Pay-Per-X Business Models for Equipment Manufacturing Companies: A Maturity Model

Abstract

Pay-per-X (PPX) business models are models where the ownership of the product is not transferred to the customer, but the customer has a right to use the product. The implementation of PPX business models can be time-taking, and complex because many company functions need to interact with each other, especially for equipment manufacturing industries (EMIs). The aim of this paper is to design a PPX maturity model for EMIs using a systematic maturity model development process. We present a PPX maturity model for EMIs with 7 dimensions, 19 sub-dimensions, 5 maturity levels, and relevant boundary conditions. This PPX maturity model is developed empirically with academic and industry experts from the maturity model and PPX perspective. The developed PPX maturity model will allow the EMIs to assess their current as-is situation in the most critical areas of PPX implementation and formulate a roadmap toward the implementation.