Managing servitization in product companies: the moderating role of service suppliers
International Journal of Operations & Production Management
ISSN: 0144-3577
Article publication date: 7 August 2018
Issue publication date: 7 January 2019
Abstract
Purpose
The purpose of this paper is to study service innovation in product companies (servitization) by considering the relationship (moderation) between product companies and service suppliers.
Design/methodology/approach
Using a relational view of the firm, the authors propose that there are three main business dimensions that product companies have to manage in servitization and that the support of service suppliers can moderate the effects of these dimensions on the benefits obtained from the product–service system (PSS) delivered. To test these hypotheses, the authors perform a cross-sectional quantitative survey in 104 Brazilian and Italian product companies.
Findings
The findings show that the three business dimensions are important for servitization while there is a trade-off decision regarding service suppliers’ support since suppliers act differently depending on the PSS orientation (product- or service-oriented).
Research limitations/implications
The work is limited to the analysis of what should change in a company during servitization and the impact of supplier’s support. Further research is needed to complement this study by analyzing the process and context of the organizational change.
Practical implications
The research contributes an understanding about how the benefits practitioners can obtain from servitization are strongly influenced by the support of service suppliers and how this influence depends on the PSS orientation of the product company.
Originality/value
This is one of the first quantitative studies to provide evidence of how service suppliers’ involvement affects different servitization business dimensions and the obtained benefits for both product- and service-oriented outputs.
Keywords
Acknowledgements
The authors thank the Brazilian National Council for Scientific and Technological Development (CNPq – Conselho Nacional de Desenvolvimento Científico e Tecnológico), the Research Coordination of the Brazilian Ministry of Education (CAPES) and the Research Council of the State of Rio Grande do Sul (FAPERGS, Fundação de Amparo à Pesquisa do Estado do Rio Grande do Sul) for the financial support received to conduct this research.
Citation
Ayala, N.F., Gerstlberger, W. and Frank, A.G. (2019), "Managing servitization in product companies: the moderating role of service suppliers", International Journal of Operations & Production Management, Vol. 39 No. 1, pp. 43-74. https://doi.org/10.1108/IJOPM-08-2017-0484
Publisher
:Emerald Publishing Limited
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