Towards a new framework: Understanding and managing the supply chain for product-service systems

Abstract

In the modern global economy, the product-service system strategy is increasingly popular with manufacturers. However, to the best of our knowledge, the publication focusing on the supply chain model for product-service system is still scant. Based on the findings of a half-year investigation in an air compressor manufacturer in China, the article is trying to develop a comprehensive framework of supply chain for product-service system. By exploring the structure and the unique features of the supply chain for product-service system, the research leads to a better understanding of the subject. Following the analysis, the supply chain model for product-service system is developed and elaborated in the value co-creation, functional process management, and the enabling process management. It is hoped that the exploration will form the frontier basis for further research on supply chain for product-service system.