A Conceptual Blockchain Enhanced Information Model of Product Service Systems Framework for Sustainable Furniture
Abstract
:1. Introduction
2. Literature Review
2.1. Furniture
2.2. Product–Service Systems (PSSs)
2.3. Blockchain (BC)
- Distributed database. A BC is described as “a distributed database that is agreed upon and shared across peer-to-peer networks” [64]. Each node in the system stores all data, which means that there is no centralized database [65]. This makes the BC a very secure distributed ledger, so all parties have access to the same and correct records and the complete history of the entire database [19,66].
- Peer-to-peer transaction. BC allows for the sharing of records with all network nodes without central authority; peer-to-peer interconnected ledgers ensure that updates to any one ledger are visible and accessible to all [67]. Decentralization is key to promoting trust and security among interconnected parties, thereby facilitating the digitization of business processes [68]. Through this platform, stakeholders can access the same data and transactions without a single authority and any geographical restrictions [67]. This can enable all components (things) to trade autonomously without the intervention of regulators or brokers [68].
- Trading automation. BC technology can be used to automate transactions, which can be carried out through digital, automated “Smart contracts” [19,66]. Smart contracts are self-executing snippets of code defined by pre-specified terms that are publicly visible to all nodes on the network or BC, and the smart contract will be triggered when the preset obligations are met [69,70]. Meanwhile, the diversified implementation of smart contracts in different fields is also expected to reduce transaction costs [13].
- As a repository of transaction lists recorded by forgery-proof documents, BC has the characteristics of application security, reliability, transparency and automation [71]. It is designed to ensure security and use cryptography and distributed consensus mechanisms to provide anonymity, persistence, auditability, resilience and fault tolerance [72]. With its open and transparent nature, BC provides a trusted environment for distributed companies using the Internet for business and transactions, which facilitates record and operations, as well as stakeholder acceptance and satisfaction [67].
- Irreversibility of records. Security can be further enhanced by using encryption algorithms. All data stored on the BC have a timestamp and asymmetric encryption attached to the BC, which is mainly used to protect ledger consistency and irreversibility of records, ensuring that block data cannot be falsified and tampered with [71]. Once a transaction is updated and verified by all relevant nodes or key parties in the network, it is irreversible and cannot be rewritten or reordered, which ensures data security [65].
3. Research Method
4. Quantitative and Qualitative Analysis
4.1. Quantitative Analysis
4.1.1. Furniture and PSSs
4.1.2. PSSs and BC
4.1.3. Furniture, PSSs, and BC
4.2. Qualitative Analysis
4.2.1. The Lifecycle Stage of the Furniture
- Design stage: The lifecycle begins with conceptual design, which involves information collection, ideas, design drawings, computer-aided design, innovation, and development of new products, etc. Decisions made at this stage are very important because they have an impact on the whole lifecycle, from manufacturing to the end of life [84]. This is because the binding of product materials and production techniques chosen during the product design phase will determine the pollutants and wastes released and energy consumed during its use, as well as the ease with which its components can be reused in subsequent use and manufacturing cycles [85,86]. It is estimated that 70% of the environmental impacts produced by products are determined at the design stage [87]. Therefore, most of the sustainability characteristics of a product are attributed to the early design phase [88].
- Procurement stage: Procurement is a prerequisite activity to ensure clear production, which involves inventory management, raw material procurement, etc. The determination of procurement and inventory is very important to minimize inventory costs [89], because the supply of raw materials will affect production and thus sales.
- Production stage: Production is the process of transforming design concepts into tangible objects. The production of furniture basically includes the assembly of components and the surface treatment of products, which involves the production of component status, production planning, production execution, and production investment to ensure the smooth progress of the production process. The environmental burden at this stage is mainly due to the consumption of electricity and heat energy, but also the consumption caused by the use of painting, drying, adhesives, solvents, and some chemicals [30]. Optimizing resource utilization may be the most effective measure to reduce the environmental impact of furniture production, as significant environmental benefits can be achieved by improving the energy efficiency of the manufacturing process and increasing the use of renewable energy, as well as recycling materials and waste [90].
- Transportation stage: Transportation delivers products to retailers, which involves container and logistics management, etc. The impact of this stage can be reduced by using more effective transportation methods and optimizing loading and logistics strategies [90]. For example, giving priority to suppliers close to the furniture production site may be a relevant measure to reduce the environmental burden caused by the transportation process.
- Distribution stage: distribution sells products to consumers, which involves product display, product transportation, and contract signing.
- Maintenance stage: The durability and actual use time of the products will greatly affect the impact of furniture products on the environment. Maintenance can extend the lifecycle of a product, and products that are usually easy to clean and dismantle/repair can reduce the environmental impact of this stage. In particular, the effectiveness of any action in this area itself depends on consumer behavior [30].
- Recycle stage: The option of recovering value from furniture products after their use is widely deployed. Promoting recycling systems can also serve as additional support to the options listed, as well as minimizing the amount of materials and components used in products and promoting the use of easily identifiable and separated recyclable materials and reusable components [91].
- Disposal stage: Disposal is the end of the life of furniture, which may have a significant impact on the determination of product environmental conditions. The contribution variation at this stage is basically based on the disposal option considered; for example, landfill is the worst disposal option, whereas reuse of products or product components can directly avoid the environmental impacts associated with the production of new units [30].
4.2.2. Lifecycle Management of PSSs Information Model (IM) in Sustainable Furniture
4.2.3. PSSs Advantages for Sustainable Furniture
- Lifecycle knowledge management. Knowledge management is the organizational and technical basis for enterprises to promote knowledge sharing and reuse [96]. PSSs can reasonably and effectively manage the products, services, data, and information generated in the whole lifecycle, and provide the required knowledge to different stakeholders in each lifecycle stage [97].
- Forming a closed loop of materials. The PSSs minimizes the impact of consumption on the environment by closing the material cycle, including the return of furniture from the customer to the manufacturer, in which case furniture elements can be remanufactured, updated, and reused [34]. One can get the most out of the product and its maintenance through lifecycle system management.
- Promote collaboration among stakeholders. The PSSs enables networked stakeholders in the product value chain to collaborate effectively [7]. These centers are based on strategic partnerships between manufacturers and suppliers, customers, supporting institutions, and other stakeholders to promote the development of a culture of value-added products in the furniture industry [98].
- Improve the competitiveness of enterprises. The PSSs can strengthen the relationship between enterprises and consumers, and the construction of this relationship promotes the loyalty among consumers [99]. In addition, companies can use the information gained from consumer relationships to develop new systems to improve product performance [100]. Companies can improve their position in the value chain and increase their innovation potential [101].
- Increase resource productivity. Servitization offers access to a functional dematerialized future that is possible in the long run, as well as opportunities to increase resource productivity in the short run [48]. Increased service supply compensates for job losses due to cutbacks in traditional manufacturing and relieves consumers of responsibility for services, such as installation and maintenance, as well as product disposal at the end of their useful lives [43].
4.2.4. The Challenges for PSSs in Sustainable Furniture
- The intellectual property rights of creators cannot be protected. One of the characteristics of product design is the interdisciplinary nature of the design process, which means that designers may work with material engineers, structural engineers, and other professionals [102]. The results of these professionals’ work together promote the development of new products. However, with the transfer of work results, the knowledge transfer becomes difficult to track, and the legal rights of the knowledge contributors cannot be ensured. At the same time, unauthorized copying, “stealing”, and other infringement methods have become common scenes, which also seriously damage the rights of original creators [103]. Existing central website-based copyright management where the content is inaccurate, easy to attack, without strict and credible traceability, and other shortcomings need to be addressed [71].
- Improper inventory management of raw material procurement This includes lack of trust and transparency among key stakeholders in the procurement process, weak system support for transaction records and documentation, and complex process structures [104]. Due to the improper delivery of raw materials by suppliers, the shortage or unavailability of raw materials occurs from time to time. This will lead to serious consequences: First of all, the distribution of raw materials is delayed and the production schedule will be disrupted, which leads to delays in receiving the goods by customers, which affects consumer satisfaction. Secondly, prompting enterprises to rush to order from other suppliers, the result of urgent orders is the emergence of additional costs for companies [105].
- Product elements lack standardized specifications and production principles. Due to the lack of a standardized production system, the production process is characterized by low production efficiency and long and unstable production cycles. Furniture products include different manufacturing materials, different colors and specifications, a large number of various types of parts, large differences in process production, and lack of standardized specifications and production principles, which will cause management difficulties and affect delivery [106].
- Lack of logistics planning and low transport efficiency. Efficiency, speed, and agility in transportation operations are essential elements that make up the furniture manufacturers of the future. However, even if different furniture companies located in the same area ship to the same market area, the same city, and/or the same furniture retailer, coordination of transportation operations between two or more companies is rare [107]. One reason for the inefficiency is that most trucks return to the plant empty. The environmental impact caused by product transportation is the main environmental burden of the office furniture industry [108].
- Product distribution brings distrust to consumers. More and more consumers are aware of environmental concerns and therefore tend to buy sustainable products. However, certain green advertisements present a mixture of facts, ambiguous information, and provide misleading and exaggerated information about the green benefits or environmental or health attributes of the product [109]. These lack of credibility advertisements hinder consumers’ trust in green furniture and give users a poor or even unbearable experience. Some consumers are skeptical of eco-labeled products, have a lack of trust in the products being sold, and have a genuine commitment to trust attributes that may reduce consumers’ purchase intention [110]. In addition to this, certain low-quality ads may contain viruses that induce users to click and then steal private data [111].
- Maintenance service cannot be effectively guaranteed. On average, consumers buy new furniture every three years. The main reason for consumers to buy new furniture is the need to replace worn or damaged furniture [101]. The biggest problem found after three years of use of furniture is the wear of parts, material deterioration, and furniture companies that do not support repairs and do not provide spare parts services to customers. As a result, accumulated end-of-life products are discarded and difficult to manage, eliminate, and destroy [112].
- Lack of secure data storage and transmission. The furniture lifecycle includes multiple stages, and various data are gradually detailed through each stage; as a result, there are a large amount of data. Various data and knowledge resources are held by different cross-organizational stakeholders, such as manufacturers with status data and detailed design, manufacturing and reliability knowledge, service providers with maintenance data and experience knowledge, and consumers with usage data for systems [115]. Nevertheless, the PSSs can facilitate the collection, management, and sharing of resources. However, it is difficult to ensure the security and privacy of shared knowledge, and the loss and destruction of data can greatly reduce the effective transmission of information.
4.2.5. The BC Potential Advantages for PSSs IM
4.2.6. The BC Potential to Overcome Challenges for PSSs IM in Sustainable Furniture
- Protection of the intellectual property rights of creators. The timestamp and asymmetric encryption features of BC technology ensure that block data cannot be forged and tampered with. For each copyright transaction, such as authorization, distribution, tracking, use, and destruction, the copyright owner will form a unique sub-chain according to time [71]. BC can more securely share expertise and/or business performance data owned by brand/franchise owners, while distributed storage provides transparency and openness to the BC as long as the person registered in the BC is able to know the ownership of the work and other relevant information, thus avoiding the leakage of business-sensitive information, customer records, and patented technology to “third parties” and/or cybercriminals [119].
- Effective inventory management of raw material procurement. BC can contribute to more accurate demand forecasts when planning inventory purchases, not only gaining a cost advantage, but also eliminating unnecessary waste of resources [120]. By integrating BC into furniture PSSs, it can help control and track materials to reduce the likelihood of overstock, defective, and/or illegal inventory [121].
- Improving the standardization and production of product elements. More accurate forecasting of material requirements in the production process reduces the frequency of material expiry due to excess inventory [122]. Each stage of subcontracting takes the form of smart contracts in BC that can be converted into programs and code, which are then copied and stored in a processing system and monitored by a network of systems running the BC [7]. Therefore, the bill of quantities of product elements (PC) can be obtained, and classified management, accurate control of inventory supply and demand, flexible adjustment of PC output, and continuous production capacity of PC can be ensured.
- Effectively implement logistics planning and transportation management. At this stage, BC can be used to prevent security breaches while enhancing transport connectivity and delivery services. Transport is a key player in connecting supply and distribution and enabling a transparent, sustainable, and efficient flow of status data between them [7]. After receiving the order, the delivery plan and driver allocation can be carried out automatically, and the entire transportation phase is also monitored in real time. At the same time, the BC can also store information and images (e.g., component status, driver information, routes), and if an inappropriate operation occurs, the cause and responsible person of such problems can be immediately tracked through the system.
- Improving consumer trust in the distribution process. The use of BC technology has improved the quality and effectiveness of advertising, increased the enthusiasm and experience of users, and improved the adverse impact of the proliferation of low-quality advertising on users [111]. At the same time, BC as a transparent, distributed. and clean register, as well as the use of QR code based on BC technology in the product, can let consumers understand the product source, manufacturer name, and packaging date, which plays an important role in promoting the traceability of furniture products, facilitating query and not copying [71].
- Improving maintenance services and contract effectiveness. Maintenance and upgrades of the product are especially important because they extend the life of the product and can provide continuous service. With the help of BC, maintenance agencies can create smart contracts based on maintenance standards for different products and submit smart contracts to the BC [97]. When the user submits the information to meet the terms of the smart contract, the maintenance agency can provide repair suggestions or services in a timely manner or even in advance.
- Improving the waste recycling and treatment system. BC can help recyclers verify the status of recycled products and carry out waste tracking and management. BC creates a more efficient and transparent system that helps track waste [123], and waste tracking ensures that recyclables do not appear in landfills [124]. After being properly repaired, waste furniture can be re-marketed as a product, reducing the environmental load [113]. The entire process can be recorded on the BC, and intermediate transactions are done through smart contracts, helping to achieve an efficient and transparent recycling process, enhancing user trust, and promoting sustainable development.
- Ensuring secure storage and efficient transmission of data. The database must maintain data integrity in order to truthfully inform shareholders about progress and any existing issues or obstacles [7]. The use of BC to strictly encrypt the data in sustainable furniture to ensure authenticity not only enhances the value of data sharing in the lifecycle, but also improves the anti-risk ability of PSSs.
5. A Conceptual BC-Enhanced PSSs IM (BC-PSSs) Framework for Sustainable Furniture
5.1. High-Level BC-PSSs Framework for Sustainable Furniture
5.2. Low-Level BC-PSSs Framework for Sustainable Furniture
6. Review and Refinement of the Conceptual BC-PSSs Framework for Sustainable Furniture
6.1. Industry-Reviewed BC-PSSs Framework
- BC can facilitate the design of incentives to encourage stakeholders to contribute personal knowledge.
- BC can strengthen the data relevance between designers and consumers. There is an information asymmetry between the designer and the consumer through the enterprise or factory.
- For the challenges of the furniture lifecycle, BC may not be able to prevent false advertising and publicity, just as we cannot prevent car accidents. Of course, BC can reduce false advertising and publicity to a certain extent because it can be traced, queried, and verified. This lets consumers understand the source of products, product materials, and production information.
- BC enables data to be recorded on the chain for value assessment. This requires enterprises to establish a value evaluation system and evaluate value through some standards and rules.
6.2. The Updated BC-PSSs Framework
7. Discussion
7.1. Conceptual BC-PSSs Framework Contributes to Sustainable Furniture
7.2. The Potential of BC-PSSs to Quantify Design Value in Sustainable Furniture
7.3. The Potential of BC-PSSs to Improve Consumer Behavior in Sustainable Furniture
8. Conclusions
Author Contributions
Funding
Data Availability Statement
Acknowledgments
Conflicts of Interest
Appendix A
- High-level BC-PSSs framework for sustainable furniture
- (1)
- The structure of the high-level framework is clear.1 2 3 4
- (2)
- The content of the high-level framework is appropriate.1 2 3 4
- (3)
- The process of the high-level framework is clear.1 2 3 4
- 2.
- Low-level BC-PSSs framework for sustainable furniture
- (1)
- The structure of the low-level framework is clear.1 2 3 4
- (2)
- The content of the low-level framework is appropriate.1 2 3 4
- (3)
- The process of the low-level framework is clear.1 2 3 4
- 3.
- The BC potential to overcome challenges for PSSs IM in sustainable furniture
- (1)
- Protection of the intellectual property rights of creators.1 2 3 4
- (2)
- Effective inventory management of raw material procurement.1 2 3 4
- (3)
- Improving the standardization and production of product elements.1 2 3 4
- (4)
- Effectively implement logistics planning and transportation management.1 2 3 4
- (5)
- Improving consumer trust in the distribution process.1 2 3 4
- (6)
- Improving maintenance services and contract effectiveness.1 2 3 4
- (7)
- Improving the waste recycling and treatment system.1 2 3 4
- (8)
- Ensuring secure storage and efficient transmission of data.1 2 3 4
- 4.
- Further CommentsPlease add any additional comments about the conceptual BC-PSSs framework in the space below.Thank you very much for participating in this study!
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Criteria | Purpose | Strategies Applied in This Study |
---|---|---|
Credibility | To believe that the results (from the view of the participants) are credible, true, and believable. | Ensure that investigators have the knowledge and research skills required to perform their duties. Ensure all field notes and recordings are stored for analysis. |
Dependability | To ensure that the findings of qualitative investigations are reproducible. | A detailed draft study protocol was prepared throughout the study. A detailed track record of the data collection process was developed. Measure the coding accuracy and reliability of the research team. |
Confirmability | To establish confidence that the results will be confirmed by other researchers. | Apply multiple techniques (methodology, data sources, investigators, and theory). |
Transferability | To extend the degree to which the results can be generalized to other contexts or settings. | Sampling purposefully to form a specified sample. Quantified interview transcripts. |
Research Focuses | Items | Resources |
---|---|---|
The process of furniture industry | Raw material supply, manufacture, distribution, use, and disposal | Besch, 2005 [34] |
Furniture design assessment | Design stage assessment, production stage assessment, use stage assessment, sales stage assessment, and recovery stage assessment | Chen et al., 2017 [83] |
Wood furniture lifecycle | Design, manufacture, manufacture/distribution, use/maintenance, and end of life | Bianco et al., 2021 [82] |
Furniture lifecycle (system perspective) | Upstream activities (i.e., production, supply, and processing of materials and components), core activities (i.e., product manufacturing, assembly, finishing, packing, and storage); and downstream activities (i.e., product distribution, retail, use, maintenance, and end of life). | Cordella & Hidalgo, 2016 [30] |
The lifecycle of furniture products | Production and supply of materials (P1), product manufacturing (P2), distribution (P3), use and maintenance (P4), and end of life (P5). | Cordella & Hidalgo, 2016 [30] |
Furniture lifecycle | Initial investment, design, raw materials, manufacturing, retail/distribution, use/maintenance, and end of life | Bianco et al., 2021 [82] |
Characteristics | n | Proportion (%) |
---|---|---|
Gender | ||
Male | 5 | 71.4% |
Female | 2 | 28.6% |
Occupation | ||
Industry expert | 5 | 71.4% |
University Professor | 2 | 28.6% |
Number of years working on blockchain-related research | ||
Less than 5 years | 1 | 14.3% |
5–10 years | 4 | 57.1% |
10–20 years | 2 | 28.6% |
More than 20 years | 0 | 0% |
Cronbach’s Alpha | The Number of Projects |
---|---|
0.932 | 6 |
Evaluation Items | High-Level | Low-Level |
---|---|---|
Clarity of the structure | 3.71 | 3.57 |
Appropriateness of content | 3.43 | 3.43 |
Clarity of process | 3.57 | 3.43 |
Core Nodes | Number of Nodes | Representative Nodes | Representative Interview Texts |
---|---|---|---|
Stakeholders | 10 | Correlation of data Data update Collaborative communication Information sharing | Blockchain can enhance data correlation between designers and consumers. |
Strategies | 8 | Decentralized management Mathematical model Reward system Lifecycle management | Blockchain solves the problem by building relationships between different businesses in a decentralized setting. |
Institutions | 7 | Value assessment system A unified platform The central institution | Blockchain enables data to be recorded on a chain so that its value can be assessed. This requires the enterprise to establish the value evaluation system, through some standards and rules to evaluate the value. |
Technologies | 7 | Copyright protection Roots Wisdom contracts | Copyright protection is now a relatively mature technology in blockchain. |
Policies | 4 | Corporate policy The government’s policy | Whether blockchain can be successfully implemented in this industry depends on the willingness of enterprises to do it, and needs the support of enterprises. |
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Liu, J.; Liu, Z.; Yang, Q.; Osmani, M.; Demian, P. A Conceptual Blockchain Enhanced Information Model of Product Service Systems Framework for Sustainable Furniture. Buildings 2023, 13, 85. https://doi.org/10.3390/buildings13010085
Liu J, Liu Z, Yang Q, Osmani M, Demian P. A Conceptual Blockchain Enhanced Information Model of Product Service Systems Framework for Sustainable Furniture. Buildings. 2023; 13(1):85. https://doi.org/10.3390/buildings13010085
Chicago/Turabian StyleLiu, Jing, Zhen Liu, Qiong Yang, Mohamed Osmani, and Peter Demian. 2023. "A Conceptual Blockchain Enhanced Information Model of Product Service Systems Framework for Sustainable Furniture" Buildings 13, no. 1: 85. https://doi.org/10.3390/buildings13010085
APA StyleLiu, J., Liu, Z., Yang, Q., Osmani, M., & Demian, P. (2023). A Conceptual Blockchain Enhanced Information Model of Product Service Systems Framework for Sustainable Furniture. Buildings, 13(1), 85. https://doi.org/10.3390/buildings13010085