Transformation of a small-to-medium-sized enterprise to a multi-organisation product-service solution provider

Ben Clegg, Paul Little, Steve Govette and Joel Logue

International Journal of Production Economics, 2017, vol. 192, issue C, 81-91

Abstract: This paper aims to: (1) précis the extant literature on servitization and enterprization transformations, focusing on the role of information technology (IT) and information systems (IS) and their inter-relationships; (2) illustrate these interrelationships by showing how a small-to-medium-sized enterprise (SME) can move from being a predominantly independent SME, delivering only products, to become part of a multi-organisation enterprise able to deliver product-service solutions; and (3) provide generic learning by proposing a new integrated business transformation model. The methodology used is abductive action research. A literature review is conducted to provide academically grounded themes to inform and interpret practical actions. An empirical case study is conducted with a UK SME from the construction industry that provides empirical data to illustrate a business transformation. Inductive reasoning is used to propose a new integrated transformation model. Findings show that enterprization and servitization transformation themes are highly interdependent and co-implementable when an IT/IS focus is taken. Furthermore, these transformations can be used as part of a successful strategy for growth by an SME. A new operating structure, labelled a product-service enterprise (PSE), is proposed as part of a business transformation model to assist future deliveries of product-service solutions (PSSns). Actions and findings are based on a single empirical case abducted with academic themes. Whilst it is probable that the themes and actions have contributed towards the organization's successful growth, no absolute deterministic causality is claimed.

Keywords: product–service system (PSS); servitization; multi-organisation enterprise (MOE); enterprise systems (ES); enterprization; action research (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0925527317300129
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:proeco:v:192:y:2017:i:c:p:81-91

DOI: 10.1016/j.ijpe.2017.01.012

Access Statistics for this article

International Journal of Production Economics is currently edited by Stefan Minner

More articles in International Journal of Production Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().