Abstract
This paper uses an integrative literature review to explore the contracting of advanced services based on digitally-enabled product-service systems (PSS). The need for this study was derived from studies that have highlighted the difficulty of selling and buying advanced services with a digital element. Other studies confirmed that firms had challenges with obtaining the value expected from such advanced service contracts. The integration of digital into a PSS value proposition increases the complexity and the potential application of advanced services. The emergence of digitally-enabled PSS (based on “Smart Products” in many cases) suggests a need to understand the sales and contracting process better. An integrative literature review was chosen, as the literature was fragmented between different fields. Forty-eight papers were selected as relevant, and 14 were then considered key to creating an initial model for the contracting process. It was identified that there were limited examples of contracts with high degrees of value-co-creation and that the ability of manufacturing firms to translate a value proposition successfully into a binding contract was weak. The contract negotiation process was found to be well defined, yet the governance of such contacts over their duration was again weak. For these reasons, a model based on the lifecycle was proposed. The model should be further integrated into the contracting process for services. This is an initial study, and it is recommended that further research should test the model.
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West, S., Wenting, Z., Stoll, O. (2021). The Contracting of Advanced Services Based on Digitally-Enabled Product-Service Systems. In: Dolgui, A., Bernard, A., Lemoine, D., von Cieminski, G., Romero, D. (eds) Advances in Production Management Systems. Artificial Intelligence for Sustainable and Resilient Production Systems. APMS 2021. IFIP Advances in Information and Communication Technology, vol 631. Springer, Cham. https://doi.org/10.1007/978-3-030-85902-2_25
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