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You'll Never Walk Alone: Value Co-creation in a Usage Centre

Professor Michael Kleinaltenkamp, School of Business & Economics; Freie Universität Berlin

2nd Dec 2011  02:00 pm - 03:30 pm Room 214/215, H69 - Economics and Business Building

SDL emphasizes the importance of value-in-use for the co-creation of value. But little is still known about the processes of value co-creation and how value-in-use is created within. This is especially true when, as it is typical for business-to-business settings, the value is not only co-created with an individual customer but with number of several users in a company. In analogy to the concept of the "buying centre" this group of people can be seen as a "usage centre" consisting of all members of buyer firm that are involved in the usage of a product or service delivered by a supplier.

The paper develops and explores a conceptual model for co-creation process quality. The model identifies nine supplier, customer and joint processes which are subject to quality assessment by the members of usage centre in appraising the solution.

Furthermore, the customer's construction of value from solutions is explored in an industrial maintenance context. Drawing on goal theory, solution quality is related to value for both the customer organization and the individual customer respondent. Through data gained in interviews using the repertory grid technique the constructs by which customers assess both individual and organizational value in this context are elicited. Through this also the various value dimension of the different members of the usage centre as well as the varying process of value co-creation are revealed.