Track: Industrial Services

Abstract

The manufacturing strategy should be dynamic in order to adapt to the changes. One example of change is the customer’s preference influenced by service. The involvement of service in the manufacturing industry has resulted in a new term, i.e., servitization. This paper aims to investigate the effect of servitization on the manufacturing industry by reviewing 29 journals. In addition, the selected journals are mapped in accordance with the similarity of the discussion topics. Based on the literature review, it is generally concluded that the involvement of services in the manufacturing industry has a major influence on manufacturing strategy. The integration between products and services causes a mix that sometimes does not see the boundaries between products and services themselves. In general, servitization is defined as the tendency of manufacturing companies to integrate services into their manufactured tangible products. Furthermore, this review of the literature can be used to identify future research opportunities. Some future research topics that are visible to carry out are the effectiveness of the role of service embedded in a product, the way to determine the amount of service dominance in a product, and the cost-benefit ratio analysis to integrate product and service.