The phenomenon of Digital Servitization: The perspective of Italian SMEs

Abstract

In today's rapidly evolving business landscape, traditional models of production and service provision are undergoing unprecedented transformation. This thesis explores the confluence of two dynamic forces: servitization and digitalization, which are reshaping industries on a global scale. Servitization involves a strategic shift where organizations pivot from manufacturing and selling tangible products to providing integrated product-service solutions. Simultaneously, digitalization is integrating digital technologies into all facets of business operations, enabling efficiency, innovation, and enhanced customer engagement.

At the intersection of these two phenomena lies Digital Servitization, representing a profound leap in how businesses create and deliver value. This concept marries the customer-centric approach of servitization with the transformative potential of digital technologies, enabling organizations not only to reimagine their offerings but also how they deliver them, fostering increased competitiveness, sustainability, and customer satisfaction.

This research begins by exploring the theoretical foundations of servitization and digitalization, shedding light on their significance and profound impact. Additionally, we analyze the fusion of these ideas—Digital Servitization—as a potent strategy for organizations to thrive in a rapidly changing business environment. Practical insights into business models embodying this concept are also provided.

The thesis dedicates a chapter to a practical dimension, delving into real-world cases where organizations have successfully implemented digital servitization solutions. Through comparative analysis, patterns, strategies, and best practices are unveiled, informing businesses, policymakers, and academics on the effective deployment of Digital Servitization initiatives. A detailed analysis of the Italian company GALDI serves as a practical case study.

This exploration reveals that Digital Servitization transcends trendiness; it represents a fundamental reconfiguration of how industries operate, innovate, and serve customers. It challenges traditional business models, disrupts conventional value chains, and ushers in an era of collaboration and competition.

This journey into the heart of Digital Servitization bridges theory with practice, providing a comprehensive understanding of this multifaceted concept. The transformative potential inherent in this phenomenon is explored, illuminating the path forward for enterprises aiming to thrive in the digital age. This thesis underscores the urgency of embracing change, as the future belongs to those who can harness servitization and digitalization to redefine industries and chart new courses.