IDEAS home Printed from https://ideas.repec.org/a/eee/tefoso/v185y2022ics0040162522005911.html
   My bibliography  Save this article

Autonomous vehicle solutions and their digital servitization business models

Author

Listed:
  • Leminen, Seppo
  • Rajahonka, Mervi
  • Wendelin, Robert
  • Westerlund, Mika
  • Nyström, Anna-Greta

Abstract

Digitalization and automation play essential roles in how companies create value for their customers in emerging industries, including autonomous vehicle solutions (AVSs) and automated driving. In this study, we explore digital servitization business models in the context of AVS ecosystems. We utilize publicly available company data to discuss cases that illustrate the emerging business models of AVSs in the business-to-business (B2B) context. We contribute to research on autonomous solutions by identifying four types of AVSs: (i) advanced-data-assisted solutions, (ii) semiautonomous platooning solutions, (iii) autonomous demarcated solutions, and (iv) autonomous swarmed solutions. We advance digital servitization and business model research by revealing business models associated with those AVSs, namely: (i) safety as a service, (ii) efficiency as a service, (iii) capacity as a service, and (iv) flexibility as a service. By combining these three fields of research, we enrich the digital servitization research and address the current gap in research on autonomous solutions by focusing on business models. Our analysis enables the development of novel conceptual tools for autonomous solutions and servitization driven by digitalization. Moreover, we suggest the concept of business model fluidity to explain rapid and autonomous business model changes and adaptation to different use contexts and customer contexts.

Suggested Citation

  • Leminen, Seppo & Rajahonka, Mervi & Wendelin, Robert & Westerlund, Mika & Nyström, Anna-Greta, 2022. "Autonomous vehicle solutions and their digital servitization business models," Technological Forecasting and Social Change, Elsevier, vol. 185(C).
    • Handle: RePEc:eee:tefoso:v:185:y:2022:i:c:s0040162522005911
    DOI: 10.1016/j.techfore.2022.122070
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0040162522005911
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.techfore.2022.122070?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Joeri M. Mol & Nachoem M. Wijnberg & Charles Carroll, 2005. "Value Chain Envy: Explaining New Entry and Vertical Integration in Popular Music," Journal of Management Studies, Wiley Blackwell, vol. 42(2), pages 251-276, March.
    2. David Tilson & Kalle Lyytinen & Carsten Sørensen, 2010. "Research Commentary ---Digital Infrastructures: The Missing IS Research Agenda," Information Systems Research, INFORMS, vol. 21(4), pages 748-759, December.
    3. Snyder, Hannah, 2019. "Literature review as a research methodology: An overview and guidelines," Journal of Business Research, Elsevier, vol. 104(C), pages 333-339.
    4. Cassetta, Ernesto & Marra, Alessandro & Pozzi, Cesare & Antonelli, Paola, 2017. "Emerging technological trajectories and new mobility solutions. A large-scale investigation on transport-related innovative start-ups and implications for policy," Transportation Research Part A: Policy and Practice, Elsevier, vol. 106(C), pages 1-11.
    5. Bridgelall, Raj & Stubbing, Edward, 2021. "Forecasting the effects of autonomous vehicles on land use," Technological Forecasting and Social Change, Elsevier, vol. 163(C).
    6. McCall, Rod & McGee, Fintan & Mirnig, Alexander & Meschtscherjakov, Alexander & Louveton, Nicolas & Engel, Thomas & Tscheligi, Manfred, 2019. "A taxonomy of autonomous vehicle handover situations," Transportation Research Part A: Policy and Practice, Elsevier, vol. 124(C), pages 507-522.
    7. Kimberly D. Elsbach & Daan van Knippenberg, 2020. "Creating High‐Impact Literature Reviews: An Argument for ‘Integrative Reviews’," Journal of Management Studies, Wiley Blackwell, vol. 57(6), pages 1277-1289, September.
    8. Penmetsa, Praveena & Adanu, Emmanuel Kofi & Wood, Dustin & Wang, Teng & Jones, Steven L., 2019. "Perceptions and expectations of autonomous vehicles – A snapshot of vulnerable road user opinion," Technological Forecasting and Social Change, Elsevier, vol. 143(C), pages 9-13.
    9. Paiola, Marco & Schiavone, Francesco & Khvatova, Tatiana & Grandinetti, Roberto, 2021. "Prior knowledge, industry 4.0 and digital servitization. An inductive framework," Technological Forecasting and Social Change, Elsevier, vol. 171(C).
    10. Cruz-Cárdenas, Jorge & Zabelina, Ekaterina & Guadalupe-Lanas, Jorge & Palacio-Fierro, Andrés & Ramos-Galarza, Carlos, 2021. "COVID-19, consumer behavior, technology, and society: A literature review and bibliometric analysis," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    11. Ron Adner & Rahul Kapoor, 2010. "Value creation in innovation ecosystems: how the structure of technological interdependence affects firm performance in new technology generations," Strategic Management Journal, Wiley Blackwell, vol. 31(3), pages 306-333, March.
    12. Palo, Teea & Åkesson, Maria & Löfberg, Nina, 2019. "Servitization as business model contestation: A practice approach," Journal of Business Research, Elsevier, vol. 104(C), pages 486-496.
    13. Marco Ardolino & Mario Rapaccini & Nicola Saccani & Paolo Gaiardelli & Giovanni Crespi & Carlo Ruggeri, 2018. "The role of digital technologies for the service transformation of industrial companies," International Journal of Production Research, Taylor & Francis Journals, vol. 56(6), pages 2116-2132, March.
    14. Risto Rajala & Mika Westerlund, 2008. "Capability perspective of business model innovation: analysis in the software industry," International Journal of Business Innovation and Research, Inderscience Enterprises Ltd, vol. 2(1), pages 71-89.
    15. Seppo Leminen & Mervi Rajahonka & Mika Westerlund, 2017. "Actors in the Emerging Internet of Things Ecosystems," International Journal of E-Services and Mobile Applications (IJESMA), IGI Global, vol. 9(1), pages 57-75, January.
    16. Marletto, Gerardo, 2019. "Who will drive the transition to self-driving? A socio-technical analysis of the future impact of automated vehicles," Technological Forecasting and Social Change, Elsevier, vol. 139(C), pages 221-234.
    17. Andreja Pucihar & Iztok Zajc & Radovan Sernec & Gregor Lenart, 2019. "Living Lab as an Ecosystem for Development, Demonstration and Assessment of Autonomous Mobility Solutions," Sustainability, MDPI, vol. 11(15), pages 1-21, July.
    18. Mika Westerlund & Risto Rajala & Seppo Leminen, 2008. "SME business models in global competition: a network perspective," International Journal of Globalisation and Small Business, Inderscience Enterprises Ltd, vol. 2(3), pages 342-358.
    19. Osório, António (António Miguel) & Pinto, Alberto Adrego, 2019. "Information, uncertainty and the manipulability of artifcial intelligence autonomous vehicles systems," Working Papers 2072/376028, Universitat Rovira i Virgili, Department of Economics.
    20. Merfeld, Katrin & Wilhelms, Mark-Philipp & Henkel, Sven & Kreutzer, Karin, 2019. "Carsharing with shared autonomous vehicles: Uncovering drivers, barriers and future developments – A four-stage Delphi study," Technological Forecasting and Social Change, Elsevier, vol. 144(C), pages 66-81.
    21. Cenamor, J. & Rönnberg Sjödin, D. & Parida, V., 2017. "Adopting a platform approach in servitization: Leveraging the value of digitalization," International Journal of Production Economics, Elsevier, vol. 192(C), pages 54-65.
    22. Fagnant, Daniel J. & Kockelman, Kara, 2015. "Preparing a nation for autonomous vehicles: opportunities, barriers and policy recommendations," Transportation Research Part A: Policy and Practice, Elsevier, vol. 77(C), pages 167-181.
    23. Lovelock, Christopher, 1992. "Seeking synergy in service operations: Seven things marketers need to know about service operations," European Management Journal, Elsevier, vol. 10(1), pages 22-29, March.
    24. Kohtamäki, Marko & Parida, Vinit & Oghazi, Pejvak & Gebauer, Heiko & Baines, Tim, 2019. "Digital servitization business models in ecosystems: A theory of the firm," Journal of Business Research, Elsevier, vol. 104(C), pages 380-392.
    25. Gurumurthy, Krishna Murthy & Kockelman, Kara M., 2020. "Modeling Americans’ autonomous vehicle preferences: A focus on dynamic ride-sharing, privacy & long-distance mode choices," Technological Forecasting and Social Change, Elsevier, vol. 150(C).
    26. Monios, Jason & Bergqvist, Rickard, 2020. "Logistics and the networked society: A conceptual framework for smart network business models using electric autonomous vehicles (EAVs)," Technological Forecasting and Social Change, Elsevier, vol. 151(C).
    27. Monios, Jason & Bergqvist, Rickard, 2019. "The transport geography of electric and autonomous vehicles in road freight networks," Journal of Transport Geography, Elsevier, vol. 80(C).
    28. Liu, Peng & Xu, Zhigang, 2020. "Public attitude toward self-driving vehicles on public roads: Direct experience changed ambivalent people to be more positive," Technological Forecasting and Social Change, Elsevier, vol. 151(C).
    29. Cunningham, Mitchell L. & Regan, Michael A. & Horberry, Timothy & Weeratunga, Kamal & Dixit, Vinayak, 2019. "Public opinion about automated vehicles in Australia: Results from a large-scale national survey," Transportation Research Part A: Policy and Practice, Elsevier, vol. 129(C), pages 1-18.
    30. Sklyar, Alexey & Kowalkowski, Christian & Tronvoll, Bård & Sörhammar, David, 2019. "Organizing for digital servitization: A service ecosystem perspective," Journal of Business Research, Elsevier, vol. 104(C), pages 450-460.
    31. Alice Rondini & Fabiana Tornese & Maria Grazia Gnoni & Giuditta Pezzotta & Roberto Pinto, 2017. "Hybrid simulation modelling as a supporting tool for sustainable product service systems: a critical analysis," International Journal of Production Research, Taylor & Francis Journals, vol. 55(23), pages 6932-6945, December.
    32. Vinit Parida & David Sjödin & Wiebke Reim, 2019. "Reviewing Literature on Digitalization, Business Model Innovation, and Sustainable Industry: Past Achievements and Future Promises," Sustainability, MDPI, vol. 11(2), pages 1-18, January.
    33. Wolfgang Ulaga & Werner Reinartz, 2011. "Hybrid Offerings: How Manufacturing Firms Combine Goods and Services Successfully," Post-Print hal-00642039, HAL.
    34. Fritschy, Carolin & Spinler, Stefan, 2019. "The impact of autonomous trucks on business models in the automotive and logistics industry–a Delphi-based scenario study," Technological Forecasting and Social Change, Elsevier, vol. 148(C).
    35. Frank, Alejandro G. & Mendes, Glauco H.S. & Ayala, Néstor F. & Ghezzi, Antonio, 2019. "Servitization and Industry 4.0 convergence in the digital transformation of product firms: A business model innovation perspective," Technological Forecasting and Social Change, Elsevier, vol. 141(C), pages 341-351.
    36. Li, Shuying & Garces, Edwin & Daim, Tugrul, 2019. "Technology forecasting by analogy-based on social network analysis: The case of autonomous vehicles," Technological Forecasting and Social Change, Elsevier, vol. 148(C).
    37. Kohtamäki, Marko & Einola, Suvi & Rabetino, Rodrigo, 2020. "Exploring servitization through the paradox lens: Coping practices in servitization," International Journal of Production Economics, Elsevier, vol. 226(C).
    38. Rymaszewska, Anna & Helo, Petri & Gunasekaran, Angappa, 2017. "IoT powered servitization of manufacturing – an exploratory case study," International Journal of Production Economics, Elsevier, vol. 192(C), pages 92-105.
    39. Hudson, John & Orviska, Marta & Hunady, Jan, 2019. "People’s attitudes to autonomous vehicles," Transportation Research Part A: Policy and Practice, Elsevier, vol. 121(C), pages 164-176.
    40. Paolo Gaiardelli & Giuditta Pezzotta & Alice Rondini & David Romero & Farnaz Jarrahi & Marco Bertoni & Stefan Wiesner & Thorsten Wuest & Tobias Larsson & Mohamed Zaki & Philipp Jussen & Xavier Boucher, 2021. "Product-service systems evolution in the era of Industry 4.0," Service Business, Springer;Pan-Pacific Business Association, vol. 15(1), pages 177-207, March.
    41. Di Vaio, Assunta & Palladino, Rosa & Pezzi, Alberto & Kalisz, David E., 2021. "The role of digital innovation in knowledge management systems: A systematic literature review," Journal of Business Research, Elsevier, vol. 123(C), pages 220-231.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rantala, Tero & Ukko, Juhani & Nasiri, Mina & Saunila, Minna, 2023. "Shifting focus of value creation through industrial digital twins—From internal application to ecosystem-level utilization," Technovation, Elsevier, vol. 125(C).
    2. Thomson, Linus & Sjödin, David & Parida, Vinit & Jovanovic, Marin, 2023. "Conceptualizing business model piloting: An experiential learning process for autonomous solutions," Technovation, Elsevier, vol. 126(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kohtamäki, Marko & Parida, Vinit & Oghazi, Pejvak & Gebauer, Heiko & Baines, Tim, 2019. "Digital servitization business models in ecosystems: A theory of the firm," Journal of Business Research, Elsevier, vol. 104(C), pages 380-392.
    2. Kohtamäki, Marko & Parida, Vinit & Patel, Pankaj C. & Gebauer, Heiko, 2020. "The relationship between digitalization and servitization: The role of servitization in capturing the financial potential of digitalization," Technological Forecasting and Social Change, Elsevier, vol. 151(C).
    3. Bustinza, Oscar F. & Opazo-Basaez, Marco & Tarba, Shlomo, 2022. "Exploring the interplay between Smart Manufacturing and KIBS firms in configuring product-service innovation performance," Technovation, Elsevier, vol. 118(C).
    4. Khanra, Sayantan & Dhir, Amandeep & Parida, Vinit & Kohtamäki, Marko, 2021. "Servitization research: A review and bibliometric analysis of past achievements and future promises," Journal of Business Research, Elsevier, vol. 131(C), pages 151-166.
    5. Münch, Christopher & Marx, Emanuel & Benz, Lukas & Hartmann, Evi & Matzner, Martin, 2022. "Capabilities of digital servitization: Evidence from the socio-technical systems theory," Technological Forecasting and Social Change, Elsevier, vol. 176(C).
    6. Alvarez León, Luis F. & Aoyama, Yuko, 2022. "Industry emergence and market capture: The rise of autonomous vehicles," Technological Forecasting and Social Change, Elsevier, vol. 180(C).
    7. Shen, Lei & Sun, Wanqin & Parida, Vinit, 2023. "Consolidating digital servitization research: A systematic review, integrative framework, and future research directions," Technological Forecasting and Social Change, Elsevier, vol. 191(C).
    8. Mosch, Philipp & Schweikl, Stefan & Obermaier, Robert, 2021. "Trapped in the supply chain? Digital servitization strategies and power relations in the case of an industrial technology supplier," International Journal of Production Economics, Elsevier, vol. 236(C).
    9. Struwe, Sascha & Slepniov, Dmitrij, 2023. "Unlocking digital servitization: A conceptualization of value co-creation capabilities," Journal of Business Research, Elsevier, vol. 160(C).
    10. Chen, Liping & Dai, Yishu & Ren, Fei & Dong, Xiaoying, 2023. "Data-driven digital capabilities enable servitization strategy——From service supporting the product to service supporting the client," Technological Forecasting and Social Change, Elsevier, vol. 197(C).
    11. Culot, Giovanna & Orzes, Guido & Sartor, Marco & Nassimbeni, Guido, 2020. "The future of manufacturing: A Delphi-based scenario analysis on Industry 4.0," Technological Forecasting and Social Change, Elsevier, vol. 157(C).
    12. Juan Pablo Vargas & Angélica Patricia Muñoz Lagos & José Guillermo Feriz Torres & Ian Scott Kinney & Sebastián Pérez Cortés & Juan Pablo Hurtado, 2022. "Achieving Circularity through Novel Product-Service Systems in the Mining Industry: An Opportunity for Circularity," Sustainability, MDPI, vol. 14(6), pages 1-15, March.
    13. Kolagar, Milad & Parida, Vinit & Sjödin, David, 2022. "Ecosystem transformation for digital servitization: A systematic review, integrative framework, and future research agenda," Journal of Business Research, Elsevier, vol. 146(C), pages 176-200.
    14. Chirumalla, Koteshwar & Leoni, Luna & Oghazi, Pejvak, 2023. "Moving from servitization to digital servitization: Identifying the required dynamic capabilities and related microfoundations to facilitate the transition," Journal of Business Research, Elsevier, vol. 158(C).
    15. Ancillai, Chiara & Sabatini, Andrea & Gatti, Marco & Perna, Andrea, 2023. "Digital technology and business model innovation: A systematic literature review and future research agenda," Technological Forecasting and Social Change, Elsevier, vol. 188(C).
    16. Zhou, Dan & Yan, Tingting & Dai, Weiqi & Feng, Junzheng, 2021. "Disentangling the interactions within and between servitization and digitalization strategies: A service-dominant logic," International Journal of Production Economics, Elsevier, vol. 238(C).
    17. Tian, Jiamian & Coreynen, Wim & Matthyssens, Paul & Shen, Lei, 2022. "Platform-based servitization and business model adaptation by established manufacturers," Technovation, Elsevier, vol. 118(C).
    18. Xing, Yijun & Liu, Yipeng & Davies, Philip, 2023. "Servitization innovation: A systematic review, integrative framework, and future research directions," Technovation, Elsevier, vol. 122(C).
    19. Chankook Park, 2022. "Expansion of servitization in the energy sector and its implications," Wiley Interdisciplinary Reviews: Energy and Environment, Wiley Blackwell, vol. 11(4), July.
    20. Su, Yu-Shan & Huang, Hsini & Daim, Tugrul & Chien, Pan-Wei & Peng, Ru-Ling & Karaman Akgul, Arzu, 2023. "Assessing the technological trajectory of 5G-V2X autonomous driving inventions: Use of patent analysis," Technological Forecasting and Social Change, Elsevier, vol. 196(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:tefoso:v:185:y:2022:i:c:s0040162522005911. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.sciencedirect.com/science/journal/00401625 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.