In the conventional product scenario the performance of the product can be
enhanced by improving the service delivery strategies for supporting the product as
well as supporting the client in using the product. In this scenario, the manufacturer
potentially can benefit from delivering the product as well as the supporting services.
Therefore, few incentives exist to improve the product more than necessary from a
competitive perspective. Furthermore, the customer needs to have in place a service
reception strategy especially fit for the product. To achieve customer satisfaction, this
strategy has to be aligned with the manufacturer’s service delivery strategy.
In the case of functional product, the customer buys the performance, not the
product and the related services. The manufacturer actually provides a service. In this
perspective, there is little to gain for the manufacturer from traditional product
support. Actually, the need for product support becomes a cost driver and a liability for
the manufacturer. Thus, if possible, product performance should be improved through
improving the RAMS and other characteristics. Furthermore, operation, maintenance
and product support strategies need to be developed with cost reduction, effectiveness