Challenges and opportunities in transforming laser system industry to deliver integrated product and service offers

Annamalai Vasantha, Gokula Vijayumar and Roy, Rajkumar and Corney, Jonathan (2014) Challenges and opportunities in transforming laser system industry to deliver integrated product and service offers. In: 15th IFIP Working Conference on Virtual Enterprises, 2014-10-06 - 2014-10-08, Hotel CASA 400.

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Abstract

Laser system industry is a complex network entity that includes laser component manufacturer, laser manufacturer, system integrator, laser job shop, laser process developer and end product manufacturer. Currently this market segment is predominately product-centric in which the common business model is to sell laser systems with two years warranty. However increasing competition within this segment is forcing some stakeholders to go further than the existing business model, and aim to build long-standing relationship between others. In this paper, the current structure and level of servitization in laser industries, the implications of higher levels of servitization for the various stakeholders of the industry, and the opportunities to develop and deliver higher levels of servitization are discussed. Analyses of semi-structured interviews with managers of laser system manufacturer and laser job shops reveal that any servitized solutions would primarily require the transfer of capabilities between various stakeholders.

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