The Roadmap of Servitization for Manufacturing Companies to Strength Buyer-supplier Relationships
Keywords:Servitization, Buyer-supplier relationships, Logistic support
AbstractThe article aims to introduce the concept of servivitization in lubricant industry, as well as why and how it can be a useful concept for industrial firms. This study first discusses recent literature related to the concept of servitization to understand how it can strengthen relationships and create value for clients in the lubricant industry. This study also constructs a roadmap to identify and illustrate service value, and proposes a four-step procedure for servitization in the lubricant industrial context. Results suggest that lubricant industry can develop new service-based and relationship-based value propositions, and servitization can strengthen relationships and creates value for clients. The road map can be useful when introducing the importance of services and the inter-relatedness between the service department and other parts of the organization, which communicates a better internal understanding of the servitization
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