Boundry Identification And Optimal State Determination Of Manufacturing Enterprise Service Derivative

The purpose of the service transformation of the manufacturing enterprise's is to be able to get rid of product homogenous competition and create new competitive advantages by providing service offering rely on products.As a major means to achieve the above objectives,service derivative can realize the value-creation between the supply and demand sides effectively.However,it also faces the trap of the “service paradox”.As a result,with the phenomenon of the “service paradox” as the starting point,how to identify the service derivative boundry and determinate the optimal state within the boundry become the main problems that need to be solved in this paper.Based on the theoretical analysis and literature review of the research that related to service derivative,the relationship bewtween service derivative and enterprise performance is clarified.By analyzing the process of manufacturing enterprises' service derivative,the existence and reasons of the service derivative boundry are analyzed.An analytical framework of the service derivative boundry based on the two-dimensional perspective of service breadth and depth is constructed.From the perspective of customer demand and customer preference,the boundry of the service derivative breadth and depth are identified by the Hotelling model.Finally,with the goal of customer value creation,this paper determine the optimal state within the service derivative boundry by the principal-agent theory.Focusing on the these issues,the following conclusions are drawn through the above research process:(1)The service breadth and depth can effectively describe the degree of service derivative.The purpose of the manufacturing enterprise service derivative is to solve customers' s problems effectively and to achieve the value creation of the supply and demand sides.The analysis of service derivative from a two-demensional perspective of service breadth and service depth helps reveal the process of service derivative value creation.(2)The service breadth under the market demand and service depth under the customer preference constitute the implementation boundry of the manufacturingenterprise service derivative.The service derivative breadth matches wiht the width of customers' needs satisfaction,and the service derivative depth matches with the customers' actual preference.Service derivative width and depth expand the profit-making space for the manufacturing enterprise at the same time as costs,and thus providing the evidence of value creation of the supply and demand sides for the manufacturing enterprise.(3)The service breadth and depth that maximizes customer value determines the optimal state within the feasible boundry of the manufacturing enterprise service derivative.The realization process of manufacturing enterprise service derivative can be regarded as signing the contracts for customers to entrust manufacturers to solve their own problems.The implementation process must be based on the guarantee of profitability of manufactuting enterprise.And the maximum value creation is the goal,then provide the integrated solutions within the feasible region of the service width and depth.The optimal state within the boundry of service derivative corresponds to the integrated solution that maximizes the customer value.This research will help manufacturing enterprise create value through the enhancement of the service derivative width and depth.At the same time,it will clarify the service derivative boundry and provide theoretical and practical evidence for further development of service oriented manufacturing transformation to create greater customer value.