alf bae

To design a Product-Service System (PSS), designers
often set assumptions about how stakeholder will
perform an expected behavior and abuse system as
well. Therefore designer needs to consider
stakeholder normal usage, and stakeholder abuse of
the system for designing a PSS. A PSS based on a
low trust level of social capital has to spend extra
resource for avoiding risk, and a PSS based on a
high trust level of social capital does not need to
spend much cost to control risk. For example,
self-regulatory ticketing system in metro
transportation for the ULM/Neu Ulm region in
Germany is convenient and runs by low cost.
Otherwise, the public transportation system of Seoul
has a strict ticketing system which run by a high
cost and also limits the freedom of passengers.
Because PSS designer cannot control social capital
directly, a designer needs to manage social capital
as a design parameter for making an efficient PSS.
This study analyzes how the social capital affects
PSS, suggests to use social capital as a design
parameter and proposes a hypothetical model. By
understanding how social capital impacts on PSS, a
PSS designer may find an appropriate solution that
provides the best efficiency and user experience
with low cost, long term sustainability for a society.

Introduction of a new Product-Service System (PSS) into an organization creates a need for change and can often be met with inertia. Successful implementation of a Product-Service System requires demonstrating an organizational vision and building a consensus among stakeholders involved. The purpose of this study is to propose methods for PSS design and its sustainable implementation. We use service design tools to assess stakeholder relationships and identify organizational constraints. We leverage the Theory of Constraints (TOC) to identify and align common organizational goals. And ultimately implement PSS in a manner that aligns both customer-side demands with internal stakeholders’ requirement.

Product Service Systems (PSS) with the same purpose may be implemented differently across societies. Due to societies having different socio-cultural issues, social norms, and laws, public systems have evolved in specific ways for different societies. One of the factors for making such differences is social trust. This thesis stresses on how a PSS can be an innovative social value creating solution through social trust, while also suggesting social trust level as a parameter for the PSS design. The case study focuses on public transportation systems in Seoul and other cities. A PSS design for a flight luggage weight management is proposed for demonstrating how an appropriate PSS within a social context can be designed. By factoring in a broader social context, the PSS can be more effective for solving societal problems and creating social value. The conclusion emphasizes the importance of designing a PSS within a social context to solve societal issues and to create social value by using a mixed strategy of punishment and reinforcement behaviours. Finally, the PSS may encourage people to build more social value together and choose an ideal system for society.
Society is ever changing and dynamically evolving. Many PSS’s have to be equipped to face conflicts within a social context. Therefore, designing a PSS within a social context is a difficult problem. To design a PSS, designers need to make an assumption in regards to social trust and whether users will behave as expected or not. Therefore, the designer needs to consider the normal usage and typical abuse of the system by stakeholders in order to design a successful PSS.
To find cases of similar PSS’s, this thesis takes examples from public metro transportation systems that have different social trust levels. There are generally no big differences

between metro transportation systems, although cities often choose different PSS styles. Initially, Seoul, Hong Kong, and L.A. chose advanced ICT (information and communication technologies) for the metro transportation system, which included automatic ticketing, check-in terminals, fare gates, transfer control, and electric surveillance systems. These were developed based on lesser trust levels. These systems provide high transparency for the system. Primarily, surveillance systems are designed against fare-dodging passengers, accidents, and terror threats. Meanwhile, honour-based systems of metro transportation are also working in Berlin and Ulm/Neu Ulm. It is based on high trust level among citizens and the operating entity. It can be vulnerable to fare evasions. However, passengers can enjoy convenient travel without the hassles of checking-in or out. Medium trust level systems can be found in the metro transportation systems of Helsinki, Espoo, and Vantaa.
From the case study, the risk/cost scenario for a PSS is analysed. If there were lesser social trust in a society, it would be a rational decision to invest more in security maintenance systems to offset the risk. If there is high social trust in a society, it can be maintained by a system with smaller investments on the security maintenance system, or by investing in more human inspectors. Meanwhile, not enough investment on security maintenance systems for a PSS may cause serious stakeholders’ conflicts in implementation and operation. But the research finds that even choosing defection may be a dominant strategy for passengers, majority of citizen follow social norm and law. This suggests that positive and negative punishments are working and keep the system running efficiently.
Based on the findings, this thesis proposes a PSS design for a flight luggage weight management system with social trust level as a design parameter. The thesis review stakeholder analysis, expert interviews, passenger surveys, and the as-is system analysis, which analyse the current system as a reference, social demands for pollution reduction, business needs for cost reduction, passengers’ pain points, and conflicts among stakeholders. From the review, two design goals are identified initially. The first is, ‘Identify a way to estimate a passenger’s travel weight before a flight’. The PSS may induce cost/pollution reduction by better flight planning and operation. The second is, ‘Identify a way to reduce a passenger’s actual travel weight’. Reduced weight can curtail fuel costs, fuel reserves, pollution, and carbon footprint.
For these goals, design concepts are explored with different social trust levels as a design parameter. By integrating service-element design and product-element design, the designer may explore new and innovative opportunities of creating social value. As iteration goes, a PSS design can find ideas for increasing positive behaviours and decreasing negative behaviours. Iteration of the concepting, design development, and validation steps will yield acceptable solutions that meet stakeholders’ requirements and create social value. Eventually, it will be able to resolve social conflicts and satisfies stakeholders with new social value from the proposed PSS.
In this thesis, three approaches are chosen for building PSS concepts during the first iterative cycle. The auto-weigh gate (AWG) systems, the self-service kiosk (SSK) systems, and the self-service web (SSW) systems are designed as alternatives. In terms of user experience and social value propositions, the as-is system and other alternatives are compared and discussed. Models are evaluated by PC simulation, user interviews, and user surveys. From PC simulations, finding operational boundaries to control behaviours by positive/negative punishment is also discussed. Because of implement cost and scalability, the self-service web system seems most ideal system for airlines. Otherwise, the first, user survey shows that airlines should be clear about their privacy protection policies and practice. It is important to display the benefits clearly, if they are providing personal information to airlines for any alternatives. The second, providing an easy interface is required. Not all passengers prefer the self-service check-in or web-based services. The auto-weigh gate system is most preferred system by the survey respondents. This suggests a conflict between passengers and airlines.
From these finding, goals are reframed as ‘Encourage mutual social trust among stakeholders and utility for all by employing clear communication through sharing benefits and operant conditioning strategies.’ and ‘Drive the PSS to satisfy stakeholders with better social values (cost saving, eco-friendliness, social acceptance, emotional quality, convenience)’.
In the third design round, to resolve conflicts, the positive/negative reinforcement strategy is considered along with the punishment strategy. To motivate passengers, ideas such as an allowance sharing system, award system, donation system, and clearer communication about the benefits are proposed during the new iteration build process. Otherwise to decrease negative behaviours, a random inspection element is added to the system to monitor social trust level and decrease defective behaviours.
The purpose of this research is not to suggest a PSS with high social trust level for every society. The high social trust PSS cannot be a panacea. Instead, user-centred design principles and social norms in a society should be respected and pursued. One good PSS design for a society cannot always be a good solution for another society. It is the PSS designer’s responsibility to find the globally optimal solution for a society within their social context. However, driving a PSS system towards a more ideal state is also the designer’s responsibility. As a social PSS design solution, not only should it be able to resolve conflicts, but should also create new types of behaviours that will help the system create social value that had not previously existed. Eventually, it will not only help maintain the PSS in good

condition but also increase social value in society. In conclusion, this thesis suggests that the PSS designers should endeavour to find a way to drive the system for a better tomorrow.