Industrialization as a key element of sustainable product-service solutions

Product-service systems are seen by many authors to offer potential for significant sustainability benefit. Manufacturing companies are said to be essential to such a change through their influence over product performance and over the use and end-of-life stages. Yet linking these stages such that the producer is incentivized to improve the performance of later stages is still a challenge. This paper argues for placing the producer at the centre of a new arrangement: by seeking to utilize the producer's knowledge of designing and the knowledge of volume production, through creation of platforms, while cooperating closely with other actors. The paper describes three case studies that have used such an approach to design and implement new food production systems. Based on 12 months of action research observations, 10 participating organizations from the cases were studied, and the implemented solutions assessed for environmental, economic and social performance. The results demonstrate a high level of sustainability benefit is achievable using platforms and partners to design product-service systems, while highlighting that changes to production arrangements are necessary but not sufficient to improve whole life-cycle environmental performance of product-service systems, and that producers need to cooperate closely with other actors to achieve the claimed benefits.

Exploring the financial consequences of the servitization of manufacturing

Commentators suggest that to survive in developed economies manufacturing firms have to move up the value chain, innovating and creating ever more sophisticated products and services, so they do not have to compete on the basis of cost. While this strategy is proving increasingly popular with policy makers and academics there is limited empirical evidence to explore the extent to which it is being adopted in practice. And if so, what the impact of this servitization of manufacturing might be. This paper seeks to fill a gap in the literature by presenting empirical evidence on the range and extent of servitization. Data are drawn from the OSIRIS database on 10,028 firms incorporated in 25 different countries. The paper presents an analysis of these data which suggests that: [i] manufacturing firms in developed economies are adopting a range of servitization strategies-12 separate approaches to servitization are identified; [ii] these 12 categories can be used to extend the traditional three options for servitization-product oriented Product-Service Systems, use oriented Product-Service Systems and result oriented Product-Service Systems, by adding two new categories "integration oriented Product-Service Systems" and "service oriented Product-Service Systems"; [iii] while the manufacturing firms that have servitized are larger than traditional manufacturing firms in terms of sales revenues, at the aggregate level they also generate lower profits as a % of sales; [iv] these findings are moderated by firm size (measured in terms of numbers of employees). In smaller firms servitization appears to pay off while in larger firms it proves more problematic; and [v] there are some hidden risks associated with servitization-the sample contains a greater proportion of bankrupt servitized firms than would be expected. © Springer Science + Business Media, LLC 2009.

Strategies for designing and developing services for manufacturing firms

Product/service-systems (PSS) are in effect an approach to designing integrated products and services with a focus on both customer and product life cycle activities. A range of service-oriented design strategies can be found in current literature, from product-oriented DfX approaches to more customer-oriented approaches, such as integrated solutions. In this article, design strategies related to different types of services are mapped. Case studies from two industrial companies are used to confront the existing literature in order to improve the understanding of how manufacturing companies may align their product and service development activities with their business strategies. © 2010.

Experimental investigation of dynamic response of acoustically forced turbulent premixed CH4/CO2/air flames

Increasing demand for energy and continuing increase in environmental as well as financial cost of use of fossil fuels drive the need for utilization of fuels from sustainable sources for power generation. Development of fuel-flexible combustion systems is vital in enabling the use of sustainable fuels. It is also important that these sustainable combustion systems meet the strict governmental emission legislations. Biogas is considered as one of the viable sustainable fuels that can be used to power modern gas turbines: However, the change in chemical, thermal and transport properties as well as change in Wobbe index due to the variation of the fuel constituents can have a significant effect on the performance of the combustor. It is known that the fuel properties have strong influence on the dynamic flame response; however there is a lack of detailed information regarding the effect of fuel compositions on the sensitivity of the flames subjected to flow perturbations. In this study, we describe an experimental effort investigating the response of premixed biogas-air turbulent flames with varying proportions of CH4 and CO2 to velocity perturbations. The flame was stabilized using a centrally placed conical bluff body. Acoustic perturbations were imposed to the flow using loud speakers. The flame dynamics and the local heat release rate of these acoustically excited biogas flames were studied using simultaneous measurements of OH and H2CO planar laser induced fluorescence. OH* chemiluminescence along with acoustic pressure measurements were also recorded to estimate the total flame heat release modulation and the velocity fluctuations. The measurements were carried out by keeping the theoretical laminar flame speed constant while varying the bulk velocity and the fuel composition. The results indicate that the flame sensitivity to perturbations increased with increased dilution of CH4 by CO2 at low amplitude forcing, while at high amplitude forcing conditions the magnitude of the flame response was independent of dilution.

Conceptual transformation framework for servitization

This paper presents a Conceptual Transformation Framework for Servitization. The challenges experienced by manufacturers on their journey to servitization are investigated in order to develop our understanding of the transformation that traditional manufacturers undergo to become servitized manufacturers. Three change theories are applied to develop the Framework: Lewin's force field analysis, Senge's system thinking and Pettigrew and Whipp's framework of strategic change. The Framework includes the dimensions of the change that takes place and the elements of change when transforming towards Product-Service Systems.