An increasing number of manufacturing firms are developing new business models to improve sustainability in the face of growing environmental and social challenges. Product-service systems (PSS) are regarded as promising sustainable business models with significant potential to synergise economic, environmental and social value, together termed ‘sustainable value’. This research investigates ways in which manufacturing firms can identify opportunities for sustainable value creation in PSS business models. The research aims to make theoretical and practical contributions to the fields of sustainable business models, sustainable PSS and sustainable value. The research adopts a qualitative theory building approach, in which theory can be transformed into practice. It involves eight case studies and one focus group formed of manufacturers who provide PSS solutions. A practical-research tool, the Sustainable Value Analysis Tool, is developed to collect data and to provide business support. The key research findings and contributions to theory and practice are: · The research proposes a new PSS classification system based on the ownership of products and changes in ownership. This classification distinguishes the potential for sustainability of each PSS type more clearly than existing PSS classifications. · The research introduces a new concept, value uncaptured, and identifies four forms of this. The introduction of this concept provides a novel perspective of studying value exchange in business models. · The research identifies 26 sources of value uncaptured throughout the product life cycle. These can be used to help industrial practitioners to identify value uncaptured in a structured way. · The research proposed that the act of turning value uncaptured into value opportunities is an effective approach for improving sustainable value creation in business models. This has been empirically demonstrated. · The research proposes a model to understand how and where value uncaptured can be turned into value opportunities. This model comprises two mechanisms, two directions, and fourteen key tactics. The model improves theoretical understanding of the sustainable value creation system and can be applied in practice to help companies search for value opportunities in a systematic and strategic way. · The challenges of turning value opportunities into value are identified. The findings have been used to develop a framework for sustainable value creation in PSS business models. The proposed tool has been validated and used in workshops for purposes including research, consultancy, business education and university education. This research thus makes contributions to both academic knowledge and industrial practice.

Företag hittar ständigt nya sätt att arbeta genom olika strategier. En ny sådan strategi kallas extrem tjänstefiering som innebär att företag går från att sälja fysiska produkter, till att sälja funktionen av en produkt. Istället för att exempelvis sälja en borrmaskin, säljer man antal borrhål som maskinen producerar. Denna nya strategi har växt till ett nytt fenomen som företag börjat implementera i sina affärsmodeller. Detta fenomen har till stor del studerats inom området för innovation och miljö, men redovisningsaspekten av strategin saknas helt. I och med att det är ett relativt nytt sätt att arbeta har inga studier gjorts inom ämnet för redovisning, samt finns det inget specifikt regelverk som behandlar detta fenomen. Studiens syfte formulerades därför till att beskriva revisorers tolkningar av avtal som innefattar extrem tjänstefiering samt analysera problematiken som uppstår med detta och se hur normgivare förhåller sig till den problematiken. För att kunna besvara studiens syfte valdes följande frågeställningar; 1) Hur anser revisorer i Sverige att noterade företag bör redovisa avtal som innefattar extrem tjänstefiering? 2) Vilken redovisningsproblematik anser revisorerna uppstå med denna typ av avtal? Och 3) Hur förhåller sig normgivare till den identifierade redovisningsproblematiken för denna typ avtal? Genom en kvalitativ metodansats består empirin av totalt en intervju med ett företag som arbetar med extrem tjänstefiering, sex revisorer samt två normgivare inom redovisning i Sverige. Studiens resultat visar på att extrem tjänstefiering bör redovisas genom att kostnadsföra avgiften löpande. Den största problematiken som framkommer i studien är jämförbarheten av de finansiella rapporterna. Extrem tjänstefiering verkar redovisas på ett helt annat sätt än andra liknande affärsstrategier. Det efterfrågas en tydlighet kring hur denna problematik ska lösas, men studiens resultat visar på att huruvida ansvaret för den tydligheten bör ligga hos normgivarna eller revisorerna är de båda parterna oense om. Revisorerna efterfrågar förändring från normgivarnas sida, medan normgivarna anser att de befintliga regelverken är tillräckliga och att det är upp till de redovisningsansvariga att vara tydliga i sin redovisning och upp till revisorerna att vara tydliga i sin bedömning. / Companies are constantly trying to improve their business models by implementing new strategies. A new strategy that recently has become popular is called product service systems (PSS). This phenomenon is when companies instead of traditionally selling and buying physical products, now is selling or buying the function of a product. For example; instead of selling a drilling machine, the company sell the produced holes per hour that the machine is capable of making. This phenomenon has been studied mostly within the area of innovation and sustainability, but no studies has yet been written with an accounting perspective. There is no existing standard that regulate this specific business strategy, hence there is a lack of knowledge of this subject in an accounting perspective. Therefore we compiled the following purpose of this study to be; describe auditors interpretations and the assessments of business contracts that are involving PSS and also analyze the problems that come with it. We also want to highlight the norm setter’s view of the identified problems. To be able to answer the given purpose we decided to compile the following research questions; 1) How should a PSS contract be reported in the financial reports according to auditors in Sweden? 2) What accounting problems, regarding PSS contracts, does the auditors raise? 3) How does Swedish norm setters in accounting view the identified problems? Through a qualitative method the empirical chapter consists of a total of one interview with a PSS company, six auditors and two norm setters. The results of the study show that PSS should be expensed in the financial reports. The most important problem appears in the comparability between companies financial reports. PSS is being treated differently from other similar business strategies in the financial reports. There seems to be a need for clarification surrounding PSS contracts. The results show that there is a contradiction on whether that clarification should come from the norm setters or the auditors. The auditors claims that the norm setters should create and publish distinct guidelines on the topic, aiming for all auditors to make an equal assessment. While on the other hand the norm setters rather think that the existing standards are enough and that it is the auditors or the accountant’s responsibility to be transparent in the financial reports. Through transparency the norm setters believe that comparability between companies can be achieved.

L’évolution permanente de l’environnement de l’entreprise pousse les décideurs à s’inscrire dans un processus d’innovation. Nous assistons à une mutation des pratiques de certaines entreprises en intégrant de plus en plus une offre d’un système « produits-services ». Notre objectif, à travers cette thèse, est d’apporter une aide à la décision qui reposera sur la capacité à anticiper la performance du système en fonction de différentes décisions de gestion et face à différents types d’aléas lors de la servicisation. Le premier besoin d’aide à la décision est la nécessité de construire une démarche de modélisation et de simulation avec un modèle conceptuel du système de production orienté PSS. Pour cela nous avons proposé une décomposition de notre système entreprise orientée PSS en deux sous-systèmes : (i) Le sous-système d’usage et (ii) le sous système productif. Les deux sous-systèmes sont connectés et interdépendant. Un deuxième besoin qui apparait pour notre problématique est la construction d’un modèle simulable et exploitable. Nous avons utilisé la simulation à évènements discret afin de profiter de l’aspect « évènementiel » de cette approche et ainsi coupler entre le système d’usage et le système productif d’une part, et d’autre part entre les activités de services et les activités de production. Une application de notre démarche de modélisation et simulation sur un cas d’étude (Entreprise ENVIE) a été effectué et une analyses et interprétation des résultats suivies d’un ensemble de propositions de gestion pour une meilleure transition vers une offre PSS ont été apportées. / The ever-continuing evolution of business practices leads the decision-makers to develop strategies based on Innovative approaches. One of them is the transition to a product-services system, called servitization. The main goal of this thesis is to provide a decision support in order to anticipate the performance of a company when different transition management scenarios are implemented. The first step toward this objective is the formalization of a conceptual model of product-service systems. They consist of two subsystems: (i) user-oriented subsystem and (ii) production-oriented subsystem. These subsystems are connected and interdependent. The model developped in the second step of the thesis takes into account this coupling, whose influence on the overall performance of the company is assessed thanks to a discret-event simulation approach. Finally a case study is performed for a french SME (ENVIE) whose line of business is the re-manufacturing of electrical equipment. The analysis results highlight the main areas of improvement for the company, allowing a better transition to a product-service system.

Die Kreislaufwirtschaft wird von den verschiedensten Seiten als wichtige Strategie für eine nachhaltige Zukunft gefordert und gefördert. Schon seit einiger Zeit setzt sich die Erkenntnis durch, dass eine Bewegung weg von Geschäftsmodellen, die auf Produktverkäufen basieren, hin zum Angebot von Produkt-Dienstleistungssystemen das Implementieren von Kreislaufwirtschaft unterstützen kann. Diese These wurde erneut in der Arbeit der Circular Economy Initiative Deutschland (CEID) diskutiert und in Berichten dieser Initiative dokumentiert. Die Autorin, die auch Mitglied der Circular Economy Initiative war, beleuchtet in diesem Text den Zusammenhang und beschreibt anhand von Ergebnissen aus früheren Forschungs- und Beratungstätigkeiten, wie Produkt-Dienstleistungssysteme (Product-Service Systems, PSS) die Circular Economy unterstützen können und wie diese PSS gestaltet werden können, damit das möglichst nachhaltig, also ökologisch, sozial und ökonomisch vorteilhaft, wirkt. Prozesse, Methoden und Tools für PSS Design und Evaluierung werden vorgestellt und durch Fallbeispiele illustriert.

Background – Circular economy (CE) is gaining more and more importance in research, based on the great desire to change the linear fashion economy to a circular. A Product Service System (PSS) can contribute to the achievement of CE, as PSSs, such as take-back or repair services, bring back the garments to the fashion retail company into the CE. Regarding, closed-loop goals have been created from which the third goal needs to be recently achieved by the fashion industry. Closed-Loop Goal 3 deals with the cascading flow of garments, which sends a garment into multiple usage loops. To accomplish the cascading garment flow, this method connects several PSSs to close the loop, and fewer garments end in landfill. To achieve that, the involvement of customers and business partners is essential as they are purchasing and repatriating garments and materials into the cascading loops. Purpose – The research purpose is to offer new knowledge regarding how fashion retailers can implement cascading loop systems in the textile Closed-Loop Supply Chain (CLSC) and narrow the research gap of cascading loop creations. The study aims to investigate how to involve customers and business partners in PSSs through the digitalisation of cascading garment flow. By doing so, the cascading garment flow intends to achieve improved sustainable performance by allowing used garments to enter a cascading garment flow system.  Methodology – This thesis is a single case study that has been conducted through an abductive approach. The research is built on different customer and business partner involvement theories and the triple bottom line theory. Semi-structured interviews have been conducted as primary data collection. Additionally, the data has been supplemented by secondary data in the form of company documents such as sustainability reports. Afterwards, the data has been analysed qualitatively by thematic analysis and by the SDG assessment tool.  Findings – The results have shown that a mixture of smart service tools, stakeholder and customer communication can achieve customers and business partners' involvement in creating a cascading garment flow. Additionally, the findings offer an insight into the potential contribution of the SDG goal achievement, which is showing that the digitalised PSSs involving customers and business partners in the cascading flow can potentially obtain sustainable performance.  Practical implications & Research limitations – The cascading garment flow as the Closed Loop Goal 3 in CE is still a relatively unexplored area. However, the implementation is essential for sustainable performance and development. Therefore, it is suggested that other issues within the cascading garment flow should be investigated. Additionally, this research was mainly districted by the smaller selection of literature of former research, which did not offer much support.

Purpose - The purpose of this study is to explore the challenges that emerge and the capabilities needed when operating within a service network to achieve servitization. In doing so, we provide a contingency framework that presents seven capabilities that mitigate five potential challenges that emerge when operating in a service network, enabling a smoother journey towards servitization. Method - To fulfill the purpose of the study, an explorative single case study research approach has been employed at a Swedish company that acts as an external service facilitator involved in a service network. Consisting of an incumbent OEM firm of consumer durables and construction equipment based in Sweden and its retailers. In total, 22 interviews were conducted in three waves with actors representing the whole network, providing a multi-actor perspective on the network’s operations. These interviews were then analyzed using a thematic analysis. Findings - The study has resulted in seven presented capabilities: Communication, Collaboration, Product and customer knowledge, Adaptability, Leadership, Digitalization, and Innovation. As well as five identified challenges: Implementing a new mindset, Resistance to change, Managing multiple actors, Adopting a new technology, and Identifying the right partners that emerge when operating in a service network. These were then matched in a contingency framework in order to determine the capabilities' proficiency in mitigating each challenge. Theoretical contributions - This study adds to prior literature by applying a multi-actor perspective, highlighting the servitization journey of service networks. We complement current findings by proposing that service network actors, indeed, play a crucial role in a manufacturer's servitization efforts. Furthermore, the study extends prior literature's findings that actors experience different challenges in their servitization efforts depending on their position within the service network. Lastly, we build on prior literature by highlighting important capabilities needed within a service network. Practical contributions - This study contributes to managers' understanding of operating in a service network, which could aid managers to become proactive rather than reactive in their daily operations. Our findings aid managers in being attentive to the five challenges that we have presented, as well as ensuring that the capabilities that can mitigate these are developed within the service network.  Limitations and future research - The study has been conducted as a single case study in the consumer durables industry in the initial stages of servitization. Therefore, future research could benefit from exploring a wider range of industries, collecting a wider set of data to both confirm the identified capabilities and challenges, as well as to finding new ones.

Purpose – The purpose of this master thesis was to extend the understanding of the capabilities needed to enable the organizational transformation required throughout the servitization process. This research aims to identify what capabilities for servitization were important for the case company and understand how these capabilities were developed by adopting a dynamic capability perspective. Methodology – This research adopted a single-case study design to collect and analyze in-depth information about the interviewee’s experiences and perceptions about the case company’s servitization process. Findings – This research developed a holistic set of capabilities for servitization which were critical for the case company to enable organizational transformation within the context of product-oriented servitization. Four main capabilities for servitization were uncovered Strategic Alignment, Customer Relationship, PSS Innovation, and PSS Delivery. Moreover, a framework was created dividing the capabilities into higher- and second-order dynamic capabilities, hence explaining the importance of dynamic capabilities for the development of capabilities. Theoretical Implications – This study extended the understanding of capabilities for servitization by mapping them within the context of the case company. This research also displayed the role of high-order dynamic capabilities as the case company’s capacity to transform and manipulate the organization with the purpose to build second-order dynamic capabilities; therefore, denoting a capability hierarchy by which to distinguish between high- and second-order dynamic capabilities within the context of servitization. Managerial Implications – This research provides managers with a comprehensive collection of capabilities to take into consideration when formulating or executing strategy within the context of product-oriented servitization. Additionally, the distinction among high- and second-order dynamic capabilities for servitization may provide servitizating manufacturers with a new approach to map, organize and prioritize capability development based on the understanding of their function and related micro-foundations.

Technological transformations are changing the demands within the transportation industry in terms of services, consequently affecting the value proposition of original equipment manufacturers (OEMs), thus calling for the need for initiatives in servitization. Responding to this, manufacturers are initiating partnerships with external actors to secure resources, competency and similar. However, the topic of this is relatively- unexplored for manufacturers within the heavy-truck industry, contributing to uncertainties regarding the elements needed for partnerships and successful servitization initiatives within this context. Hence, the purpose of this thesis has been to investigate relational changes between actors caused by higher levels of servitization inthe heavy-truck industry. To fulfill this, a case study was conducted with a central focus on two heavy-truck and seven other connected actors OEMs in Sweden. The study has been of qualitative character and utilizes theory concerning ecosystem transformation in conjunction with product-service systems.  The findings underline eight partnership elements crucial for navigating servitization in the heavy-truck industry, with implications for collaborative efforts and in-depth partnerships within the OEM ecosystem. Further, it is argued that these elements have to be considered in the context of transforming the business model for OEMs towards being more service-oriented. Thus, the influences on network tactics are elaborated upon for the business models in the product-service system. Overall, it is concluded that servitization within the heavy-truck industry is necessary for OEMs in order to acquire future competitive advantage parallel to technological transformations, and establishing partnerships is considered to aid in this due to the ever-changing landscape in the transportation industry calling for the need of strategic collaboration efforts. / Utvecklingar inom teknologi förändrar kraven för transportindustrin när det gäller tjänster, vilket påverkar värdeerbjudandet hos så kallade originalutrustningstillverkare (OEM:er), och kräver initiativ för tjänsteutveckling. Som svar på detta inleder tillverkare partnerskap med externa aktörer för att säkra resurser, kompetens och liknande. Detta är dock relativt outforskat gällande tillverkare inom lastbilsindustrin, vilket bidrar till osäkerheter kring vilka delar som behövs för partnerskap och framgångsrik tjänsteutveckling i detta sammanhang. Syftet med detta examensarbete har därför varit att undersöka relationsförändringar mellan aktörer orsakat av högre nivåer av tjänsteutveckling inom lastbilsindustrin. För att uppfylla detta genomfördes en fallstudie med centralt fokus på två svenska lastbilstillverkare och sju andra aktörer med kopplingar till dessa. För att uppfylla detta genomfördes en fallstudie med centralt fokus på två tunga lastbilar och sju andra anslutna aktörer till dessa OEM:er i Sverige. Studien har varit av kvalitativ karaktär och använder teori om ekosystems-transformation i samband med produkt-tjänstesystem.  Resultaten understryker vikten av åtta partnerskapselement som har identifierats som kritiska för att navigera tjänsteutvecklingen inom lastbilsindustrin, och alla ger implikationer för kollaborativa aktiviteter och djupgående partnerskap inom ett OEM-ekosystem. Vidare argumenteras det att dessa element måste beaktas i sammanhanget för att transformera OEM:ernas affärsmodeller mot att bli mer tjänsteorienterade. Fortsättningsvis så diskuteras dessa elements påverkan på nätverksstrategier i produkttjänstesystem. Sammanfattningsvis så dras slutsatsen att tjänsteutveckling inom lastbilsindustrin är viktigt för OEM:erna för att få framtida konkurrensfördelar i en miljö kantad av teknologiska transformationer. Detta ständigt föränderliga landskapet beaktas behöva kollaborativa insatser och slutsatsen dras att etablering av partnerskap hjälper i detta.

Au cours des deux dernières décennies, l'économie industrielle a fait un pas dans l'économiedes services. De nombreuses illustrations témoignent de cette évolution comme le montrent lesnouveaux modèles d’affaires mis en oeuvre par les industriels. Ceux ci sont de plus en plusnombreux à passer de la logique traditionnelle axée sur la vente de s produits à la lo gique« servicielle » qui se focalise sur les effets utiles et la performance d’usage de la solution par lesparties prenantes . Dans ce contexte, les systèmes produits services (PSS) sont considérés commel’ une des mises en oeuvre possibles de la servitisat ion des entreprises manufacturières qui, desurcroît, s’annonce comme une possibilité prometteuse au plan du développement durable. Les PSSattire nt en conséquence l'attention de nombreux praticiens et chercheurs en raison de leur potentiel àsatisfaire le s exigences des clients par des solutions plus économiques, plus personnalisé e s et plusdurables. Cependant, dans le marché actuel, la plupart des solutions PSS sont poussées par lesfournisseurs en fonction de leurs propres capacités et de leur potentiel interne d'innovation sanstenir compte, la plupart du temps d es utilisations et d es valeurs réelles que représentent les offresproposées aux bénéficiaires. Il en résulte que les fonctionnalités des offres, souvent modulaires(différents scénarios de combinaisons de produits et de services ), sont parfois inutiles, parfoisredondantes et qu’ une grande quantité de déchets est produite lors de la production et de la mise enoeuvre de ce type de solution s ; ce qui est antinomique avec l’effet recherchéCet te thèse associe un concept complémentaire au concept de PSS existant pour obtenir unPSS orienté client (COPSS) qui se concentre sur les exigences des clients et leur satisfaction, sur laperformance économique de la solution, sur les autres exigences des fournisseurs de la solution,ainsi que sur la performance de la solution en terme de développement durable. A fin de concevoirdes solutions COPSS répondant véri table ment à ce cahier des charges , un cadre de conceptionintégré basé sur une approche tridime nsionnelle d'ingénierie simultanée est proposé. Selon ce cadre,la solution est construite en considérant simultanément la conception de la solution (offre COPSS),la conception des processus et d u réseau support à cette offre. C e cadre adopte plus précisé ment lapersonnalisation de masse comme méthodologie de conception de base pour concevoir l es offres etles processus supports et l’ architecture multi agent AGORA pour concevoir le réseau support. Afind’être éprouvé, le cadre proposé est mis en oeuvre sur un cas d’application / The world industrial economy has been witnessing to step into service economyduring last two decades. Evidence can be easily found to prove it, such as the shift ofmore and more manufacturers from traditional product centric logic intoservice oriented logic, sharing economy’s growth in popularity over the last severalyears, changing their business model and renting the usage of the p roduct theymanufacture, etc. Product Service Systems (PSS), under this context, are seen as onesolution to help companies to address the servitization process. PSS captures a lot ofpractitioners and researchers’ attention because of its potential to sat isfy customers’requirements of more economical, more c ustomized and more sustainable services inthe modern service economy context. However, in the current marketplace, most PSSsolutions are pushed by providers based on their own capabilities and their internalpotential for innovations and unfortunately, they most of the time ignore real usagesand values for beneficiaries. In this context, functions of offerings (different scenariosof combinations of products and services) are sometimes useless and ov erlapped and alarge amount of waste is being produced when producing and implementing this kindof solution....

Les économies circulaires et de fonctionnalité sont souvent présentées comme des stratégies prometteuses quant à leur capacité à résoudre les problèmes environnementaux associés aux systèmes de production et de consommation actuels. Cependant, malgré les consommations d’énergie et émissions croissantes associées à la mondialisation de nos systèmes modernes, la question de la circulation reste peu abordée. Le présent travail s’attache à combler ce manque en analysant les effets de la représentation des activités humaines et des processus de circulation sous le champ de la durabilité. En s’intéressant ainsi au triptyque durabilité/chaîne d’approvisionnement/ économies circulaires et de fonctionnalités, le présent travail montre notamment la barrière à la durabilité que constitue la représentation standardisée de l’espace et du temps associée à la convention économique actuellement dominante. Ainsi, l’approche en circuit fermé de l’économie circulaire et l’approche servicielle de co-production associée à l’économie de fonctionnalité ne s’avèrent être des stratégies efficacement durables que si une approche spécifique des ressources et de la demande y est associée. Ce point a notamment été développé à travers un modèle logistique qui montre par rapport à un scénario logistique de référence une augmentation de 5% des émissions de CO2 liés au transport de marchandises entre régions françaises pour une approche générique de l’économie de fonctionnalité contre une diminution de 3% des émissions dans le cas d’une approche spécifique / Functional and circular economies are often presented as promising strategies to address the environmental issues associated with our modern production/consumption systems. Within these systems, the circulation processes themselves are usually poorly addressed, in spite of the increasing energy consumption and emissions associated with logistics under the current trends of globalization. The present thesis aims at filling this gap by analyzing the relationship between the representation of human activities and circulation processes and the issue of sustainability. Dealing with the triptych sustainability/supply chain management/circular and functional economies, the thesis shows that the standardized representation of space and time in the current dominant economic conventions acts as a barrier to the development of truly sustainable circulation processes. It finds that the closing loop approach of the circular economy and the product/service approach of the functional economy require specific definitions and policy measures for resources and demand, so that they can be considered as real sustainable strategies. This necessity to develop specific new approaches was further supported with evidence from a new logistics and freight transportation model for France. The model indicates that a generic approach towards a functional economy would lead to 5% increase of CO2 emissions (associated with French interregional traded tons) while a targeted approach would lead to a 3% reduction in comparison to the reference logistics scenario