An International Research Handbook
PRIME Series on Research and Innovation Policy in Europe
Edited by Ruud E. Smits, Stefan Kuhlmann and Phillip Shapira
Chapter 13: Managing the Soft Side of Innovation: How do Practitioners, Researchers and Policymakers Deal with Service Innovation?
Pim den Hertog INTRODUCTION 1 Services and service innovation are ubiquitous. Some of these can be clearly observed in our role as end consumers. For example. new global positioning systems (GPS) are changing radically the ways in which we navigate through traffic and cities and form the basis for a whole new generation of location-based services. New retail models are appearing not only in the high streets but on the internet as well, leading to new service experiences. Digital marketplaces are transforming some consumers into traders. New business models - such as those exemplified by low-cost airlines or in retail banking - are changing our lives on a daily basis. In the business setting. innovative services are offered on almost all business processes including HR services, logistics, financial services and marketing. Electronic marketplaces have created both scale and niches to allow for new service offerings. Firms are confronted with all kind of innovative new services, which are wrapped around capital goods such as printer/copiers or advanced medical equipment. In fact these are the service activities where value is added at an increasing rate. Some manufacturers are even gradually transforming themselves into service providers or in some cases selling off their manufacturing activities completely (IBM is a well-known example here). In typical not-for-profit sectors such as education, safety and government we see new ways in which producers and final users interact, and new ways in which services are delivered and service concepts used. Think of one-stop shopping concepts or This contribution...
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