The Business Faculty of Mondragon Unibertsitatea analyzes in a conference the keys to servitize companies in different sectors

The Business Faculty of Mondragon Unibertsitatea analyzes in a conference the keys to servitize companies in different sectors

Under the title "Keys to servitize the business in the Basque industry" Bilbao AS Fabrik hosted a conference to learn how digitization affects the supply of services linked to products

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Servitization. A little known term but increasingly used as trends change and customer demands increase. A note. Servitization can be defined as a business strategy based on offering services linked to a product, so that the value of the business can be derived from the exploitation of these services, thus achieving an additional income to the sale of the product in question. As a result, all sectors are seeing how their strategic business models are being transformed. Why? This revolution is marked by a basic component that in recent years is gaining more and more prominence and marking a new era: service, customer service and experience beyond the sale.

Conference at AS Fabrik

Under the title "The future of service through digitization: keys to servitizing the business in the Basque industry" the management research center MIK of the Faculty of Business of Mondragon Unibertsitatea, the software experts IFS and the consultancy Antalis Consulting, which is dedicated to the implementation of servitizations organized in AS Fabrik a forum to answer what is servitization, how to apply it to different sectors and the challenges of the future. Specifically, MIK, IFS -software- and Antalis Consulting -implementation- showed what is the current panorama of companies in the Basque Country, how to integrate augmented reality in customer service, how to plan the work of more than 1,000 technicians in the field in real time, how to reduce the environmental impact of our activity or how to bridge the generation gap and the lack of qualified personnel thanks to technology. Adopting these business models requires a major transformation of the company, a transformation in which MIK has extensive experience accompanying many companies.

The program started with a context on: "What is servitization, benefits and motivations. Operational levers, experiences and lessons learned", to continue with "how to apply servitization to companies in different businesses, sectors and countries. Without losing focus on two of the most important assets: employees and customers. The morning also served to address "how the future of service involves digitizing the business. Solutions, tools, deadlines, costs and ROI", followed by a live demonstration of "asset fleet control". After lunch, the last session began, a round table on "The reality of servitization today".

Servitization sectors

Servitization, as pointed out by Mondragon Unibertsitatea, is basically the transformation process that arises in an industry/company so that instead of making and selling products, it works to solve customer needs by combining the product with services (a very clear example in the multimedia industry would be Netflix and Spotify, which instead of selling DVDs and CDs respectively, start charging a monthly fee for the service of access to multimedia content).

This same process also happens in the industry, for example instead of selling a car and forget about it, manufacturers offer additional services such as warranties, spare parts, revisions, maintenance, etc. reaching the maximum exponent of servitization which would be business models such as leasing, renting or platforms that charge you for the kms of use of the vehicle (pay per use).

This new way of competing allows to build loyalty through long-term relationships with customers and has proven to develop revenue streams with greater resilience to unfavorable economic cycles (such as the one currently forecast).

Some photos taken in the conference:

https://www.flickr.com/photos/enpresagintza/albums/72177720303409541/with/52476805128/