Value Drivers For Smart Service Technology

The service industry is rapidly expanding. Organizations that do not innovate through services will be unable to effectively compete in the current marketplace (Bitner et al., 2008). In response, OEMs have developed smart services. Smart services are preemptive actions that are taken by the manufacturers of connected devices based on information collected from sensors embedded in the machines. The success of this service innovation depends on the vendor’s ability to understand and address its clients’ value drivers (Spohrer and Maglio, 2008). This study attempts to understand the factors that lead a customer to value and adopt smart services in the building efficiency industry. The results will show that smart services in the building efficiency industry are valued when the offerings are appropriate for a client’s size; improve on existing decision making technology; are easy to implement; and are believable and reliable.