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Method for a qualitative cost benefit evaluation of process standardisation for industrial services
(2018)
Industrial service providers deliver complex technical services (e.g. inspection, maintenance, repair, improvement, installation and turnarounds) for a wide range of technical assets in process industries such as the chemical industry. Due to the versatility of assets and industries, there is also a variety of the corresponding service offerings. The demand for a high service quality and the general cost pressure leads to the need of a more efficient and standardized design of the service processes. However, cost-benefit ratio related decisions regarding the questions where and how service processes should be standardized entail great challenges for small and medium-sized enterprises. This is because there is often a lack of understanding of cost savings through process standardization, which is caused by a lack of understanding of the correlations between process characteristics and process target values. Because of this, the goal of this paper is to develop a method for a quantitative evaluation of the cost-benefit ratio of process standardization measures. Within this method, the relevant service performance processes are selected first. Next, the process data will be recorded with the help of questionnaires. These are then analyzed by looking for correlations between the process characteristics and the process target values. Afterwards standardization measures are derived on the basis of these findings in order to improve deficit characteristics and thus target values. Finally, the method´s practical applicability is tested and validated by applying it to an industrial service in the chemical industry.
Industrial Smart Services - Types of Smart Service Business Models in the Digitalized Agriculture
(2018)
Due to lack of experience of companies with digital business models, agricultural machinery manufacturers and agricultural service companies are facing a positioning problem in their ecosystem. Smart services are getting more important for these companies and they have issues to define a matching business model for their newly developed smart services. The lack of a framework for smart service business models makes it even harder for companies to successfully develop new services.
This paper contributes to a better understanding of business models for smart services and establishes a common morphological framework to define different types of business models for smart services. Six types of business models of industrial smart services were identified during the research based, which was based on a literature review and interviews with leading experts in the field of smart services. The validation of the developed types and its practical application was carried out as part of the German research project Smart-Farming-World and its four developed use cases. This paper gives a detailed description of the application of the framework on the use case nPotato.
Traditional manufacturing companies increasingly launch data-driven services (DDS) to enhance their digital service portfolio. Nonetheless, data-driven services fail more often than traditional industrial services or products within the first year on the market. In terms of market launch, their digital characteristics differ from traditional industrial services and thus need specific structures and actions, which companies currently lack. Therefore, a process guideline for a six-month market launch phase of DDS is developed. The guideline relies on analogies from product, service and software launches based on the latest literature from service marketing and successful practices from various industries. Finally, the guideline is evaluated within five industrial case studies. Thus, the guideline provides scientific research insights regarding the market launch process of DDS and adds to the research of service marketing. It provides practical guidance for manufacturing companies by serving as a reference process for the market launch and offering a collection of successful practices within this area.
Traditional manufacturing companies increasingly launch data-driven services (DDS) to enhance their digital service portfolio. Nonetheless, data-driven services fail more often than traditional industrial services or products within the first year on the market. In terms of market launch, their digital characteristics differ from traditional industrial services and thus need specific structures and actions, which companies currently lack. Therefore, a process guideline for a six-month market launch phase of DDS is developed. The guideline relies on analogies from product, service and software launches based on the latest literature from service marketing and successful practices from various industries. Finally, the guideline is evaluated within five industrial case studies. Thus, the guideline provides scientific research insights regarding the market launch process of DDS and adds to the research of service marketing. It provides practical guidance for manufacturing companies by serving as a reference process for the market launch and offering a collection of successful practices within this area. [https://link.springer.com/chapter/10.1007/978-3-030-00713-3_14]
Data-driven services play an important role in
innovative business models of successful manufacturing
companies: They hold great potential for the creation of unique
selling points and improve the differentiation of manufacturing
companies in highly competitive markets. However, the large
number of newly invented digital services that fail shortly after
launching implies that companies struggle with the invention and
implementation of data-driven service solutions, which ends in a
waste of resources. The following paper introduces guideline
principles for successful innovation processes for data-driven
services. The principles were identified during in-depth case
studies with manufacturing companies. They contribute to a
necessary paradigm change for manufacturing companies in
terms of data-driven services for machines. The six identified
principles emphasize new aspects regarding the new dimension of
data-driven solutions and improve the life cycle management of
products and services. They demonstrate how the rules of agile
development can lead to successful and more efficient service
innovations in the industrial sector.
Industrial service is currently undergoing tremendous changes, largely driven by the development of new technologies, in particular the advancing digitalization. Never before have organizations had more comprehensive and insightful data assets - and never before have the opportunities to fully exploit this potential been better. However, most companies are unaware of how they can make use of this potential and which development steps are necessary to react to the current situation. To change this, a maturity-based approach was developed which describes four development stages of an industrial service company from a technological, organizational and cultural point of view. The maturity model makes it possible to develop a digital roadmap that is tailormade to each company, which helps to introduce Industrie 4.0 and transform industrial service companies into learning, agile organizations.
Industrial Smart Services: Types of Smart Service Business Models in the Digitalized Agriculture
(2019)
Due to lack of experience of companies with digital business models, agricultural machinery manufacturers and agricultural service companies are facing a positioning problem in their ecosystem. Smart services are getting more important for these companies and they have issues to define a matching business model for their newly developed smart services. The lack of a framework for smart service business models makes it even harder for companies to successfully develop new services. This paper contributes to a better understanding of business models for smart services and establishes a common morphological framework to define different types of business models for smart services. Six types of business models of industrial smart services were identified during the research based, which was based on a literature review and interviews with leading experts in the field of smart services. The validation of the developed types and its practical application was carried out as part of the German research project Smart-Farming-World and its four developed use cases. This paper gives a detailed description of the application of the framework on the use case nPotato.
Process Characteristics and Process Performance Indicators for Analysis of Process Standardization
(2018)
Industrial service companies deliver technically complex services (inspection, maintenance, repair, improvement, installation) for an enormous variety of technical assets in the chemical, steel, food and pharmaceutical industry. This variety of assets leads to a corresponding variety of service processes. To ensure competitiveness, the management of industrial service companies aims to increase the service process efficiency, especially through service process standardization. However, decision-makers struggle to make knowledge-based decisions on service process standardization because ex-ante the cost-benefit ratios of process standardization are unknown. The missing understanding of cost-benefit ratios of process standardization is caused by a missing understanding, which interdependencies exist between process characteristics and process performance indicators. Thus, the objective of this paper is to determine suitable characteristics and performance indicators to measure the way service provision processes are executed in the industrial service sector. The results represent the basis for executing an empirical questionnaire study focusing on the execution of service provision processes and identifying the cause-effect relations of process standardization.
Many industrial companies face their digital transformation. In addition to an existing portfolio of products and services, new digital services are being developed to offer a portfolio of smart product service systems (Smart PSS). While the development of new digital services is rarely a problem for the companies, the organization of sales and distribution of Smart PSS in particular is a key issue. The sales of Smart PSS differs considerably from the sales of only products or services and must therefore be designed differently in order to meet customer requirements and successfully commercialize the developed Smart PSS. This paper therefore describes how the sales organization of Smart PSS should be designed successfully in various forms. The network thinking methodology is used in combination with a case study research approach to describe the connection between the offered portfolio, the customer requirements and the different elements of a sales organization. Furthermore, four different types of a sales organization for Smart PSS are described. This paper gives a recommendation for companies on a design of their sales organizations on which practical implications may be developed.