Challenges and Success Factors in Digital Servitization
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Typ
Examensarbete för masterexamen
Program
Industrial ecology (MPTSE), MSc
Publicerad
2022
Författare
Caredda, Angela
Modellbyggare
Tidskriftstitel
ISSN
Volymtitel
Utgivare
Sammanfattning
In recent decades, it has become increasingly attractive to firms to implement a service logic into their
offerings in a process called servitization: a transformation process that manufacturers undergo when
shifting from being a product provider to becoming a provider of outcome-based services. Servitization
can benefit the company as well as the environment, as it fosters great potential for circular innovation
by shifting corporate incentives towards product longevity. However, many firms struggle to successfully
pursue service innovations. With the onset of digital technologies, servitization has become more
promising, but also more complex. Much like traditional servitization, firms struggle to implement digital
servitization (DS) successfully. However, due to the novelty of the field, there is only limited evidence
on the factors that lead to the success or failure of DS transformations. This paper collects the available
evidence in a systematic literature analysis of empirical case studies documenting DS processes with the
primary purpose of building a conceptual framework of the factors that contribute to successful DS. This,
in turn, contributes to smaller aims: firstly, to understand which factors are broadly agreed upon and
which ones are still contentious; secondly, to suggest directions for further research based on those
themes that are still contentious or underanalysed; and thirdly, to understand which success factors for
service-based circular business models may contribute to servitization success and vice versa. Based on
the analysis, the thesis finds that DS success hinges on a value network consisting of the servitizing firm,
its customer and supplier, and several other new partners. The relation between these actors is close and
mediated by digital technologies as the actors share knowledge, competences, and information among
each other. Notably, though, extant literature makes little to no claims on how circular economy questions
are considered in the DS offering’s development, suggesting that this is not yet a salient concern among
servitizing firms. Based on this analysis, the thesis suggests further research into the topics of DS
paradoxes; customer relations for DS; the structure of the value network; business models for DS; digital
servitization in the circular economy; and risk management for DS.
Beskrivning
Ämne/nyckelord
Digital Servitization , Case Research , Systematic Literature Review