Servitization and deservitization: Overview,concepts, and definitions |
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| Institution: | 1. Department of Management and Engineering, Linköping University, SE-581 83 Linköping, Sweden;2. Department of Marketing, CERS – Centre for Relationship Marketing and Service Management, Hanken School of Economics, PO Box 479, FIN-00101 Helsinki, Finland;3. Eawag (Swiss Federal Institute of Aquatic Research), Überlandstrasse 133, 8600 Dübendorf, Switzerland;4. Orkestra-Fundación Deusto, Kalea Mundaiz 50, E-20012 Donostia/San Sebastian, Spain;5. Louvain School of Management, Université Catholique Louvain-la-Neuve, Centre des PMEs, 1, Place de l''Université, B-1348 Louvain-la-Neuve, Belgium;6. Department of Strategy and Operations Management, Faculty of Business and Law, UWE, Bristol BS16 1QY, UK;7. Deusto Business School, Universidad de Deusto, Av. de las Universidades, 24, E-48007 Bilbao, Spain |
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| Abstract: | The topic of servitization has generated a considerable body of research and many conferences, as well as industry engagement. Yet, despite the extensive literature associated with this now-mature discipline, there is no broad-based consensus on the core concepts and definitions deployed by servitization scholars, and both terminology and usage often seem ambiguous. This paper examines challenges related to service growth strategies, as well as strategies involving deservitization or a retreat from service offerings. Showing that these strategies have been pursued for more than fifty years, clarification is sought here by framing the corresponding processes and proposing definitions for four core terms: servitization, service infusion, deservitization and service dilution. It becomes clear that in focusing on the organizational change entailed by these processes, future research must elucidate “softer” issues such as leadership and business logic. |
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