Comparing provider‐customer constellations of visibility‐based service

Abstract

PurposeThe purpose of this paper is to introduce a representation scheme that helps original equipment manufacturers and their customers choose between different constellations of visibility‐based service.Design/methodology/approachThe paper uses conceptual modeling and analysis of visibility‐based service infusion using demand‐supply chain representations.FindingsIn the context of service infusion, increased visibility refers to the improved tracking, retention, and sharing of evidence on which service requirements are based. A representation model of three distinct provider‐customer constellations is conceptualize that reflects specific types of visibility: collaborative service supply chain management: condition‐based maintenance as a service: and visibility‐based asset management. The representation is a useful tool for comparing manufacturers' optional service strategies from the perspective of the demand‐supply chain view. The constellations vary in terms of the type of visibility provided by the customer, the provider's use of this visibility, and the potential benefits and costs of transitioning between constellations.Research limitations/implicationsThe demand‐supply chain representations of visibility‐based service infusion are based on conceptual modeling and a literature review. Empirical research is needed to validate the use of the proposed representation for purposes of making comparative choices, and for exploring other purposes in decision making beyond that of comparative choice.Practical implicationsA tool for customers considering the benefits of visibility‐based services, comparative representation of constellations can help providers formulate better strategies for introducing visibility‐based services in a customer relationship.Originality/valueThe study combines supply chain theory with the service infusion literature in a novel way to produce a framework for comparative representation and decision making in visibility‐based service infusion.