Evaluation of Variety-induced Costs in Product-Service Systems (PSS)

In this paper a new model is presented for the evaluation of variety-induced costs in product-service systems. The model consists of a descriptive model visualizing variety within the integrated product-service system and an explanatory model quantifying the cost of a given PSS configuration. The de...

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Bibliographic Details
Published in:Procedia CIRP 2017, Vol.61, p.673-678
Main Authors: Schuh, Guenther, Riesener, Michael, Breunig, Stefan, Koch, Jan, Kuntz, Jan
Format: Article
Language:English
Subjects:
cost calculation
Product-service system
variety management
variety-induced costs
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Summary:In this paper a new model is presented for the evaluation of variety-induced costs in product-service systems. The model consists of a descriptive model visualizing variety within the integrated product-service system and an explanatory model quantifying the cost of a given PSS configuration. The descriptive model uses the concept of a hierarchical feature tree, which visualizes the multitude of possible configurations derived from offered product and service features. In the explanatory model the influence of variety within a PSS configuration on the overall cost is analyzed. Since a PSS is an integrated system the cost-relevant interdependencies between product and service features are furthermore evaluated. The model was applied to a case study at a company in the machinery industry offering a broad range of product variants and services.
ISSN:2212-8271
2212-8271
DOI:10.1016/j.procir.2016.11.239