How Manufacturing Companies Can Ready Themselves For Servitisation

THE MANUFACTURING INDUSTRY IS TRANSFORMING. THE TREND OF SERVITISATION IS CATCHING UP. HERE IS HOW IT CAN BE IMPLEMENTED

- Jasmeet Singh

MANUFACTURERS ACROSS THE GLOBE ARE looking for means to differentiate themselves. Manufacturing-as-a-service, or servitisation, has emerged as a powerful differentiator. It’s when manufacturers couple service offerings with their product to deliver greater value to customers. In fact, it creates new business opportunities & can yield other benefits including up to 30% reduction in inventory & logistics costs, & up to 25% improvements in flexibility & responsiveness. However, implementing this model needs strategic planning & cross-organisation alignment from the front to back end, right from level of the leadership team to level of every employee. Also, it entails fundamental changes to the organisation’s core value proposition & service orientation. Any company gearing up for servitisation would, do well if it makes a note of a few “must-dos”.