The transformation journey of Servitization
The shift from owning to using
Equipment users from hospitals to agricultural operations to trucking companies are always looking for new ways to maximize the impact and efficiency of their equipment. Today, technological change and new business thinking is opening the way for a revolutionary shift in manufacturing known as ‘Servitization’.
In ‘Servitization’, manufacturers do not just sell equipment outright. Instead, they offer alternative, more sophisticated usage-based options, which can be delivered on a ‘just-in-time’ basis along with maintenance and service packages to keep the equipment running to optimum levels and supported by the latest in digital information feedback. The end user customer gets the service they want, using the equipment to the most efficient levels at the moment(s) that they need it, but without the many of the obligations and costs associated with outright ownership.
But for all this to happen, DLL must help our vendor partners deliver this new service-based model to their customers. In the past year, we have seen the rise of this kind of model, unlocking new efficiency and business opportunities for our partners. As a company that offers flexible leasing and financing solutions, DLL is making every effort to help our partner’s transition to these new practices. We can create the type of financial solutions that will enable their end user customers to pay for equipment as they use it, while the manufacturer remains responsible for its ongoing service and maintenance.
Servitized business models: organizing for success
How to organize for success
What manufacturers and dealers need to know before implementing a service-based model
DLL developed a whitepaper about the implementation of servitized business models. Next to an innovation process, servitization is also a transformation journey. To be successful, companies need to develop the required capabilities to deliver services and solutions that can supplement their traditional product offering.
How to minimize service contract risk
What manufactures and dealers need to know about service-based contracts
Manufacturers, dealers and resellers are increasingly ‘servitizing’ their business model, thereby moving from selling a product to offering a service.
This whitepaper clarifies which contract elements could and should be addressed to help you reduce the risk of any disputes arising with your customers.
The paper is available in English and Spanish.