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Service-Dominant Business Model Design for Digital Innovation in Smart Mobility

Author

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  • Oktay Turetken

    (Eindhoven University of Technology)

  • Paul Grefen

    (Eindhoven University of Technology)

  • Rick Gilsing

    (Eindhoven University of Technology)

  • O. Ege Adali

    (Eindhoven University of Technology)

Abstract

In many business domains, rapid changes have occurred as a consequence of digital innovation, i.e., the application of novel information technologies to achieve specific business goals. A domain where digital innovation has great potential is smart mobility, which aims at moving around large sets of people and goods in a specific geographic setting in an efficient and effective way. So far, many innovations in this domain have concentrated on relatively isolated, technology-driven developments, such as smart route planning for individual travelers. Nice as they are, they have relatively small impact on mobility on a large scale. To achieve substantial digital innovations – for example, optimizing commuting on a city-scale – it is necessary to align the efforts and related values of a spectrum of stakeholders that need to collaborate in a common business model. To this aim, the study proposes the use of service-dominant business logic, which emphasizes the interaction of value network partners as they co-create value through collaborative processes. Moving to this paradigm has significant implications on the way business is done: the business requirements for services will change faster, and the complexity of value networks required to meet these requirements will increase further. This requires new approaches to business engineering that are grounded in the premises of service-dominant logic. The paper introduces the service-dominant business model radar (SDBM/R) as an integral component of a business engineering framework. Following a design science approach, the SDBM/R has been developed in close collaboration with industry experts and evaluated through an extensive series of hands-on workshops with industry professionals from several business domains. This paper focuses on the application and evaluation in the smart mobility domain, addressing the design of new business models for digital innovation of collaborative transport of people and goods. In summary, it contributes a novel business design approach that has an academic background and relevant practical embedding.

Suggested Citation

  • Oktay Turetken & Paul Grefen & Rick Gilsing & O. Ege Adali, 2019. "Service-Dominant Business Model Design for Digital Innovation in Smart Mobility," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 61(1), pages 9-29, February.
    • Handle: RePEc:spr:binfse:v:61:y:2019:i:1:d:10.1007_s12599-018-0565-x
    DOI: 10.1007/s12599-018-0565-x
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    References listed on IDEAS

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    2. Paola Lara Machado & Montijn Ven & Banu Aysolmaz & Oktay Turetken & Jan Brocke, 2024. "Navigating Business Model Redesign: The Compass Method for Identifying Changes to the Operating Model," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 66(5), pages 607-638, October.
    3. Schulz, Thomas & Zimmermann, Sina & Böhm, Markus & Gewald, Heiko & Krcmar, Helmut, 2021. "Value co-creation and co-destruction in service ecosystems: The case of the Reach Now app," Technological Forecasting and Social Change, Elsevier, vol. 170(C).
    4. Elnert Coenegrachts & Joris Beckers & Thierry Vanelslander & Ann Verhetsel, 2021. "Business Model Blueprints for the Shared Mobility Hub Network," Sustainability, MDPI, vol. 13(12), pages 1-24, June.
    5. Maximilian Bock & Martin Wiener & Carol Saunders, 2023. "Non-ownership business models in the manufacturing industry: Uncertainty-exploiting versus uncertainty-mitigating designs and the role of context factors," Electronic Markets, Springer;IIM University of St. Gallen, vol. 33(1), pages 1-18, December.
    6. Thomas Schulz & Heiko Gewald & Markus Böhm & Helmut Krcmar, 2023. "Smart Mobility: Contradictions in Value Co-Creation," Information Systems Frontiers, Springer, vol. 25(3), pages 1125-1145, June.
    7. Theresa Eckert & Stefan Hüsig, 2022. "Innovation portfolio management: a systematic review and research agenda in regards to digital service innovations," Management Review Quarterly, Springer, vol. 72(1), pages 187-230, February.
    8. Paulo Antonio Maldonado Silveira Alonso Munhoz & Fabricio da Costa Dias & Christine Kowal Chinelli & André Luis Azevedo Guedes & João Alberto Neves dos Santos & Wainer da Silveira e Silva & Carlos Alb, 2020. "Smart Mobility: The Main Drivers for Increasing the Intelligence of Urban Mobility," Sustainability, MDPI, vol. 12(24), pages 1-25, December.
    9. Hien Nguyen Ngoc & Ganix Lasa & Ion Iriarte, 2022. "Human-centred design in industry 4.0: case study review and opportunities for future research," Journal of Intelligent Manufacturing, Springer, vol. 33(1), pages 35-76, January.
    10. Ku, Edward C.S., 2022. "Developing business process agility: Evidence from inter-organizational information systems of airlines and travel agencies," Journal of Air Transport Management, Elsevier, vol. 103(C).
    11. Thomas Schulz & Markus Böhm & Heiko Gewald & Helmut Krcmar, 2021. "Smart mobility – an analysis of potential customers’ preference structures," Electronic Markets, Springer;IIM University of St. Gallen, vol. 31(1), pages 105-124, March.
    12. Lei Shen & Xi Zhang & Hongda Liu, 2022. "Digital technology adoption, digital dynamic capability, and digital transformation performance of textile industry: Moderating role of digital innovation orientation," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(6), pages 2038-2054, September.

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