Digital servitization at small and medium manufacturers: a Finnish multiple case study investigation
No Thumbnail Available
URL
Journal Title
Journal ISSN
Volume Title
School of Business |
Master's thesis
Ask about the availability of the thesis by sending email to the Aalto University Learning Centre oppimiskeskus@aalto.fi
Authors
Date
2017
Department
Major/Subject
Mcode
Degree programme
Strategy
Language
en
Pages
73
Series
Abstract
Servitization and digitalization are the two strong forces that are shaping the manufacturers of today, especially in developed economies like Finland. However, empirically, little do we know about how these two transformative processes altogether are influencing manufacturers, especially small and medium companies as the servitization population is generally believed to be dominated by large companies. This thesis aims to explore empirically how small and medium Finnish manufacturers are transforming from being product-centric to become solution providers with digitally enabled product-service systems, hereby coined as “digital servitization” in manufacturing. The thesis is based on a multiple case study of six small and medium manufacturers across different sectors in Finland. By applying within-case and cross-case analysis techniques, the thesis challenges conventional thinking that servitization happened as a result of a rational and deliberate effort from the management to gain competitive advantages. Instead, the process is mixed with manager-led initiatives and serendipity, that is supported by a strong customer-centric culture. It also challenges current belief that small size is a limitation to a company’s (digital) servitization ability as we have seen how being lean, agile, and seeking early validation actually make these smaller sized companies succeed in an otherwise risky initiative. In addition, the thesis illustrates how digitalization plays a central role in shaping these companies’ integrated offerings as well as points out specific challenges and success factors applicable for small and medium manufacturers in this transformation journey.Description
Thesis advisor
Välikangas, LiisaKeywords
servitization in manufacturing, service infusion, digital servitization, product-centric firms, product-service systems, small and medium companies