Ser­vit­iz­a­tion and Ser­vice Man­age­ment

Course content

Many industries are currently in the process of transforming from a focus on tangible products to a focus on services. For example, car manufacturers are intending to transform to mobility service providers, software companies are transitioning from selling licenses to software-as-a-service business models, and manufacturers of industrial machinery are implementing advanced maintenance services or even outcome-based contracts. The reason is that companies are increasingly realizing the tremendous potential that services offer. Generating new revenue streams, increasing profitability, generating data-driven customer insights, creating closer bonds with customers, or locking out competitors are only some of the promises of servitization – the strategy of combining products with services. However, actually realizing these promises has frequently proven to be a challenge for companies. Successfully designing, implementing, and executing servitization entails significant and far-reaching changes to a company’s business model, pricing structure, operational setup, sales approach, and company culture, to name a few. These changes often introduce a host of complexities that can be difficult to anticipate and that can create significant managerial challenges and dilemmas.

This course will sensitize participants to the complexities and interdependencies they should expect when embarking on a servitization journey by providing an in-depth understanding of what servitization entails and how it affects companies’ business models. Moreover, participants will learn different ways in which the ensuing complexities can be addressed. Based on the most recent servitization research, the course provides participants with practical tools to better understand, configure, execute, and manage different servitization strategies.