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Servitization The increased importance of the service sector in industrialized economies is undeniable. Manufacturers discover ‘services’ as profitable and stable revenue streams, that protect against the effects of commoditization of products. And even give spin off in selling more products.Nevertheless services are a different ball game than the traditional product based business, including the product based break fix services. So value creation via services – i.c. Servitization – is the transformation process that descents from the paradox of profiting from services in a new business domain, without creating complexity that destroys value.
Productization These days OEMs intensify their core competence focus and outsource at a higher level: from subcontracting to build to business sourcing. Therefore chain collaboration becomes vital and suppliers should grow from Built-to-Print manufacturer towards Built-to-Roadmap partner. This chain transformation is called Productization.Together with Brainport Industries and BOM we assessed this transformation in the high and medium tech sector and elaborated a Productization Transformation Roadmap, applicable for suppliers as well as OEMs.