Lecture roadmapping product service combinations


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This presentation belongs to a guest lecture given at the Leiden University at the Leiden Institute of Advanced Computer Science for the course ICT Strategy & Planning. This lecture aims gain insight in the function and added value of technology roadmapping, business roadmapping and product service roadmapping.
The presentation is put into the context of Philips Healthcare. Please not that this is a fake situation a that does not necessarily need to comply with reality.

For further questions, please do not hesitate to contact me.

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  • What basis?—The selection of a generic strategic approach (e.g., cost leadership,differentiation or focus)Fig. 1. Technology management framework[12], showing technology management processes (identification,selection, acquisition, exploitation and protection), business processes (strategy, innovation and operations),highlighting the dialogue that is needed between the commercial and technological functions in the business tosupport effective technology management.
  • Technology directly enables the integrationof products and services, directly infused inthe process of integration.Dell customization- Even the individual product or service is nottechnology-embedded; the integration canbe realized by the technology
  • Technology directly enables the integrationof products and services, directly infused inthe process of integration.Dell customization- Even the individual product or service is nottechnology-embedded; the integration canbe realized by the technology
  • 1 The technology-based maintenance service includes informing of the product’s state, changing filter and disinfecting the internal and external parts, achieved by the information system to systematically manage the service.2
  • The main advantage of suggested structure arguably lies in the strategic planning of product–service integration, representing the technological role toward the effective integration. Especially, by emphasizing the role of technology, this structure is systematically organized to capture the full scaleof technology-originated product–service integration.Firstly,Fig. 5(a) refers to the case of ‘‘technology as a direct enabler’’. Since the technology directlyenables integration of products and services, the product layer and the service layer are placedadjacently, representing the close relations in integration opportunities. Here, the technology isapplied to the virtual and integrated features of product and services, fostering the integrativeprocess.Since the technology is applied to the integrative features of products and services, sometimes avirtual layer might be incorporated to represent the integrative opportunities of product–serviceIntegrationig. 5(b) represents the case of ‘‘technology as an indirect enabler’’ where technology is individuallyapplied to the products and service, making the technology-based intermediates between productsand services. Therefore, the technology layer is located at the middle of two different domains:product layer and service layer, acting as an interfacing point. Even it is not clearly mentioned that it isa case of technology-enabled product–service integration, the literature has taken the form ofintegrated roadmap with product layer and service layer (An et al., 2008; Abe et al., 2009).Abe et al.(2009)illustrates the business model for impaired walking support system, considering the businessas a kind of service concept. Reflecting the scenarios for impaired walking support system, productsand services are identified and visually planned as a form of ‘‘integrated strategic roadmap (ISRM)’’.Anet al. (2008)provides the case example of mobile communication service as a form of product–serviceintegration, as it involves a device and a large array of applications and services. Even the technology isnot directly mentioned, this structure also locates the products and services at the same level
  • Fig. 5(c) shows the case of technology acting as a ‘‘servitization mediator’’. Since the technology-embeddedproduct provides the chance of servitization,mainevolutionpathexistsfromtechnology toproduct, and finally to service. Therefore, the hierarchy of integrated roadmap follows thisevolutionary state of product–service integration: technology-product–service.Fig. 5(d)which is a case of ‘‘technology as a productizationmediator’’ provides the similar structurewith servitization mediator except the location of the product layer and service layer. Since this typeimplies the technology-originatedproductizationcase, the technology layer affects to the service layerfirst, and then, the service is evolved to the product. Relevant examples can be found in the previousliterature. Kameoka (2005)suggests a new type of strategic roadmap, adding a service layer on theproduct layer. InNakamura et al. (2006), a strategic roadmap for the businesses using the electronictags is suggested with the market/customer, business/services, infrastructure, technologies, andregulation layer. The infrastructure layer denotes the service infrastructure which involves not onlythe hardware and software infrastructures but also the knowledge and functions required forproviding services.
  • Fig. 5(e) is a case of ‘‘technology as a product facilitator’’. In this type, technology and service areapplied directly to the product, making the product as more diversified and collaborative form ofintegration. Thus, the service layer is located at the centre of the layers, enabling the product layer andthe technology layer be more effectively incorporated.Similarly, the composition ofFig. 5(f), a service facilitator, is the same asFig. 5(e), except the layercompositionof product and service. Even it is notmentioned as the exact term‘‘integration’’, there hasbeen relevant concepts with the product facilitator or the service facilitator, illustrated in severalroadmaps. Wells et al. (2004)suggested a roadmap for e-commerce to capture and share thetechnology intelligence for products and services, using the technology layer, the access device layer,and the mobile service layers as the core layers for e-commerce roadmap.
  • Lecture roadmapping product service combinations

    1. 1. Lecture RoadmappingProduct-Service systemsThe product service integrated roadmapLecturer: drs. Ir. J.R. Helmus
    2. 2. 2
    3. 3. 3As a master of integrated service engineering you might be interested in theProduct Development Management Association
    4. 4. 4Cicada Innovation 2012GeneralpractitionerDistrict Nurse /Home CareContentMonitoringcocreationcommunicationfinanceFragile elderlyFamily careProduct-service Innovation for Elderly project 2012
    5. 5. 5
    6. 6. 6
    7. 7. 29-4-2013What if your thermostat didn’t need you…Example of my vision on the future
    8. 8. 29-4-2013www.evrythng.com
    9. 9. 29-4-2013www.evrythng.com
    10. 10. 10We are the top management team of Philips HealthcareImagine….
    11. 11. 11Suddenly this man walks in…
    12. 12. And tells us about the reorganisation of thePhilips business model…
    13. 13. And we need to come upwith an innovation plan forour business unit otherwiseit will be sold….
    14. 14. We have only one hour totell him about theinnovations inhealth we willcome up withfor the next3 years..
    15. 15. Our innovation funnel is at least two years…
    16. 16. How will we be able to come up withthis plan for future innovations?
    17. 17. Well..Roadmapping could help us
    18. 18. Part 1:Technology roadmappingPart 2:Tradidional roadmappingPart 3:Roadmapping for product-servicecombinations
    19. 19. Objectives for this lectureAfter this lecture you will be able to:Understand the basics of roadmappingUnderstand the differences between the various ways ofroadmappingdevelop a roadmap for product servicecombinations• different types of roadmaps• Technology versus business roadmapping• Technology roadmapping in short• Traditional Business roadmapping•Connection between technology and business roadmapping•business roadmapping for Product-Service combinationsStructure of this lecture
    20. 20. 20
    21. 21. 21
    22. 22. Part 0What is Roadmapping
    23. 23. What is roadmapping?“What kind of activitietsdo we need to startup todayto soon have the availability ofTechnology, knowledge andCompetences to create theproducts and Services oftommorrow?
    24. 24. In basis, there are two kinds of roadmaps.Technology Roadmapping (TRM)• Initiated by government or branch• Transcending companies• Often for cluster/branch/sector• Scope: 10-20 year• Goals: identify need for research andpriorities for research• No ownership• Not confidential, often publicBusiness Roadmapping (BRM)• Initiated by a company• Company specific• For a company, product of productrange• Scope: approx 5 year• Goals: develop a practical planningfor achieving the companys vision• Company is owner• Confidential
    25. 25. Part 1Technology roadmapping
    26. 26. 26Let‘s get back to the Philips HealthcareManagement team
    27. 27. Age, Family History, Living environment, Social connectednessWeight: ScalesHeight, Waist, Hip: Tape Measure, Clothes fit, Lean body massTemperature: Thermometer (surface, core heat)Appearance: Photo , Video, Body imagingHeart Rate: Wristband, Breast band, Sticker sensorBody Fat: BMI, ImpedanceActivity: Pedometer , Accelerometer, HR, HRR, O2/CO2Psychological & Physical health: HR, HRV, Glucose, Lithium, (…)Fitness: Flexibility, Strength, EnduranceRespiratory: FEVSleep: Accelerometer, ElectricalStress: Breathing rate, BP, Galvanic skinresistance, HRV, Salivary, CortisolCardiovascular risk: HRV, BP,arterial plaque, CholesterolPhysiological health:DNA, Immune statusTodayFutureNutrition: Intake, Marco/micro nutrientsMedicine adherence: Sender pillSensory: Vision, Aural, Tactile Thermal, TasteA master of science should be able to develop a vision on future technologiesFor example on EhealthTechnology Roadmapping
    28. 28. 28Technology roadmapExample of a technology roadmap fornewspaper related technologies
    29. 29. Technology Roadmapping often results in typical conjointroadmap based on scientific sourcesTechnology Roadmapping
    30. 30. The Scurve model helps to gain insight in technology developmenttimeTechnologiewaardeCurrenttechnolgyNewtechnologySTARCASHCOWQUESTIONMARKDOGDOGPerformance(e.g..%efficency/$)Carefully choose one or more technology performance indicatorsIdeal timing momentfor new technologyimplementationTechnology Roadmapping
    31. 31. . Ten Hagen StamTechnology assessment4R-modelCyclicmodel:4R’s influence each otherresearchresourcesrumours readyBron: Trends in IT 2001, P. Noordam,A. van der Vlist, B. Derksen, uitg. Ten Hagen Stam
    32. 32. TechnologieverkenningBCG-matrix• Question Mark = tech development unclearresearch H, rumours H, rest L• Star = tech performance will growresearch H, rumours H, resource H• Cash Cow = no tech developmentresearch L, rumours L, resource H, ready H• Dog = failed technologyresearch L, rumours H, resource L, ready Hresearchresourcesrumours ready
    33. 33. Functionality and performance determines the applicability of atechnology for your product/serviceExample: proprerties, functionalities and performance indicators for 3D printing methods and other rapidprototyping methods.Technology Roadmapping
    34. 34. Timing of technology research and development is crucialfor a company’s performanceRequired time to implementtechnology5 - 10 year 3 - 5 year 1 - 2 yearWellunderstoodprovenunprovenUncertaintyoftechnologyresearchFutureCurrent projectsMissedopportunityproblemBFCDEGAInnovation matrix for a specific technologyTechnology Roadmapping
    35. 35. 35Imagine you are theCEO of the new motionYou would like to invest inquick charging infrastructureBut there is no market standardyet and there is not enoughmoney to make mistakesTechnology Roadmapping
    36. 36. Many research companies publish technology roadmaps or forecastsBottom up assessment to within value chain to create technology roadmapChipmachine producers Chip producersExamples are: Accenture/ mcKinsey/ Batelle/ RandPurchases new technology equiptes machinesroadmaps nieuwe productenSales new technologyequipped machineryTechnology Roadmapping
    37. 37. Examples of public Dutch technology roadmaps• Elektricity Technology Roadmap(KEMA)– Vision on electricity 2020• “Catalysis, Key to sustainability”– Sector roadmap up to 2010• Nationale Toeleveren & UitbestedenAgenda (NEVAT)– 4 sector roadmaps for:• Electronics/mechatronics• Automotive• Plastics value chain• Metal industryTechnologyRoadmappingTechnology Roadmapping
    38. 38. 39Back to Philips healthcare
    39. 39. RIDING A SKATEBOARD JUST BYTHINKING ABOUT THEDIRECTION TO GO TO.Based on technology dreams could come true
    40. 40. 29-4-2013Let’s think about these future innovations in eHealth
    41. 41. 42Develop a future vision on technologies that will play an important rolein eHealth innovations for Philips in the near future?a) What kind of performance indicators are relevant for thistechnology?b) How would you find out when this technology will reach the cashcow phase in its life cycle?Assigment for part 1
    42. 42. Part 2Tradidional Roadmapping
    43. 43. traditional Business Roadmapping•The basics•The requirements• factor time in a roadmap• push versus pull• Roadmap input methods• relation with other RM’sBusiness Roadmapping
    44. 44. Identification, selection, acquisition, exploitation and protectionTechnology roadmapping—A planning framework for evolution and revolutionRobert Phaal*, Clare J.P. Farrukh, David R. ProbertTechnology forecasting and social change, 2004/vol 71 UK accepted 26 May 2003Traditional roadmapping is integratedin te business strategy cycleBusiness Roadmapping
    45. 45. PRODUCT LINE APRODUCT LINE BPRODUCT LINE CA1 A2 A3 A4B1 B2 B3C1 C2 C3B4TECHNOLOGIESEXTERNALTECHNOLOGIEStechnology bbtechnology pp technology qqtechnology aatechnology xx technology yy technology zzINTERNALtechnology a1 technology a2technology p1 technology p2 technology p3YEAR 1995 1996 1997 1998 1999 2000 2001Philips generic formatin different forms and shapesRoadmappingbasicsBusiness Roadmapping
    46. 46. vandaagThe basic idea of roadmapping is simpletimeTechnology/knowledge/CompetencesProduct/serviceBusiness/MarketBusiness RoadmappingToday“What kind of activitiets do we need to startup today to soon have the availability of Technology,knowledge and Competences to create the products and Services of tommorrow?”soon tommorrow
    47. 47. • Being able to develop a vision on the future of the market andenvironment of the organization• Insight in the competences of the organization• Insight in the portfolio of the organization• Shared ambition for the future• The desire to concretize the vision and strategy of the organizationin a practical integral plan&• The ambition and desire to execute this plan!Business RoadmappingThe requirements for successful roadmapping within anorganization are:
    48. 48. `tijdTechnologies/knowledge/CompetencesProduct/serviceBusiness/MarketTime connects push versus pull strategies• From where the organization stands now and came from• From market demand to new technology development• From an ambition or a vision on a future market• Mind the short term and long term horizon (mc Kinsey - three horizons)past futuretoday roadmapBusiness RoadmappingMind the technology roadmap
    49. 49. Therefore an integral approach is needed to connect the dots in theroadmap• Different aspects and disciplines within the organisation (in layers and sublayers)• Process indicators like : drivers, issues, indicators, milestones• Relation between the layers and process indicatorstijdTechnologie/Kennis/CompetentiesProduct/DienstBusiness/Markt KNOW WHYKNOW WHATKNOW HOWKNOW WHENBusiness Roadmapping
    50. 50. Using pre-announcements can help to adjust the disciplines in the roadmap- particularly production versus demand over time51http://mynokiablog.com/2011/10/01/rumours-nokia-windows-phone-nokia-ace-to-have-4-3-amoled-1800mah-and-lte-4g-att-q1-2012-searaysabre-specifications-inside/‘‘formal, deliberatecommunication before afirm actually undertakes aparticular marketing actionsuch as a price change, anew advertising campaign,or a product line change’’.Business Roadmapping
    51. 51. It makes it even be possible to finance the scale up process52• Recent well-known examples of NPP include Microsoft’s WindowsVista, officially launched on November 30,2006,• Apple’s iPhone, launched on June 29,2007,• Apple’s iPad, launched on April 3, 2010.• For example, Amazon.com accumulated 1.6 million prelaunch ordersfor J.K.Rowling’s book ‘‘Harry Potter and the Deathly Hallows’’ twoweeks before its launch date (July21,2007), making this book the mostpreordered product ever for the online retailers.Online prelaunch orders proved to be effectiveand efficient in locking customers with thepreannounced products.NPP becameincreasingly popular recently,especially in thecompetitive high-techindustries.ExamplesBusiness Roadmapping
    52. 52. Productieproces3Markt1Product/Service2Business RoadmappingAt best the relationships between projects and layers are to be madeexplicit in the roadmap
    53. 53. 54What could have gone wrong in Google’s roadmap?Business Roadmapping
    54. 54. Several methods can be used to achieve a future planningExamples of methods• SWOT-analysis• portfolioanalysis• competitor analysis• market- en trendresearch• technology assessment• scenario-developmentHere you see the function oftechnology roadmappingPossiblefutureMid termfutureShort termfuturePossiblefuturePossiblefutureNow1. Trendanalysis2. Scenario development3. Backcasting4. Roadmapping5. Portfoliomanagement5.Business Roadmapping
    55. 55. iPad Mini kannibaliseert verkoop originele iPadAMSTERDAM - De verkoop van de 9,7 inch iPad groeit niet meer. Sinds dekomst van de iPad Mini neemt de verkoop van het originele model in Japanen de Verenigde Staten zelfs af.56http://www.nu.nl/gadgets/3190250/ipad-mini-kannibaliseert-verkoop-originele-ipad.htmlBusiness RoadmappingHow would Apple use its roadmap when introducing a new product?
    56. 56. There are innovation processes based on different types of roadmapsProduct-Technologyoptions evaluationRoadmapcreationDefinetargetsProduct-MarketanalysisMarketinformationTechnologyAssessmentIdentificationof TechnologyProjectproposalsBron: EIRMA /Phaal et al.Business Roadmapping
    57. 57. proces58Another example of a innovation process that usesseveral roadmaps
    58. 58. 59Back to Philips healthcare
    59. 59. 29-4-2013http://www.myzeo.com/sleep/http://www.philips.nl/c/audioproducten/mp3-link-aj7030d_12/prd/nl/Let’s create a roadmap for a new connected Philips product
    60. 60. 61Now, develop a business roadmap for the MyZeo that contains specificroadmap proprties based on the article on of Phaal et al. (2003).Assigment for part 2
    61. 61. Part 3P/S Roadmapping
    62. 62. 29-4-2013Visie IBMRoadmapping forproduct-servicecombinatiesTechnology roadmapping for technology-basedproduct–service integration:Youngjung Geum, Sungjoo Lee, Daekook Kang, YongtaePark J. Eng. Technol. Manage. 28 (2011) 128–146PS Roadmapping
    63. 63. 64MY
    65. 65. 29-4-2013The internet of things is nothing newThe application of IoT is new
    66. 66. If costs and benefits match…Costs of IoT Benefits of IoTSensor ~ 1 centUMTS chip ~ 10 centSource:alibababa.com
    67. 67. 29-4-2013683 types of streams1. information2. Feedback3. enhancementTHEN WISDOM AND KNOWLEDGE WILL BE THE NEXT CURRENCY
    68. 68. 29-4-201369The cloud will become the center of the ecosystem ofproduct service (IoT) combinations
    69. 69. That is because P/S systems contain several typical elementsPS Roadmapping
    70. 70. Example:71What’s on this managers mind at the end of each year?Harold GoddijnWhat are the minimumrequirements for my product to bedelivered? And what can I deliverlater (after sales)?PS Roadmapping
    71. 71. The minumum viable product is a guideline first product release andfollow uphttp://www.userdrivendev.com/p/mvp-for-enterprise.html``PS Roadmapping
    72. 72. To gain full advantage of this seperation the roadmap should be adjustedtimeTechnology(interface)ServiceBusiness/MarktProductKnowledge/competencesPS Roadmapping
    73. 73. Technology as an enablerTechnology directly enables the integrationof products and services, directly infused inthe process of integration.Even the individual product or service is nottechnology-embedded; the integration canbe realized by the technology.Bron:CSI–BobwilliamsTechnology indirectly enables the integrationof products and services by being applied tothe both products and services and providingthe means for integrationPS Roadmapping
    74. 74. Technology mediates the product-originated integration, particularly thetechnology-based servitizationBron:CSI–BobwilliamsTechnology mediates the service-originatedintegration, firstly applied to the serviceand the service is productized to providethe more valuable informationBron: www.evalan.comTechnology as a mediatorPS Roadmapping
    75. 75. Technology and products are independentlyapplied to the services, facilitating theproduct–service integration.Mostly happens in technology-basedmaintenance serviceBron:CSI–BobwilliamsTechnology facilitates the integrationof products and services,especially the integration towardthe productTechnology as a facilitatorwww.plymovent.comPS Roadmapping
    76. 76. Question: What kind of role would technology have in theproduct/service system of Car2Go?
    77. 77. Development of the roadmap on macro level (1)
    78. 78. Development of the roadmap on macro level (2)
    79. 79. Development of the roadmap on macro level (3)
    80. 80. QFD / linking grid is the proposed method to connect P/S/T within theroadmapService features adjusted tocustomer value driversLinking the features enablesbest selection of technologyIntermediary step from serviceto technology embedded service
    81. 81. Example of QFDScore van concurrentieRelatie van de eigenschappenValue map en attributen tabelklantwensenProduct eigenschappen
    82. 82. Case : Servitization of ehealth product83We currently produce inhalers for asthma patients. We are able to addtechnology to our product by implementing all kinds of sensors(flow/temp/RH/volume) and develop a service for nurses/patients/family etc.
    83. 83. 84AsthmapractitionerAsthma patientTeachersFamily care
    84. 84. 85Now, develop a roadmap for the product service system of the inhalercase that contains the specific roadmap adjustments based on thearticle on of Geum et al. (2011).Assigment for part 3
    85. 85. The end result displayed in a roadmap
    86. 86. 29-4-2013Jurjen Helmus@JRHelmusJ.R.Helmus@hva.nl0645464751