Conceptualising a product service system aditya pawar

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  • 1. 1Information mobility and re-productionMika Liao, Chetan K.S, Gil Nachmany, Aditya PawarIndustrial Design EngineeringTUDelftLandbergstraat 15NL 2628 CE DelftThe NetherlandsABSTRACTThis paper proposes a product service system (PSS) thatattempts to create a sustainable enterprise by facilitatingthe functions of existing systems at TUDelft,Netherlands. The design anticipates the needs andopportunities that the Mekelpark project at the TUDelftcould give rise to and caters to them.The systems that have been integrated by the PSSenterprise include – mobility of books from the library,procurement & circulation of readers, printing andcopying services. Additional to the PSS a fewrecommendations are given to make the campus moresustainable, for example a provision for a centralizedprinting facility at the TUDelft.The paper states the project methodology and analysisof the existing systems, leading to identification ofneeds and opportunities. Described next are thecomponents of the designed PSS and its businessdevelopment process. The paper concludes by assessingthe PSS on sustainable quality in terms of the business-economic, the environmental and the social aspects.KeywordsProduct service system, mobility solutions, sustainablecampus. Mekelpark, TUDelft.1. INTRODUCTIONAny change in a system, even with best intentionsaffects other subsystems or supporting systems. This inturn has consequences on the behavior of people in theway they use and interact with the whole system. In thispaper we are dealing with the changes pertaining totransportation/mobility and infrastructure in TU Delftcampus as a consequence of the Mekelweg Project.Mekelpark is proposed to be the new heart of the TUDelft campus. Mekelweg and its surroundings are beingtransformed into a car-free zone. It is proposed to runthe new tram line (No. 19) through the park. The parkwould feature an undulating landscape with avenues oftrees and a facelift to the faculties such that theirforecourts blend with it.The Mekelpark project would significantly influencethe mobility of people and material within the TUDelftcampus. The transformation of Mekelweg intoMekelpark will not only beautify the campusenvironment, but also demand more responsiblebehavior from the people involved (student, staff,maintenance etc).This project attempts to identify mobility relatedproblems that already exists or might arise in TU Delftcampus with the implementation of Mekelpark project.The identified issues are evaluated for its severity byinterviewing the involved stakeholders. Finally one ofthe issues is shortlisted and a solution based on aproduct service combination proposed.2. PROJECT APPROACH AND METHODThe project began with problem identification in thearea of mobility within the TU Delft campus. Possibleproblems and needs were identified through an internalbrainstorm session.This was followed by data-collection in the form ofobservation at faculties and interviews with thestakeholders, with the aim of verifying our initialassumptions on problems and/or needs. This gave us aclearer picture of the existing scenario on campus, andseverity of each identified problem.System-maps were developed for some of theshortlisted problems/needs in the TU Delft campus.This helped us to analyze and understand the involvedstakeholders and the interactions involved betweenthem. Some of the problems were later groupedtogether based on the similarities and possibilities ofone common feasible solution proposed.The design process began with the formulation of needsand requirements for the new product service system. Asystem map based on the listed needs and requirementswas developed. This new system map was developed ina way that it could be integrated with the existingsystem infrastructure, with minimum intervention ormodification.A financial flow model was also developed tounderstand how the new product service system canbecome a successful and sustainable business. The newproposed PSS design was later rated from asustainability point of view using sustainability radars.
  • 2. 23. ANALYSISThe brainstorming session yielded an exhaustive list ofmobility related problems, needs and opportunities thatalready exist or that might arise after theimplementation of Mekelpark project. Some of themwere:• Shopping solution for student housing (mostlya weekend activity)• General commuting services in campus(mostly a weekday activity)• Mobility solutions for social recreation (by carand bikes)• Transport service from Schiphol to TUDelft• Bi-cycle parking and repair facilities• Waste and garbage management• Food delivery and catering services• Library book circulation• Delivery of readers, books and other printmaterials• Mobility service for the disabledWe conducted a series of interviews with students andstaff regarding their problems and needs with regards tothe above listed issues.After a analysis of all the feedback we received fromthe initial data collection process, we rejected a few ofthe options. For example the idea for a catering servicewas dropped as the services offered by Sodexo (atTUDelft) were already highly subsidized and anyintervention would simply add to the costs without thePSS getting back enough returns.The area of intervention finally chosen was the need formaximum library utilization and better printingservices. This was based on a vision to better utilizethese services in a more efficient yet sustainablemanner.4. COMPONENTS OF THE SYSTEM4.1 Library utilization:The Central library catered to different type of clientswho had separate requirements. The main stakeholderswithin the TU Delft campus, utilising the bookborrowing service are, students, researchers, teachingStaff and faculty libraries. The books available in thelibrary can be requested for issue / borrowing throughthe internet. However, the books are picked up andreturned manually by the students. The researchersusually request for a lot of books, which they have tocollect from library and return themselves at a time. Butthe teaching staff and faculty libraries can place orderfor a lot of books at a time and they are usuallydelivered and picked up by a book delivery and returnservice using a motor vehicle. This facility is notavailable to all the users of the library. This seems todiscourage many of the students from frequentlyborrowing books and utilizing the library serviceeffectively.We came across many students who have not got theirlibrary card issued and some of them had not borrowedbooks more than couple of times. The fact that theyhave to walk or bike all the way to library to issue orreturn a book, especially when weather is bad is verydiscouraging. Many students admitted the fact that theywere not punctual in returning the books and sometimesthey did not collect the books they had requestedonline.Figure 1. Existing library utilization system4.2 Reader ordering system:Currently, Students place an order for readers for theircourses online through the ‘black board’. The paymentis also made online. The readers are delivered to theirrespective faculty within a week. Students can collectthe readers from their respective faculty. Extra postalcharges are levied, if the reader has to be delivered toany address other than the faculty. The readers arecurrently being printed at Leiden, Netherlands.On talking to the students we stumbled up on the factthat, they usually try to purchase or borrow used readersfrom other students. However, sometimes the newreaders have additional information, which have to beseparately photo copied or printed.There were many students’ who preferred the idea ofre- circulating readers instead of buying new readersbut they did not know how to get access, buy or borrowused readers. At present the recirculation of usedreaders is not organized or regulated.In the later sections of the paper, it is proposed that theused readers can be donated or sold at cheap rates to thelibrary and the students can issue them as regularbooks.
  • 3. 3Figure 2.Existing reader ordering system4.2 Printing and Copying:It was noticed that students print a lot of the digitalinformation for reading purpose. Also, Studentsfrequently have the need to copy portions of librarybook that they borrow for future reference. The studentscan process printing (both black and white and colour)in their faculties and in the library. The photocopies ofthe books can be made in library or in faculty facilities(provided there are no copy write issues). The studentspay a nominal charge for printing and making photocopies. But what is problematic is the wastage ofpapers, ink and overloading of machines and alsoincreased waiting time due to paper jams and printermaintenance. The cumulative loss of resource andenergy is anticipated to be significantly high.Figure 3. Current printing and copying systemCurrently, TU Delft has a total of 341 printers andcopiers. All the faculties use NRG MP C2500 PS seriesof printers. The requirement of each machine is about1680W. It is estimated that each machine is used for anaverage of 3 hours everyday. Therefore average powerconsumption is 5KWH per printer. The official sourcesestimate an average loss or wastage of 10 papers perprinter everyday due to misprint, wrong print command,paper jam etc.Thus, in the new proposed system, it is recommendedthat there be a central printing facility (inside theTUDelft, perhaps an extension of the library) that canbe more efficient in tackling the before mentionedproblems.On interviewing the students (mainly in IO), some ofthe needs and requirements that surfaced were withregards to speciality printing. Students and staff wantfacilities that will enable them to get high quality printson different quality and size of papers. There wasevident need for a system that could support studentswith large quantity of prints and binding like in case ofthesis reports.5. PROBLEM IDENTIFICATION AND OPPORTUNITYThe main problems identified upon analyzing the abovethree systems in TU Delft are:1. There is a need to encourage more students touse the library services more frequently.2. Lack of time and other conditions like badweather discourage people from visiting thelibrary.3. Users do not return books on time.4. Borrowing books for long durations of timemight create deficiency in the library stock.5. Lack of regulated and organized recirculationof used readers.6. Wastage of paper in prints and photocopies7. Need for speciality printing8. Need for services for large quantity printingwithin campusFigure 4. Problems
  • 4. 4The problem definition:To design a Sustainable Mobility Concept thatintegrates the distribution of knowledge resources(books, journals, reports) and their Reproduction.Designed for TU Delft.6. DESIGNING A NEW PSSThe new PSS was designed to include the centrallibrary, printing system and reader printing system. Thenew system is designed around a logistic provider (butbased on the already existing stock management andonline ordering system). The logistic provider will becentrally placed in the system map as shown in figure 5.The logistic provider will own their own hybriddelivery vehicles. The vehicles used would be humanpowered electric vehicles (HPV). The logistic providerwill employ people to drive these vehicles through thecampus in the route as shown in route map, figure 6. Anemployee from the logistic provider will be installed inthe library to process the web requests made by thestudents and staff for books and photocopies. They willprocess the orders and schedule the trips andconsignments to each delivery vehicle. The serviceproviders will link the students, researchers and staffwith the library and print house through the facultyservice desks.Figure 7 and 8 paint a scenario from the point of viewof the users. The students and staff will place requestfor books and photocopies from the internet. Onlinethey can check the earliest possible time of delivery ofbooks and photocopies to their faculties. The logisticprovider collects the consignments from the centrallibrary and delivery them to the faculty service desk.The books returned by the students and staff will becollected from the service desk and delivered back tothe central library. It is also possible to incorporate apostbox at the service desk for incoming and outgoingbooks as seen in a number of libraries.The students can place an online order for readers,printing graduation reports or other large quantity printsto the print house located within the TU Delft campus.When the orders are ready for dispatch from the printhouse, the logistic provider will collect the consignmentfrom the print house and deliver them to the facultyservice desk to be collected by the customers.Figure 5. PSSFigure 6. HPV route through the TUDelftFigure 7. Ordering of books and copy of literatureFigure 8. Ordering of prints, readers, journals7. BUSINESS DEVELOPMENTThe new product service system will involve a logisticprovider as discussed earlier. The logistic provider canbe an external business venture. This business venturecan find its initial capital investment mainly fromprivate investors. TU Delft can also support thebusiness venture through some initial investments.The logistic service provider needs to invest mainly onprocuring hybrid human powered electric vehicles fortransporting books and other knowledge materialswithin the campus. The logistic provider will also needto recruit people for driving these vehicles and alsosupport staff to be assigned their jobs at the library.These support staff will handle the requests for books
  • 5. 5and prints made by students and staff. They will supportthe library staff and will also be responsible forallocating route, scheduling trips and consignments foreach delivery vehicle.Initially this service will cater to the needs of studentsand staff by delivering books and photocopies fromcentral library only. The pilot installation will involve 2hybrid delivery vehicles which will do rounds aroundthe TU Delft campus through all the faculties, bycollecting and delivering library books at regularizedtimings. This pilot installation will help in stabilizingthe system and helping the students and staff to getaccustomed to this new way of book delivery andpickup system.The second phase of the PSS installation will involvethe print house, centrally located in TU Delft. The printhouse will be fully owned by TU Delft. It will becapable of processing large print orders, printingreaders in-house and also handle speciality printingorders from student and staff. To make its businessprofitable and sustainable, it will also process printorders from clients outside the campus.Apart from the above mentioned benefits the printhouse can act as a regulatory body when it comes toprinting. It can regulate the printing by usingecofriendly inks and/or recycled paper. It can also printdocuments double sided by default if not requestedotherwise. Wastage of paper due to wrong commands isavoided altogether. In all this facility can make theprinting process much more sustainable.In the second phase, the logistic service provider willadd two more hybrid vehicles to their existing fleet ofvehicles. These vehicles will be used to collect thereaders, prints and graduation reports from the printhouse and deliver them to the respective faculties(faculty service desks).Figure 9. Business DevelopmentApart from strategizing the business installation anddevelopment, it is also necessary to have a clearunderstanding of financial inflow and earning needed tokeep the business healthy and profitable.While trying to chalk out the money flow within thesystem, several models and funding resources arise. Thefirst and most important aspect in this infrastructurebased product service system is the relatively highinitial investment. Therefore, based on theenvironmental contribution and educational orientationof the offered system, the initial investment can beraised based on funding from governmental bodies andNGOs on one hand, while on the other hand franchiserscan finance certain percentage of the initial investmentbased on contracts for long term services.Based on the initial investment in infrastructure,additional development of the logistics setup(warehouse, HPV), library inventory management andprint house establishment should be done. That will bedone by TU Delft and the franchisers themselves, basedon future profit from the offered services.Figure 10. Human powered Vehicle (HPV) used in thePSSExpanding the transportation service outside the TUDelft campus based on the given library and print houseservices, for the use of the local education system andbusiness, can raise the profit or subsidize the cost forstudents. Therefore, three price levels can be offered toevery given service - academic use of staff member orstudent, private use of staff member or student andexternal customers as local businesses.In Addition to gain profit on one hand, and to minimizethe environmental footprint, every service should bequantified, priced and debited. In the case of TU Delft’sstaff, the academy should pay for the given service,while every staff member or academic body will have alimited quota. In all the other cases the customer willpay directly for the given service. The print house canextend its services to external clients for more businessto gain returns for the high investments made. Thelogistic service providers can have external incomesource through advertisements and also by renting thehybrid vehicles for tourist recreation during weekendsand holidays.Regarding the printers it must be noted that few printerswould always be available at the individual faculties’.But as a policy measure (on behalf of the TUDelft) itmight be necessary to provide the prints through theprint house cheaper than that at the faculties.
  • 6. 68. EVALUATIONThe product service enterprise is assessed using thesustainability radar. Figure 11 gives the PSS evaluationwith respect to environmental sustainability, figure 12for the socio- ethical sustainability and figure 13 givesits level of economical sustainability.Environmental sustainabilityIt can be seen that the system is more environmentfriendly when it comes to resource reduction anddistribution reduction i.e. instead of all students movingfrom the central library to their faculty now a PSS doesthe rounds of the campus effectively providing themwith the library service with equal consistency.Also, it is seen that the books getting returned can beput back into circulation much faster. It has beenobserved that professors and students often keep bookissued even though they need to refer to just onechapter. If a copy (in the form of a hard or soft copy)can be made for them of the desired section of the book,they would be willing to give back the book earlier.This is facilitated by the print house and the PSS.Reduction of resources is also relevant regarding the re-circulation of the readers. This saves further printingcosts and makes the readers available to students as perneed basis.In terms of waste minimization, the print house doesbetter job of keeping it in check. Errors due to wrongcommands, papers getting jammed, and cartridgesrunning out of ink can be avoided. Further moreprinting in double sided default mode can help conservesome more paper.The system life operation can also be seen to beimproved as the books from the library can be incirculation for a longer time making optimizing theirutilization.In terms of toxic reduction, the HPV are humanpowered thus do not pollute the environment and arehealthy for the drivers to run. The print house uses ecofriendly inks thus reducing the harmful affects of theenvironment.Socio Ethical SustainabilityThe PSS is strong in the sense of encouragingsustainable consumption; this can be seen the usage ofbetter printing practices, re-circulation of readers, andthe option of selective reproduction of books.The service also empowers local usage of resources interms of having a printing facility at the TUDelftcampus itself which also becomes a money makingenterprise in itself.Regarding justice to stake holders and employement,mostly the students reap the benefits provide by thesystem. It is also possible for the students to get hiredpart time to run the HPVs.Economical SustainabilityIt is seen that the PSS is strongest from the point ofpotential collaborations and added value to thecustomers.Having the PSS in the TUDelft campus itself make itthe only service that integrates otherwise isolatedfacilities. It is a added value for the users and it savesthem time, makes books more accessible, increases thequality (specialized printing) and gives them pride asbeing part of a sustainable system and campus.The PSS can potentially have alliances with the variouscity libraries. Rent out its HPV and offer its printingservices to the public. This gets in extra income andmakes the PSS more economically sustainable.The PSS can be optimized of it offers a competitiveprice especially for the printing services. By way ofprofitability the PSS earns money by advertising andrenting HPVs as well as getting a share from theTUDelft and copying/ printing.The PSS assumes that for the academic context, paperuse will prevail for a long time to come but it can besaid to be threated by the trend of electronic dataexchange. In that case the PSS might need to be adaptedto provide the users with soft copies of referencematerial rather than hard copies.In terms of the macro effect, the PSS earns revenueeven after offereing cheaper prices just because it isable to reach a large enough number of students. Butthis could give rise to feasibility problems witheconomic impact.Figure 11. Environmental sustainability
  • 7. 7Figure 12. Socio – Ethical sustainabilityFigure 13. Economic sustainability9. REFERENCES• Keskin D. et al, 2008, An analysis of publicuse bicycle systems from a product servicesystem perspective, Proceedings of the TMCE2008.• Mihyeon Jeon Christy, Amekudzi Adjo,Addressing Sustainability in TransportationSystems:Definitions, Indicators, and Metrics.• Litman Todd, 2008, Developing Indicators ForComprehensive and Sustainable TransportPlanning,” Transportation Research Record2017, Transportation Research Board(www.trb.org), 2007, pp. 10-15.• Integrating Sustainability into theTransportation Planning Process, Conferenceproceedings 37 (2004), Transportationresearch board of the National academies,Baltimore, Maryland.• Wachs Martin, 2004, What Are the Challengesto Creating Sustainable Transportation? HowCan Transportation Systems Become MoreSustainable? Conference proceedings 37(2004), Transportation research board of theNational academies, Baltimore, Maryland.,
  • 8. 10. APPENDIXGiven below are the diagrams used in the paper in a larger format.Figure 1. Existing library utilization systemFigure 2.Existing reader ordering system
  • 9. Figure 3. Current printing and copying systemFigure 5. Proposed PSS System
  • 10. Figure 6. HPV route through the TUDelftFigure 7. Ordering of books and copy of literature
  • 11. Figure 8. Ordering of prints, readers, journalsFigure 9. Business Development
  • 12. Figure 11. Environmental sustainabilityFigure 12. Socio – Ethical sustainability
  • 13. Figure 13. Economic sustainability