Cited by 568Service and Product InnovationSustainable Supply Chain ManagementOutsourcing and Supply Chain Management

Challenges in transforming manufacturing organisations into product‐service providers

Open access
Martinez, Veronica, Bastl, Marko, Kingston, Jennifer, Evans, Stephen·2010·Journal of Manufacturing Technology Management

Abstract

Purpose: The purpose of this paper is to present challenges experienced by UK manufacturing companies undergoing a servitization journey to becoming product‐service providers. Design/methodology/approach: The paper uses an exploratory single‐case study approach based on semi‐structured interviews, and archival data. A total of 22 senior managers were interviewed from the product‐service provider and its two suppliers, resulting in more than 400 pages of interview data. Data were analysed through an inductive research analysis by an emergent identification of patterns. Findings: This research identifies critical and frequent challenges experienced by UK manufacturing companies undergoing a servitization journey to becoming product‐service system (PSS) providers. They are condensed into five pillars, which constitute the architecture of challenges in servitization. The architecture of challenges in servitization provides a full description of the strategy and operations of PSSs. Research limitations/implications: This is qualitative research based on a single case study. Given the nature of research design, the identified patterns cannot be used as a predictive tool. Practical implications: This research provides a framework to understand, analyse and plan the strategic transformations to more highly servitized organisational forms. Originality/value: This paper contributes to knowledge with a new model called “the architecture of challenges in servitization”. This is the only model that explains the importance of the strategic, operational and social tests that organisations confront when adopting servitization strategies. If companies understand these challenges, they have the potential to create unique sets of values for a variety of stakeholders.

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Research works printed but not linked: 9

  1. Araujo L. and Spring M. (2006), "Service, product, and the institutional structure of production", Industrial Marketing Management, Vol. 35 No. 7, pp. 797-805.
  2. Berry, L.L. (1999), Discovering the soul of service, New York, The Free Press.
  3. Davis A. (2003), "Integrated solutions: the changing business of systems integration", In Andrea Prencipe, Andre Davids and Mike Hobday (Eds.); The business system integration. Oxford, Oxford University Press.
  4. Ghemawat, P. (1986), "Sustainable Advantage", Harvard Business Review, Vol. 64 No. 5, pp. 53-58.
  5. Hatch M. (2006), Organisation theory, 2 nd Edition, Oxford University Press
  6. Hatum A. and Pettigrew A. (2004), "Adaptative response under competitive pressure: organisational flexibility in an emergent economy", Management Research, Vol. 2, No. 2, pp. 97-114.
  7. Quinn, B., Doorley, B., and Paquette, P. (1990), "Beyond products: service-based strategies", Harvard Business Review, March-April
  8. Stake, R. E. (1995), The Art of Case Study Research, Sage Publications, Thousand Oaks, California, USA
  9. Teece. D. (1986), "Profiting from technological innovation: Implications for integration", Research Policy, Vol. 15 No. 6, pp. 285-305.

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Authors
Martinez, V., Bastl, M., Kingston, J., & Evans, S.
Affiliations
Cranfield University (GB)
Venue
Journal of Manufacturing Technology Management
Publisher
Emerald
Published
2010-05-04
Volume
21
Issue
4
Pages
449-469
ISSN
1741-038X (ISSN-L)
OpenAlex
W2063721037
Cited by
567
References
83
Citations by year
2026: 11 · 2025: 10 · 2024: 25 · 2023: 24 · 2022: 31 · 2021: 65 · 2020: 41 · 2019: 52 · 2018: 62 · 2017: 57 · 2016: 38 · 2015: 48 · 2014: 40 · 2013: 34 · 2012: 19
FWCI
59.94
Type
journal article
Language
en
Locations
  • Journal of Manufacturing Technology Management (publishedVersion)
  • CERES (Cranfield University) (submittedVersion)
Funders
  • Engineering and Physical Sciences Research Council
  • Intelligent Manufacturing Research Center
Topics
  • Social Sciences › Business, Management and Accounting › Marketing › Service and Product Innovation
  • Social Sciences › Business, Management and Accounting › Strategy and Management › Sustainable Supply Chain Management
  • Social Sciences › Business, Management and Accounting › Management Information Systems › Outsourcing and Supply Chain Management
Keywords
servitization, product-service systems, manufacturing companies, strategic change, organizational change, supplier relationships, UK manufacturing

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