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“State-of-the-art in product-service systems”

“State-of-the-art in product-service systems”. Baines et. al. 2007 Presentation by: Aisling Silke. What is PSS?. PSS = Product Service Systems These systems attempt to shift from the traditional ‘sale of product’ method to a ‘sale of use’ or ‘sale of service’ method.

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“State-of-the-art in product-service systems”

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  1. “State-of-the-art in product-service systems” Baines et. al. 2007 Presentation by: AislingSilke

  2. What is PSS? • PSS = Product Service Systems • These systems attempt to shift from the traditional ‘sale of product’ method to a ‘sale of use’ or ‘sale of service’ method. • The customer pays for using an asset, rather than its purchase. • “Ownerless Consumption: “The customer does not gain ownership of the asset, the ownership responsibilities remain with the manufacturer.”

  3. How do PSS work? • Bridges the gap between products and services. • The customer is paying for the service the product provides, as opposed to paying for the product itself. • Manufacturer remains responsible for maintenance, servicing, repairing item during use-phase. • Responsibility continues through after the use-phase also. • The manufacturer must recycle/refurbish/remanufacture the product after the consumer has ceased using the service it provides.

  4. Types of PSS • Product-oriented PSS • Product is sold in conventional manner and additional after-sales service is provided. Customers are trained in how to best use the product. • Use-oriented PSS • The manufacturer sells the “use of availability of a product that is not owned by the customer (e.g. leasing, sharing).” This method motivates the manufacturer to maximise the use of the product. • Result-oriented PSS (The optimum type of PSS) • “Companies offer a customized mix of services where the producer maintains ownership of the product and the customer pays only for the provision of agreed results.”

  5. Are PSS more sustainable? • Reduction in materials and manufacturing energy • “The PSS logic is premised on utilizing the knowledge of the designer-manufacturer to both increase value as an output and decrease material and other costs as an input to a system.” • When the manufacturer is responsible for the ‘take-back’, recycling and refurbishment of the product, it entices them to aim for a closed-loop system where they extract all recyclable materials from the products for reuse in future manufacturing.

  6. Can we apply PSS in the ICT sector? • YES! • Hardware and software systems • Database sharing • Printers and Photocopiers • Strengthened customer service; after-care, maintenance etc • Lease or rent products and/ or their services to customers • Regain the competitive edge in the market

  7. Thank you for listening • Any questions? • Baines et. Al. “State-of-the-art product-service systems.” Proceedings of the Institution of Mechanical Engineers, Part B; Journal of Engineering Manufacture. Sage, London. (2007).

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