The Servitization of Manufacturing: A Solution Oriented Business Innovation and Process Transformation for Hi-tech Industries
Year: 2014
Type: dissertation
Abstract: It has been recognized that in today's highly competitive industrial markets, servitization is one of the key strategic choices for many leading manufacturers to gain differentiation from competitors by offering value-added services.To do so, however, requires a serviceoriented strategy and the active implementation of this strategy, which comprise a significant shift in the underlying business model, management philosophy, processes and approach.Due to the very unique and different natures of service, many companies experience problems identifying the service propeller and surviving to find the right way of transforming their business model from not only producing goods to offering an integrated package of goods and services, i.e., servitization.However, the integration of services into manufacturing, inherent challenges, major barriers -and indeed the varied drivers -to servitization have been relatively ignored.It has been our attempt to analyze and describe how companies can transform from being a "product-centered" organization to being a "servitized" organization by conducting interviews and by reading relevant literature.The dissertation aims to comprehend the claims and counterclaims in the literature, and provide more realistic guidance and articulated perspective on the transformation process.It also examines the influence of organizational factors on the effectiveness of implementing servitization strategy.Extrapolation of findings from interviews and supplementary research expose the multiple hurdles littered throughout the transformational path and strategic implementation process.Our findings and subsequent analysis excavated a number of change residuals that is required to complete the process of servitization.One of our main findings showed that in order to shift the firm from "product-centric" to a "service-centric" organization, they need to transform its process from technology and resources base to knowledge and skills base operations.Nonetheless, we found, on the basis of our interviews and relevant literature, that the most important factors for implementing servitization strategy are leadership, vision, and marketing.The dissertation furnishes an original perspective to provide the notion of firm operational process transformation from manufacturing to servitization, extends existing research, and aims to bridge the gap between services and manufacturing.Summarizing the v Dedication This thesis is dedicated to my family for their endless love, support and encouragement.A special feeling of gratitude to my loving parents, Razia Begum and Mohamed Ullah who always pray to almighty Allah for my success in every step of my life.
Author: Zahir Ahamed
Language: English
Subfield: Marketing
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2304676334