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Transition towards digital servitization in fossil-free society : An explorative study in the construction equipment industry

Sustainability is one of the mega trends that is emerging nowadays. It is built on protecting our planet and its resources. Agenda 2030 is a universal call to action, which demonstrates the significance of moving towards sustainability in three different areas of environmental, social, and economic at the international level. One of the focal points of environmental sustainability deals with climate change due to using fossil fuels and greenhouse gas emissions. Sweden aims to be one of the world’s first fossil-free nations, and its initiative Fossil Free Sweden offers roadmaps in different sectors to accomplish this goal. Growing the service business through using digital technologies is a strategy many companies tend to in the fast-changing world. Although it potentially leads to competitive advantage and enhancing revenues, it is a challenging situation, particularly for industrial firms. This study seeks to consider a more holistic view regarding the transition that companies need to take by 2030 in pursuing digital servitization and at the same time becoming fossil fuel free. Surviving the transition can not happen without revising business models and exploring new business opportunities. To address this issue, an explorative case study is performed in a manufacturing company in the construction equipment industry to collect, analyze and frame the existing knowledge in digital servitization and business model, moreover, to identify the factors that industrial firms should consider in improving their service business in the transition towards fossil-free society. To do so, 1) a set of coproduction sessions are held in the case company with advanced engineering and researchers, 2) as well an online survey is distributed inside the case company, to collect valuable knowledge and practical insight. The outcome of the research is a framework that can be used as a practical guide to support firms in the transition towards digital servitization and help them to figure out their current position in case of offerings and business models and plan for the next steps and new opportunities. In addition, six important factors with their sub-factors are offered accompanied by six general guidelines that firms should consider in their journey towards the transition.

Identiferoai:union.ndltd.org:UPSALLA1/oai:DiVA.org:mdh-55243
Date January 2021
CreatorsMobtaker, Sare
PublisherMälardalens högskola, Akademin för innovation, design och teknik
Source SetsDiVA Archive at Upsalla University
LanguageEnglish
Detected LanguageEnglish
TypeStudent thesis, info:eu-repo/semantics/bachelorThesis, text
Formatapplication/pdf
Rightsinfo:eu-repo/semantics/openAccess

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