings reveal significant challenges related to the implementation and marketing of the product service systems provided. Companies that develop and expand their business offers by providing new product service systems tend to find themselves operating in two parallel market segments, i.e. the traditional market of construction components and the new market of product service systems. The PSS-offers reviewed in the case studies show a strong focus and emphasis on the development of the offer and the operational platform, while the companies’ market positions remain unchanged. Thus, the case study companies organise and operate their businesses and market relations as before the implementation of the product service system. The conclusion is that development and implementation of product service systems in construction supply chains requires awareness in the companies’ offer of products and services, well-established operational platforms, and particularly, a renewed market position.


Author(s):  
Giuditta Pezzotta ◽  
Sergio Cavalieri ◽  
David Romero

The integration process of products and services is still a growing trend in today's globally competitive market. To properly answer to the need of the companies to deliver integrated solution, from the mid-2000s, several research groups have worked on the development of methodologies to support companies along the engineering phase. Even if a plethora of methodologies and methods have been developed to support the Product-Service System (PSS) creation, there is still scarce attention on the way value is co-created with the customer. It becomes essential to change the perspective of the methodologies and to identify methods able to change the customer's role from a passive user to an active co-creator of value. In this context, the aim of this chapter is to understand which methods can be used to enhance value co-creation through an active involvement of the customers along the PSS engineering process.


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