Exploring digital servitization trajectories within product–service–software space
International Journal of Operations & Production Management
ISSN: 0144-3577
Article publication date: 16 March 2021
Issue publication date: 13 August 2021
Abstract
Purpose
This study shows various pathways manufacturers can take when embarking on digital servitization (DS) journeys. It builds on the DS and modularity literature to map the strategic trajectories of product–service–software (PSSw) configurations.
Design/methodology/approach
The study is exploratory and based on the inductive theory building method. The empirical data were gathered through a workshop with focus groups of 15 servitization manufacturers (with 22 respondents), an on-site workshop (in-depth case study), semi-structured interviews, observations and document study of archival data.
Findings
The DS trajectories are idiosyncratic and dependent on design architectures of PSSw modules, balancing choices between standardization and innovation. The adoption of software systems depends on the maturity of the industry-specific digital ecosystem. Decomposition and integration of PSSw modules facilitate DS transition through business model modularity. Seven testable propositions are presented.
Research limitations/implications
With the small sample size from different industries and one in-depth case study, generalizing the findings was not possible.
Practical implications
The mapping exercise is powerful when top management from different functional departments can participate together to share their expertise and achieve consensus. It logs the “states” that the manufacturer undergoes over time.
Originality/value
The Digital Servitization Cube serves as a conceptual framework for manufacturers to systematically map and categorize their current and future PSSw strategies. It bridges the cross-disciplinary theoretical discussion in DS.
Keywords
Acknowledgements
This research is supported by The Danish Industry Foundation, Project “Servitize.DK”, Denmark, the National Council of Technological and Scientific Development (CNPq) and the Coordination for the Improvement of Higher Education Personnel (CAPES), Brazil.
Citation
Hsuan, J., Jovanovic, M. and Clemente, D.H. (2021), "Exploring digital servitization trajectories within product–service–software space", International Journal of Operations & Production Management, Vol. 41 No. 5, pp. 598-621. https://doi.org/10.1108/IJOPM-08-2020-0525
Publisher
:Emerald Publishing Limited
Copyright © 2021, Emerald Publishing Limited