THE ROLE OF THE INTERNET OF THINGS FROM A SERVITIZATION PERSPECTIVE. Opportunities and challenges for the implementation of Product-Service Systems. A multiple case study.

Abstract: This research explores how the Internet of Things (IoT) might affect and provide advantages in the servitization shift of manufacturing companies. In particular, it inquires the role IoT is able to play for the implementation of offers based on the integration of products and services, or Product- Service-Systems (PSS). These kind of “servitized” offers have been identified, classified and related to IoT possibilities. Furthermore, through a multiple case study, different companies operating in dissimilar industries, which employ IoT in their product portfolios, have been selected, analyzed and compared, in order to generate theory through an inductive approach. The research demonstrates that IoT is a catalyst for the servitization and an enabler for the PSS implementation, as it allows companies to trigger different kinds of bundles of product-service offerings. In doing this, the paper provides practical and detailed opportunities and challenges related to the integration of IoT possibilities in the value proposition of different business portfolios. The presented IoT-driven possibilities can be explored to ameliorate the offer of manufacturers, that can move one step ahead from the competition by developing customer-focused, responsive and/or predictive service opportunities.