Reinventing product-service systems: the case of Singapore

Abstract

Purpose This paper aims to discuss a foresight study conducted in Singapore’s national R&D agency to help science and technology decision makers identify key capability areas of R&D investment to support the manufacturing industry’s growth in the country and the region. Design/methodology/approach Using horizon scanning, scenario analysis and expert opinion, nine capabilities are identified as core areas to be developed to support the country’s future growth of product-service systems. Findings The results of a Delphi survey involving 30 industry and academic thought leaders recommend priorities of these capabilities. This paper concludes with a discussion of the study implications for theory, research and practice in the domain of servitisation and product-service systems. Research limitations/implications The foresight study presented here on the future of servitisation in Singapore demonstrates one of the first fully fledged applications of foresight in constructing a coherent vision of future product-service system markets. In this study, the authors applied systemic foresight methodology (SFM) comprising the first six phases: initiation (scoping), intelligence (scanning), imagination (scenarios), integration (priorities), interpretation (strategies) and implementation (action).For future research, an ideal step would be to proceed with the final phase of the SFM, impact, to develop indicators for servitisation and to monitor and evaluate the transition process. Practical implications Manufacturing and services are no longer distinct concepts with a clear divide. Manufacturing firms not only become more service dependent but also produce and provide services for their consumers. This transformation towards servitisation implies fundamental re-organisation of the production and management practices. Furthermore, through new business models, new and loyal customers will be gained, which will in turn bring additional income, while making the companies less prone to economic and business fluctuations. Social implications The results of this study have practical implications for policymakers of public and private sectors that are interested in playing a key role in future product-service system innovation. These have implications for developing the human and intellectual capital that are required for supporting the future innovation. Institutes of higher learning and vocational institutes should also consider incorporating new curricula and modules to build the capabilities for knowledge creation and transfer. Originality/value The findings of the present study on strategic growth areas and relevant critical capabilities provide new directions for research in the field of servitisation. Among the nine capabilities identified, the top three were advanced customer intelligence capability, socio-physical service quality, traceability and maintainability and integrated strategic decision-making. From the results, it is apparent that advanced customer intelligence capability is both an area of importance to Singapore and the world.

Human-centred design in industry 4.0: case study review and opportunities for future research

“…In this evolving scenario, manufacturers navigate from product-oriented development to the servitization phenomenon in which the concept of product-service systems (PSS) is a result of product and service integration. PSS is capable of fulfilling the customer’s present requirements while being adaptable to future needs and necessities through all their life-cycle stages (Cheah et al, 2019 ; Haber & Fargnoli, 2019 ; Leoni, 2019 ; Mourtzis et al, 2018 ; Pezzotta et al, 2018 ; Zhu et al, 2015 ). PSS requires a human-centred design thinking process that not only generates the value-in-use to the customer through the identification of the latent requirements, but also manages the stakeholders and the technical feasibility (Cheah et al, 2019 ; Santos et al, 2018 ).…”

“…PSS is capable of fulfilling the customer’s present requirements while being adaptable to future needs and necessities through all their life-cycle stages (Cheah et al, 2019 ; Haber & Fargnoli, 2019 ; Leoni, 2019 ; Mourtzis et al, 2018 ; Pezzotta et al, 2018 ; Zhu et al, 2015 ). PSS requires a human-centred design thinking process that not only generates the value-in-use to the customer through the identification of the latent requirements, but also manages the stakeholders and the technical feasibility (Cheah et al, 2019 ; Santos et al, 2018 ). The approach of HCD, such as service design, plays an important role in the design of service-oriented value propositions by providing a set of methods to improve customer experience and understand emerging social trends (Iriarte et al, 2018 ).…”

Current Challenges of the Technology Transfer Process

“…Our findings present an environment and conditions for identifying and subsequently locating the technology for a specific recipient that is directly opposite to the linear TT model. We argue that it is not only possible to identify suitable technologies for the recipient, but it is possible to identify these technologies in the context of the necessary capabilities that the recipient of the technology must have to stand up to its competitive environment (Cheah et al 2019). In addition, based on the findings, we argue that, from the perspective of sustainable technology development, it is essential to shape and maintain a creative environment (Omobhude and Chen 2019) that will allow repeatable technology transfers.…”

“…The key study originated in Singapore (Cheah et al 2019). The authors of this study conducted a survey among the 30 leading industry leaders in Singapore.…”

“…The authors of this study conducted a survey among the 30 leading industry leaders in Singapore. The aim of the study was to identify technologies that will enable the manufacturing industry to build new capabilities primarily in areas related to (i) advanced competence and intelligence of customers, (ii) socio-physical quality of service and (iii) integrated strategic decision making (Cheah et al 2019). The reciprocal iterations of the provider and recipient of the technology, due to their geographical, cognitive, organizational, social or institutional proximity, allow for the effective sharing of both tacit and explicit knowledge (Omobhude and Chen, 2019).…”