Research background

Traditionally, manufacturing strategy has been developed on a basis of production and operations management. However, changes in the market situation and more sophisticated customers push the companies in the manufacturing sector to look beyond operations management. Some manufacturing firms, who were traditionally recognised as a mass-producer, extend their business area, and some focus on their core capabilities and become a specialised expert in one area.

As one of means, this report pays special attention to the service provision in highly advanced manufacturing firms. It has been said that the traditional boundary between manufacturing and service blurred. Even so, how the service provision is managed and developed in manufacturing firms and what manufacturing firms can (expect to) gain by providing services are not clear.

Main questions

• How is service strategy developed and implemented in manufacturing firms?
• What is the impact on the firm’s performance?

Aim

• To understand and investigate service strategy development and implementation process in manufacturing firms
• To investigate the impact of service strategy on a firm’s performance
• To develop a framework illustrating a concept of services strategy, which can assist managers in planning the development of services with their products

Objectives

• To identify the types of services provided by manufacturing firms
• To investigate the position of service strategy in a company’s strategy formulation process
• To examine a full process of service strategy from development, implementation, measurement, to maintenance and update
• To study objectives or motivations of each service strategy
• To determine the elements of performance that can be influenced by service strategy
• To investigate the impact of service strategy on a firm’s performance

Benefits

Research Partners benefit from early feedback on research results; a more in-depth understanding of this important area; and therefore the opportunity to further develop their services in the short term.

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