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A calculus for services innovation.

James M Tien1, Daniel Berg1

  • 1Department of Decision Sciences and Engineering Systems, Rensselaer Polytechnic Institute, Troy, New York USA.

Journal of Systems Science and Systems Engineering
|April 15, 2020
PubMed
Summary
This summary is machine-generated.

This study presents a systematic process for services innovation, focusing on e-services. It identifies key drivers, principles, and enablers to uncover new opportunities and future innovations in the digital economy.

Keywords:
Servicesadaptationautomationbusiness principlescollaborationcustomizationdecision informaticsglobalizationinnovationintegrationorganizationsoftware algorithmsstandardizationtelecommunication

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Area of Science:

  • Service Innovation
  • Electronic Services (e-services)
  • Business Strategy

Background:

  • Innovation in services, particularly e-services, requires a structured approach.
  • Existing frameworks may not fully capture the nuances of digital service development.
  • Understanding customer drivers and business foci is crucial for strategic innovation.

Purpose of the Study:

  • To develop a systematic process or calculus for services innovation.
  • To identify strategic drivers, tactical principles, and operational attributes for e-services.
  • To uncover potential 'white spaces' or 'blue oceans' for future service innovations.

Main Methods:

  • Analyzing strategic drivers (customer-focused: collaboration, customization, integration, adaptation).
  • Examining business foci (creation, solution, competition) and principles (market boundaries, big picture, demand expansion, strategic sequencing, organizational hurdles, execution).
  • Integrating technical enablers (algorithms, automation, telecommunication, etc.) and decision informatics attributes (real-time, adaptive, customer-centric).

Main Results:

  • A comprehensive framework for services innovation is established.
  • Identified four customer drivers, three business foci, six business principles, eight technical enablers, and six decision informatics attributes.
  • The process facilitates the identification of innovation opportunities and 'white spaces' in the e-services domain.

Conclusions:

  • The proposed calculus provides a roadmap for systematic innovation in e-services.
  • It aids in discovering both current opportunities and future innovations, addressing potential negative consequences of past innovations.
  • Future innovations could focus on privacy, security in interconnected environments, authoritative information access, and improved economic metrics for the knowledge economy.