Product–service innovation and performance: the role of collaborative partnerships and R&D intensity

TLDR

The study examines how strategic partnerships, R&D intensity, and servitisation interact to influence performance, noting that KIBS partnerships enable downsizing, risk sharing, and knowledge transfer, and that R&D‑intensive firms benefit more from service provision due to industry dynamics and reduced customer uncertainty. The authors investigate whether external collaborative service development and provision, combined with industrial R&D intensity, improve product‑service innovation and performance, arguing that manufacturing firms implementing services gain from strategic partnerships with KIBS firms. The authors surveyed executives in 370 large manufacturers worldwide. Results confirm that concentric strategic partnerships are crucial for successful product‑service innovation in high R&D industries.

Abstract

Treating the intersection of the strategic partnerships, R&D intensity and servitisation literatures, this study explores empirically whether external collaborative service development and provision and industrial R&D intensity help to unpack the complex relation between product–service innovation (servitisation) and performance. We argue that manufacturing firms implementing services benefit from strategic partnerships with Knowledge‐Intensive Business Service (KIBS) firms. KIBS partnering provides opportunities for downsizing, externalising risks and sharing knowledge. Additionally, manufacturers in R&D‐intensive industries are more likely to benefit from implementing service provision than firms in other sectors because of industry dynamics and reduced customer uncertainty. The study surveys executives in 370 large manufacturers worldwide. Results reinforce the importance of concentric strategic partnerships to successful product–service innovation in high R&D industries.