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Product-Service Systems (PSS) Business Models and Tactics: A Systematic Literature Review
Luleå University of Technology, Department of Business Administration, Technology and Social Sciences, Innovation and Design.ORCID iD: 0000-0002-8939-5509
Luleå University of Technology, Department of Business Administration, Technology and Social Sciences, Innovation and Design.ORCID iD: 0000-0003-3255-414X
Luleå University of Technology, Department of Business Administration, Technology and Social Sciences, Innovation and Design.ORCID iD: 0000-0001-6921-1779
2015 (English)In: Journal of Cleaner Production, ISSN 0959-6526, E-ISSN 1879-1786, Vol. 97, p. 61-75Article in journal (Refereed) Published
Abstract [en]

Studies on Product–Service Systems (PSS) are emerging as a growing body of literature driven by the desire to combine economic prosperity and sustainable resource management. However, knowledge about how companies can adopt and implement PSS has remained limited. In this study, a systematic literature review is conducted related to understanding implementation of PSS business models and five sets of tactical practices. Based on an in-depth analysis of 67 articles, it was found that PSS is increasing rapidly as a research field, which is spread across a variety of disciplines and research domains. More specifically, research findings were accumulated from the field to present a framework supporting the implementation of well-established categories of PSS business models, that is, product-oriented, use-oriented, and result-oriented business models. Each business model category is linked to five operational-level tactics that ensure the model can be implemented successfully and subsequently generates value. These tactical sets include 1) contracts, 2) marketing, 3) networks, 4) product and service design, and 5) sustainability operational practices. This study concludes by proposing suggestions for future research.

Place, publisher, year, edition, pages
2015. Vol. 97, p. 61-75
National Category
Other Engineering and Technologies not elsewhere specified
Research subject
Entrepreneurship and Innovation
Identifiers
URN: urn:nbn:se:ltu:diva-9311DOI: 10.1016/j.jclepro.2014.07.003ISI: 000355370800007Scopus ID: 2-s2.0-84928769260Local ID: 7e8407db-d731-44e1-9c98-8d0d0a65dadbOAI: oai:DiVA.org:ltu-9311DiVA, id: diva2:982249
Note
Validerad; 2015; Nivå 2; Bibliografisk uppgift: Special Volume: Why have ‘Sustainable Product-Service Systems’ not been widely implemented?; 20140707 (vinpar)Available from: 2016-09-29 Created: 2016-09-29 Last updated: 2018-07-10Bibliographically approved
In thesis
1. Towards a framework for product-service system business model implementation
Open this publication in new window or tab >>Towards a framework for product-service system business model implementation
2018 (English)Doctoral thesis, comprehensive summary (Other academic)
Alternative title[sv]
Implementering av affärsmodeller: Ett ramverk för produkt-tjänstesystem
Abstract [en]

Manufacturing companies are increasingly focused on service-led growth to gain new revenue streams and achieve sustainable competitive advantages. In this regard, offering product-service systems (PSS) is proposed as an attractive solution for manufacturing companies to achieve economic, environmental, and social benefits. More specifically, through the integration of provider and customer operations, efficiency is increased because each party focuses on its core competencies, and operations are optimized. For example, prolonged product lifetimes and increased resource utilization are part of the sustainability achievements that can be achieved through successful PSS implementation.

Still, successful implementation of PSS is rare. The business model has become acommon unit of analysis in PSS and the crucial factor that may differentiate successful and unsuccessful PSS companies. Revising business models toward PSS provision and the implementation of the PSS business model is a challenging process that constitutes a major reason why companies struggle to increase the service degree of their offerings. This thesis suggests that a better understanding of tactics, risk management, service network adjustment, and activity alignment is associated with PSS business model implementation. Therefore, the purpose of this thesis is to advance the understanding of PSS business model implementation.

Comprised of a cover story and five separate but interrelated articles, this dissertation explores the implementation of product-service systems business models. The results are based on a systematic literature review and four case studies with Swedish manufacturing companies. The thesis is empirical based on 107 interviews with employees from four different manufacturing companies and eight distributers of one of the case companies.

This thesis contributes to the PSS literature by proposing a four-phase PSS business model implementation framework. The framework goes beyond selecting a PSS business model to also include the configuration of related tactical sets, risk identification and management, and adjustment of the delivery practices, along with activity alignment. All phases are crucial for PSS business model implementation and therefore make specific contributions by themselves. Furthermore, by applying agency theory to mitigate adverse customer behavior, this thesis contributes to the increased legitimacy of the PSS research field.

Place, publisher, year, edition, pages
Luleå: Luleå tekniska universitet, 2018
Series
Doctoral thesis / Luleå University of Technology 1 jan 1997 → …, ISSN 1402-1544
National Category
Business Administration Other Engineering and Technologies not elsewhere specified
Research subject
Entrepreneurship and Innovation
Identifiers
urn:nbn:se:ltu:diva-68716 (URN)978-91-7790-148-8 (ISBN)978-91-7790-149-5 (ISBN)
Public defence
2018-09-05, A109, Luleå, 09:30 (English)
Opponent
Supervisors
Available from: 2018-05-14 Created: 2018-05-14 Last updated: 2018-11-27Bibliographically approved

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Reim, WiebkeParida, VinitÖrtqvist, Daniel

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