The competition and increasing customers‘ demands makes traditional manufacturing companies consider new ways of differentiate themselves. One way of doing this is to develop product service system (PSS) solutions. PSS solutions are a total offering, where the customer purchases the use of a solution instead of a physical product. This bachelor thesis within the School of Innovation Design and Engineering at Mälardalen University aims to determine the success factor of PSS development at ICT and AM, which are two traditional Swedish manufacturing companies. To do this, the main challenges of transforming ICT and AM into PSS providers will be identified. The thesis also aims to determine if there is a need for change of performance measurements and key performance indicators (KPIs) to enable this transformation. A theoretical review is presented to help the readers in the understanding of the thesis areas. Interviews at ICT and AM were made to get a view of the situations at the companies considering PSS development. The information gathered at the interviews stated the major challenges of transforming both companies into PSS developers. With the theoretical framework and the stated challenges, an analysis was made to determine the success factors of PSS development.The identified success factors of PSS development were Senior management clarification of strategic intent, Cultural change management, Teamwork culture, Internal communication mechanisms, External communication mechanism, Customer relationship, Motivating breakthrough ideas, Project core competency, Cross-functional collaboration, Cross-functional development, Allocation of resources, Training and education, Knowledge management, Customer satisfaction data, Risk management, Product positioning, Portfolio of product opportunities, Product functional content, Knowledge of market potential, Product service processes, Product environment, Development process, Responsibilities of team members, Concurrent development, Internal task coordination, Organizational readiness for sales, Internal marketing and External marketing.Based on the theoretical framework and interviews a statement was made; it is crucial to change the performance measurement and KPIs if implementing PSS, to support collaboration between departments and contribute to the overall success for the companies.

Driven by the highly cyclical nature of their increasingly commoditised product offerings, many capital goods manufacturers are seeing the benefits of delivering services integrated with their core product offerings. Whilst existing research is almost unanimous in advocating the value of a servitization strategy, understanding how these product-service systems (PSSs) can be developed and delivered remains a significant challenge. The closely related PSS field, which has its heritage in the environmental and social science disciplines, is more mature in this area and a number of models have been proposed. The research reported within this thesis contributes to knowledge by investigating whether the approaches to PSS development, reported within the PSS literature, reflects the PSS development practice of servitized manufacturers. More specifically, soft systems methodology was used to explore the delivery of PSSs within the UK railway industry in order to gain an understanding of the implications for developing new PSSs. With this understanding, the existing approaches to PSS development were evaluated with respect to one servitized manufacturer through an in-depth single case study. The findings highlighted a number of significant differences between the practice of the servitized manufacturer and the literature. A survey was used to investigate whether the differences were generalisable to a larger sample of servitized manufacturers. The findings point towards the simplification of the reported phases within PSS development and the inclusion of a number of previously unreported processes and activities. Based on these results a new model of PSS development is proposed to better reflect the practice of servitized manufacturers. The model, consisting of four phases and seventeen processes, was operationalised in the form of a workbook and tested through application. Applying the workbook resulted in the successful creation of a number of new PSS concepts.

As empresas historicamente voltadas à produção de bens manufaturados têm enfrentado uma série de desafios ao longo das últimas décadas. Notadamente o acirramento da competitividade nos diversos mercados tem contribuído para com que diversos produtos sejam transformados em commodities com qualidade e desempenho similares. A disputa entre os players deixa de ser baseada em liderança tecnológica e tende a se resumir à busca por menores custos de produção. Paralelamente, cresce a consciência em diversos atores da sociedade em relação às questões ambientais e, consequentemente, a pressão sobre as indústrias para que contribuam com a criação de uma sociedade mais sustentável. A criação de pacotes que combinam produtos e serviços para entregar valor em uso ou via realização de uma função é uma estratégia que tem sido estudada para contornar os desafios citados. A criação e oferta de um Sistema Produto-Serviço (PSS – do inglês Product-Service System) por uma empresa de manufatura tem potencial para contribuir nas três perspectivas da sustentabilidade, mas traz alguns desafios. O desenvolvimento de produtos e de serviços deve ser feito de forma integrada, considerando seus relacionamentos e, muitas vezes, o modelo de negócios da empresa acaba sendo modificado. Para contornar os desafios relacionados ao desenvolvimento, existem modelos genéricos de processo de desenvolvimento de PSS propostos para que as empresas definam seus próprios modelos específicos. Esses modelos foram propostos para diferentes contextos de desenvolvimento e normalmente carregam os vieses de seus autores, apresentando pontos fortes e limitações. O presente trabalho tem como objetivo propor um framework para definir modelos de processos específicos de desenvolvimento de Sistemas Produto-Serviço. Para tanto este trabalho utiliza o paradigma do método hipotético-dedutivo e a abordagem metodológica DRM (Design Research Methodology). Os métodos de pesquisa utilizados são: painel de especialistas, linguística de corpus e semântica de frames, focus group, estudo de caso, revisão bibliográfica sistemática e análise de conteúdo. Foi possível obter três contribuições inéditas: um conjunto de 310 atividades-síntese; a análise de 15 modelos de processo de desenvolvimento de PSS; e o framework propriamente dito. As duas primeiras são contribuições à teoria. As atividades-síntese correspondem a todas as atividades de desenvolvimento de PSS previstas nos modelos de processo de desenvolvimento de PSS disponíveis na literatura, constituindo seu estado da arte. A análise dos modelos de processo evidenciou objetivamente os seus diferentes perfis, com cada modelo priorizando determinadas categorias de atividades em detrimento de outras. O framework criado foi testado em dois projetos de desenvolvimento de PSS em duas startups, e constitui uma contribuição aos praticantes nas indústrias, que podem utilizá-lo para definir seus modelos de processos específicos de desenvolvimento de PSS a partir de uma base mais abrangente de atividades que em qualquer um dos 15 modelos genéricos analisados. / Companies historically focused on the production of manufactured goods have faced a number of challenges over the past few decades. Notably, the intensification of competitiveness in the various markets has contributed to the transformation of various products into commodities of similar quality and performance. The dispute between players ceases to be based on technological leadership and tends to be limited to the search for lower production costs. At the same time, rises the awareness of various actors in society regarding environmental issues and, consequently, the pressure on industries to contribute to the creation of a more sustainable society. The creation of products and services bundles to deliver value in use or through the performance of a function is a strategy that has been studied to overcome the aforementioned challenges. The creation and offering of a Product-Service System (PSS) by a manufacturing company has the potential to contribute to the three perspectives of sustainability, but it also poses some challenges. The development of products and services must be done in an integrated way, considering their relationships and, often, the company\'s business model has to be changed. In order to overcome the development challenges, there are generic PSS development process models proposed for companies to define their own specific models. These models have been proposed for different development contexts and usually carry the biases of their authors, thus presenting strengths and limitations. The present work aims to propose a framework for defining specific process models to develop Product-Service Systems. For this, this work uses the paradigm of the hypothetical-deductive method and the DRM (Design Research Methodology) methodological approach. The research methods used are: experts\' panel, corpus linguistics and frame semantics, focus group, case study, systematic literature review and content analysis. It was possible to obtain three unpublished contributions: the set of 310 synthesis activities; the analysis of the 15 PSS development process models; and the framework itself. The first two are contributions to theory. The synthesis activities correspond to all the PSS development activities prescribed by the PSS development process models available in the literature, constituting its state of the art. The analysis of the process models objectively evidenced their different profiles, with each model prioritizing certain categories of activities in comparison to others. The framework created was applied to two PSS design project in two startups, being a contribution to practitioners in industries that can use it to define their specific PSS development processes models from a broader base of activities than in any of the 15 generic models analyzed.

As empresas historicamente voltadas à produção de bens manufaturados têm enfrentado uma série de desafios ao longo das últimas décadas. Notadamente o acirramento da competitividade nos diversos mercados tem contribuído para com que diversos produtos sejam transformados em commodities com qualidade e desempenho similares. A disputa entre os players deixa de ser baseada em liderança tecnológica e tende a se resumir à busca por menores custos de produção. Paralelamente, cresce a consciência em diversos atores da sociedade em relação às questões ambientais e, consequentemente, a pressão sobre as indústrias para que contribuam com a criação de uma sociedade mais sustentável. A criação de pacotes que combinam produtos e serviços para entregar valor em uso ou via realização de uma função é uma estratégia que tem sido estudada para contornar os desafios citados. A criação e oferta de um Sistema Produto-Serviço (PSS – do inglês Product-Service System) por uma empresa de manufatura tem potencial para contribuir nas três perspectivas da sustentabilidade, mas traz alguns desafios. O desenvolvimento de produtos e de serviços deve ser feito de forma integrada, considerando seus relacionamentos e, muitas vezes, o modelo de negócios da empresa acaba sendo modificado. Para contornar os desafios relacionados ao desenvolvimento, existem modelos genéricos de processo de desenvolvimento de PSS propostos para que as empresas definam seus próprios modelos específicos. Esses modelos foram propostos para diferentes contextos de desenvolvimento e normalmente carregam os vieses de seus autores, apresentando pontos fortes e limitações. O presente trabalho tem como objetivo propor um framework para definir modelos de processos específicos de desenvolvimento de Sistemas Produto-Serviço. Para tanto este trabalho utiliza o paradigma do método hipotético-dedutivo e a abordagem metodológica DRM (Design Research Methodology). Os métodos de pesquisa utilizados são: painel de especialistas, linguística de corpus e semântica de frames, focus group, estudo de caso, revisão bibliográfica sistemática e análise de conteúdo. Foi possível obter três contribuições inéditas: um conjunto de 310 atividades-síntese; a análise de 15 modelos de processo de desenvolvimento de PSS; e o framework propriamente dito. As duas primeiras são contribuições à teoria. As atividades-síntese correspondem a todas as atividades de desenvolvimento de PSS previstas nos modelos de processo de desenvolvimento de PSS disponíveis na literatura, constituindo seu estado da arte. A análise dos modelos de processo evidenciou objetivamente os seus diferentes perfis, com cada modelo priorizando determinadas categorias de atividades em detrimento de outras. O framework criado foi testado em dois projetos de desenvolvimento de PSS em duas startups, e constitui uma contribuição aos praticantes nas indústrias, que podem utilizá-lo para definir seus modelos de processos específicos de desenvolvimento de PSS a partir de uma base mais abrangente de atividades que em qualquer um dos 15 modelos genéricos analisados. / Companies historically focused on the production of manufactured goods have faced a number of challenges over the past few decades. Notably, the intensification of competitiveness in the various markets has contributed to the transformation of various products into commodities of similar quality and performance. The dispute between players ceases to be based on technological leadership and tends to be limited to the search for lower production costs. At the same time, rises the awareness of various actors in society regarding environmental issues and, consequently, the pressure on industries to contribute to the creation of a more sustainable society. The creation of products and services bundles to deliver value in use or through the performance of a function is a strategy that has been studied to overcome the aforementioned challenges. The creation and offering of a Product-Service System (PSS) by a manufacturing company has the potential to contribute to the three perspectives of sustainability, but it also poses some challenges. The development of products and services must be done in an integrated way, considering their relationships and, often, the company\'s business model has to be changed. In order to overcome the development challenges, there are generic PSS development process models proposed for companies to define their own specific models. These models have been proposed for different development contexts and usually carry the biases of their authors, thus presenting strengths and limitations. The present work aims to propose a framework for defining specific process models to develop Product-Service Systems. For this, this work uses the paradigm of the hypothetical-deductive method and the DRM (Design Research Methodology) methodological approach. The research methods used are: experts\' panel, corpus linguistics and frame semantics, focus group, case study, systematic literature review and content analysis. It was possible to obtain three unpublished contributions: the set of 310 synthesis activities; the analysis of the 15 PSS development process models; and the framework itself. The first two are contributions to theory. The synthesis activities correspond to all the PSS development activities prescribed by the PSS development process models available in the literature, constituting its state of the art. The analysis of the process models objectively evidenced their different profiles, with each model prioritizing certain categories of activities in comparison to others. The framework created was applied to two PSS design project in two startups, being a contribution to practitioners in industries that can use it to define their specific PSS development processes models from a broader base of activities than in any of the 15 generic models analyzed.

Submitted by Aelson Maciera (aelsoncm@terra.com.br) on 2017-08-03T19:18:52Z No. of bitstreams: 1 TeseAEBJ.pdf: 2100352 bytes, checksum: ac5bd3031a8cd7c07d6e33d71af352ce (MD5) / Approved for entry into archive by Ronildo Prado (ronisp@ufscar.br) on 2017-08-08T18:15:17Z (GMT) No. of bitstreams: 1 TeseAEBJ.pdf: 2100352 bytes, checksum: ac5bd3031a8cd7c07d6e33d71af352ce (MD5) / Approved for entry into archive by Ronildo Prado (ronisp@ufscar.br) on 2017-08-08T18:15:24Z (GMT) No. of bitstreams: 1 TeseAEBJ.pdf: 2100352 bytes, checksum: ac5bd3031a8cd7c07d6e33d71af352ce (MD5) / Made available in DSpace on 2017-08-08T18:29:03Z (GMT). No. of bitstreams: 1 TeseAEBJ.pdf: 2100352 bytes, checksum: ac5bd3031a8cd7c07d6e33d71af352ce (MD5) Previous issue date: 2017-02-22 / Não recebi financiamento / The Product-Service System (PSS) presents to companies a single value offer to the combination of products and services designed to meet the customer demands. The PSS has been a rising alternative for manufacturing companies that seek primarily to improve their competitiveness in an increasingly undifferentiated market. There is a growing interest in the PSS development, as shown in the increasing number of publications, in Brazil and abroad, that produces diverse approaches on the subject. Conversely, several authors on this field report a lack of research on the PSS development, with little information on how the designing process change in supplying a pure product instead of supplying a product combined with a service. Recently, many methods and tools for the construction of PSS have been developed; however, there are no records on how to use these means concretely in the design process. There are successive recommendations on how to build a body of knowledge to eliminate this hiatus in the literature. The purpose of this thesis is to develop guidances on the implementation of PSS in manufacturing companies migrating from a pure product offering to a product-service one by an Action-Research method. In order to do so, a PSS was implemented in a manufacturing company that works on an engineer to order model, and from that starting point, a set of guidances was developed to aid on future implementations, as well as on future researches. As a result, we also found two unforeseen steps in the original PSS development method: the preparatory step and the post-development step, which are pertinent steps for the increase of the process’ effectiveness increase. These results provide a more robust PSS development process and will facilitate the work of future PSS developers. / O Sistema Produto-Serviço (SPS) apresenta em uma única oferta de valor a combinação simultânea de produtos e serviços concebidos para atender às demandas do cliente da empresa. O SPS tem sido uma alternativa em ascensão para as empresas de manufatura que buscam, principalmente, aumentar a sua competitividade em mercados cada vez mais indiferenciados. Pelo viés da pesquisa acadêmica também se observa interesse crescente em relação ao tema, em virtude do aumento do número de publicações na área, tanto no Brasil quanto no exterior, assim como abordagens diversificadas sobre o assunto. Em contrapartida, diversos pesquisadores mencionam em suas publicações a insuficiência de investigação sobre o desenvolvimento do SPS, havendo pouca informação sobre como ocorre o processo de concepção da mudança na oferta de produto puro para a oferta de um produto combinado com um serviço. Muitos métodos e ferramentas para a construção de SPS foram desenvolvidos, entretanto não se observa registros de como usar estes meios concretamente no processo de projeto, havendo sucessivas recomendações para se construir um corpo de conhecimento para eliminar este hiato na literatura. O objetivo desta tese é desenvolver proposições para orientar a implantação de SPS em empresas de manufatura que desejarem migrar de uma oferta de produto puro para uma oferta produto-serviço, por meio de uma Pesquisa- Ação. Para tanto, foi implantado um SPS em uma empresa que trabalha no modelo engineer to order e, a partir da ação, foi elaborado um grupo de proposições para a orientação de futuras implantações, assim como para utilização em outras pesquisas. Também foi obtido como resultado a inclusão de duas etapas não previstas no método de desenvolvimento de SPS original e que se mostraram pertinentes para o aumento da eficácia do processo: a etapa preparatória e a etapa de pós-desenvolvimento. Estes resultados tornam mais robusto o processo de desenvolvimento de um SPS e facilitarão o trabalho de futuros desenvolvedores de SPS.

Many literatures have shown that needs last longer than any specific solutions, so understanding of customer needs seems a crucial factor in early Product-Service System (PSS) development. Nowadays, many western companies, especially manufacturing focused companies, have realized the difficulty of understanding market needs. In this thesis, a new Value-Driven Needfinding methodology for manufacturing company to apply in certain markets was investigated. To further demonstrate the implementation of the proposed methodology, a case study involving Volvo Construction Equipment exploring value-orient needs in Chinese market is showed. At the end, by providing the scenarios comparison, a PSS conceptual design will be illustrated to show the utilization of the customer needs, then opportunities for company future provision towards sustainability based on early PSS development will be discussed. / Providing added value to standalone products by adding services is at the core of Product-Service Systems (PSS) offered in manufacturing companies. Providing PSS requires a change not only in the way products are sold, but also in the way they are designed and developed. The way of understanding and capturing customer needs often fall outside the early phase of designing integration solution in traditional manufacturing company. The aim of the thesis is to investigate the needfinding for early phase of PSS design, methods and tools proposed to improve the need collection and analysis process. This academic work was performed through the close collaboration with Volvo Construction Equipment which is looking for opportunities to provide Product-Service System in the Chinese market. The thesis group firstly reviewed theory of needfinding, and then the importance of value was brought out. The methodology of Value-Driven Needfinding (VDN) was introduced to facilitate the early PSS development. By deriving needs from an adding value standpoint, this methodology is not only focused only on needs intended as “Voice of the customer” but rather as needs expressed as “Value Adding Activities”. Thus, these value-based needs can reveal some functions for potential system solution development. A case study involved with Chinese customers’ needs is described to demonstrate the application of VDN. Two scenarios comparison were presented to evaluate the sustainable influence between provision of current solutions and new PSS solution. During discussion part, the application of VDN, the Chinese market preferences and the contribution of VDN for early PSS design from sustainable perspectives are discussed. At the end, three conclusions supported the contirbution of VDN applied for manufacturing company to carry out PSS development at early stage are showed. / 0736278002, Pohlmesgatan 27 B lgh 1208 371 40

Today’s companies are struggling with the competitive environment driven by resource scarcity, technical progress and market demand for increased value and flexibility. For these reasons companies are shifting their focus from selling products to selling need fulfillment. The result-oriented product-service (PSS) is a PSS type that provides value mainly through delivery of services with the premise of the producer taking responsibility over the entire product life cycle. It is highlighted in the literature as a business strategy to generate a high profit and stable the revenue. Despite the new market opportunities related to the provision of PSS, it inherently comes with complexity linked to the extended responsibility. More importantly, very little is mentioned in the PSS literature regarding real case PSS development and how service-oriented PSS contracting impacts Small and Medium-sized Enterprises (SMEs). The objective of this thesis is to examine how result-oriented PSS can create new opportunities for SMEs. It is targeting to explore this topic from a cost and value creation perspective for both the company and customer. To achieve the objective a main research question is stated which answer is given by answering the two sub questions as below. How can a result-oriented product-service system be implemented in small and medium-sized enterprises? 1. What result-oriented PSS solution can be designed for the recycling equipment industry to increase the value for both the manufacturer and the customer? 2. What are the financial implications of a result-oriented PSS? To explore answers for the research questions, a case study inquiry is carried out on MRT (Mercury Recovery Technology) System International AB. It is a small international recycling equipment manufacturer in Karlskrona. A PSS development process resulting in a new concept referred to as “Pay per screen” is developed. The development and analysis of the result-oriented PSS shows that it is more profitable for the company to offer the proposed Pay per screen concept compared to the current product- oriented business. Even the customer has proven to be profitable while providing several advantages such as avoid being responsible for initial investment and maintenance costs. / Dagens företag kämpar med att hantera den konkurrenskraftiga miljön som drivs av resursbrist, teknisk utveckling och efterfrågan av ökat värde och flexibilitet. Av dessa skäl byter företagen fokus från att sälja produkter till att uppfylla behov. Det resultatorienterade produkttjänstesystemet (PSS) är en sorts PSS som ger värde huvudsakligen genom att leverera tjänster med förutsättningen att producenten tar ansvar över hela produktens livscykel. Den framträder i litteraturen som en ny strategisk affärsstrategi som genererar en hög vinst och stabiliserar inkomstflödet. Trots de nya marknadsmöjligheterna i samband med tillhandahållandet av PSS följer komplexitet med det utökade ansvaret. Dessutom nämns mycket lite i PSS-litteraturen om PSS-utveckling i ett verklighetsbaserat fall och hur tjänsteorienterad PSS-koncept påverkar små och medelstora företag. Syftet med detta examensarbete är att undersöka hur resultatorienterade produkttjänstesystem kan skapa nya möjligheter för små och medelstora företag. Det riktar sig till att utforska detta ämne ur ett kostnads- och värdeskapande perspektiv för både företaget och kunden. För att uppnå målet anges en huvudforskningsfråga vilket delvis svaras genom att svara på de två delfrågorna nedan. Hur kan ett resultatorienterat produktservice system genomföras i små och medelstora företag? 1. Vilken resultatorienterad PSS-lösning kan utformas för återvinningsindustrin för att öka värdet för både tillverkaren och kunden? 2. Vilka är de ekonomiska konsekvenserna av ett resultatorienterat PSS? För att utforska svaren på forskningsfrågorna utförs en fallstudie på MRT (Mercury Recovery Technology) System International AB. Det är en liten internationell tillverkare av återvinningsutrustning i Karlskrona. En PSS-utvecklingsprocess som resulterar i ett nytt koncept som kallas "Pay per screen" är utvecklat. Utvecklingen och analysen av resultatorienterad PSS visar att det är mer lönsamt för företaget att erbjuda det föreslagna Pay per screen konceptet. För även kunden har det visat sig vara lönsamt samtidigt som ger en rad fördelar så som att slippa ansvara för investerings- och underhållskostnader.

The purpose of the research is to study the “Orange and Ericsson case” while developing the method Actors and System Map. The interaction between actors within Ericsson’s Device Connection Platform is investigated in order to identify improvement opportunities in the interaction between the provider and the customer. To answer the purpose the following research questions was formulated: RQ1)  What type of actors may be involved in a telecom related IPSO? RQ2)  How can the connections between actors in the telecom related IPSO be illustrated? RQ3)  How can the Actors and System Map method be refined? In order to answer the research questions different methodologies were used for the analysing process. The research started with a widespread literature study to collect knowledge related to the area of Product Service System (PSS) and methodologies for identifying how actors interact with one another. Studying different mapping methods the conclusion was made that Actors and System Map was most suitable for this study. In the methodology background the previous selected method, Actors and System Map from an Integrated Product Service Offering (IPSO) perspective, was examined in order to be able to refine and improve the mapping method. Actors Map provides a visual and clear overview of the actors involved while a System Map shows the information flows and activities between the actors. To understand the interaction between the two companies, the definition of IPSO and the importance of value-based selling for a service offering are described in the theory background. Also, different ways of looking at a business model within the telecommunication industry is presented. Obtaining information regarding making an Actors Map and a System Map an improved mapping method was refined. The adaption of the method was divided into eight steps. The refined Actors Maps of the DCP shows the actors involved, how they are connected and their main assignments from each respondent’s point of view at Ericsson. The refined System Map shows what kind of information is transferred between the actors within the companies and between Orange and Ericsson. Both maps delivered as a decision basis will help identification of non-value giving links and non-optimal distances in the information flow for both companies.