Sustainable Value Proposition Design in a Product-Service System

Many companies have started to add services to their tangible products in order to defend themselves from increased competition from low-cost economies. Research regarding the transition towards product-service systems (PSS) and how the PSS providers' business models are affected exists, but there is a lack of research regarding how the suppliers to the PSS providers are affected by the transition towards PSS. Therefore, this thesis studies the situation for a supplier/partner to an OEM that has changed their business model to a PSS providing one. As the first step in a development of a new business model aims this thesis to provide guidelines for how to set up value propositions suitable for a supplier/partner in this new environment. When technologically complex products, such as aircraft engines, are provided through PSS offerings it is hard to translate customer needs into quality parameters, which makes it hard to sustain the value to customer over time. Therefore, how to keep the value offering sustainable over time is also investigated in this thesis. The aim of this study was to investigate how a sustainable value proposition can be designed for a product and technology supplier/partner to an OEM that offers PSS solutions. The research has been performed through studying relevant literature and collecting empirical data from a case company through semi-structured interviews and a workshop. The case company in this research is Volvo Aero Corporation (VAC). The empirical findings show that VAC wants to offer product-service bundled solution, which fit the whole spectra of PSS value propositions, to their partners/customers. To be able to deliver these different types of product-service bundled solutions different value propositions that suit the different kinds of PSS offerings are needed. Requirements that must be fulfilled to be able to offer and deliver the different types of value propositions exist in terms of securing sufficient information access, aligning the incentives of all actors involved and achieving an internal consensus of what is delivered

The balanced scorecard logic in the management control and reporting of small business company networks: a case study

The purpose of this paper is to assess and integrate the application of the balance scorecard (BSC) logic into business networks identifying functions and use that such performance measuring tool may undertake for SME’s collaborative development. Thus, the paper analyses a successful case study regarding an Italian network of small companies, evaluating how the multidimensional perspective of BSC can support strategic and operational network management as well as communication of financial and extra financial performance to stakeholders. The study consists of a qualitative method, proposing the application of BSC model for business networks from international literature. Several meetings and interviews as well as triangulation with primary and secondary documents have been conducted. The case study allows to recognize how BSC network logic can play a fundamental role on defining network mission, supporting management control as well as measuring and reporting the intangible assets formation along the network development lifecycle. This is the first time application of a BSC integrated framework for business networks composed of SMEs. The case study demonstrates operational value of BSC for SME’s collaborative development and success

Investigating the impact of networking capability on firm innovation performance:using the resource-action-performance framework

The author's final peer reviewed version can be found by following the URI link. The Publisher's final version can be found by following the DOI link.Purpose The experience of successful firms has proven that one of the most important ways to promote co-learning and create successful networked innovations is the proper application of inter-organizational knowledge mechanisms. This study aims to use a resource-action-performance framework to open the black box on the relationship between networking capability and innovation performance. The research population embraces companies in the Iranian automotive industry. Design/methodology/approach Due to the latent nature of the variables studied, the required data are collected through a web-based cross-sectional survey. First, the content validity of the measurement tool is evaluated by experts. Then, a pre-test is conducted to assess the reliability of the measurement tool. All data are gathered by the Iranian Vehicle Manufacturers Association (IVMA) and Iranian Auto Parts Manufacturers Association (IAPMA) samples. The power analysis method and G*Power software are used to determine the sample size. Moreover, SmartPLS 3 and IBM SPSS 25 software are used for data analysis of the conceptual model and relating hypotheses. Findings The results of this study indicated that the relationships between networking capability, inter-organizational knowledge mechanisms and inter-organizational learning result in a self-reinforcing loop, with a marked impact on firm innovation performance. Originality/value Since there is little understanding of the interdependencies of networking capability, inter-organizational knowledge mechanisms, co-learning and their effect on firm innovation performance, most previous research studies have focused on only one or two of the above-mentioned variables. Thus, their cumulative effect has not examined yet. Looking at inter-organizational relationships from a network perspective and knowledge-based view (KBV), and to consider the simultaneous effect of knowledge mechanisms and learning as intermediary actions alongside, to consider the performance effect of the capability-building process, are the main advantages of this research

Designing better performance measurement systems in universities using the business model canvas

This paper starts by critically reviewing the way in which universities design their measures of performance. We argue that the “one size fits all” performance measurement approach adopted by so many universities is not appropriate when departments have very different operating models. The paper proposes using “business model design” to enable university departments and centres to design and develop their own “sustainability model”, which in turn may help them develop more appropriate performance measurement systems. Using the lens of business model design may help universities to recognise their diversity and allow them to use performance measures more strategicall

A review of service quality and service delivery: Towards a customer co-production and customer-integration approach

© 2018, Emerald Publishing Limited. Purpose: The purpose of this paper is to provide researchers with an overview of the service quality and delivery domain, focussing on the inclusion of customer co-production and customer integration. Specifically, this paper concentrates on service quality (including quality measurement), the service environment, controls and their consequences. Design/methodology/approach: A comprehensive review of the literature is conducted, analysed and presented. Findings: The review shows that service delivery is both complex and challenging, particularly when considering the unique characteristics of services and the high level of customer involvement in their creation. The facilitation, transformation and usage framework identifies how failures can occur at each stage of service delivery, beginning with the characteristics of the service environment, while control theory offers insights into the formal and informal controls that may be applied in the facilitation and transformation stages, which may reduce the likelihood or extent of such failures. Originality/value: Despite the fact that it is widely accepted that service quality is an antecedent to customer satisfaction, it is surprising that this customer co-creation aspect has been largely neglected in the extant literature. As such, the role that customer co-production plays in service quality performance has been examined in this paper. It is hoped that this examination will enhance both theoretical and practical understanding of service quality. It would be useful to find modern tools that can help in improving service quality performance

What role does corporate governance play in the intention to use cloud computing technology?

This paper aims to investigate the factors which promote the adoption of cloud-based technology. It strives for a better understanding of the impact of corporate governance on the adoption of this technology. This study concentrated on executives in companies where the use of cloud computing may give a competitive advantage. The main contribution of this work is to propose a model for the influence of corporate governance and other factors that determine the adoption of this technology. A questionnaire was prepared after taking into consideration the reviewed literature. The sample consisted of 164 technology companies from Southern Spain that already use the new economic models for digital solutions. The methodology used to analyze the structural model was the Structural Equation Model (SEM). The results of the survey showed the influence of Corporate Governance and the procedures and practices of the organization on the adoption of cloud computing and the associated business model. This study aims to point out the importance of corporate support and Knowledge Management for the correct and successful adoption of this technology and to show the effects on the new business model of billing for the use of available resources. View Full-Tex

Measuring Shared Value: How to Unlock Value by Linking Social and Business Results

Measuring shared value allows companies to maximize opportunities for innovation, growth, and social impact at scale. This article explains the specific purpose of shared value measurement and offers a step-by-step process and pragmatic approaches to measurement with examples from leading companies

Creating learning solutions for executive education programs

Executive education is both a growing and increasingly competitive industry. The traditional business school, once a dominant player in this space, now faces competition from sophisticated and focused consultants and for-profit training specialists offering a variety of face-to-face and on-line instructional vehicles. An abiding question has become ever more prevalent for business schools – are executive education clients getting meaningful, long-term value for their significant investments? Demonstrating value and building capabilities is different for a generic, open enrolment course than for a custom program. This paper proposes a solutions-based approach to the development and implementation of customized executive programs, arguing that the tailored customer focus and the operational rigor of a solutions perspective leads to sustainable and measurable client value both at the individual and corporate level. A case study involving a global high technology company is used to demonstrate the steps required to apply a solutions roadmap. The results show that a solutions approach – carefully and collaboratively undertaken in selected settings – can provide considerable benefits to both client and provider. Further research is proposed to validate and develop the learning points

Understanding and managing the manage processes

This paper discusses understanding and managing the manage processes. It was presented at the conference of the Performance Measurement Association in 2004

Using cross-functional, cross-firm teams to co-create value: The role of financial measures

Increasingly, the involvement of representatives from all major business functions in cross-functional, crossfirmteams is being viewed as a means to develop and maintain profitable business-to-business relationships.However, if the measurements of the value co-created in these relationships with customers and suppliers donot incorporate the financial outcomes of joint cross-functional initiatives, managers can be led to makedecisions that jeopardize the long-term profitability of the two firms. In this paper, the authors explore thedifferences in value co-creation when a company is linked to key customers and key suppliers through crossfunctionalteams and when it is not. Using a case study approach, the authors measured value co-creation infinancial terms and describe how managers changed their behaviors toward customers and suppliers whenthey were able to compare the value that was being co-created in each relationship. In each pair ofrelationships, one involved cross-functional teams and the other did not. The results indicate that crossfunctional,cross-firm involvement leads to increased value co-creation. The research suggests that marketingscholars and managers should emphasize the use of cross-functional teams that involve all major functions tomanage relationships with key customers, and should incorporate financial measures in the evaluation ofrelationship performance