A systematic design approach for service innovation of smart product-service systems

Abstract

Recent development and implementation of advanced information and communication technologies (ICT) (e.g. Internet-of-Things (IoT), Cyber-Physical System (CPS)) has triggered a promising market of smart, connected product (SCP), and hence, enabled the prevailing tendency of manufacturing value proposition towards a service-oriented manner, viz. Smart product-service systems (PSS). Smart PSS, as a unique type of PSS, aims to achieve individual customer satisfaction with less environment impact by utilizing SCP as the media and tool, to generate various e-services as a bundle. Its service innovation is enabled by a platform-based approach and generated in a data-driven manner. Moreover, the digitalization of users, things, manufacturers and service providers in the cloud-based environment also provides potential service innovation opportunities. Nevertheless, only few existing works discuss about the Smart PSS, let alone an effective manner with valid cases to support its service innovation. Aiming to fill this gap, this research provides a novel definition of Smart PSS, and proposes a systematic design framework for its service innovation with an elaborated case study of a personalized smart wearable. Meanwhile, other potential industrial applications are discussed as well to offer valuable insights to manufacturers in their servitization for value creation.