Conceptualising the impact of information asymmetry on through-life cost: case study of machine tools sector

Information asymmetry (IA) in terms of contextual variety and importance is one of the most challenging aspects of through-life costing in product-service systems (PSS). IA is an imbalance in the information, data and knowledge shared among the parties involved in a contractual agreement. In manufacturing systems under PSS, interaction and effective communication among several parties who are involved in a contractual agreement, rely on the continuity and accuracy of information and context. In such systems, contextual variety exhibits complexity and uncertainty in through-life costing and subsequently in PSS cost assessment. Although the economic aspect of PSS has been studied previously, the impact of IA on through-life cost and for different PSS solutions has not been detailed. Considering manufacturing value chains, this paper introduces a new concept of PSS-hierarchy to perform through-life costing in the presence of IA for various PSS solutions. Moreover, this paper proposes a generic life-cycle model for different PSS solutions to assess the total cost of ownership (TCO). The proposed model has been developed to support decisions on contract design in manufacturing systems. This study considers the manufacturer, service provider and customer perspectives to develop the TCO model using a machine tool manufacturing case study

Mercury: using the QuPreSS reference model to evaluate predictive services

Nowadays, lots of service providers offer predictive services that show in advance a condition or occurrence about the future. As a consequence, it becomes necessary for service customers to select the predictive service that best satisfies their needs. The QuPreSS reference model provides a standard solution for the selection of predictive services based on the quality of their predictions. QuPreSS has been designed to be applicable in any predictive domain (e.g., weather forecasting, economics, and medicine). This paper presents Mercury, a tool based on the QuPreSS reference model and customized to the weather forecast domain. Mercury measures weather predictive services' quality, and automates the context-dependent selection of the most accurate predictive service to satisfy a customer query. To do so, candidate predictive services are monitored so that their predictions can be eventually compared to real observations obtained from a trusted source. Mercury is a proof-of-concept of QuPreSS that aims to show that the selection of predictive services can be driven by the quality of their predictions. Throughout the paper, we show how Mercury was built from the QuPreSS reference model and how it can be installed and used.Peer ReviewedPostprint (author's final draft

E-finance-lab at the House of Finance : about us

The financial services industry is believed to be on the verge of a dramatic [r]evolution. A substantial redesign of its value chains aimed at reducing costs, providing more efficient and flexible services and enabling new products and revenue streams is imminent. But there seems to be no clear migration path nor goal which can cast light on the question where the finance industry and its various players will be and should be in a decade from now. The mission of the E-Finance Lab is the development and application of research methodologies in the financial industry that promote and assess how business strategies and structures are shared and supported by strategies and structures of information systems. Important challenges include the design of smart production infrastructures, the development and evaluation of advantageous sourcing strategies and smart selling concepts to enable new revenue streams for financial service providers in the future. Overall, our goal is to contribute methods and views to the realignment of the E-Finance value chain. ..

Retail positioning through customer satisfaction: an alternative explanation to the resource-based view

Through exploring factors influencing effective retail positioning strategies in an emerging market environment, this paper challenges the role of isolation mechanism and heterogeneous idiosyncrasy argued by the resource-based view theory. By drawing on a sample of 11,577 customers from hypermarkets, electronic appliance specialty stores and department stores in major Chinese cities, we set up ten hypotheses and confirm a nine-item model for customeroriented retail positioning (perceived price, store image, product, shopping environment, customer service, payment process, after-sales service, store policies, and shopping convenience). Our results show that different retail formats achieve success through the implementation of similar positioning strategies, in which case, it is not heterogeneity but homogeneity that contributes to retailers' success greatly at the development stage of retail expansion. Our results challenge previously proved effectiveness of inimitability to success by the resource-based view, and support homogenous idiosyncrasy of retailers in the implementation of customer-oriented positioning strategies in an emerging market

Forum Session at the First International Conference on Service Oriented Computing (ICSOC03)

The First International Conference on Service Oriented Computing (ICSOC) was held in Trento, December 15-18, 2003. The focus of the conference ---Service Oriented Computing (SOC)--- is the new emerging paradigm for distributed computing and e-business processing that has evolved from object-oriented and component computing to enable building agile networks of collaborating business applications distributed within and across organizational boundaries. Of the 181 papers submitted to the ICSOC conference, 10 were selected for the forum session which took place on December the 16th, 2003. The papers were chosen based on their technical quality, originality, relevance to SOC and for their nature of being best suited for a poster presentation or a demonstration. This technical report contains the 10 papers presented during the forum session at the ICSOC conference. In particular, the last two papers in the report ere submitted as industrial papers

Bridging Sales and Services Quality Functions in Retailing of High Technology Consumer Products

High technology product sales are positively associated with performance of retailers and distributors in terms of customer service quality, growth in sales and increase in market share. This paper aims at analyzing the impact of retail sales strategies and performance of customer services on customer acquisition, retention and sales growth of high technology consumer products of the high technology consumer products retailers and distributors in Mexico. This paper discusses the triadic relationship of customer- retailer-distributor in the high technology consumer products market segment in reference to the SERVQUAL factors which establish services quality encompassing tangibility, responsiveness, trust, accuracy and empathy. Results of the study reveal that the customers perceive better quality of the relationship in a given frame of functions that are performed effectively by the distributor lowering the extent of conflicts thereof. The discussions in the paper argue that high conformance of quality services delivered by the distributors and value added customer relationship is instrumental for retailers in acquiring new customers and retaining existing customer by augmenting the customer life time value.High technology products sales, customer services, SERVQUAL, customer-distributor relationship, customer value, distributor performance

Effects of Customer Services Efficiency and Market Effectiveness on Dealer Performance

Market orientation is positively associated with performance of dealers in terms of customer service quality, growth in sales and increase in market share. This paper aims at analyzing the impact of market orientation strategies and performance of customer services on customer acquisition, retention and sales of automobiles, which reveals overall performance of the automobile dealers in Mexico. Discussion in the paper also comprehends understanding on customer-dealer relationship in the automobile market segment referring to the key factors which establish services quality encompassing tangibility, responsiveness, trust, accuracy and empathy. The results of the study reveal that the customers perceive better quality of the relationship in a given frame of functions that are performed effectively by the dealer lowering the extent of conflicts thereof. High conformance quality services of dealers and value added customer relationship to offer high customer satisfaction develop life time customer value and strengthen the customer-dealer relationship.Market orientation, customer services, services quality, dealer performance, customer value, competitive strategies

Design Opportunities in Service-Product Combined Systems

This paper aims to examine recent research issues related to the integration of service and product in view of industrial design. Further, it attempts to identify new opportunities for further research regarding “product-servicization” vs. “service-productization”. In the continued efforts to provide the users with fuller experiences, one major trend is the blending of products and services. Much existing research seems to either present cases or propose frameworks regarding the ‘connection’, rather than ‘integration’ between products and services. Broadly, two major approaches seem to exist in this area: 1. product-servicization, 2. service-productization. The former generally indicates adding more services to existing products, whereas the latter generally refers to making services tangible and/or visible in the form of a product. However, findings of an extensive literature search conducted for this study suggest one important deficiency in dealing with service issues around the product: the ‘integration’ between the actual product design and service elements for supporting new service-product system. That is the rationale behind this research, an attempt to investigate the possibility for the integration of product design and service factors which could be embedded in the design of product itself in new service-product system. This paper is largely based on qualitative research. New design research opportunities are identified by qualitatively analyzing relevant literature, synthesizing the information and presenting some cases to support the main argument of the research. Design-led Service-Productization is not, and should not be re-arranging deck chairs on the Titanic. Rather, it should bring practical and tangible design issues related to new service-product system. Findings suggest that this approach could provide a new model of new product development integrated with a service scheme, which is a more proactive approach than “product-servicization”. Further development of this research could lead to establishing a framework for the Design-led Service-Product Integration. Keywords: Product-servicization; Industrial design; Service; Product; Integration</p