---
title: Servitization | one to ONE Holdings
description: "Transform manufacturing via Servitization: Shift to performance-based contracts for sustainable growth."
image: https://www.o2oh.com/hubfs/o2Oh_18mm.jpg
---

Perfecting imperfections with one to ONE

# Glossary

### GLOSSARYTerms A-Z

- [Glossary](https://www.o2oh.com/glossary)
- [ALL](https://www.o2oh.com/glossary?val=all)
- [A～G](https://www.o2oh.com/glossary?val=a_g)
- [H～N](https://www.o2oh.com/glossary?val=h_n)
- [O～U](https://www.o2oh.com/glossary?val=o_u)
- [V～Z](https://www.o2oh.com/glossary?val=v_z)
- [Numbers ・ Symbols](https://www.o2oh.com/glossary?val=0_9)

# Servitization

Servitization marks a major shift in advanced manufacturing, moving from selling discrete products to delivering integrated value-in-use.

This approach replaces one-time sales with performance-based contracts, in which manufacturers guarantee outcomes rather than simply transferring ownership. By combining physical goods with predictive maintenance and [**real-time data**](https://www.o2oh.com/glossary/real-time-data) analytics, firms stabilize revenue and build stronger customer relationships.

This model also aligns profitability with resource efficiency, serving as a critical driver of the [circular economy](https://www.o2oh.com/glossary/circular-economy).

 

## FAQ

### What is the relationship between Servitization and Digital Transformation (DX)?

A: [**Digital Transformation (DX)**](https://www.o2oh.com/glossary/digital-transformation) is the key technological enabler of modern servitization. Servitization sets the business strategy, while DX supplies the required infrastructure.

By integrating [IoT](https://www.o2oh.com/glossary/iot) sensors, cloud computing, and [AI](https://www.o2oh.com/glossary/artificial-intelligence)-driven analytics, discrete products become intelligent, connected systems.

This connectivity enables manufacturers to monitor performance in real time, predict maintenance needs, and offer usage-based billing. DX bridges the information gap between producer and user, turning raw data into continuous value-in-use that defines a successful service-led model.

 

[![Securing High-Grade Steel Supply on the Net-Zero Pathway | Our Strategic View Part 2](https://no-cache.hubspot.com/cta/default/8005843/interactive-202866110800.png) ](https://www.o2oh.com/hs/cta/wi/redirect?encryptedPayload=AVxigLK9LSy8QOvqcL8YelWHwTT7WIgt6%2FI8bSuUN%2FsGSfK0ugKuuJxd3CWqmOvEvFf%2BWCrP%2BUR%2BzEPBw2CJB73ds3gk0h8%2FagW%2FY0rhO3ir66mdunFrOOmKHaYaqOIKV9IE0bddQxvOfucAaiDbDGMpULB7O8v7%2B1mM3LFGuI1m7SjjUpAaSZDF2WaYifChnMUkAI8Zz8jLGa9LEHUMkUOt9jZs2kJzSUztWHXGgLte2R0yqnS9h%2BUTolSKpukIdlbEHet1&webInteractiveContentId=202866110800&portalId=8005843)

### RELATED WORDS

---

- [SBTN (Science Based Targets Network)](https://www.o2oh.com/glossary/sbtn-science-based-targets-network)
- [SBTi (Science Based Targets initiative)](https://www.o2oh.com/glossary/sbti-science-based-targets-initiative)
- [SBTs (Science-Based Targets)](https://www.o2oh.com/glossary/sbts-science-based-targets)
- [Supply Chain Resilience](https://www.o2oh.com/glossary/supply-chain-resilience)
- [Supply Chains](https://www.o2oh.com/glossary/supply-chains)
- [System Boundary](https://www.o2oh.com/glossary/system-boundary)
- [Scaffolding](https://www.o2oh.com/glossary/scaffolding)
- [SASB](https://www.o2oh.com/glossary/sasb)
- [Sustainability Report](https://www.o2oh.com/glossary/sustainability-report)
- [Steelmaking](https://www.o2oh.com/glossary/steelmaking)
- [Steel](https://www.o2oh.com/glossary/steel)
- [Scenario Planning](https://www.o2oh.com/glossary/scenario-planning)
- [Scope 3](https://www.o2oh.com/glossary/scope-3)
- [Scope 2](https://www.o2oh.com/glossary/scope-2)
- [Scope 1](https://www.o2oh.com/glossary/scope-1)

Copyright © one to ONE Holdings Pte. Ltd. All Rights Reserved.

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