Building Mechanism of Service Innovation Capability of Manufacturers from the Perspective of Value Driving:A Case Study on Emerson Network Power(China)

Service innovation capability is a value-creating capability based on identifying and developing service opportunities,and it also acts as an effective route to responding to dynamic market,improving service quality and efficiency,and building,enhancing and sustaining competitive advantages.Current literature concerning service innovation mainly explores the innovation of service products and service procedures from the perspectives of internal business operations and network embeddedness;however,the service innovation capability of manufacturers and its building mechanism is rarely touched upon.From the perspective of value driving,this paper conducts a case study of Emerson Network Power(China)to explore how manufacturers build their service innovation capability through three key value driving factors,namely,human capital,relationship capital and structure capital.It finds that under the co-driving of human capital,relationship capital and structure capital,manufacturers build their service innovation capability through organizational learning,network embeddedness and resource matching;and the driving factors undergo dynamic changes throughout different stages of the life cycle of manufacturers.