Integrated Product Service Offering (PSI)

Olof Hjelm

In the last decade, interest in integration of services and physical products in the manufacturing industry has grown. The demand for a more sustainable services and products has encouraged us to explore possibilities to design new products and services. Products and services that, not only during the production phase but also throughout the whole life-cycle, are as energy-saving and resource-efficient as possible.

A variety of concepts and terms have been proposed referring to this type of offering or business in a broad sense such as total care product, functional sales, hybrid offering, integrated solution and service/product engineering, in addition to the product service system. The Products Services Innovation (PSI) team prefer to use the term Integrated Product Service Offering (IPSO) in order to emphasise the integration aspect.

The PSI team develops world-leading scientific knowledge regarding life-cycle based offerings and business models as target objects, as well as design and innovation as target activities. The offerings include physical products and services, and the design is based on a holistic perspective including environmental and economic consideration. We tackle problems with a multidisciplinary approach using our expertise in engineering design and environmental issues.

Environmental and economic benefits of integrated product service offerings

We have studied the environmental and economic benefits of the IPSO from a life-cycle perspective in for example physical product such as core plugs for paper mills and services - cleaning of building exteriors or compacting soil. In all three cases it was found that the IPSO improves both the environmental and economic aspects compared with the traditional offering. The results from these cases showed that the IPSO is preferable in comparison with traditional product sales approaches.

There is a need for publishing more research quantifying the environmental as well as economic benefits of various IPSO cases in order to advance the scientific knowledge in this area.

Collaboration with industry and academia

Our ambition is to be the first-choice partner by industry and academia and a leading diffuser of knowledge to the industry as well as a generator of top-of-the-line graduated students. We retain strong collaborative relationships with the surrounding society, especially with industry partners.

Our strategic partners in academia are:

  • Ruhr-Universitaet Bochum, Germany
  • TU Berlin / Fraunhofer Institute, Germany
  • Cranfield University, United Kingdom
  • SIMTech, Singapore
  • Technical University of Denmark, Denmark
  • Institut Polytechnique de Grenoble, France
  • University of Zagreb, Croatia
  • The University of Tokyo, Japan
  • Tokyo Metropolitan University, Japan
  • Luleå University of Technology, Sweden

Heavy industrial enterprises in quest for sustainable solutions

Together with the industry, we develop new knowledge that is tested and evaluated and later diffused back to our partners. A good example of our collaborative work is Memorandum of Understanding “Toward a More Competitive, Sustainable and Attractive Sweden” signed by five representatives of heavy industrial enterprises. “With this we want to show that problems can be turned into opportunities. Companies have realised that they can develop better products with less resources and that it is also profitable to recycle and re- manufacture” - says Mattias Lindahl, who was behind the initiativ.

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Ongoing research projects

Interest in Product Service Systems, where a service is integrated with a product, has increased dramatically in recent years. PSS is seen as one of the most effective mechanisms for moving society towards a resource-efficient and circular economy. We at Linköping University have several ongoing project which focusses on integrated product service offerings, resource efficiency as well as remanufacturing.

ERN – European Remanufacturing Network – coordinating and supporting European remanufacturers

The project will form, coordinate and support a European Remanufacturing Network (ERN) over a period of two years, with the ambition to:
  • encourage new businesses to take up remanufacturing
  • help existing remanufacturers improve their operations
  • improve competitiveness of remanufacturers domestically and internationally
  • create greater awareness of remanufacturing in the public and policy makers to increase demand and address barriers
Funding: Funded by EU Horizon 2020 with 1 495 k€.
Project period: 2015-2017
Project leader: Associate Professor Erik Sundin

Via Futura Concretis

Based on HTC Sweden AB´s patented and world-leading concrete floor grinding methods, the objective in this project is to develop a method to improve the surface of concrete roads that, compared to today´s concrete and asphalt roads, provide greater driving safety, reduced wear and particulate emissions, reduced fuel consumption, and are economically and environmentally beneficial. Related to this is to develop an appropriate business model for the method that promotes the commercial deployment and thus the ability to reach above vision´s effects.
Funding: Vinnova with 3.9 MSEK – total budget is approx 9 MSEK.
Project period: 2013-2017
Project leader: Professor Mattias Lindahl

Via Futura

The project's objective is to investigate the actual effects of road grinding on noise, rolling resistance, friction, wear and particle emission. Further the objective is to explore how this technique can be applied on Swedish roads, through studying e.g. how deep the grinding should be, how much of the width of the road lane should be ground, and on what types of surfaces it will be efficient.
Funding: Mistra Innovation with 4 MSEK – total budget is approx 12 MSEK.
Project period: 2013-2016
Project leader: Professor Mattias Lindahl

Efficient Remanufacture through Use of Lean principles and Product Life-cycle data

Remanufacturing is a complex process including uncertainties due to e.g. the variation of quality of the cores arriving to the remanufacturing facility. By using lean principles and information from the product life-cycle these uncertainties can be reduced and a more efficient remanufacturing process achieved. The aim of this project is to develop support methods for implementing lean principles and efficient use of product life-cycle data to enhance the competitiveness of Swedish remanufacturing companies.
Funding: Vinnova with 5.75 MSEK – total budget is approx 12 MSEK.
Project period: 2013-2016
Project leader: Associate Professor Erik Sundin

Design for Remanufacture through Efficient Use of Product Life-Cycle Data (KEAP)

The long-term goal of the project is to facilitate products that facilitate remanufacturing. The KEAP project aims at developing methods that will use data from the product’s life cycle to support the designers’ development of products that are suitable from a remanufacturing perspective.
Funding: VINNOVA with 4.7 MSEK – total budget is approx 10 MSEK
Project period: 2013-2016

Project leader: Associate Professor Erik Sundin

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