Abstract

Designing a value cocreation system in the manufacturing industry has seen significant interest in the past two decades. The importance of a value cocreation system has increased along with the social expectations related to increasing resource efficiency and the emergence of enablers such as digitalization. In this article, I take this opportunity to disseminate some findings to industry and managers. Specifically, a review of product/service systems (PSSs) where a manufacturer—taking responsibility for and control of larger ranges in a value network—integrates their products and services to cocreate and capture higher value. PSS design implications and how to implement PSS design are discussed. Insights into designing a PSS in manufacturing practice are highlighted largely based on collaborative experience with large global manufacturers. Strategic management of design activities to avoid design fixation and service design trap is key to the successful design of PSSs.

Highlights

  • Designing a value co-creation system in the manufacturing industry has seen significant interest in the past two decades

  • This higher flexibility on the temporal dimension allows product/service systems (PSSs) designers to postpone service design in part and thereby effectively and efficiently address the uncertainty arising in the use phase; which grants a competitive advantage to a manufacturer as a PSS provider by offering greater flexibility for differentiation

  • We provide an understanding of the what, why and how for PSS design

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Summary

Design

The cost and the environmental impact in PSS are reduced by 18% and 45%, respectively. These implications are further presented, which summarizes the implications related to the properties and characteristics of PSSs (Sakao, Gero et al 2020). An example for the guidance is represented in the form of a prescriptive PSS design schema, as shown by Figure 4 (Sakao and Neramballi 2020). 6. Identify and integrate product, service or other elements that can collectively fulfill the requirements and create value.

Select suitable combinations
Examination of the balance of the integration
Design Design
Design fixation overcome
Findings
Summary
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