The usefulness of componentization for specialized public service providers

Abstract

Purpose – Componentization is a common approach in manufacturing that is suggested to lead to increased innovativeness at the firm level. Componentization has recently been given attention as a relevant approach for service providers. However, due to differences between services and manufactured products, and due to the diversity of the service sector, it is not obvious to what degree the application of componentization is relevant for all service providers. The purpose of this paper is to explore the usefulness of componentization for specialized service providers in the public sector. Design/methodology/approach – The paper applies an interventionist research design, in which the componentization approach is implemented in one case organization. Findings – The paper finds that componentization increases the service orientation of specialized public sector organizations (PSOs) and improves the ability of the top management to manage and control specialized PSOs. Perhaps most importantly, the paper determines that componentization represents a foundation and a baseline for identifying service innovation ideas in specialized PSOs. Practical implications – The practical experiences reported in the paper may provide guidance to managers of specialized service providers who are seeking for ways to increase the efficiency, flexibility, and innovativeness of their organization. Originality/value – By empirically testing and evaluating a componentization approach, the paper contributes to the knowledge base of how componentization increases the efficiency, flexibility, and innovativeness of specialized service providers. In addition, the paper demonstrates that the application of an interventionist research approach may be useful when the research aims to develop, adopt, or evaluate new service management methodologies.