Manufacturing is going through a major shift, as services are becoming increasingly central to gaining a competitive edge. This change—often called digital servitization—is all about using digital tools to improve service offerings, helping manufacturers shift away from purely selling products toward building business models centered around services. The trend is especially important for Engineer-To-Order (ETO) companies, where every project is shaped around the specific needs of the customer, requiring a lot of flexibility and the ability to customize.
In the machinery sector, where products are typically complex and built to last, digital technologies are essential to delivering more advanced services. Things like predictive maintenance, remote monitoring, and data-driven innovations are made possible by these tools, which not only open up new ways to generate revenue but also help companies build stronger, longer-lasting relationships with their clients.
This paper shares the results of a study involving 160 manufacturing companies in the machinery field. The focus was on how digital technologies are supporting servitization efforts. One key takeaway is the clear divide between large companies and SMEs: big firms tend to be further along, both in terms of experience and structure, while smaller businesses often face significant challenges when it comes to adopting and making the most of digital service models.
These insights shed light on the broader changes happening in manufacturing today and point to the need for tailored support strategies that can help SMEs successfully embrace servitization.