IDEAS home Printed from https://ideas.repec.org/a/eee/jbrese/v137y2021icp379-392.html
   My bibliography  Save this article

Unfolding the digital servitization path from products to product-service-software systems: Practicing change through intentional narratives

Author

Listed:
  • Kohtamäki, Marko
  • Rabetino, Rodrigo
  • Einola, Suvi
  • Parida, Vinit
  • Patel, Pankaj

Abstract

Manufacturers are increasingly struggling with the transition from products to product-service-software systems. Our study takes stock of the current research on servitization and digital servitization to investigate the challenging transition process from product to more complex product-service-software systems. We examine how does the digital servitization journey unfold as sayings and doings, and how do intentional narratives guide digital servitization. The present in-depth single case study spanning 8 years reveals the emergent process during the transition of a leading solution provider from servitization to digital servitization. The study uses social practices, such as managers' sayings and doings, to map the change process that unfolds first as servitization and, in a second stage, as digital servitization. Even more importantly, this study unpacks the role of intentional narratives in shaping digital servitization as a lengthy change process. For managers, this study provides a detailed depiction of the servitization and digital servitization processes, and some intentional narratives for guiding the process. Thus, the process may be challenging but perhaps manageable by using intentional narratives as a strategic practice.

Suggested Citation

  • Kohtamäki, Marko & Rabetino, Rodrigo & Einola, Suvi & Parida, Vinit & Patel, Pankaj, 2021. "Unfolding the digital servitization path from products to product-service-software systems: Practicing change through intentional narratives," Journal of Business Research, Elsevier, vol. 137(C), pages 379-392.
    • Handle: RePEc:eee:jbrese:v:137:y:2021:i:c:p:379-392
    DOI: 10.1016/j.jbusres.2021.08.027
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0148296321005865
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jbusres.2021.08.027?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. Saku Mantere, 2013. "What Is Organizational Strategy? A Language-Based View," Journal of Management Studies, Wiley Blackwell, vol. 50(8), pages 1408-1426, December.
    2. Saouré Kouamé & Ann Langley, 2018. "Relating microprocesses to macro‐outcomes in qualitative strategy process and practice research," Strategic Management Journal, Wiley Blackwell, vol. 39(3), pages 559-581, March.
    3. Paul Spee & Paula Jarzabkowski, 2017. "Agreeing on What? Creating Joint Accounts of Strategic Change," Organization Science, INFORMS, vol. 28(1), pages 152-176, February.
    4. Eero Vaara & Richard Whittington, 2012. "Strategy as practice : Taking Social Practices Seriously," Post-Print hal-02276672, HAL.
    5. Eero Vaara & Scott Sonenshein & David Boje, 2016. "Narratives as Sources of Stability and Change in Organizations : Approaches and Directions for Future Research," Post-Print hal-02313402, HAL.
    6. Bustinza, Oscar F. & Lafuente, Esteban & Rabetino, Rodrigo & Vaillant, Yancy & Vendrell-Herrero, Ferran, 2019. "Make-or-buy configurational approaches in product-service ecosystems and performance," Journal of Business Research, Elsevier, vol. 104(C), pages 393-401.
    7. Tonci Grubic & Ian Jennions, 2018. "Remote monitoring technology and servitised strategies – factors characterising the organisational application," International Journal of Production Research, Taylor & Francis Journals, vol. 56(6), pages 2133-2149, March.
    8. Marko Kohtamäki & Tim Baines & Rodrigo Rabetino & Ali Z. Bigdeli & Christian Kowalkowski & Rogelio Oliva & Vinit Parida, 2021. "Theoretical Landscape in Servitization," Springer Books, in: Marko Kohtamäki & Tim Baines & Rodrigo Rabetino & Ali Ziaee Bigdeli & Christian Kowalkowski & Rogeli (ed.), The Palgrave Handbook of Servitization, pages 1-23, Springer.
    9. Henry Mintzberg, 1978. "Patterns in Strategy Formation," Management Science, INFORMS, vol. 24(9), pages 934-948, May.
    10. 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.
    11. Rabetino, Rodrigo & Kohtamäki, Marko & Gebauer, Heiko, 2017. "Strategy map of servitization," International Journal of Production Economics, Elsevier, vol. 192(C), pages 144-156.
    12. Eero Vaara & Janne Tienari, 2011. "On the Narrative Construction of Multinational Corporations: An Antenarrative Analysis of Legitimation and Resistance in a Cross-Border Merger," Organization Science, INFORMS, vol. 22(2), pages 370-390, April.
    13. Eero Vaara & Richard Whittington, 2012. "Strategy as practice : Taking Social Practices Seriously," Post-Print hal-02312709, HAL.
    14. Opresnik, David & Taisch, Marco, 2015. "The value of Big Data in servitization," International Journal of Production Economics, Elsevier, vol. 165(C), pages 174-184.
    15. Eero Vaara & Janne Tienari, 2011. "On the narrative construction of multinational corporations : An antenarrative analysis of legitimation and resistance in a cross-border merger," Post-Print hal-02312572, HAL.
    16. 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).
    17. Henry Mintzberg & James A. Waters, 1985. "Of strategies, deliberate and emergent," Strategic Management Journal, Wiley Blackwell, vol. 6(3), pages 257-272, July.
    18. 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.
    19. Visnjic, Ivanka & Neely, Andy & Jovanovic, Marin, 2018. "The path to outcome delivery: Interplay of service market strategy and open business models," Technovation, Elsevier, vol. 72, pages 46-59.
    20. Brian T. Pentland & Martha S. Feldman, 2007. "Narrative Networks: Patterns of Technology and Organization," Organization Science, INFORMS, vol. 18(5), pages 781-795, October.
    21. 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.
    22. Elena Dalpiaz & Giada Di Stefano, 2018. "A universe of stories: Mobilizing narrative practices during transformative change," Strategic Management Journal, Wiley Blackwell, vol. 39(3), pages 664-696, March.
    23. Eero Vaara & Scott Sonenshein & David Boje, 2016. "Narratives as Sources of Stability and Change in Organizations : Approaches and Directions for Future Research," Post-Print hal-02276673, HAL.
    24. Michael G. Jacobides & Carmelo Cennamo & Annabelle Gawer, 2018. "Towards a theory of ecosystems," Strategic Management Journal, Wiley Blackwell, vol. 39(8), pages 2255-2276, August.
    25. Eero Vaara & Brigit Kleymman & Hannu Seristö, 2004. "Strategies as Discursive Constructions : The Case of Airline Alliances," Post-Print hal-02311665, HAL.
    26. Gerry Johnson & Leif Melin & Richard Whittington, 2003. "Micro Strategy and Strategizing: Towards an Activity‐Based View," Journal of Management Studies, Wiley Blackwell, vol. 40(1), pages 3-22, January.
    27. Damon Golsorkhi & Linda Rouleau & David Seidl & Eero Vaara, 2015. "Cambridge Handbook of Strategy as Practice," Post-Print hal-02298228, HAL.
    28. Julia Balogun & Claus Jacobs & Paula Jarzabkowski & Saku Mantere & Eero Vaara, 2014. "Placing Strategy Discourse in Context: Sociomateriality, Sensemaking, and Power," Journal of Management Studies, Wiley Blackwell, vol. 51(2), pages 175-201, March.
    29. 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).
    30. Sarah Kaplan & Wanda J. Orlikowski, 2013. "Temporal Work in Strategy Making," Organization Science, INFORMS, vol. 24(4), pages 965-995, August.
    31. 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.
    32. Eero Vaara & Julia Balogun & Claus Jacob, 2014. "Placing Strategy Discourse in Context : Sociomateriality, Sensemaking, and Power," Post-Print hal-02313123, HAL.
    33. Sjödin, David & Parida, Vinit & Kohtamäki, Marko & Wincent, Joakim, 2020. "An agile co-creation process for digital servitization: A micro-service innovation approach," Journal of Business Research, Elsevier, vol. 112(C), pages 478-491.
    34. Dubois, Anna & Gadde, Lars-Erik, 2002. "Systematic combining: an abductive approach to case research," Journal of Business Research, Elsevier, vol. 55(7), pages 553-560, July.
    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. Yan Chen & Zijin Wang & Jaime Ortiz, 2023. "A Sustainable Digital Ecosystem: Digital Servitization Transformation and Digital Infrastructure Support," Sustainability, MDPI, vol. 15(2), pages 1-16, January.
    2. Serena Galvani & Elisa Carloni & Roberta Bocconcelli & Alessandro Pagano, 2022. "From After-Sales to Advanced Services: A Network Analysis on the Impacts of Digital Servitization Evolution," Sustainability, MDPI, vol. 14(14), pages 1-19, July.
    3. Paiola, Marco & Khvatova, Tatiana & Schiavone, Francesco & Jabeen, Fauzia, 2022. "Paths toward advanced service-oriented business models: A configurational analysis of small- and medium-sized incumbent manufacturers11A previous version of the present article was presented at the EI," Technological Forecasting and Social Change, Elsevier, vol. 182(C).
    4. Rahman Dwi Wahyudi & Moses Laksono Singgih & Mokh Suef, 2022. "Investigation of Product–Service System Components as Control Points for Value Creation and Development Process," Sustainability, MDPI, vol. 14(23), pages 1-23, December.
    5. Zahoor, Nadia & Zopiatis, Anastasios & Adomako, Samuel & Lamprinakos, Grigorios, 2023. "The micro-foundations of digitally transforming SMEs: How digital literacy and technology interact with managerial attributes," Journal of Business Research, Elsevier, vol. 159(C).
    6. Feliciano-Cestero, María M. & Ameen, Nisreen & Kotabe, Masaaki & Paul, Justin & Signoret, Mario, 2023. "Is digital transformation threatened? A systematic literature review of the factors influencing firms’ digital transformation and internationalization," Journal of Business Research, Elsevier, vol. 157(C).
    7. Xing, Yijun & Liu, Yipeng & Davies, Philip, 2023. "Servitization innovation: A systematic review, integrative framework, and future research directions," Technovation, Elsevier, vol. 122(C).
    8. 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).
    9. Tabares, Sabrina & Parida, Vinit & Visnjic, Ivanka, 2023. "Revenue models for digital services in the railway industry: A framework for choosing the right revenue model," Journal of Business Research, Elsevier, vol. 165(C).
    10. HeeSoo Chin & Durga Prasad Marasini & DonHee Lee, 2023. "Digital transformation trends in service industries," Service Business, Springer;Pan-Pacific Business Association, vol. 17(1), pages 11-36, March.
    11. Piepponen, Amanda & Ritala, Paavo & Keränen, Joona & Maijanen, Päivi, 2022. "Digital transformation of the value proposition: A single case study in the media industry," Journal of Business Research, Elsevier, vol. 150(C), pages 311-325.
    12. 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.
    13. Sergi, Bruno S. & Ključnikov, Aleksandr & Popkova, Elena G. & Bogoviz, Aleksei V. & Lobova, Svetlana V., 2022. "Creative abilities and digital competencies to transitioning to Business 4.0," Journal of Business Research, Elsevier, vol. 153(C), pages 401-411.
    14. Huikkola, Tuomas & Kohtamäki, Marko & Ylimäki, Juho, 2022. "Becoming a smart solution provider: Reconfiguring a product manufacturer's strategic capabilities and processes to facilitate business model innovation," Technovation, Elsevier, vol. 118(C).
    15. Yong Chen & Zhengjie Wu & Wenchao Yi & Bingjia Wang & Jianhua Yao & Zhi Pei & Jiaoliao Chen, 2022. "Bibliometric Method for Manufacturing Servitization: A Review and Future Research Directions," Sustainability, MDPI, vol. 14(14), pages 1-26, July.

    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. 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).
    2. Kohtamäki, Marko & Heimonen, Jesse & Sjödin, David & Heikkilä, Vili, 2020. "Strategic agility in innovation: Unpacking the interaction between entrepreneurial orientation and absorptive capacity by using practice theory," Journal of Business Research, Elsevier, vol. 118(C), pages 12-25.
    3. Huikkola, Tuomas & Kohtamäki, Marko & Rabetino, Rodrigo & Makkonen, Hannu & Holtkamp, Philipp, 2022. "Overcoming the challenges of smart solution development: Co-alignment of processes, routines, and practices to manage product, service, and software integration," Technovation, Elsevier, vol. 118(C).
    4. 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).
    5. 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).
    6. Tian, Jiamian & Coreynen, Wim & Matthyssens, Paul & Shen, Lei, 2022. "Platform-based servitization and business model adaptation by established manufacturers," Technovation, Elsevier, vol. 118(C).
    7. Eero Vaara & Juha-Antti Lamberg, 2016. "Taking historical embeddedness seriously : Three historical approaches to advance strategy process and practice research," Post-Print hal-02276732, HAL.
    8. 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).
    9. Shameen Prashantham & Mark P. Healey, 2022. "Strategy as Practice Research: Reflections on its Rationale, Approach, and Contributions," Journal of Management Studies, Wiley Blackwell, vol. 59(8), pages 1-17, December.
    10. Eero Vaara & Laura Fritsch, 2022. "Strategy as language and communication: Theoretical and methodological advances and avenues for the future in strategy process and practice research," Strategic Management Journal, Wiley Blackwell, vol. 43(6), pages 1170-1181, June.
    11. Virpi Sorsa & Eero Vaara, 2020. "How Can Pluralistic Organizations Proceed with Strategic Change? A Processual Account of Rhetorical Contestation, Convergence, and Partial Agreement in a Nordic City Organization," Organization Science, INFORMS, vol. 31(4), pages 839-864, July.
    12. 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.
    13. Huikkola, Tuomas & Kohtamäki, Marko & Ylimäki, Juho, 2022. "Becoming a smart solution provider: Reconfiguring a product manufacturer's strategic capabilities and processes to facilitate business model innovation," Technovation, Elsevier, vol. 118(C).
    14. 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).
    15. Yong Chen & Zhengjie Wu & Wenchao Yi & Bingjia Wang & Jianhua Yao & Zhi Pei & Jiaoliao Chen, 2022. "Bibliometric Method for Manufacturing Servitization: A Review and Future Research Directions," Sustainability, MDPI, vol. 14(14), pages 1-26, July.
    16. 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.
    17. Jovanovic, Marin & Sjödin, David & Parida, Vinit, 2022. "Co-evolution of platform architecture, platform services, and platform governance: Expanding the platform value of industrial digital platforms," Technovation, Elsevier, vol. 118(C).
    18. Leonardo Lemos da Silveira Santos & César Tureta & Bruno Felix, 2021. "A Qualitative Method Proposal for the Study of Strategy as Practice," RAC - Revista de Administração Contemporânea (Journal of Contemporary Administration), ANPAD - Associação Nacional de Pós-Graduação e Pesquisa em Administração, vol. 25(2), pages 190353-1903.
    19. Linus Thomson & Anmar Kamalaldin & David Sjödin & Vinit Parida, 2022. "A maturity framework for autonomous solutions in manufacturing firms: The interplay of technology, ecosystem, and business model," International Entrepreneurship and Management Journal, Springer, vol. 18(1), pages 125-152, March.
    20. 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).

    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:jbrese:v:137:y:2021:i:c:p:379-392. 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.elsevier.com/locate/jbusres .

    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.