Dugga Flashcards
What is meant by “Servitization” ?
Servitization - A change in ownership. You no longer own (for example) the bike. Instead you pay a service cost that allows you to use the bike.
The value comes from using the bike, not owning one.
This shift allows companies to create additional value for customers, differentiate themselves from competitors, and establish long-term relationships with clients.
Servitization can take various forms, such as offering maintenance and repair services, product customization, consulting, training, or subscription-based models.
What is meant by “Ownership”?
With ownership comes great responsibility for the product. People tend to be reckless when they don´t own it.
When shifting towards servitization, ownership tends to lay on the company rather than the user, which is why there is a risk that the user will be more reckless with the servitized product since they have less responsibility over it.
What does PPP stand for?
Polluters pays principle. Introduced 1972 stating the responsibility for manufacturers of their products even after its production. If you think about the environemnt, the manufacturers needs to think about how the product can and will be recycled. The use focus increses the importance of customer relationships through the product lifecycle. The increased ownership after productions comes with risk and opportunity. The risk is that you dont get revenues from spare part sales. However, the opportunities are that you maintain relationships with the customer and better control of the technology field (and market)
What is PSS?
Product Service System.
Its an offer that integrates products and services to fulfill more of the customers needs. PSS can include services like maintenance, repair, upgrades, or disposal, along with the product itself.
An example could be: Selling windows, not only the product but installing them, consulting about size and cleaning them afterwards.
How can a service be beneficial for the producer?
Service can be both be value adding for customer and at the same time be beneficial for the producer. E.g a car manufacturer offers a service package in one year. It is very convenient for the customer and at the same time if the software has a bug, the manufacture rjust updates the software without having to tell tell the customer that there is something wrong with their car
Additionally
Competitive advantage
Customer realtionship
What are the consequenses of servitization for manufacturers?
- Shifting to servitization impact - business models
- Shifting preferences and behavior of users, creates and threatens established products and business models
- Obsolence - Technology in products have largely different lifecycles
What is a product oriented PSS?
Product oriented PSS - The consumer owns the product but there are services included (e.g maintenance, repair, training etc) E.g Tesla offers a good infrastructure for charging the cars
What use-oriented PSS?
Ownership at the provider of the service who is responsible for maintenance, repair, control etc. E.g leasing and rental. Here you also as a provider have no interest in doing the product better because ypu get paid either way, e.g if you get paid by the hour.
What is result-oriented PSS?
Selling the result or capability instead of a product. You pay only for the probision of agreed results. The user have no/less control of the actual product. E.g the elevator or the cloud. If you store on the cloud, the owner can change service and you might not notice. Sometimes you dont even know the service, just that its in the cloud. It can be hard for manufacturers because they have repsonsibility over thing they cant control
E.g a cleaner
Explain the four modes of interaction between upstream and downstream
Mode 1: Serial/batch
“I do my work and then give it to the downstream” Positive: When I send it down my work is clear and mature: Negative: Takes long time. The downstream performs testing and production.
Mode 2: Early start in the dark
Allows downstream to start earlier but there is a lot of uncertainty. Ex: Car. Prepare for cars in steel but the developers change the design and preperation is done in vain
Mode 3: Early involvement
Regular meetings and skips the assumptions that the downstream needs to do in mode 2. However, you need to take time from working time on actual product
Mode 4: Integrated problem solving
Fully connected upstream and downstream, but may be ineffective
Explain three ways to make it easier to integrate PSS?
- Modes of interactions: Go towards cross functional teams
- Sets of alternative solutions: set-based concurrent engineering. Work multiple solutions at the same time and not one solution at the time. The opposite is called point-based. The benefits is that you can learn from design that you dont choose.
- Modularity: Find clusters of interations and to modules of the clusters so not the whole system is affected when something goes wrong. This reduces dependency.
what is meant by circular economy?
Focus on closing the loop by reusing materials and resources. Force companies to retain ownership through product lifecycle.
Strategies: 9Rs
Refuse: Make product redundant by abandoning its function or by offering the same function with a different product
Rethink: Make product use more intensive, e.g by sharing product
Reduce: Increase efficiency in product manufacture or by consuming fewer natural resources
Reuse: By anothe rconsumer of discarded product which is still in good condition
Repair: Repair andm aintenance of defective product to its original function
Refurbish: Restore an old product and bring up to date
Remanufacture: Use parts into a new product with same function
Repurpose: Use parts into new product with different function
Recycle: PRocess materials to obtain same or lower quality
Recover: Incineration of material with energy recovery
Why may a service fail?
- Overlooking parts of the service that the customer does not see
- Overlooking the role of people in the service delivery
- Fail on analyzing time, cost and profitability of the solution developed
- Fail to understand the connection between services and product elements
Say three methods for simulation
System dynamics (SD) The study of information feedback of industrial activity to show organisational structure, time dealys. (regler typ?) Describing a system as interaction between feedback loops, balancing or reinforcing.
Discrete event (DE) Models the operation of a system as a discrete sequence of events in time, each event occurs at a particular instant in time and marks a change of state in the system,
Agent based (AB): Defines behavior at induvidual level and global behaviour emerges as a result of many induviduals. Each following its own behaviour rules. Called bottom-up modeling
Methods for prototyping
Storyboarding: Describing the sequence of events from when a customer first interacts with product until the very end result
Digital mockups: Digital interfaces, with look and feel and propoerties.
Roleplaying
What is corrective maintenance?
Do maintenance after something has happened:
Deferred: Wait with maintenance until it least affects the production, e.g the weekend
Immediate: do it directly