Servitization Model Aligned with ICT in Korean Firms

초록

(Purpose) - This article aims to research characteristics of servitization model which offers value for customers with ICT alignment in Korean firms. For the case study, the authors examine and survey 3 servitization companies which operate different product-service system from low level maintenance to advanced level aligned ICT with business throughout product life cycle in manufacturing and service industries. (Methodology and approach) - Data was collected from Korean securities market annual reports listed on KRX and focused interviews. To make and support the analysis framework, several conceptual studies and process with regard to their services were referenced. (Findings) ? Firms proposing servitization business model with ICT alignment could be categorized by profit model, offering value, level of service and level of ICT alignment. Each firm tends to gain greater sales or decrease their product sales ratio via service sales from year 2010 to 2014. In case of Hyundai elevators Co., Ltd., Through advanced remote management by ICT services, The event of failure, remote troubleshooting and rescue could be handled with extra “FM service” contract. With the more sales profits provided by the customized values for customers, company reduces costs an annual average of 16% compared to simple maintenance costs. (Practical implications) ? For the firms which try to set up service strategies especially in manufacturing industries with the consideration of their business competency and environment, CEO or managers can align ICT with their business purpose as an advanced service tool for monitoring and visualizing service delivery process.