The role of Internet of Things (IoT) technologies for individualisation and service quality of a PSS

Nowadays, product manufacturers are compelled to increasingly becoming Product Service System (PSS) providers for surviving and managing the increased global competition. 20% of the enterprises have already integrated services in their product offerings. Meanwhile, the Internet of Things (IoT) is expected to grow significantly in the next years. Smart products are growing fast and are expected to reach 212 billion entities at the end of 2020. From an economic point of view, it is estimated that the impact of IoT is in a range of $2.7 to $6.2 trillion by 2025. IoT is surely an enabler of PSSs, allowing the collection and sharing of vast quantities of information along the whole solution life. This article aims to evaluate the impact that IoT technologies can have on the PSS provision when aiming at the satisfaction of highly diverting customer needs. Particularly, the analysis considers three dimensions: the typology of services enabled, the customization approach enabled, and the service quality gaps disclosed by IoT. By means of multiple use cases, the authors found out that IoT technologies have a huge impact on the different phases of the whole PSS lifecycle. Several advantages were detected for the different stakeholders involved in terms of both service efficiency and effectiveness. Based on these results, the strategic contact points to cope with possible trade-offs between the PSS individualization approach and its service quality are proposed.

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