Introduction lecture Flashcards
What is servitization?
Creating value by shifting from selling products to providing product services
What is a product service?
A “product-service” is a mix of tangible products and intangible services that jointly
fulfils customer needs
What is a PSS?
A ”product-service system” (PSS) is the organizational structure that provides the
product-service to customers
What is the meaning behind digitalization?
Including 3 aspects:
Digitization:
Definition: The process of converting analog information into digital form.
Example: Scanning physical documents and converting them into digital files, or converting music from vinyl records to digital formats.
Digitalization (Impact on Business Processes, Services, Economic Models, etc.):
Definition: The broader impact of digital technologies on various aspects of business, including processes, services, economic models, and more.
Example: Implementation of digital tools and technologies to streamline business operations, improve efficiency, and enhance customer experiences. This may involve adopting digital communication platforms, data analytics, or online services.
Digitalization (Changing Business Models for New Opportunities):
Definition: The use of digital technologies not only to improve existing processes but also to fundamentally change business models, creating new revenue streams and value-producing opportunities.
Example: A traditional retail business transitioning to an e-commerce model, where digital technologies are not just improving the existing retail process but fundamentally changing how products are sold and delivered.
What are the challenges when trying to create a MODULAR PRODUCT AND
PRODUCTION for a company?
Two primary orientations: Production
Engineering and Product Development
* Typically seen and managed separately
in industry, despite being highly
interconnected
* Decisions have an impact on both
products and production systems
* Production Engineers must understand
Product Development
* Product Developers (Design
Engineers) must understand
Production
* Common agenda – transform the company
