The digitalization of products has become an important driver for service innovation in manufacturing firms. The embedding of digital technology in previously non-digital products creates digitalized product platforms that enable digital service innovation. Digital service innovation offers new business opportunities for manufacturing industries, as well as challenges established premises for value creation.  While digital service innovation can be found in many manufacturing industries, this thesis studies service logic in digitalized product platforms in the vehicle industry. Existing Information Systems (IS) literature presents challenges in digital service innovation relating to value, architecture, and generativity. The design of the architecture of digitalized product platforms requires the identification and combination of digital and non-digital assets. Understanding the architectural aspects is useful in digital service innovation. Moreover, with growing instances of generative digital technologies, it is challenging to develop strategies to leverage generativity for service design in digitalized product platforms. While digital technologies are embedded in products, the role of technology-embeddedness in value creation of digital services is relatively unexplored. Drawing on these challenges, this thesis describes and conceptualizes the underlying premises brought by the architecture and generativity to the value creation of services in digitalized product platforms. The research question addressed in this thesis is: What are the underlying premises for services in digitalized product platforms? To address the question, an interpretive qualitative research approach was adopted in a collaborative research project concerning services enabled by digitalization of vehicles. Drawing on digital innovation and service literature, this thesis presents a theoretical perspective on the role of the architecture and generativity of digitalized product platforms for value creation of digital services. This perspective is conceptualized as underlying premises for this specific class of services. The premises frame the service logic in digitalized product platforms and provide a ground for understanding services in digitalized product platforms in relation to value dimensions, architecture and generativity. The premises are based on five concepts: value-in-architecture, value-in-connectivity, fundamental asset for value creation, mutual dependence of modular and layered modular assets, and re-evaluation of value propositions. The proposed premises offer a basis for understanding value creation of this class of services, and guidance for manufacturing firms designing digitalized product platforms.

The product platform strategy is well known for its several positive effects. However, these effects differ under different market situations. Several product platform projects related decisions can influence these effects. This research work will show how these effects are influenced by decisions under different market situations, findings will help academics in enriching product platform theories and, it will help managers to take proper decisions to enhance the possibility of product platform project success.

Master of Science / Department of Industrial & Manufacturing Systems Engineering / David H. Ben-Arieh / In present competitive market, there is growing concern for ascertaining and fulfilling the individual customer’s wants and needs. Therefore, the focus of manufacturing has been shifting from mass production to mass customization, which requires the manufacturers to introduce an increasing number of products with shorter life span and at a lower cost. Also, another challenge is to manage the variety of products in an environment where demands are stochastic and the lead times to fulfill those demands are short. The focus of this thesis is to develop and investigate platform based production strategies, as opposed to producing each product independently, which would ensure the economic production of the broader specialized products with small final assembly time and under demand uncertainty. The thesis proposes three different platform based production models. The first model considers the economic production of products based on a single platform and with forecasted demands of the products. The model is formulated as a general optimization problem that considers the minimization of total production costs. The second model is the extension of the first model and considers the production of products based on multiple platforms and considers the minimization of total production costs and the setup costs of having multiple platforms. The third model is also an extension of the first model and considers the demands of the products to be stochastic in nature. The model considers the minimization of total production costs and shortage costs of lost demands and holding cost of surplus platforms under demand uncertainties. The problem is modeled as a two stage stochastic programming with recourse. As only the small instances of the models could be solved exactly in a reasonable time, various heuristics are developed by combining the genetic evolutionary search approaches and some operations research techniques to solve the realistic size problems. The various production models are validated and the performances of the various heuristics tailored for the applications are investigated by applying these solution approaches on a case of cordless drills.

The product platform strategy is well known for its several positive effects. However, these effects differ under different market situations. Several product platform projects related decisions can influence these effects. This research work will show how these effects are influenced by decisions under different market situations, findings will help academics in enriching product platform theories and, it will help managers to take proper decisions to enhance the possibility of product platform project success.

This study investigates product development of complex products in a modular environment at the paver manufacturer Dynapac. It is determined how the complexity of a modular product constrains product development.Product development in a modular enviornment is a popular research topic in previous literature. However there is limited literature regarding in what ways the complexity of a modular product constrains product development in form of new product variants demanded by the market. A more comprehensive research within this field is interesting for manufacturing companies producing complex products in a modular environment since it could ease and optimize their product development processes. An efficient product development process is crucial to stay competitive and to be able to serve the market rapidly with qualitative and desired products, which increases the importance of this study.With the aim to address the limitations of the existing literature on product development based from modular complex product systems a case study was conducted. The constraints of developing a new paver model demanded by the market caused by the complexity of the paver design were identified.The findings of the research have both theoretical and managerial implications. The theoretical contribution consists mainly of the identification of a new type of overall constraints in modular complex product systems which I call ‖architectural functional constraints‖. These constraints cause an unexpected chain reaction of affected modules in the product system when a change to one module is made, even if the change ostensibly only should affect the module in question. The results show that the effects of this type of constraints is a constraining factor on product development of new product variants in a modular environment. The effects of the architectural functional constraints constrain product development since they trigger time consuming activities in order to avoid a dysfunctional product, or a product that has a high level of commonality with other product offerings. Further the effects oppose a rapid and cost-efficient product development which is regarded to be two of the main benefits with modularity.The managerial implications include a decision process for new product development projects that can be used when architectural functional constraints are found in a product in order to ensure an economic sustainable development of new product variants. Hence managers can use the decision process as a tool to both make and communicate current and future decisions in a structured way.The study is a starting point for further studies investigating how the complexity of modular products might constrain product development efforts. It is expected that the results of the study can be used by other manufacturing companies operating in a similar context, producing complex product systems in a modular environment.

The research work detailed in this dissertation relates to the computer representation of information which concerns product families and product platforms. Common to competitive companies today, is the quest of designing products and processes to meet a large variety of customer needs, in short time, and based on few resources. One way to succeed with this endeavor is to plan for the variety and design a modular, or adaptive, product family based on a common platform of resources. To further increase the efficiency in delivering customized products in time, a computer processible model of the family is created, which is used to realize a customer specific product variant during the order phase. The objective of this research is to define a generally applicable model of product family information for the purpose of supporting various applications, and for achieving an efficient utilization of information. The approach is to define a model of the product family according to the theory of Axiomatic Design, which reflects the trace from various requirements to functions and different properties and components of the product. By representing information from design in a generally applicable format, this information can be reused when building the configuration models of the order phase. By adapting the model to an existing standard, information exchange between systems is supported, and access is provided to information concerning detailed physical parts as well as constructs addressing various use and version management. Contributions include a description of a model architecture with reusable functional solutions, interfaces, structures and interrelations between platform solutions and product family. Further, it is described how to extend and model the domains and interrelations of axiomatic design in an information model, which is adapted to the product modeling standard of ISO10303-214. / QC 20100812