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Chinese Product-Service System Innovations Enabled via Governmental Policies: The E-Scooter Case
Blekinge Institute of Technology, Faculty of Engineering, Department of Mechanical Engineering. (Product Development Research Lab)
Blekinge Institute of Technology, Faculty of Engineering, Department of Mechanical Engineering. (Product Development Research Lab)ORCID iD: 0000-0002-9662-4576
Blekinge Institute of Technology, Faculty of Engineering, Department of Mechanical Engineering. (Product Development Research Lab)ORCID iD: 0000-0003-2211-2436
2021 (English)In: Proceedings of the Design Society 2021, Cambridge University Press, 2021, Vol. 1, p. 611-620Conference paper, Published paper (Refereed)
Abstract [en]

Together with increasingly saturated and commoditized global markets companies are driven to shift their business focus, adopting a strategy where customer perceived value is in the spotlight, and where products are bundled with services to offer Product-Service Systems (PSS). In this research we study the emergence of PSS solutions in the Chinese market via a selected case study on e-scooters, based on the governmental decision to ban fossil-fuel scooters in the late 90s and how this has spurred both a fossil-to-electric transformation and a product-to-function transformation. As seen in this research PSS is also an approach that is working well in the Eastern society and especially in China, based on governmental policies. It is gradually being adopted and applied in local industries significantly by China’s leading internet companies (Didi, Alibaba etc). The PSS concept represented by e-bike cases in China has gradually penetrated into different industries. With governmental decisions as the key turn-point, it can be seen in practice and development that China’s related service industry is using e-bike PSS to carry out the new business model from selling e-bikes to providing service-oriented solutions. 

Place, publisher, year, edition, pages
Cambridge University Press, 2021. Vol. 1, p. 611-620
Series
Proceedings of the Design Society, ISSN 2732527X
Keywords [en]
Product-Service Systems (PSS), Case study, Circular economy
National Category
Other Engineering and Technologies not elsewhere specified
Research subject
Mechanical Engineering
Identifiers
URN: urn:nbn:se:bth-22064DOI: 10.1017/pds.2021.61Scopus ID: 2-s2.0-85117835130OAI: oai:DiVA.org:bth-22064DiVA, id: diva2:1589245
Conference
23rd International Conference on Engineering Design, IECD 2021, Gothenburg, Sweden, 16-20 August,
Part of project
Model Driven Development and Decision Support – MD3S, Knowledge Foundation
Funder
Knowledge Foundation, 20180159
Note

open access

Available from: 2021-08-30 Created: 2021-08-30 Last updated: 2023-11-20Bibliographically approved
In thesis
1. VALUE CO-CREATION FOR SUSTAINABLE PRODUCT SERVICE SYSTEM DESIGN: OPPORTUNITY FOR GLOBAL MANUFACTURING COMPANIES
Open this publication in new window or tab >>VALUE CO-CREATION FOR SUSTAINABLE PRODUCT SERVICE SYSTEM DESIGN: OPPORTUNITY FOR GLOBAL MANUFACTURING COMPANIES
2024 (English)Licentiate thesis, comprehensive summary (Other academic)
Abstract [en]

There is a gradually spreading servitization trend that is forcing industrial manufacturing companies acting in the global market to rethink their business. Manufacturing companies that were traditionally perceived as product-centered, are today increasingly influenced by a service-oriented theory, which claims that manufacturing companies are driven to shift their business focus towards a strategy where customer-perceived value is in the spotlight, and where products are bundled with services to offer Product-Service Systems (PSS). The need to integrate several knowledge domains (i.e. product development, service development, recycling, etc.) means that industry companies need to move “downstream” knowledge from the entire lifecycle into the early phases of the PSS design process where critical decisions are made. At the same time, this raises the awareness of, and requirements for, methods and tools that support cross-disciplinary team collaboration in the process of designing these PSS solutions. Value co-creation is one strategy to address customer collaboration to develop PSS in a framework that allows different stakeholders to participate in defining design concepts and finding the optimal combination of hardware and service that supplies the desired value. Value co-creation strategy and global collaborative innovation are essential for manufacturing companies to explore new ways of designing PSS.

The thesis summarizes the research performed by the author, as an industrial Ph.D. student and director for system innovation at BIGmind Innovation. This thesis aims to study and explore the motivation for, and challenges of, working with value co-creation for PSS design by global manufacturing companies. Firstly, the empirical research determined that there are different challenges that global manufacturing companies and product development face when designing PSS. The work involves exploring value co-creation via a customer collaborative design platform and experience prototyping for product-service system design. The research shows that there is a lack of knowledge about guidelines and processes for collaboration in value co-creation. The research emphasizes that the PSS design methodologies of today neglect to specify the roles and responsibilities of the actors who co-create PSS offerings, and there is a lack of understanding of the entire process and how it is implemented in industrial practice when developing solutions.

Conclusions from this work suggest that government policies can make a fast and major impact on the demand for innovations and PSS development. Additionally, a value co-creation approach promotes large-scale user participation in the early phase of PSS design. To enhance stakeholder participation and gather feedback, experiential prototypes were utilized during the conceptual design phase of the PSS design. To support further development in the area of value co-creation, the Future Innovation Framework (FIF) is proposed as a mechanism to facilitate the adoption and use of value co-creation of PSS design. This thesis discusses the implications, opportunities, and challenges of the FIF for industrial PSS design. The thesis concludes with a discussion on the possibility of using value co-creation for PSS design in different industry domains in the future. 

Place, publisher, year, edition, pages
Karlskrona: Blekinge Tekniska Högskola, 2024. p. 64
Series
Blekinge Institute of Technology Licentiate Dissertation Series, ISSN 1650-2140 ; 1
Keywords
Product-Service System, Manufacturing company, Innovation Framework, PSS design, Value Co-creation, Case study
National Category
Other Mechanical Engineering
Research subject
Mechanical Engineering; Mechanical Engineering
Identifiers
urn:nbn:se:bth-25612 (URN)978-91-7295-471-7 (ISBN)
Presentation
2024-02-29, Sal J1630, 371 79 Karlskrona, Karlskrona, 09:30 (English)
Opponent
Supervisors
Funder
Vinnova
Available from: 2023-11-20 Created: 2023-11-15 Last updated: 2024-02-08Bibliographically approved

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Zhang, YanLarsson, TobiasLarsson, Andreas

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