Essay title: Using specific examples of complex products, critically examine the motivation for organisations to adopt a servitisation strategy.
Background and Context:
Customer supplier interaction, particularly business to business can often stop at the point of purchase with the interaction rarely going beyond the inherent value placed on the product or service by the supplier. However, this has been increasingly viewed as a very narrow and an inward looking approach in creating value to the customer. Consequently, there is an increasing shift towards customisation of service and products and the involvement of the customer in the design of products and services through the process of servitisation, leading to a co-creation of value. Different organisations have different motivations for developing
strategic servitisation and hence co-creation in their product provisioning. It is these motivations that you will be examining.
It will be useful to understand the concepts of value co-creation, value-in-use and outcome or performance based contracts and apply how they could contribute in the journey of servitisation.
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