Capability antecedents and performance outcomes of servitization

Capability antecedents and performance outcomes of servitization PurposeThe purpose of this paper is to theoretically articulate and empirically test an integrated model of capability antecedents and performance outcomes of servitization strategies. The authors characterize servitization strategies based on the offering of two types of services: basic services (BAS) and advanced services (ADS).Design/methodology/approachHypotheses are tested based on statistical analyses of a large survey of manufacturers from different countries and sectors.FindingsThe authors find that manufacturing capabilities associate with the provision of BAS, while service capabilities associate with both BAS and ADS; BAS do not impact financial performance, but support the offering of ADS; there seem to be naturally occurring servitization trajectories involving the gradual development of balanced levels of BAS and ADS and adequate levels of manufacturing and service capabilities.Research limitations/implicationsThe findings on servitization trajectories are based on the observation of manufacturing business units at different stages of servitization (cross-sectional data).Practical implicationsManufacturers wishing to servitize should distinguish between BAS and ADS and deploy a balanced adoption of BAS and ADS, using BAS as a platform. This should be accompanied with the building of appropriate capabilities.Originality/valueThis is one of the first studies to show an explicit link between different servitization strategies, capabilities, and servitization maturity. It provides new insights into the servitization paradox and servitization trajectories. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png International Journal of Operations & Production Management Emerald Publishing

Capability antecedents and performance outcomes of servitization

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Publisher
Emerald Publishing
Copyright
Copyright © Emerald Group Publishing Limited
ISSN
0144-3577
D.O.I.
10.1108/IJOPM-11-2015-0696
Publisher site
See Article on Publisher Site

Abstract

PurposeThe purpose of this paper is to theoretically articulate and empirically test an integrated model of capability antecedents and performance outcomes of servitization strategies. The authors characterize servitization strategies based on the offering of two types of services: basic services (BAS) and advanced services (ADS).Design/methodology/approachHypotheses are tested based on statistical analyses of a large survey of manufacturers from different countries and sectors.FindingsThe authors find that manufacturing capabilities associate with the provision of BAS, while service capabilities associate with both BAS and ADS; BAS do not impact financial performance, but support the offering of ADS; there seem to be naturally occurring servitization trajectories involving the gradual development of balanced levels of BAS and ADS and adequate levels of manufacturing and service capabilities.Research limitations/implicationsThe findings on servitization trajectories are based on the observation of manufacturing business units at different stages of servitization (cross-sectional data).Practical implicationsManufacturers wishing to servitize should distinguish between BAS and ADS and deploy a balanced adoption of BAS and ADS, using BAS as a platform. This should be accompanied with the building of appropriate capabilities.Originality/valueThis is one of the first studies to show an explicit link between different servitization strategies, capabilities, and servitization maturity. It provides new insights into the servitization paradox and servitization trajectories.

Journal

International Journal of Operations & Production ManagementEmerald Publishing

Published: Apr 3, 2017

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