Skip to main content

Research Repository

Advanced Search

The impact of the Internet of Things (IoT) on Servitization: An exploration of changing supply relationships

Boehmer, Julius H.; Shukla, Manish; Kapletia, Dharm; Tiwari, Manoj Kumar

The impact of the Internet of Things (IoT) on Servitization: An exploration of changing supply relationships Thumbnail


Authors

Julius H. Boehmer

Dharm Kapletia

Manoj Kumar Tiwari



Abstract

This research paper explores the emerging potential of IoT technology as an enabler for manufacturers seeking to exploit opportunities for new production, business and operating models. Following an analysis of extant literature and exploration of four in-depth cases, the paper presents four dominant pathways to servitizing the business model through IoT implementation. This first finding is extended in the cross-case analysis, through a categorization of cases into the four pathways, comparing different levels of supplier integration and information exchange. Using this data and categorizations, the paper arrives at certain theoretical propositions regarding the wider impact of IoT technology implementation on information exchange and relational rents through self-enforcing safeguards, risk and financial incentive sharing and lastly transaction cost economics. These propositions lead to the recommendation for suppliers to adopt a servitization pathway of ‘operational service’ models, in order to reap maximum competitive benefit and return on specific investments. This suggests a dependence on the servitization pathway chosen by the supplier, implying that there is no single solution to deal with buyer-supplier relationships in IoT servitization environments.

Citation

Boehmer, J. H., Shukla, M., Kapletia, D., & Tiwari, M. K. (2020). The impact of the Internet of Things (IoT) on Servitization: An exploration of changing supply relationships. Production Planning and Control, 31(2-3), 203-219. https://doi.org/10.1080/09537287.2019.1631465

Journal Article Type Article
Acceptance Date Oct 3, 2018
Online Publication Date Dec 3, 2019
Publication Date 2020
Deposit Date Oct 16, 2018
Publicly Available Date Mar 29, 2024
Journal Production Planning and Control
Print ISSN 0953-7287
Electronic ISSN 1366-5871
Publisher Taylor and Francis Group
Peer Reviewed Peer Reviewed
Volume 31
Issue 2-3
Pages 203-219
DOI https://doi.org/10.1080/09537287.2019.1631465
Public URL https://durham-repository.worktribe.com/output/1345504

Files





You might also like



Downloadable Citations