Service-Dominant Logic and Service Science as Lenses for Service Productivity

The next chapter, written by Bo Edvardsson, contributes to that discussion, arguing that productivity, as it has traditionally been defined, is a concept that belongs to an old school of thought on value and value creation in which value is linked to units of output described in terms such as goods, services, products, process material etc. The new school of thought suggests that value is not embedded in units of output but is rather co-created with customers and other actors. Goods, services, products, information, knowledge and processed material are understood as resources or enablers for actors’ integration of and operation of these resources, in a specific context with a specific intention in mind. Value is assessed by these actors on the basis of value-in-use in their contexts. This will have major implications for how we understand and conceptualize the productivity concept in the future. The chapter sheds light on service productivity from service-dominant (S-D) logic, service system and service innovation points of view and argues the need for a science of service. Particularly, this chapter help managers to understand what value means to customers and consumers (not just producers and suppliers), developing the capability to design and to deliver services rather than products and creating a service culture are essential for competitive service organizations.