A service science framework to enhance value creation in service innovation projects. An RFID case study

This paper describes an IT-driven service innovation with an in-depth case study. The case study shows the different stages of RFID implementation in the jewellery supply chain of a retailer including all stakeholders. Based on a review of the literature on service engineering, information systems and management, we propose a framework to enhance IT-driven service innovation. Service science lacks procedures, methods and tools for developing new services. The main contributions of this paper lie in proposing a framework that supports service innovation in an IT-driven case. We illustrate our framework with an in-depth case study and infer lessons that can be useful to managers who wish to duplicate IT-driven service innovation for RFID technology. This framework includes both strategic and operational dimensions to help managers anticipate key challenges and pitfalls in service innovation projects.

[1]  Munir Mandviwalla,et al.  Integrating the Supply Chain with RFID: A Technical and Business Analysis , 2005, Commun. Assoc. Inf. Syst..

[2]  Stéphane Dauzère-Pérès,et al.  A literature review on the impact of RFID technologies on supply chain management , 2010 .

[3]  J. Schumpeter.  The Theory of Economic Development: An Inquiry into Profits, Capital, Credit, Interest, and the Business Cycle , 1934 .

[4]  Izak Benbasat,et al.  Factors That Influence the Social Dimension of Alignment Between Business and Information Technology Objectives , 2000, MIS Q..

[5]  Umit S. Bititci,et al.  A metric for collaborative networks , 2008, Bus. Process. Manag. J..

[6]  R. Yin.  Case Study Research: Design and Methods , 1984 .

[7]  Yuliang Yao,et al.  Supply chain integration in vendor-managed inventory , 2007, Decis. Support Syst..

[8]  Blaize Horner Reich,et al.  IT alignment: what have we learned? , 2007, J. Inf. Technol..

[9]  R. Spear.  Discussion paper 1 , 2012 .

[10]  Sunder Kekre,et al.  Business Value of Information Technology: A Study of Electronic Data Interchange , 1995, MIS Q..

[11]  Petra Schubert,et al.  B2B integration in global supply chains: An identification of technical integration scenarios , 2011, J. Strateg. Inf. Syst..

[12]  R. Paton,et al.  Services innovation:: Knowledge transfer and the supply chain , 2008 .

[13]  Alexander Hars,et al.  Web Based Knowledge Infrastructures for the Sciences: An Adaptive Document , 2000, Commun. Assoc. Inf. Syst..

[14]  Marshall L. Fisher,et al.  Supply Chain Inventory Management and the Value of Shared Information , 2000 .

[15]  Nicholas Dew,et al.  When is RFID right for your service , 2010 .

[16]  F. Gallouj,et al.  Innovation in services: a review of the debate and a research agenda , 2009 .

[17]  Stephen L. Vargo,et al.  Competing through service: Insights from service-dominant logic , 2007 .

[18]  M. Attaran.  RFID: an enabler of supply chain operations , 2007 .

[19]  Jan Olhager,et al.  Supply chain integration and performance: The effects of long-term relationships, information technology and sharing, and logistics integration , 2012 .

[20]  Angappa Gunasekaran,et al.  Information technology and systems justification: A review for research and applications , 2006, Eur. J. Oper. Res..

[21]  Irene C. L. Ng,et al.  Outcome-based contracts as a driver for systems thinking and service-dominant logic in service science: evidence from the defence industry , 2009 .

[22]  Caneel K. Joyce,et al.  Innovation in Services: Corporate Culture and Investment Banking , 2007 .

[23]  P. Vermeulen,et al.  Organizing successful new service development: a literature review , 2003 .

[24]  Hamideh Afsarmanesh,et al.  Collaborative networked organizations - Concepts and practice in manufacturing enterprises , 2009, Comput. Ind. Eng..

[25]  Claudia Löbbecke,et al.  Piloting RFID Along the Supply Chain: A Case Analysis , 2007, Electron. Mark..

[26]  Andy Neely,et al.  Beyond words: testing alignment among inter-organizational performance measures , 2010 .

[27]  Jörg Becker,et al.  A model based approach for calculating the process driven business value of RFID investments , 2010 .

[28]  Akemi Takeoka Chatfield,et al.  A contingency model for creating value from RFID supply chain network projects in logistics and manufacturing environments , 2009, Eur. J. Inf. Syst..

[29]  Ygal Bendavid,et al.  Key performance indicators for the evaluation of RFID-enabled B-to-B e-commerce applications: the case of a five-layer supply chain , 2009, Inf. Syst. E Bus. Manag..

[30]  G. Neubert,et al.  Inter-organisational alignment to enhance information technology (IT) driven services innovation in a supply chain: the case of radio frequency identification (RFID) , 2011, Int. J. Comput. Integr. Manuf..

[31]  Robert J. Kauffman,et al.  An Interdisciplinary Perspective on IT Services Management and Service Science , 2010, J. Manag. Inf. Syst..

[32]  Ygal Bendavid,et al.  Exploring the impact of RFID technology and the EPC network on mobile B2B eCommerce: A case study in the retail industry , 2008 .

[33]  Hamideh Afsarmanesh,et al.  Collaborative networks: a new scientific discipline , 2005, J. Intell. Manuf..

[34]  Rahul C. Basole,et al.  Complexity of service value networks: Conceptualization and empirical investigation , 2008, IBM Syst. J..

[35]  T. Meiren,et al.  Service engineering—methodical development of new service products , 2003 .

[36]  Gary D. Scudder,et al.  Supply chain coordination using EDI with performance implications , 2010, Int. J. Manuf. Technol. Manag..

[37]  D. Delen,et al.  RFID for Better Supply‐Chain Management through Enhanced Information Visibility , 2007 .

[38]  Fred Niederman,et al.  Examining RFID applications in supply chain management , 2007, CACM.

[39]  Wei Zhou,et al.  RFID and item-level information visibility , 2009, Eur. J. Oper. Res..

[40]  B. Kogut.  The network as knowledge : Generative rules and the emergence of structure , 2000 .

[41]  John C. Henderson,et al.  Strategic Alignment: Leveraging Information Technology for Transforming Organizations , 1999, IBM Syst. J..

[42]  Samuel Fosso Wamba,et al.  Integrating RFID Technology and EPC Network into a B2B Retail Supply Chain: A Step Toward Intelligent Business Processes , 2007 .

[43]  Stephen L. Vargo,et al.  Evolving to a New Dominant Logic for Marketing , 2004 .

[44]  Jerry N. Luftman,et al.  IT-Business Strategic Alignment Maturity: A Case Study , 2005, J. Cases Inf. Technol..

[45]  R. Gulati.  Does Familiarity Breed Trust? The Implications of Repeated Ties for Contractual Choice in Alliances , 1995 .

[46]  Steve Evans,et al.  Succeeding through service innovation : a service perspective for education, research, business and government , 2008 .

[47]  David E. Avison,et al.  Using and validating the strategic alignment model , 2004, J. Strateg. Inf. Syst..

[48]  Laurie J. Kirsch,et al.  Deploying Common Systems Globally: The Dynamics of Control , 2004, Inf. Syst. Res..

[49]  James C. Spohrer,et al.  A research manifesto for services science , 2006, CACM.

[50]  B. Borys,et al.  Hybrid Arrangements as Strategic Alliances: Theoretical Issues in Organizational Combinations , 1989 .

[51]  M. Porter.  Competitive Advantage: Creating and Sustaining Superior Performance , 1985 .

[52]  Simon Véronneau,et al.  RFID benefits, costs, and possibilities: The economical analysis of RFID deployment in a cruise corporation global service supply chain , 2009 .

[53]  Fan-Yun Pai,et al.  Evaluating the business value of RFID: Evidence from five case studies , 2008 .

[54]  Rebecca Angeles,et al.  Rfid Technologies: Supply-Chain Applications and Implementation Issues , 2004, Inf. Syst. Manag..

[55]  Paul P. Maglio,et al.  Steps Toward a Science of Service Systems , 2007, Computer.

[56]  Jerry R. Sheehan.  Understanding service sector innovation , 2006, CACM.

[57]  May Tajima.  Strategic value of RFID in supply chain management , 2007 .

[58]  C. Prahalad,et al.  Co-creation experiences: The next practice in value creation , 2004 .

[59]  Hal R. Varian,et al.  Information rules - a strategic guide to the network economy , 1999 .

[60]  Kay M. Nelson,et al.  International Conference on Information Systems ( ICIS ) 1993 THE CONTRIBUTION OF SHARED KNOWLEDGE TO IS GROUP PERFORMANCE , 2017 .

[61]  Markku Kivikoski,et al.  Effects of size and shape of metallic objects on performance of passive radio frequency identification , 2006 .

[62]  Pedro M. Reyes,et al.  RFID in the contemporary supply chain: multiple perspectives on its benefits and risks , 2008 .

[63]  P. Maglio,et al.  The Emergence of Service Science: Toward Systematic Service Innovations to Accelerate Co‐Creation of Value , 2008 .

[64]  Risto Rajala,et al.  Service Innovation Myopia? A New Recipe for Client-Provider Value Creation , 2008 .

[65]  J. Kandampully.  Innovation as the core competency of a service organisation: the role of technology, knowledge and networks , 2002 .