Exploratory study of the impact of the supply chain on integrated product-service systems design

Abstract

PurposeManufacturing firms (MFs) nowadays are struggling to design and maintain an integrated product-service offer. This paper aims to explore the role of the supply chain (SC) in the design of the Product-Service System (PSS). In particular, the study focuses on the Design for Supply Chain (DfSC) approach in order to understand its role and contribution to the Design for Product Service Supportability (DfPSSu) approach in supporting PSS design.Design/methodology/approachBased on the multiple-case study approach, this paper used in-depth-interviews method to collect primary data from four multinational car manufacturers and two academic researchers.FindingsThe study reveals how a better design of the SC is required for the development of a service supportability approach that, in turn, facilitates the design of the PSS. Additionally, Internet of Things (IoT) technologies support MFs to analyse the ongoing development of the PSS business model. Finally, a better design of PSS is essential for strengthening the integration of Product and Service Offerings.Practical implicationsThis study suggests that MFs can build dynamic SC capabilities to deal with fundamental changes that occurred when adopting servitization.Originality/valueThis paper is among the first attempts to study the design process of the PSS business model in a real business context taking into account different design strategies.