Services in project-based firms – Four types of business logic

This paper analyses drivers, barriers and business logic used to include services in the business model of a project-based firm. The empirical study includes six project supplier firms from different industries. Differences in the complexity of project delivery and variations in the project suppliers’ degree of maturity in delivering services, serve as drivers and barriers for enlarging delivery scope or enhancing profitability with various types of services. The complexity of the project delivery and the firm’s degree of maturity in delivering services, serve as two important determinants for distinctive business logic. This paper suggests a typology of four business logic in order for project supplier firms to include services in their business models. The four distinctive types of logic are product driven, innovation and technology driven, service driven, and business driven logic.