Methodology for the implementation of subscription models in mechanical and plant engineering

• Applicant: Professor Dr.-Ing. Günther Schuh
• Subject Area: Production Systems, Operations Management, Quality Management and Factory Planning ; Engineering Design, Machine Elements, Product Development
• Term: since 2022
• Project identifier: Deutsche Forschungsgemeinschaft (DFG) - Project number 513121577

As globalization progresses, the intensity of international competition in mechanical and plant engineering is increasing. A differentiation based on products that are as cost-effective as possible is not conducive to success for Germany as a high-wage and high-tech location. The focus on the actual customer benefit through the combination of products and services seems more promising. Industrial services offer potential for differentiation from competitors, comparatively high margins and increased customer loyalty. So-called industrial product-service systems, which are characterized by an increased life cycle and service orientation, are increasingly emerging. The combination of products and services leads to new service-based business models in mechanical and plant engineering. Business model innovation and its implementation play a central role with regard to the economic success of a company. Service-based business models are made possible by industry 4.0, the increasing digitization and the networking of mechatronic systems to so-called cyber physical systems. They offer manufacturers the opportunity to establish continuous customer contact. This makes it possible to agilely fulfill changed customer wishes and identify implicit customer wishes. Subscription models, as a special type of service-bases business models, allow the implementation of this service-based customer orientation. They are characterized by an integrated overall package of products and services that enable a targeted solution to specific customer problems, as well as a typically regular, comparatively small financial transaction. Subscription models have already found their way into the media and software industry, where they are already widespread. However, they are hardly represented in mechanical and plant engineering: Their introduction is associated with various challenges for manufacturing companies. The aim of this research project is to enable companies in the mechanical and plant engineering sector to implement subscription models. The increase of customer benefit through subscription models was identified as the decisive possibility to increase competitiveness. In addition to the characteristics of subscription models the general conditions of industrial productservice systems in mechanical and plant engineering must also be taken into account. The project can be subdivided into four work packages. 1. Description of subscription models for result-oriented product-service systems in mechanical and plant engineering 2. Identification of activities for the implementation of subscription models 3. Derivation of cause-effect relationships between subscription model implementation activities 4. Design of a process for the implementation of subscription models for result-oriented product-service systems in mechanical and plant engineering

• DFG Programme: Research Grants