Chie-Hyeon Lim

Design of informatics-based services in manufacturing industries: case studies using large vehicle-related databases

Numerous companies in manufacturing industries have “servitized” their value propositions to address issues on product commoditization and sustainability. A key component of servitization is informatics, which transforms product and customer data into information for customers. In this study, informatics-based service is defined as a type of service wherein informatics is crucial to customer value creation. Despite the importance of this concept, studies on the design of informatics-based services in manufacturing industries are rare. This paper reports on two case studies on such designs. Informatics-based services have been designed for a major Korean automobile manufacturer and the Korea Transportation Safety Authority (TS) based on their large vehicle-related databases. The first case study with the automobile manufacturer aims to design vehicle operations and health management services for passenger vehicle drivers while the second study with TS focuses on the design of driving safety enhancement services for commercial vehicle (i.e., bus, taxi, and truck) drivers. Based on the case studies, this paper discusses various aspects of informatics-based service design in manufacturing industries. This study would assist researchers and practitioners in designing new informatics-based services and contribute to promoting and inspiring research on intelligent services in manufacturing industries under the current information economy.

From data to value: A nine-factor framework for data-based value creation in information-intensive services

Abstract Service is a key context for the application of IT, as IT digitizes information interactions in service and facilitates value creation, thereby contributing to service innovation. The recent proliferation of big data provides numerous opportunities for information-intensive services (IISs), in which information interactions exert the greatest effect on value creation. In the modern data-rich economy, understanding mechanisms and related factors of data-based value creation in IISs is essential for using IT to improve such services. This study identified nine key factors that characterize this data-based value creation: (1) data source, (2) data collection, (3) data, (4) data analysis, (5) information on the data source, (6) information delivery, (7) customer (information user), (8) value in information use, and (9) provider network. These factors were identified and defined through six action research projects with industry and government that used specific datasets to design new IISs and by analyzing data usage in 149 IIS cases. This paper demonstrates the usefulness of these factors for describing, analyzing, and designing the entire value creation chain, from data collection to value creation, in IISs. The main contribution of this study is to provide a simple yet comprehensive and empirically tested basis for the use and management of data to facilitate service value creation.

Using data to advance service: managerial issues and theoretical implications from action research

Purpose The proliferation of (big) data provides numerous opportunities for service advances in practice, yet research on using data to advance service is at a nascent stage in the literature. Many studies have discussed phenomenological benefits of data to service. However, limited research describes managerial issues behind such benefits, although a holistic understanding of the issues is essential in using data to advance service in practice and provides a basis for future research. The purpose of this paper is to address this research gap. Design/methodology/approach “Using data to advance service” is about change in organizations. Thus, this study uses action research methods of creating real change in organizations together with practitioners, thereby adding to scientific knowledge about practice. The authors participated in five service design projects with industry and government that used different data sets to design new services. Findings Drawing on lessons learned from the five projects, this study empirically identifies 11 managerial issues that should be considered in data-use for advancing service. In addition, by integrating the issues and relevant literature, this study offers theoretical implications for future research. Originality/value “Using data to advance service” is a research topic that emerged originally from practice. Action research or case studies on this topic are valuable in understanding practice and in identifying research priorities by discovering the gap between theory and practice. This study used action research over many years to observe real-world challenges and to make academic research relevant to the challenges. The authors believe that the empirical findings will help improve service practices of data-use and stimulate future research.

IT-Enabled Information-Intensive Services

In information-intensive services (IISs), information interactions have a significant effect on service-value creation. Recent innovations in IT have facilitated the creation of various types of IT-enabled IISs (IT-IIS) in which IT is essential for information interactions. The authors introduce the generic composition of the IIS value-creation system, then view this system from an IT-oriented perspective to propose classifications for various IT-IIS types. This knowledge serves as a basis for designing new IT-IISs. The authors also conducted two IT-IIS design case studies.

Development of an Evaluation Scheme for Product-Service Systems

This paper proposes an evaluation scheme for PSS with a focus on constructing evaluation criteria. The proposed scheme has a four-layered hierarchical structure. The four layers refer to perspectives, dimensions, categories, and aspects. The sustainability and customer value perspectives are considered. The sustainability perspective consists of 3P dimensions, while the customer-value perspective consists of quality and cost dimensions. Each dimension is further classified into categories, and finally into more detailed aspects. The scheme has 5 dimensions, 24 categories, and 87 aspects in total. The PSS evaluation scheme can serve as an effective aid in designing as well as evaluating a PSS.

An Evaluation Scheme for Product-Service System Models with a Lifecycle Consideration from Customer’s Perspective

The product-service system (PSS) is a business system in which its integrated products and services jointly fulfill customer needs. This research proposes an evaluation scheme for PSS models. The PSS model evaluation scheme consists of evaluation criteria and methods. The current paper mainly focuses on the introduction of the evaluation criteria and their application. The set of evaluation criteria has a four-layered hierarchical structure which has 2 perspectives, 5 dimensions, 21 categories, and 94 items in total. They are designed to consider the provider and customer perspectives, and all 3P (profitability, planet, and people) dimensions. They cover various stages of a PSS lifecycle, namely, design, production, sales (or purchase), usage as well as disposal. To illustrate the usefulness of the proposed evaluation scheme, a few PSS cases are first modeled using an existing PSS visualization tool, and then evaluated using the scheme. Case studies show the proposed evaluation scheme is workable to assess the potential value of the PSS models in question; it provides an extensive knowledge base for PSS evaluation, thereby serves as an efficient and effective aid to practitioners for successful PSS development.

Product-Service System : Current Status and Research Issues

Korea University Business School (KUBS).Product-service system (PSS) is a novel type of business model integrating products and services in a single system. It provides a strategic alternative to product-oriented economic growth and price-based competition in the global market. This paper first reviews the current status of PSS, including its concept, characteristics, benefits, and cases. This paper then reviews the existing literature and identifies major research issues for three main phases of a PSS development lifecycle, namely, PSS design, PSS evaluation, and PSS operation. This research is expected to contribute to promoting awareness and improving understanding of PSS in our society and planning of future research in this field.

Toward smarter service systems through service-oriented data analytics

Various types and massive amounts of data are being collected through physical and social sensing. In many cases of data use, the results and value of data analytics are conveyed to specific beneficiaries (e.g., individuals and organizations) within a service system, such as a transportation, energy supply, or healthcare service system. Thus, data-use can be directed and improved based on considerations of the relevant service system. In this paper, we suggest that effective use of data analytics can be guided by the question, “How does data analytics contribute to the creation of a smarter service system?” To facilitate answers to this question, we define a smart service system from a data application perspective, and propose a specific approach, serviceoriented data analytics, based on eight case studies related to smart service systems. We introduce an ongoing case study to demonstrate the applicability and utility of our proposals.

Clarifying the Concept of Smart Service System

A new trend of smart service systems is emerging. Technology is applied intensively to alleviate the cognitive and behavioral load of customers and improve the operations of service systems, thereby enhancing value. Despite the significance of smart service systems in this connected and data-rich world, knowledge on this concept remains insufficient. This chapter builds a theoretical background for smart service systems research. Motivated by recent cases of smart service systems, this chapter reviews the definitions and characteristics of smart service systems discussed in existing studies; integrates empirical insights from studies on the design and development of smart service systems; and further explores the nature of smart service systems by analyzing texts from the scientific literature, news articles, and end-user opinions. By integrating all the information, this chapter aims to clarify the concept of smart service system. Using the proposed conceptual framework and related studies as basis, this chapter also categorizes smart service systems into three types according to the portion of customer roles in technology-based value co-creation: smart self-service, smart super service, and smart interactive service systems. Finally, based on the proposed conceptual framework, this chapter discusses future research topics related to the concept of smart service system, such as autonomous service system as a new type of service system that requires a minimum level of human–thing interaction but works mainly based on thing–thing interaction. This chapter would serve as basis for studying and developing smart service systems.

Towards a Design Space for Blockchain-Based System Reengineering

We discuss our ongoing effort in designing a methodology for blockchain-based system reengineering. In particular, we focus in this paper on defining the design space, i.e., the set of options available to designers when applying blockchain to reengineer an existing system. In doing so, we use a practice-driven approach, in which this design space is constructed bottom-up from analysis of existing blockchain use cases and hands-on experience in real world design case studies. Two case studies are presented: using blockchain to reengineer the meat trade supply chain in Mongolia and blockchain-based management of ERP post-implementation modifications.