Christian Kowalkowski, based at the Department of Management and Engineering (IEI), has spent more than 20 years researching so-called servitization – the process by which manufacturing companies move from selling physical products to offering advanced services and complete solutions.
“To create value, it is no longer enough to just deliver a product. It is when the product is used, in the customer’s everyday life, that value is created,” he explained.
He highlighted examples such as Apple, where an increasing share of revenues comes from services rather than hardware, and Michelin, which has shifted from selling tyres to offering complete fleet management solutions. Digitalisation and sustainability requirements are also driving this development. Sensors, connected products and AI make it possible to analyse usage data and provide tailored services, while circular solutions can extend product lifetimes.