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The Sirens´ Song of Services









In reality, some of the best and brightest product companies have struggled in the journey of profitably growing a services organization. IBM is constantly used as the poster child for success; a model for a how a product company can move upstream and transition itself into a true service and solution provider. But how many companies have the deep deep pockets of IBM? In these days of open systems, how many companies have a locked in install base that can carry them through the painful and unprofitable transition IBM went through? And how many other examples of success have you read about? How long is the list of product companies that have actually developed a successful and profitable service organization that offers more than basic support services? The number of articles describing product companies that want to offer more complex services is endless. The number of articles documenting favorable results is almost non-existent.

from the article: The Sirens´ Song of Services by Thomas E. Lah

Key Points:

This article introduces the concept that many product companies struggle to offer professional services in a way that meets the expectations of internal management and external customers.

  • Introduction to the Product-Services Wheel
  • Overview of 5 types of service offerings made by product companies
  • Why product companies want to offer professional services
  • Three reasons product companies struggle offering professional services





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