Educational Challenges on Service Management AIM 2007 Bari

Educational Challenges on Service Management AIM 2007, Bari Prof. H. Meier Chair of Production Systems Ruhr-University Bochum, Germany Educational Challenges on Service Management – Horst Meier Slide 1

Educational Challenges on Service Management 1. Industrial Services • History and definitions • Economic demands and educational challenges 2. International study courses on service engineering 3. Service engineering in Bochum 4. Conclusions: Future demands on education Educational Challenges on Service Management – Horst Meier Slide 2

Development of industrial services Service Marketing Service Management Service Quality Service Engineering Industrial Product Service Systems 1970 1980 Educational Challenges on Service Management – Horst Meier 1990 2006 Slide 3

Product Service Systems Past Today Future „Service Products” „Extended Products“ Machine independent service Machine oriented service „Product Service Systems” Simultaneous and interfering product and service engineering S P P S Educational Challenges on Service Management – Horst Meier S S P P P S Slide 4

Definition of Industrial Product-Service-Systems – IPS 2: An IPS 2 is an integrated product and service offering that delivers values in use. Rajkumar Roy, Cranfield, UK That means in detail: IPS² is a new product understanding consisting of integrated product and service shares. IPS² comprises the integrated and mutually determined planning, development, provision and use. The option of partial substitution of product and service shares over the lifecycle. This integrated understanding leads to new, customer-adjusted solutions. IPS² enable innovative function-, availability- or result-oriented business models. Educational Challenges on Service Management – Horst Meier Slide 5

Educational Challenges on Service Management 1. Industrial services • History and definitions • Economic demands and educational challenges 2. International study courses on service engineering 3. Service engineering in Bochum 4. Conclusions: Future demands on education Educational Challenges on Service Management – Horst Meier Slide 6

Turnover and profit Total market volume of the interviewed German business companies in the production machine and plant construction industry: 43, 4 billion €: Profit in % of turnover 20% repairing remedy of defects (11%) maintenance spare parts and after market equipment (18%) 15% consulting (16%) other retrofitting financial services 10% final inspection training 5% second hand machines (8%) commission installation trading with new machines (2, 3%) 0% 25% 50% 75% turnover Reference: Mercer Management Consulting 2003, Umfrage unter 200 Unternehmen des Maschinen-Anlagenbaus Educational Challenges on Service Management – Horst Meier Slide 7

From Leadership in Technology to Leadership in Utilization dissatisfaction of the consumer by increasing the level of technology Motivation for the supplier: • rise of customer loyalty Motivation for the customer new service-based business models • opening of new business fields • development of market shares • information about the use of its products to create innovations Challenge for the supplier: • focusing on core competences • to make new technologies accessible • reduction of capital lock-up Challenge for the customer: • create new business models • to evaluate chances and risks • to identify and evaluate chances and risks • identification of core competencies • development of service processes • industrialization and automation of services • new understanding of products: • innovative product-service-systems • suitable development processes • to calculate own processes QA optimierung MES / PPS Modernisierung Simulation Personnel Instandhaltung Maintenance Teleservice Tooling Supplies Ramp-Up Optimization Schulung. . . Prozess optimierung Educational Challenges on Service Management – Horst Meier • openness to the supplier: • transparent processes • organization • Internet (remote service) Slide 8

Challenges for Future Engineers § § § § Understand identify the real demands of the customers first Develop proper business models Innovation creation by integrated industrial product-service-systems Design service processes Modeling and simulation of digital service processes Establish a suitable service organization Industrialization of service processes (standardization and automation) IPS² Designer Customer WWW Supplier Service Provider automated semi-automated manual Educational Challenges on Service Management – Horst Meier Slide 9

Educational Challenges § § § Paradigm shift for a new product understanding How to apply an integrated engineering process To teach suitable methods and tools for an integrated product-service-engineering • modeling and simulation of service processes • automation by means of digital service Industrial Product. Service- Systems processes • real time service execution system P P S S P P P Integrated Product-Service. Modules P Individual modules Educational Challenges on Service Management – Horst Meier S S P S Slide 10 S

International Educational Challenges Current Chinese/German Research Project Challenges of industrial services Customer Advantage Ø Function-oriented Ø Availability-oriented Ø Result-oriented Process optimization Commissioning Upgrading Maintenance Resources Processes Ø Network design Ø Service Process design Ø Communication and Information technologies Ø Qualification Ø IT-Support Systems Ø Locations Teleservice Ramp-Up Training. . . Educational Challenges § Demand risk analysis of international Business models § Designing of service processes distributed world wide § Establishing global service supply chains § How to provide service processes time and place independent § How to train and support global human resources best Educational Challenges on Service Management – Horst Meier Slide 11

Educational Challenges on Service Management 1. Industrial services 2. International study courses on service engineering 3. Service engineering in Bochum 4. Conclusions: Future demands on education Educational Challenges on Service Management – Horst Meier Slide 12

International study courses Master courses on “Service”: • Service Engineering and Management (Universidade do Porto) • Product-Service-Systems Design (Politecnico di Milano, together with • • • Glasgow School of Art Köln International School of Design University of Art and Design Helsinki Les Ateliers/ENSCI Paris Konstfack - University College of Arts Crafts and Design Stockholm State Academy of Art and Design Stuttgart Other offers: • Service engineering focusing the Information technology • Building services engineering • Service design as a part of business administration Educational Challenges on Service Management – Horst Meier Slide 13

Example for International Study Courses: Porto Universidade do Porto: Master on Services Engineering and Management • It aims at developing competences to conceive, design, implement and operate technology enabled service systems. • English proficiency is required. Educational Challenges on Service Management – Horst Meier Slide 14

Example for International study courses: Milano Politecnico di Milano: Master of Science in Product. Service-Systems Design • It starts from the experience of the MEDes programme (Master of Science of European Design). This is a European network formed by six design universities in Europe, including the Politecnico. • All tuition, examinations and subject materials will be in English Educational Challenges on Service Management – Horst Meier Slide 15

Educational Challenges on Service Management 1. Industrial services 2. International study courses on service engineering 3. Service engineering in Bochum 4. Conclusions: Future demands on education Educational Challenges on Service Management – Horst Meier Slide 16

Service Engineering First lecture summer semester 2007 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. Service based business models Procedure models and assigned methods Service process development Service management systems Remote service systems Augmented reality Service robotic Calculation and controlling Service contracting Industrial lectures Educational Challenges on Service Management – Horst Meier Slide 17

Business Models value proposition IPS 2 - use models functionoriented architecture of value creation availabilityoriented resultorientiert occurrence of IPS 2 product service P S supplier consortium turn over model pay on order Educational Challenges on Service Management – Horst Meier pay on availability pay on production Slide 18

Specification of Innovative Business Models Availability oriented Result oriented Turn over model Pay on service order Pay on availability Pay on production Production responsibility Customer Supplier operating personnel Customer Supplier Service initiative Customer Supplier maintenance personnel Customer/ Supplier Educational Challenges on Service Management – Horst Meier IP S² sp an ecif d ic qu te al ch ifi ni ca ca tio l, n org de a m niz an at ds io n al Function oriented Supplier Slide 19

Eight Step Procedure Model and Assigned Methods and Tools Control Gate VII. Use by customers l. G ate VI. Implementation ntr o VIII. Feedback Co Analysis, validation and integration of feedback P S ts ire Integrated design u eq Customer R n me Identification und Analysis Identify specifications nt e ate Co at nt l. G ro ro l. G Co Build principle solutions Control Gate Educational Challenges on Service Management – Horst Meier Slide 20

Service Process Development The customer is always part of the process! supplier processes OEM processes customer processes part processes choice of optimal part process provider by criteria: - reaction time - abilities/competence - price - risk service process library Product Service System problem of the customer Educational Challenges on Service Management – Horst Meier requirements analysis Slide 21

Elements of a Service Management System Remote service Call Center ERP-/PPSSystem Mobile service support systems Asset-, Configuration-, Contract-, Call. Management, Dispatch Internet Service Portal • Customers • Engineers • Subcontractors • Knowledge Source: VDMA Office Integration Educational Challenges on Service Management – Horst Meier Slide 22

Remote Service Systems The use of modern information and communication technology combined with multimedia-based tools features the opportunity to achieve sustained improvement of the own competitive position in spite of great geographic distance. Customer Organization Tools £ £ £ Video/Audio conferencing Helpdesk Application Sharing E-Mail Data transfer £ £ Service-Management Project management Workflow-Management ERP/PPS OEM-Producer Fieldbus LAN Control center LAN In house experts Data £ £ £ £ Contracts Master data (Products, Customers, Suppliers) technical documentation Object list, drawings, circuit diagrams Software/-versions Failure database, knowledge base Installation reports Supplier Educational Challenges on Service Management – Horst Meier Slide 23

Augmented Reality for Service: Technicians’ support Tracker Disassembling / Assembling instructions Localization of parts and malfunctions § § § Overview of VR/AR technologies tools and methods Advantages and disadvantages of AR How to apply AR for industrial services How to establish an AR system Industrial examples Educational Challenges on Service Management – Horst Meier Source: C-LAB, Siemens AG Slide 24

Law, Contracts and Pricing 14 Law, contracts and pricing 14. 1 Basic law of contracts • Comparison of relevant contract types • Basic principles of liability/responsibility 14. 2 14. 3 14. 4 14. 5 Contract types depending on the value proposition Drafting of a service agreement Example Remote service agreement Calculating and pricing for service agreements Vertrag kommt von vertragen Agreement is derived from „to agree“ Educational Challenges on Service Management – Horst Meier Slide 25

Industrial Contributions: e. g. Remote Service in Practice Educational Challenges on Service Management – Horst Meier Slide 26

Educational Challenges on Service Management 1. Industrial services 2. International study courses on service engineering 3. Service engineering in Bochum 4. Conclusions: Future demands on education Educational Challenges on Service Management – Horst Meier Slide 27

Conclusions: Future demands on education • Service engineering has to become a part of mechanical engineering (similar situation with industrial management in the past) • First study courses and lectures on “Service” arise • There are only a few proper methods and tools for an integrated product service engineering • Business games and industrial examples can help to support the paradigm shift in product understanding • There is a lack of special textbooks for students of mechanical engineering • There is a need for international curriculums Educational Challenges on Service Management – Horst Meier Slide 28

Thanks for Your Attention Prof. Dr. -Ing. Horst Meier Chair of Production Systems Ruhr-University of Bochum D-44780 Bochum Phone: +49 234/32 -26310 email: meier@lps. rub. de www. lps. ruhr-uni-bochum. de Educational Challenges on Service Management – Horst Meier Slide 29

Service Robotics for Industrial Applications Future Requirements: § Manlike kinetic skills (e. g. gripping) § Remote controlled or automatically controlled § Navigation in unknown dynamically changing surroundings § Mechanical interaction with humans: Safety features and equipment § Communicational interaction with humans source: SFB 588 Educational Challenges on Service Management – Horst Meier Slide 30

Definitions on Service Engineering The process of determining the integrity of material and services in order to measure and maintain operational reliability, approving modifications of design, and following through by conforming with specifications and standards. Academic Press Dictionary of Science and Technology, 1995 The goal of Service Engineering is to develop scientifically-based design principles and tools (often culminating in software), that support and balance service quality and efficiency, from the likely conflicting perspectives of customers, servers, managers, and society. (Service Engineering is to be compared against the more prevalent Industrial Engineering and Service Management). Avishai Mandelbaum, 1998 Educational Challenges on Service Management – Horst Meier Slide 31

Introduction of my Chair Engineering sciences combine basic and applied research for innovations. It is characterized by high interdisciplinary collaboration. Research in Industrial Production Systems involves technical, organizational and human aspects. Production Management Ø Manufacturing Execution Systems Human Ø Supply Chain Management Time Ø Digital Factory Industrial Product Service Systems Customer Manufacturer Goals of Production systems Ø Service Engineering Ø Remote Service Ø Service Supply Chain LAN Technologies and Automation Ø Incremental Sheet Metal Forming Quality Technique Costs Organization Ø Ring Rolling Ø Selective Laser Melting Educational Challenges on Service Management – Horst Meier Slide 32