IDEAS home Printed from https://ideas.repec.org/a/spr/rvmgts/v19y2025i7d10.1007_s11846-024-00757-x.html
   My bibliography  Save this article

Artificial intelligence enabled product–service innovation: past achievements and future directions

Author

Listed:
  • Rimsha Naeem

    (University of Vaasa, School of Management)

  • Marko Kohtamäki

    (University of Vaasa, School of Management)

  • Vinit Parida

    (Luleå University of Technology, Entrepreneurship & Innovation)

Abstract

This study intends to scrutinize the role of Artificial Intelligence (AI) in Product-Service Innovation (PSI). The literature on AI enabled PSI, other related innovation business models, product-service systems, and servitization has grown significantly since 2018; therefore, there is a need to structure the literature in a systematic manner and add to what has been studied thus far. Product-service innovation is used to represent the relevance of achieving innovation in business models dealing with innovation outcomes including artificial intelligence. This study used bibliographic coupling to analyze 159 articles emerging from the fields of computer sciences, engineering, social sciences, decision sciences, and management. This review depicts structures of the literature comprising five (5) clusters, namely, (1) technology adoption and transformational barriers, which depicts the barriers faced during the adoption of AI-enabled technologies and following transformation; (2) data-driven capabilities and innovation, which highlights the data-based capabilities supported through AI and innovation; (3) digitally enabled business model innovation, which explained how AI-enabled business model innovation occurs; (4) smart design changes and sustainability, which reveals the working of AI in product service environments with different design changes and transformations based on sustainability; and (5) sectorial application, which highlights industry examples. Each cluster is comprehensively analyzed based on its contents, including central themes, models, theories, and methodologies, which help to identify the gaps and support suggestions for future research directions.

Suggested Citation

  • Rimsha Naeem & Marko Kohtamäki & Vinit Parida, 2025. "Artificial intelligence enabled product–service innovation: past achievements and future directions," Review of Managerial Science, Springer, vol. 19(7), pages 2149-2192, July.
    • Handle: RePEc:spr:rvmgts:v:19:y:2025:i:7:d:10.1007_s11846-024-00757-x
    DOI: 10.1007/s11846-024-00757-x
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11846-024-00757-x
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s11846-024-00757-x?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

    for a different version of it.

    References listed on IDEAS

    as
    1. Eugene Cheng-Xi Aw & Tao Zha & Stephanie Hui-Wen Chuah, 2023. "My new financial companion! non-linear understanding of Robo-advisory service acceptance," The Service Industries Journal, Taylor & Francis Journals, vol. 43(3-4), pages 185-212, March.
    2. 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.
    3. Sascha Kraus & Ricarda B. Bouncken & Alba Yela Aránega, 2024. "The burgeoning role of literature review articles in management research: an introduction and outlook," Review of Managerial Science, Springer, vol. 18(2), pages 299-314, February.
    4. Marc Kohler & Niels Feldmann & Steven O. Kimbrough & Hansjörg Fromm, 2014. "Service Innovation Analytics: Leveraging Existing Unstructured Data to Assess Service Innovation Capability," International Journal of Information System Modeling and Design (IJISMD), IGI Global Scientific Publishing, vol. 5(2), pages 1-21, April.
    5. Goodell, John W. & Kumar, Satish & Lim, Weng Marc & Pattnaik, Debidutta, 2021. "Artificial intelligence and machine learning in finance: Identifying foundations, themes, and research clusters from bibliometric analysis," Journal of Behavioral and Experimental Finance, Elsevier, vol. 32(C).
    6. Jin, Byoungho Ellie & Shin, Daeun Chloe, 2020. "Changing the game to compete: Innovations in the fashion retail industry from the disruptive business model," Business Horizons, Elsevier, vol. 63(3), pages 301-311.
    7. P. Kumar & S.K. Sharma & Vincent Dutot, 2023. "Artificial Intelligence (AI)-Enabled CRM Capability in Healthcare: The Impact on Service Innovation," Post-Print hal-04292614, HAL.
    8. Mónica Santana & Mirta Díaz-Fernández, 2023. "Competencies for the artificial intelligence age: visualisation of the state of the art and future perspectives," Review of Managerial Science, Springer, vol. 17(6), pages 1971-2004, August.
    9. Philipp C. Sauer & Stefan Seuring, 2023. "How to conduct systematic literature reviews in management research: a guide in 6 steps and 14 decisions," Review of Managerial Science, Springer, vol. 17(5), pages 1899-1933, July.
    10. Farsi, Maryam & Erkoyuncu, John Ahmet, 2021. "An agent-based approach to quantify the uncertainty in Product-Service System contract decisions: A case study in the machine tool industry," International Journal of Production Economics, Elsevier, vol. 233(C).
    11. Zuoxu Wang & Chun-Hsien Chen & Pai Zheng & Xinyu Li & Li Pheng Khoo, 2021. "A graph-based context-aware requirement elicitation approach in smart product-service systems," International Journal of Production Research, Taylor & Francis Journals, vol. 59(2), pages 635-651, January.
    12. Sjödin, David & Parida, Vinit & Palmié, Maximilian & Wincent, Joakim, 2021. "How AI capabilities enable business model innovation: Scaling AI through co-evolutionary processes and feedback loops," Journal of Business Research, Elsevier, vol. 134(C), pages 574-587.
    13. Ricarda B. Bouncken & Sascha Kraus & Norat Roig-Tierno, 2021. "Knowledge- and innovation-based business models for future growth: digitalized business models and portfolio considerations," Review of Managerial Science, Springer, vol. 15(1), pages 1-14, January.
    14. Vendrell-Herrero, Ferran & Bustinza, Oscar F. & Opazo-Basaez, Marco, 2021. "Information technologies and product-service innovation: The moderating role of service R&D team structure," Journal of Business Research, Elsevier, vol. 128(C), pages 673-687.
    15. Xu, Xinhan & Chen, Xiangfeng & Jia, Fu & Brown, Steve & Gong, Yu & Xu, Yifan, 2018. "Supply chain finance: A systematic literature review and bibliometric analysis," International Journal of Production Economics, Elsevier, vol. 204(C), pages 160-173.
    16. Nicolas Haber & Mario Fargnoli, 2020. "The management of customer requirements in a product-service system context: a case study in the medical equipment sector," International Journal of Services and Operations Management, Inderscience Enterprises Ltd, vol. 37(2), pages 145-169.
    17. Andrejs Čirjevskis, 2022. "Exploring Coupled Open Innovation for Digital Servitization in Grocery Retail: From Digital Dynamic Capabilities Perspective," JRFM, MDPI, vol. 15(9), pages 1-12, September.
    18. Josef Åström & Wiebke Reim & Vinit Parida, 2022. "Value creation and value capture for AI business model innovation: a three-phase process framework," Review of Managerial Science, Springer, vol. 16(7), pages 2111-2133, October.
    19. Yoshiki Shimomura & Yutaro Nemoto & Takatoshi Ishii & Toshiyuki Nakamura, 2018. "A method for identifying customer orientations and requirements for product–service systems design," International Journal of Production Research, Taylor & Francis Journals, vol. 56(7), pages 2585-2595, April.
    20. Sascha Kraus & Raj V. Mahto & Steven T. Walsh, 2023. "The importance of literature reviews in small business and entrepreneurship research," Journal of Small Business Management, Taylor & Francis Journals, vol. 61(3), pages 1095-1106, May.
    21. 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.
    22. Henry Small, 1973. "Co‐citation in the scientific literature: A new measure of the relationship between two documents," Journal of the American Society for Information Science, Association for Information Science & Technology, vol. 24(4), pages 265-269, July.
    23. de Bellis, Emanuel & Venkataramani Johar, Gita, 2020. "Autonomous Shopping Systems: Identifying and Overcoming Barriers to Consumer Adoption," Journal of Retailing, Elsevier, vol. 96(1), pages 74-87.
    24. Teece, David J., 2018. "Profiting from innovation in the digital economy: Enabling technologies, standards, and licensing models in the wireless world," Research Policy, Elsevier, vol. 47(8), pages 1367-1387.
    25. Nora Nahr & Marikka Heikkilä, 2022. "Uncovering the identity of Electronic Markets research through text mining techniques," Electronic Markets, Springer;IIM University of St. Gallen, vol. 32(3), pages 1257-1277, September.
    26. Abou-Foul, Mohamad & Ruiz-Alba, Jose L. & López-Tenorio, Pablo J., 2023. "The impact of artificial intelligence capabilities on servitization: The moderating role of absorptive capacity-A dynamic capabilities perspective," Journal of Business Research, Elsevier, vol. 157(C).
    27. Eduard Anton & Thuy Duong Oesterreich & Julian Schuir & Leslie Protz & Frank Teuteberg, 2021. "A Business Model Taxonomy for Start-Ups in the Electric Power Industry — The Electrifying Effect of Artificial Intelligence on Business Model Innovation," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 18(03), pages 1-54, May.
    28. Chay Brooks & Cristian Gherhes & Tim Vorley, 2020. "Artificial intelligence in the legal sector: pressures and challenges of transformation," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 13(1), pages 135-152.
    29. Sascha Kraus & Matthias Breier & Sonia Dasí-Rodríguez, 2020. "The art of crafting a systematic literature review in entrepreneurship research," International Entrepreneurship and Management Journal, Springer, vol. 16(3), pages 1023-1042, September.
    30. Tseng, Ming-Lang & Wu, Kuo-Jui & Chiu, Anthony SF. & Lim, Ming K. & Tan, Kimhua, 2019. "Reprint of: Service innovation in sustainable product service systems: Improving performance under linguistic preferences," International Journal of Production Economics, Elsevier, vol. 217(C), pages 159-170.
    31. Burström, Thommie & Parida, Vinit & Lahti, Tom & Wincent, Joakim, 2021. "AI-enabled business-model innovation and transformation in industrial ecosystems: A framework, model and outline for further research," Journal of Business Research, Elsevier, vol. 127(C), pages 85-95.
    32. Mariani, Marcello M. & Machado, Isa & Nambisan, Satish, 2023. "Types of innovation and artificial intelligence: A systematic quantitative literature review and research agenda," Journal of Business Research, Elsevier, vol. 155(PB).
    33. Cosimo Barbieri & Mario Rapaccini & Federico Adrodegari & Nicola Saccani & Giulia Baccarin, 2021. "The Role of AI Platforms for the Servitization of Manufacturing Companies," Progress in IS, in: Shaun West & Jürg Meierhofer & Christopher Ganz (ed.), Smart Services Summit, pages 95-104, Springer.
    34. Hullova, Dusana & Laczko, Pavel & Frishammar, Johan, 2019. "Independent distributors in servitization: An assessment of key internal and ecosystem-related problems," Journal of Business Research, Elsevier, vol. 104(C), pages 422-437.
    35. Chen Yang & Jing Hu, 2022. "When do consumers prefer AI-enabled customer service? The interaction effect of brand personality and service provision type on brand attitudes and purchase intentions," Journal of Brand Management, Palgrave Macmillan, vol. 29(2), pages 167-189, March.
    36. Shleha, Waleed & Vaillant, Yancy & Vendrell-Herrero, Ferran, 2023. "Entry mode diversity and closing commercial deals with international customers: The moderating role of advanced servitization," International Business Review, Elsevier, vol. 32(1).
    37. Li, Feng, 2020. "The digital transformation of business models in the creative industries: A holistic framework and emerging trends," Technovation, Elsevier, vol. 92.
    38. Christian Janiesch & Patrick Zschech & Kai Heinrich, 2021. "Machine learning and deep learning," Electronic Markets, Springer;IIM University of St. Gallen, vol. 31(3), pages 685-695, September.
    39. Waltman, Ludo & van Eck, Nees Jan & Noyons, Ed C.M., 2010. "A unified approach to mapping and clustering of bibliometric networks," Journal of Informetrics, Elsevier, vol. 4(4), pages 629-635.
    40. 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.
    41. Shiau, Wen-Lung & Dwivedi, Yogesh K. & Yang, Han Suan, 2017. "Co-citation and cluster analyses of extant literature on social networks," International Journal of Information Management, Elsevier, vol. 37(5), pages 390-399.
    42. Kamalaldin, Anmar & Sjödin, David & Hullova, Dusana & Parida, Vinit, 2021. "Configuring ecosystem strategies for digitally enabled process innovation: A framework for equipment suppliers in the process industries," Technovation, Elsevier, vol. 105(C).
    Full references (including those not matched with items on IDEAS)

    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. 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).
    2. Ayala, Néstor Fabián & Rodrigues da Silva, Jassen & Cannarozzo Tinoco, Maria Auxiliadora & Saccani, Nicola & Frank, Alejandro G., 2025. "Artificial Intelligence capabilities in Digital Servitization: Identifying digital opportunities for different service types," International Journal of Production Economics, Elsevier, vol. 284(C).
    3. Jorzik, Philip & Klein, Sascha P. & Kanbach, Dominik K. & Kraus, Sascha, 2024. "AI-driven business model innovation: A systematic review and research agenda," Journal of Business Research, Elsevier, vol. 182(C).
    4. Liu, Zhiyang & Liu, Jianyi & Zhao, Chenfang & Qiu, Zhenyu, 2025. "Business model innovation in the age of metaverse," Technovation, Elsevier, vol. 143(C).
    5. 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).
    6. Thomas Brekke & Sambit Lenka & Marko Kohtamäki & Vinit Parida & Birgit Andrine Apenes Solem, 2024. "Overcoming barriers to transformation in manufacturing firms. A path-dependence perspective of digital servitization," Review of Managerial Science, Springer, vol. 18(2), pages 385-412, February.
    7. Abou-Foul, Mohamad & Ruiz-Alba, Jose L. & López-Tenorio, Pablo J., 2023. "The impact of artificial intelligence capabilities on servitization: The moderating role of absorptive capacity-A dynamic capabilities perspective," Journal of Business Research, Elsevier, vol. 157(C).
    8. Pietronudo, Maria Cristina & Croidieu, Grégoire & Schiavone, Francesco, 2022. "A solution looking for problems? A systematic literature review of the rationalizing influence of artificial intelligence on decision-making in innovation management," Technological Forecasting and Social Change, Elsevier, vol. 182(C).
    9. 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.
    10. Attah-Boakye, Rexford & Adams, Kweku & Hernandez-Perdomo, Elvis & Yu, Honglan & Johansson, Jeaneth, 2023. "Resource re-orchestration and firm survival in crisis periods: The role of business models of technology MNEs during COVID-19," Technovation, Elsevier, vol. 125(C).
    11. Shen, Lei & Shi, Qingyue & Parida, Vinit & Jovanovic, Marin, 2024. "Ecosystem orchestration practices for industrial firms: A qualitative meta-analysis, framework development and research agenda," Journal of Business Research, Elsevier, vol. 173(C).
    12. Satish Kumar & Weng Marc Lim & Riya Sureka & Charbel Jose Chiappetta Jabbour & Umesh Bamel, 2024. "Balanced scorecard: trends, developments, and future directions," Review of Managerial Science, Springer, vol. 18(8), pages 2397-2439, August.
    13. Håkon Osland Sandvik & David Sjödin & Thomas Brekke & Vinit Parida, 2022. "Inherent paradoxes in the shift to autonomous solutions provision: a multilevel investigation of the shipping industry," Service Business, Springer;Pan-Pacific Business Association, vol. 16(2), pages 227-255, June.
    14. Miehé, Lucas & Palmié, Maximilian & Oghazi, Pejvak, 2023. "Connection successfully established: How complementors use connectivity technologies to join existing ecosystems – Four archetype strategies from the mobility sector," Technovation, Elsevier, vol. 122(C).
    15. Sjödin, David & Parida, Vinit & Palmié, Maximilian & Wincent, Joakim, 2021. "How AI capabilities enable business model innovation: Scaling AI through co-evolutionary processes and feedback loops," Journal of Business Research, Elsevier, vol. 134(C), pages 574-587.
    16. Vendrell-Herrero, Ferran & Para-González, Lorena & Mascaraque-Ramírez, Carlos & Freixanet, Joan, 2024. "The order of the factors matters: How digital transformation and servitization integrate more efficiently," International Journal of Production Economics, Elsevier, vol. 271(C).
    17. Mariani, Marcello M. & Machado, Isa & Nambisan, Satish, 2023. "Types of innovation and artificial intelligence: A systematic quantitative literature review and research agenda," Journal of Business Research, Elsevier, vol. 155(PB).
    18. W. Shabeena Shah & Zakaria Elkhwesky & K. Mohamed Jasim & Esraa Fayez Youssif Elkhwesky & Fady Fayez Youssif Elkhwesky, 2024. "Artificial intelligence in healthcare services: past, present and future research directions," Review of Managerial Science, Springer, vol. 18(3), pages 941-963, March.
    19. Tachia Chin & Muhammad Waleed Ayub Ghouri & Jiyang Jin & Muhammet Deveci, 2024. "AI technologies affording the orchestration of ecosystem-based business models: the moderating role of AI knowledge spillover," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-13, December.
    20. Stefano D’Angelo & Angelo Cavallo & Antonio Ghezzi & Francesco Di Lorenzo, 2024. "Understanding corporate entrepreneurship in the digital age: a review and research agenda," Review of Managerial Science, Springer, vol. 18(12), pages 3719-3774, December.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;

    JEL classification:

    • M10 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - General
    • M20 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - General
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

    Statistics

    Access and download statistics

    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:spr:rvmgts:v:19:y:2025:i:7:d:10.1007_s11846-024-00757-x. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.