Ezio Manzini

A strategic design approach to develop sustainable product service systems: examples taken from the ‘environmentally friendly innovation’ Italian prize

Abstract The product service systems’ (PSS) sustainability potential is described in the framework of the new types of stakeholder relationships and/or partnerships, producing new convergence of economic interests, and a potential concomitant systemic resources optimization. In this perspective, it is argued that the design competencies should move towards those of the ‘strategic design’, thus introducing the concept of ‘strategic design for sustainability’: the design of an innovation strategy, shifting the business focus from designing (and selling) physical products only, to designing (and selling) a system of products and services which are jointly capable of fulfilling specific client demands, while re-orienting current unsustainable trends in production and consumption practices. Some examples of PSS are presented and discussed using the PSS categories ‘services providing added value to the product life cycle’, ‘services providing final results to customers’, and ‘services providing enabling platforms for customers’. The cases derive from an analysis of the ‘environmental friendly innovation’ yearly endowed prize submissions. The Politecnico di Milano University together with the Bocconi University and Legambiente (an environmental NGO) promotes the initiative in Italy.

Product-service systems: using an existing concept as a new approach to sustainability

Product Service Systems (PS systems), though not new, are relatively new to be used as an approach to reach sustainability. This perspective of PS systems is presented. A PS system can be defined as a business innovation strategy offering a marketable mix of products and services jointly capable of fulfilling a clients needs and/or wants - with higher added value and a smaller environmental impact as compared to an existing system or product. A major element of a PS system is that a consumers need is met by selling utility instead of providing a product. In essence the right of product ownership is shifted from a client to the producer or service provider. PS systems are reviewed in light of other environmental managementstrategies, and they are described in general. Company examples illustrate the potential benefits and motivations for a company to consider a shift to PS systems. The examples are classified in three categories: 1) Services providing value added to product: in which a company can sell additional services, such as a warrantee, to guarantee functionality and/or durability of a product which is owned by the consumer. 2) Services providing final results: in which a company can offer a customised mix of services, as a substitute for the purchasing and use of single products providing of a specific final result with a low-level of client participation; and 3) Services providing enabling platforms: in which a company can offer access to products, tools, opportunities or capabilities (platforms) that enable clients to get the results they want. Furthermore, it is discussed how PS systems are applicable in developing countries, and how PS systems, as an innovation strategy can present an opportunity to facilitate the process of industrialisation with less environmental impact, by jumping over or by passing the stage characterised by individual consumption/ownership of mass-produced goods towards the more advanced service-economy.