Service innovation in business-to-business firms

peerReviewe

Synergy or oxymoron?

peerReviewe

Delineating the fuzzy front end of market shaping

Emerging perspectives define markets as continuous, malleable processes that can be shaped through various activities. In this research, the authors address the early phase of such market-shaping processes, developing a conceptual framework and linking the front-end phase to an overall market-shaping process. We propose and develop a fuzzy front end (FFE) concept centered around the market image to reflect market shaping's less organized and more exploratory early phase. Nine propositions outline this critical phase and its fundamental dimensions, roles, and characteristics. Finally, by outlining the FFE of market shaping, this article reveals future research directions for elaborating on the concept.© 2023 The Author(s). Published by Elsevier Inc. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/).fi=vertaisarvioitu|en=peerReviewed

A dynamic capabilities approach

peerReviewe

ICT as a catalyst for service business orientation

Purpose – Information and communication technology (ICT) is a key enabler for new product- and process-oriented services. The article investigates how ICT can enable service differentiation and in doing so act as a catalyst for a service business orientation. Design/methodology/approach – A qualitative, multi-case research design with eight multinational goods manufacturers. Findings –Two distinct types of service-oriented differentiation are identified; services in support of the product (SSP), and services in support of the client’s actions (SSC). The study finds that SSC have the largest positive impact on firms’ service business orientation. Research limitations/implications – Western firms in a limited sample of industries are studied. Furthermore, the service business orientation construct does not include any measurements of service profitability or impact on overall competitive advantage. Practical implications – To various extend, successful firms are likely to pursue both SSP and SSC differentiation traits through ICT. The two options are interdependent and the framework presented helps managers to understand both key specificities and their interrelatedness. Originality/value – The study contributes to theory on service strategies by specifically focusing on the enabling role of ICT for new services and its effects on each of the three dimensions of the service business orientation construct.peerReviewe

Empirical findings from the manufacturing industry

Purpose – The purpose of this paper is to explore strategies for visualizing the value of service-based offerings in a B2B context. By taking a process perspective on the offering life cycle, this paper also aims at distinguishing which visualization strategies are most appropriate using at which life-cycle stages. Design/methodology/approach – The study employed a qualitative, multiple-case study research design involving five manufacturing firms. Findings – Primary findings are that firms need to make use of several different visualization strategies depending on, among other things, the key stakeholders and also where the firm's offering is currently positioned in the service-based offering life cycle. Research limitations/implications – While the empirical data is from only one sector – i.e. manufacturing – managers from other B2B sectors should have an interest in the results and the key aspects identified. Further research could also establish linkages to performance metrics. Originality/value – Visualization strategies have been relatively rarely studied from a B2B perspective, and the process dimension, especially, is novel.peerReviewe

Rethinking established assumptions about manufacturers' service-led growth strategies

Both academics and practitioners emphasize the importance for product firms of implementing service-led growth strategies. The service transition concept is well established, namely a unidirectional repositioning along a product-service continuum—from basic, product-oriented services towards more customized, process-oriented ones—ultimately leading to the provision of solutions. We challenge this service transition assumption and develop alternative ones regarding how product firms should pursue service-led growth. Using ‘problematization methodology’, and drawing on findings from thirteen system suppliers, we identify three service-led growth trajectories: (1) becoming an availability provider, which is the focus of most transition literature; (2) becoming a performance provider, which resembles project-based sales and implies an even greater differentiation of what customers are offered; and, (3) becoming an ‘industrializer’, which is about standardizing previously customized solutions to promote repeatability and scalability. Based on our critical inquiry, we develop two alternative assumptions: (a) firms need to constantly balance business expansion and standardization activities; and (b) manage the co-existence of different system supplier roles. Finally, we consider the implications for implementing service-led growth strategies of the alternative assumptions.peerReviewe

Service Infusion as Agile Incrementalism in Action

As product markets mature, firms are increasingly offering industrial services, in order to differentiate themselves and remain competitive. The general strategic view emerging from the services literature is that service infusion in manufacturing industries takes a somewhat unidirectional path from products to service provision. Based on in-depth case study research in the materials handling industry and drawing on Lindblom's (1979) concept of disjointed incrementalism, this study shows how service infusion often takes place in small steps without clearly directed efforts. The study identifies elements of incrementalism central to service infusion and demonstrates how a successful service strategy involves continuous modifications, adaptability, the seizing of ad hoc innovation, a continuous recalibration of opportunities, and the management of intertwining goals. The study introduces the concept of agile incrementalism; this concept aptly describes this contingency approach. The article contributes to a multifaceted and nuanced picture of service strategy and the service-infusion process.nonPeerReviewe