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.

Experimental and micromechanical study of size effects in the constrained deformation of metallic foams

Previous investigations have unveiled size effects in the strength of metallic foams under simple shear - the shear strength increases with diminishing specimen size, a phenomena similar to that shown by Fleck et al. (Acta Mat., 1994, Vol. 42, p. 475.) on the torsion tests of copper wires of various radii. In this study, experimental study of the constrained deformation of a foam layer sandwiched between two steel plates has been conducted. The sandwiched plates are subjected to combined shear and normal loading. It is found that measured yield loci of metallic foams in the normal and shear stress space corresponding to various foam layer thicknesses are self-similar in shape but their size increases as the foam layer thickness decreases. Moreover, the strains profiles across the foam layer thickness are parabolic instead of uniform; their values increase from the interfaces between the foam layer and the steel plates and reach their maximum in the middle of the foam layer, yielding boundary layers adjacent to the steel plates. In order to further explore the origin of observed size effects, micromechanics models have been developed, with the foam layer represented by regular and irregular honeycombs. Though the regular honeycomb model is seen to underestimate the size effects, the irregular honeycomb model faithfully captures the observed features of the constrained deformation of metallic foams.

Size effects in the constrained deformation of metallic foams

The constrained deformation of an aluminium alloy foam sandwiched between steel substrates has been investigated. The sandwich plates are subjected to through-thickness shear and normal loading, and it is found that the face sheets constrain the foam against plastic deformation and result in a size effect: the yield strength increases with diminishing thickness of foam layer. The strain distribution across the foam core has been measured by a visual strain mapping technique, and a boundary layer of reduced straining was observed adjacent to the face sheets. The deformation response of the aluminium foam layer was modelled by the elastic-plastic finite element analysis of regular and irregular two dimensional honeycombs, bonded to rigid face sheets; in the simulations, the rotation of the boundary nodes of the cell-wall beam elements was set to zero to simulate full constraint from the rigid face sheets. It is found that the regular honeycomb under-estimates the size effect whereas the irregular honeycomb provides a faithful representation of both the observed size effect and the observed strain profile through the foam layer. Additionally, a compressible version of the Fleck-Hutchinson strain gradient theory was used to predict the size effect; by identifying the cell edge length as the relevant microstructural length scale the strain gradient model is able to reproduce the observed strain profiles across the layer and the thickness dependence of strength. © 2002 Elsevier Science Ltd. All rights reserved.

The effect of hole size upon the strength of metallic and polymeric foams

Tensile and compressive tests have been performed on centre-hole panels, made from three types of metallic foams and two polymeric foams. In compression, the foams fail in a ductile, notch-insensitive manner, in support of a "net section strength" criterion. In tension, a ductile-brittle transition is observed for some of the foams at sufficiently large specimen sizes: for a small hole diameter the net section strength criterion is obeyed, whereas for a large hole a local stress criterion applies and the net section strength is reduced. For a number of the foams, the panel size was not sufficiently large to observe this ductile-brittle switch in behaviour. The predictions of a cohesive zone model are compared with the measured strengths and are found to be in good agreement. © 2001 Elsevier Science Ltd. All rights reserved.

Magnetic switching and anisotropy in nanomagnets: the influence of size and shape

Arrays of nanomagnets were fabricated out of Ni80Fe14Mo5 in the lateral size range 500-30nm and the thickness range 3-20nm. Elliptical, triangular, square, pentagonal and circular geometries were all considered. The magnetic properties of these nanomagnets were probed rapidly and non-invasively using a high sensitivity magneto-optical method.