Innovative Business Models for Infrastructure Maintenance

Current trends in digitalization and servitization are transforming business models across all industrial sectors, including infrastructure maintenance. This paper explores how business model innovation in the gravel road maintenance sector can capitalize on the opportunities presented by these trends. Data were collected in a single case study through in-depth interviews, site observations, and open dialogues and workshops. Four different business models for gravel road maintenance services are proposed. The first two business models are variants of traditional contracting, involving the execution of maintenance according to predefined requirement specifications for either private or public customers. Business model 3 is based on functional contracting, focusing on performance-based contracts. Business model 4 introduces a platform-based business model, where the supplier provides a platform and network for offering maintenance services. The opportunities and prerequisites for each business model are discussed, particularly in relation to digitalization needs. It is concluded that the levels of strategic thinking, degree of digitalization, types of competence needs, and collaboration typically increase across the business models. Additionally, the digital maturity of both the service contractor and the customers is identified as a key factor for successful implementation.