Service, value networks and learning

Service, value networks and learning

2009 | Robert F. Lusch · Stephen L. Vargo · Mohan Tanniru
This paper explores the shift in supply chain management (SCM) and marketing from a focus on goods to a broader focus on partnerships, value networks, service provision, and value creation. It introduces service-dominant (S–D) logic as a new framework for integrating marketing and SCM practices and research. S–D logic views service as the basis of economic activity, where service is exchanged for service. It emphasizes the importance of service-centric processes and the role of service in creating value. The paper applies S–D logic to SCM, viewing goods as service distribution or provisioning mechanisms. It explores the concept of a value network, which is a complex, adaptive structure of loosely coupled actors interacting to co-produce, exchange, and co-create value. The paper develops a model of the firm as an essential service provisioning agent within a value network. It also identifies research and managerial opportunities for marketing and SCM scholars, as well as opportunities for organizations to improve their ability to serve customers and partners by adopting a service-dominant orientation. The paper argues that SCM research and practices fit naturally with a service-centered view, as they involve developing and integrating resources to create competitive value propositions. Information technology (IT) supports this view by distributing information and business processes throughout the value network. The paper also discusses the convergence of marketing and SCM around the concept of a value network, which is central to S–D logic. It highlights the importance of agility, adaptability, and learning in value networks, especially in knowledge-rich and turbulent environments. The paper concludes that value enhances supply by making it more integrative with customers and marketing.This paper explores the shift in supply chain management (SCM) and marketing from a focus on goods to a broader focus on partnerships, value networks, service provision, and value creation. It introduces service-dominant (S–D) logic as a new framework for integrating marketing and SCM practices and research. S–D logic views service as the basis of economic activity, where service is exchanged for service. It emphasizes the importance of service-centric processes and the role of service in creating value. The paper applies S–D logic to SCM, viewing goods as service distribution or provisioning mechanisms. It explores the concept of a value network, which is a complex, adaptive structure of loosely coupled actors interacting to co-produce, exchange, and co-create value. The paper develops a model of the firm as an essential service provisioning agent within a value network. It also identifies research and managerial opportunities for marketing and SCM scholars, as well as opportunities for organizations to improve their ability to serve customers and partners by adopting a service-dominant orientation. The paper argues that SCM research and practices fit naturally with a service-centered view, as they involve developing and integrating resources to create competitive value propositions. Information technology (IT) supports this view by distributing information and business processes throughout the value network. The paper also discusses the convergence of marketing and SCM around the concept of a value network, which is central to S–D logic. It highlights the importance of agility, adaptability, and learning in value networks, especially in knowledge-rich and turbulent environments. The paper concludes that value enhances supply by making it more integrative with customers and marketing.
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