A Capability Model for Equipment-as-a-Service Adoption in Manufacturing Companies
Journal
Progress in IS
Type
conference paper
Date Issued
2021-06-26
Author(s)
Editor(s)
West, Shawn
Jürg Meierhofer
Thierry Bücheler
Abstract
In the light of digital transformation, manufacturing companies are challenged to rethink their business models as technologies, such as the Internet of Things (IoT), that allow innovative product and service offerings. Equipment-as-a-service (EaaS) is a business model that combines both the product and the services needed to maintain and operate the equipment in one offering, whereas the revenue model is based on the actual value (e.g. usage-based, availability-based, outcome-based) provided. Despite high practical relevance, little is known about the required capabilities to introduce and operate such models, as this phenomenon has just started to be explored. Addressing this gap, our study aspires to provide a first understanding of which capabilities are required for introducing and operating the EaaS business model. Based on the insights gathered from interviews with 18 executives from over 14 manufacturing companies that have introduced such offerings, we present a capability model for assessing the maturity needed to introduce and offer EaaS. While bridging the gap between theory and practice, we leveraged state-of-the-art knowledge to help manufacturing companies better understand where they find themselves concerning the capabilities required to introduce and operate the EaaS model.
Language
English
Keywords
Servitization
Business model
EaaS
Book title
Smart Services Summit.
Publisher
Springer
Publisher place
Cham
Start page
59
End page
71
Contact Email Address
thomas.friedli@unisg.ch