Product Service Systems and supply network relationships: an exploratory case study

Abstract

PurposeIn recent years there has been increasing interest in Product Service Systems (PSSs) as a business model for selling integrated product and service offerings. To date, there has been extensive research into the benefits of PSS to manufacturers and their customers, but there has been limited research into the effect of PSS on the upstream supply chain. This paper seeks to address this gap in the research.Design/methodology/approachThe research uses case‐based research which is appropriate for exploratory research of this type. In‐depth interviews were conducted with key personnel in a focal firm and two members of its supply chain, and the results were analysed to identify emergent themes.FindingsThe research has identified differences in supplier behaviour dependent on their role in PSS delivery and their relationship with the PSS provider. In particular, it suggests that for a successful partnership it is important to align the objectives between PSS provider and suppliers.Originality/valueThis research provides a detailed investigation into a PSS supply chain and highlights the complexity of roles and relationships among the organizations within it. It will be of value to other PSS researchers and organizations transitioning to the delivery of PSS.