Barriers analysis for customer resource contribution in value co-creation for service industry using interpretive structural modeling

Abstract

Purpose Co-creating services with the customer has recently appeared as an alternative strategy to achieve competitive advantage. Developing and sustaining a gainful experience requires sharing of knowledge, skills and resources between the firm and its customers. Managing value co-creation throws substantial challenge and difficulties. This study aims to investigate the barriers to customer resource contribution in value co-creation in service industries and find their interrelationships for developing an effective management framework for removal of those barriers. Design/methodology/approach A systematic literature review led to the identification of 26 barriers, which were further confirmed through expert opinion. The study used interpretative structural modeling (ISM) approach and Matrice d’Impacts croises-multipication applique (MICMAC), for analyzing the contextual relationships and develop a hierarchical model of the barriers. Findings ISM approach led to the development of a 13-level structural model. The barriers were further classified into autonomous, driver, linkage and dependent barriers using the MICMAC analysis. The framework offers a means to fulfill the expectations of the customers, thus leading to successful integration of the customer in the value creation process. Removal of the barriers has also been discussed. Practical implications The framework provides a direction and a tool to meet the expectations of the customers and lead to successful integration of the customer. Originality/value The study addresses a gap in the literature for the need of a structured framework for managing the value co-creation process in the service industry