2. Sustainable Product Service Systems


Project: Matching suppliers and customers for improved chemical management systems

FdZ-Project: Sustainable product-servicesystems-innovations

FdZ-Project: PSS Landmarks - Marketpotential for PSS

FdZ-Project: PSS Water

EU-Project Sustainable Homeservices: Homeservices – Benchmarking sustainable services for the housing sector in the city of tomorrow

FdZ-Project: Homeservices in Vienna by the factory of tomorrow

FdZ-Project: Development of ecoefficient PSS











Project: Matching suppliers and customers for improved chemical management systems

The project focus is on connecting suppliers and customers for chemical management and leasing systems and implementation of the REACH directive. The workshops will be held in cooperation with the Austrian Association of Purchasing and Supply.


Institut für ökologische Wirtschaftsforschung (IÖW)
Mag. Dr. Christine Jasch

JOANNEUM Research Forschungsgesellschaft mbH, Institut für Nachhaltige Techniken und Systeme, Mag. Ingrid Kaltenegger, www.joanneum.at/nts
BMÖ, Bundesverband Materialwirtschaft, Einkauf und Logistik, Dkfm. Heinz Pechek, www.bmoe.at

Lebensministerium, Abt. Abteilung V/2: Stoffbezogener Umweltschutz, Chemiepolitik, Risikobewertung und Risikomanagement  Dr. Thomas Jakl

Projectduration: November 2008 – Oktober 2009



Project: Sustainable product-servicesystems-innovations

Based on a previous FdZ project strategies for sector specific sustainable product-servicesystems-innovations were developed along product-chains in workshops with companies and other actors involved. Focus was on implementation, overcoming hindrances and developing strategies.

The aim of the project was to elaborate innovations and strategies for product-service-systems (PSS) in defined demand areas (e.g. housing, mobility). The experience of other companies with successful implementation (“Best Practice”) and the expertise of the project team resulting from previous PSS-projects were used. A special focus was put on the development of ideas that can be put into practice in the different demand areas. Company specific and demand area specific framework conditions (e.g. legal, financial and organisational) were examined, possible obstacles assessed and strategies on how to overcome them elaborated.

Research and development on the topic of PSS throughout the last years has led to a large number of examples and analysis on sustainable demand areas and branches as well as on factors for success and failure. To further strengthen the approach of sustainable PSS, it was now necessary to gather know-how, experiences and competencies and focus more on dissemination.

Best Practice examples play a crucial role for the dissemination of PSS in all demand areas. Therefore it is important to improve the information and availability of best practice collections within existing channels of information and innovation. The project aimed to overcome existing and already analysed obstacles in the implementation of sustainable PSS. This was done through a structured discussion process.

The focus of this project was on workshops with companies and other stakeholders (e.g. branch specific associations) along product chains. The aim was to discuss the questions raised and to develop specific strategies for demand areas for the implementation of sustainable PSS. About 5000 companies and other actors from research, policy and business organisations were contacted and informed. About 500 people participated in the strategy development process.

For further information see www.serviceinnovation.at


Sustainable Europe Research Institute (SERI)
Dr Fritz Hinterberger, Mag. Eva Burger


Institut für ökologische Wirtschaftsforschung (IÖW)
Mag. Dr. Christine Jasch

JOANNEUM Research Forschungsgesellschaft mbH, Institut für Nachhaltige Techniken und Systeme,
Mag. Ingrid Kaltenegger, Mag. Barbara Hammerl, www.joanneum.at/nts

TU Wien, Institut für Konstruktionswissenschaften und technische Logistik, Forschungsbereich ECODESIGN
DI Rainer Pamminger, Dr. Wolfgang Wimmer, www.ecodesign.at

Projectduration: February 2006 – January 2008

Publication: www.fabrikderzukunft.at


FdZ-Project: PSS Landmarks - Market Potentials for PSS

Duration: January 2004 till September 2004

The project was funded by the programme factory of tomorrow from the Austrian Federal Ministry of Transport, Innovation, and Technology.

Project coordination:

Dr. Fritz Hinterberger, SERI

Project partners

DI   Mark Hammer, SERI

Dr. Christine Jasch, IÖW

Dr. Gabriele Hrauda, IÖW

Mag. Barbara Hammerl, Joanneum Research Forschungsgesellschaft mbH

Ingrid Kaltenegger, Joanneum Research Forschungsgesellschaft mbH

Dr. Wolfgang Wimmer, Ecodesign Informationsknoten

DI Rainer Pamminger, Ecodesign Informationsknoten


The project aimed at strengthening the market for sustainable Product-Service-Systems (PSS) by identifying success factors and hindrances. Restraining factors and basic conditions were worked out on the basis of best-practice examples. From this, as well as from the own experiences of the project team, strategic recommendations for action (for political decision makers) were derived.

The transition from selling products to offering sustainable product service systems (PSS) is a possible contribution on the way to sustainable development (not only in the sense of a reduction of the material stream by the factor of 10, but also regarding an increased quality of life and the achievement of business competition advantages). Fact is however, that this paradigmatic change - away from the sales of products, in direction of the supply of solutions for the satisfaction of human needs - in reality not yet noticeably interspersed. This project takes up the problem of the conversion deficits and offers solutions have been considered in the call of the factory of tomorrow program line 2004.

The project concentrated on selected fields within the range of industrial applications - in the area of business to business (b2b) commerce. National, European and international PSS were collected and analysed.

The following working tasks were defined for the project:

•  Select interesting industries and material groups for PSS

•  Analyse and optimise the methodical strategy for implementation of PSS

•  Analyse and specify criteria for the evaluation of the sustainability of PSS

•  Research cost factors, price structuring and legal basic conditions for PSS contracts

•  Research the connection of product services and product design

•  Prepare best practice examples database

•  Derive success factors and obstacles for PSS

•  Derive aspects of use and arguments for product service systems


Publications: Forthcoming

FdZ-Project: PSS Water

Duration: January 2004 till June 2005

The project was funded within the framework "Company of tomorrow" of the ministry of transport, innovation and technology.

Project co-ordination:

DI Christoph Brunner, JOANNEUM RESEARCH Forschungsgesellschaft mbH

Institut für nachhaltige Techniken uns Systeme - Joints

8010 Graz, Steyrergasse 17

Project partners:

Dr. Hans Schnitzer, Joanneum Research Forschungsgesellschaft mbH

Mag. Barbara Hammerl, Joanneum Research Forschungsgesellschaft mbH

Manfred Klade, Universitäres Forschungszentrum

Ines Oehme, Universitäres Forschungszentrum

Mikael Planasch, Technische Universität Institut RNS

Gernot Gwehenberger, Technische Universität Institut RNS

Dr. Christine Jasch, IÖW

Company participants:

Rotreat Abwasser GmbH & Co KG

Wasserversorger Grenzland Südost

Stadtwerke Gleisdorf GmbH

Arbeitsgemeinschaft kommunaler Versorgungsunternehmen - AKV


The aim of this project was the development of methods and strategies on how to implement product service systems for water in industry. For most industries the conditioning and treatment of water and waste water is not the core business. These services can be offered by external companies and high investment and operation costs are replaced by rental costs for the service "treated waste water"

The service provider is interested in additional measures for water efficiency (e.g. closing of water cycles) if the amount and load of waste water and the demand of fresh water can be reduced in this way. The system of payment has to be designed in such a way that both the service provider and the customer gain by reducing the amount of water used and by introducing new efficient technologies. By reducing the water consumption and the amount of waste water the environment gains as well.

In this project product service systems for water and new water efficiency measures were developed. Public water suppliers are able to provide an integrated service and take responsibility from fresh water supply, water treatment and recycling to discharge into the runoff ditch.

An existing guidebook to product service systems (output of a prior project) was adapted for water service systems. In analogy to existing "waste consultants" (they tell people how to separate communal waste correctly into the different recyclable components and a common waste fraction) a service "water consultant" was developed. Water consultants can show public administrations and companies how to use the resource water more efficient and can help with the introduction of water service systems. Target groups for this project are public administrations, water providers, industrial companies and consultants. Private homes are not included in this project

The results of this project help the sustainable development of the resource water. Participating companies will be more competitive. The results are applicable to other regions as well. Companies that use water service systems can reduce their operating costs and focus their interests on their core business. Companies that provide water service systems can open up new markets, increase their customer loyalty and optimize their own utilisation.

Publication: Forthcoming

EU-Project: Sustainable Homeservices – Benchmarking sustainable services for the housing sector in the city of tomorrow

The project was funded by the European Commission within the framework program for Research and Development: "City of Tomorrow”


Leading Partner: IÖW, Institute for Environmental Management and Economics, Vienna Austria, www.ioew.at
Project Partners

IZT Institute for Future Studies and Technology Assessment, Berlin Germany, www.izt.de

IVAM, Environmental Research Institute of the University of Amsterdam, Amsterdam Netherlands, www.ivam.nl

Prospektiker, European Institute for Future Studies and Strategic Planning, Zarautz Spain, www.prospektiker.es

HSE, Helsinki School of Economics, Department of Management and Organisation, Helsinki Finland, www.hkkk.fi

INETI/Cendes, Centre for entrepreneurial sustainable development, Lisbon Portugal, www.ineti.pt

Project start: October 2002
Project end: September 2004

- The Goals of this Project

This research project is based on the previous study conducted by the Institute for Environmental Management and Economics on Homeservices in Vienna, Austria. We still assume that there is a market for sustainable services, but that it has to be extended by new terms of supply. Due to the close proximity to the consumers, housing organisations can provide these services. Homeservices can be any service that a resident consumes for himself or for his apartment. For the upcoming study seven service areas of demand have been determined.

Due to its functions and close contact to the residents, the housing sector is predestined to be a direct supplier of Homeservices. The housing organisations can also act as a virtual service provider by initiating services with third parties and creating co-operation with service providers and social organisations.
Whereas the previous national project focused only on the city of Vienna and its particular structure of the housing market, we are now looking at six European cities (Helsinki, Berlin, Vienna, Amsterdam, Bilbao, Lisbon), with vast differences in the housing structure. To enlarge the national survey a small town per country has been included. Thereupon, significant differences in the provision of services can be expected.

These following questions have originated from this initial situation:

By answering these questions we aim to fulfil the following goals:


Jasch Ch., Madritsch T., Sustainable Homeservices, Nachhaltige wohnungsnahe Dienstleistungen   - Chance für die Wohnungsindustrie, Kufsteiner Heft 05-03, Fachhochschule Kufstein, Kufstein 2005

Halme M., Hrauda G., Jasch Ch., Jonuschat H., Kortman J., Trindade P., Velte D., Sustainable Consumer Services, Earthscan, London, 2005

Halme M., Hrauda G., Jasch Ch., Jonuschat H., Kortman J., Trindade P., Velte D., Sustainable Homeservices - Benchmarking Sustainable Services for the Housing Sector in the City of Tomorrow, Scientific Report to the European Union, www.sustainable-homeservices.com , www.cordis.lu , Vienna, 2004 , Download PDF

Jasch C., Hrauda G., Sustainable Homeservices - Austrian Country Report, www.sustainable-homeservices.com , 2003, download PDF, The Universe of sustainable Homeservices is available in 2 formats: Universe per sustainability dimension and Austrian Universe

More information, publications and downloads are available under www.sustainable-homeservices.com

FdZ-Project: Homeservices in Vienna by the factory of the future

One of the main results of a previous project of the IÖW (Ecoservices, funded by the EU Commission under the Energy and Environment Framework) was the conclusion, that services are not automatically better then products with regards to environmental impact and by no means cheaper. For an environmental beneficial supply, including consumer acceptance, it is essential, that the service is delivered directly to the consumer without any loss of comfort. Resultantly, the housing sector and regional planning play a vital role for further stimulating the supply of environmental beneficial services.

The Homeservice project focused on the supply side of shared use concepts and other sustainable services for consumers directly at apartment buildings (HOMESERVICES). Current research shows, that for services, that convey the same benefit without loss of comfort and significant extra costs, while reducing environmental impact, co-operative ways of supply have to be developed. Important actor groups are the housing industry as investor and facility manager itself, but also the tenants and apartment owners, architects, mobility service suppliers, contracting agencies, and other possible suppliers of renting, leasing, contracting, sharing and pooling contracts.

Content and results:

The core questions of the project were:

To answer these questions, the following work steps were taken:


We assume that a market for services directed towards households and individuals exists, but that it has to be accessed through innovative concepts. Due to the proximity to the tenants, the housing sector, and particularly the public housing agencies, could offer this type of services, thus improving their position with regard to private housing providers. The housing sector may play a key role in promoting sustainable patterns of technical, knowledge- or mobility-oriented and personal services by:

To ensure an all encompassing evaluation of the service supply, three actor groups - the external service providers, the housing organisations and the residents - were targeted.

The majority of external service providers concentrate on the classical service areas such as cleaning, repairs, mobility, and care taking. Traditional social providers are generally municipalities or subsidized nonprofit associations. Within the traditional environmental service providers like carsharing and organic food deliverers, the social aspect is mostly neglected. The few social and environmental service providers usually have no connection to the housing organizations. The typical building services, such as cleaning and maintenance, usually do not fulfill either social or environmental criteria. External service providers usually bill by the amount of use. Consulting and care taking providers usually cannot cover costs, hence these services usually are provided by public or the nonprofit organizations. Subsidies for these organizations exist in some cases. Service providers can offer re-entrance for long-time unemployed people, however the employee must be flexible in working times, location, and further training. Since primary services are the norm, it is not possible to quantify the environmental benefits. Areas where this is possible is in repairs and mobility.

The supply of services by the housing organizations is restricted to their core business. Consulting is primarily for buying, furnishing, and financing apartments. Care taking of children, the elderly, or handicapped is supported by supplying the necessary infrastructure, such as a kindergarten, a doctor’s practice, and social services. The infrastructure for leisure time, such as playing areas, pools, etc, are provided by the housing organizations. Cleaning and maintenance belong to the core business of the organizations. To promote communication and information, common rooms, black boards and white boards are provided. For mobility, car parking areas, bicycle racks and baby stroller parking areas are provided. In the service area of supply, warmth and hot water are supplied. Waste disposal is provided as prescribed by law, but usually only to a minimal degree (paper container). The Best Practice examples have a significantly better infrastructure and management than described here.

The residents/consumers do not go out of their normal daily routine to find environmentally friendly services. Social services are only used when absolutely necessary. To be accepted, these services must be as comfortable to use and may not cost more than the traditional service or product. Hence, the main goal is to increase comfort with these services. Other positive effects are welcome but only secondary.

The most important result is the need for information exchange between the external service providers and the housing organizations. Both of these industries can benefit from cooperation, and gain market share by doing so, since it is anticipated that in the near future, residents will not only demand living space but also an attached service package.

This project has compeled a „universe of homeservices“, and could be provided by or via the housing sector. More Information is available as pdf.file on the german pages of the website.

For the results in Vienna klick the link (only in German) RESULTS.

The project is supported by



Project management: Univ. Doz. Mag. Dr. Christine Jasch, Institut für ökologische Wirtschaftsforschung
Research Assistants: Dr. Gabriele Hrauda
DI Franz Horvath
Holger Voglsam
Sabine Kranzl
Scientific Review:

Univ. Prof. DI Dr. Hans Schnitzer, Institut. f. Verfahrenstechnik, TU Graz
Univ. Prof. Dr. Marina Fischer Kowalski, IFF Institute for Interdisciplinary Studies of Austrian Universities, Dept. of Social Ecology
Dr. Michael Scharp, izt Institute for Future Studies and Technology Assessment, Berlin

FdZ-Project: Development of ecoefficient PSS

Duration: October 2001 till March 2002

The project is funded by the programme factory of tomorrow from the Austrian Federal Ministry of Transport, Innovation, and Technology.

Project co-ordination:

Mag. Barbara Hammerl, JOANNEUM RESEARCH Forschungsgesellschaft mbH

Institut für nachhaltige Techniken und Systeme - Joints

Project partners:

Dr. Hans Schnitzer, Technische Universität Graz

Mag. Gudrun Engelhardt, STENUM GmbH

Mag. Ines Oman, Dr. Fritz Hinterberger, DI Roman Mesicek, SERI - Sustainable Europe Research Institute

DI Christopher Manstein, Faktor 10 Institut

Dr. Stefan Vorbach, Universität Graz

Dr. Beate Littig, Dr. Erich Griessler, IHS

Dr. Christine Jasch, IÖW

Company participants:

Greiner Extrusionstechnik GmbH

Johann Pengg AG

Eloxal Heuberger GmbH

Terolab Services Austria GmbH

Ing. Josef Herk Karosserie- und Lackierfachbetrieb

R.U.S.Z. Reparatur- und Servicezentrum

Reparaturnetzwerk Wien

Die Umweltberatung

PA-RE Handwebeteppiche

Tischlerei Hölzl

Ing. Peter Bohinc GmbH

Snack & Back


The idea of Product Service Systems (PSS) is a logical enhancement of the Ecodesign Approach. The focus of Ecodesign is the life cycle of the product with its five phases - extraction of raw materials, production, transportation, consumption, end of life. It aims to reduce or avoid environmental strains in all five phases of the life cycle through primarily product oriented strategies. These strategies include lean products, intelligent product design (modular, easy to disassemble) and function optimisation (multifunctional). A critical attribute of Ecodesign is that the products still stand in the forefront. This means that businesses create value through the sale of products. The more products are made and sold, the higher is the turnover. Value creation and material use is tightly coupled.

The development of sustainable PSS in Ecodesign has led to a different thinking in business practice. The production and sale of products no longer stands in the forefront, rather the provision of use for the consumer. This use is based on satisfying consumers' demand to increase their comfort and quality of life. In many cases the consumer is not interested in the product itself (e.g. washing machine), but rather in its service (washing and drying) that enable them to have clean and dry clothes.

An important element of satisfying the consumers' demand is developing system innovations opposed to "Island Solutions" (e.g. improving the product). PSS include both the supply-side (production) as well as the demand-side (consumption) of the economy and focus on socially and environmentally friendly solutions for consumers' demands. The following issues are therefore necessary:

•  The identification and specification of consumers' demands, meaning the areas of demand (e.g. habitation, mobility, cleaning, nourishment, clothing, health care, etc.) The areas are usually not assigned to one industry, but should rather be treated along the value creation chain spanning several industries.

•  Analysis of the areas of demand regarding products, services, infrastructure, know-how, and other basic parameters. This means the designation of system elements that should be developed as socially and environmentally friendly as possible. The demand for mobility can for instance be satisfied with car-sharing. In this example the essential elements are the fleet (3-litre cars), distribution of locations (also in remote areas), booking and payment systems, repairs and maintenance, cooperation with public transportation, etc).

•  Early involvement of all possible actors from the various areas of demand (co-operations).

The project was based on workshops with the companies to develop PSS based on their own product range. The results were included in a manual for PSS design.

Joanneum Research (Hrsg.) Leitfaden ?Nachhaltige Produkte und Dienstleistungen" Leitfaden zur Entwicklung zukunftsfähiger Geschäftsfelder, April 2003


FotoSustainable development will not be possible without a fundamental change in our economic thinking. In essence, what is required is not only an ecological approach to product-design, but also new marketing and consumption patterns for products which can satisfy our needs in an environmentally sound way.

In this respect ecologically-oriented services such as leasing, renting, pooling and sharing, also called Eco-Services, where the emphasis is placed on the sale of product use rather than the product itself, seem to offer promising innovation and environmental impact reduction potentials. Such services not only allow for a more intensive use of products, but providers could also establish complete product life cycles for the products in question. At the same time opportunities are laid to create new commercial enterprises, increase value added above production and distribution, and so create jobs.

Up to now, however, little is known of how these concepts can be implemented in practice and what the consequences of such a structural adjustment would be for firms. Furthermore, the options open to market participants have to be explored, as do the environmental impact reduction potentials, possible conflicting aims, and, finally, with which instruments ecologically-oriented concepts could be promoted.

The project systematically investigated these questions with reference to the consumption sector. Special attention is placed on analysis of selected fields of need (washing, cleaning, cooking, entertainment, gardening, do-it-yourself, and mobility and leisure time) and the highlighting of optimisation potentials and development perspectives for new use concepts on the basis of commercial services.

The project aims are:

Output of the project includes reports for Germany, Austria, The Netherlands and Spain, which will allow for a comparison of the different baseline conditions of the countries and the trends in ecological services. The study was based on case studies and analysis of market participants of both the supply and the demand side. The results were condensed in scenarios. On this basis the innovation and environmental impact reduction potentials were depicted and recommended actions for economic and political decision-makers highlighted.

The project is promoted by the European Commission, DG XII Science, Research and Development, within the framework of the program for Research and Development: "Environment and Climate”. Duration of the project is 24 months (from 1.4.1998 to 31.3. 2000).

Further information is available on the IZT homepage or from the contact persons of the research institutes:

IÖW Logo


IZT - Institut für Zukunftsstudien und Technologiebewertung, Berlin, Deutschland


IVAM Environmental Research, University of Amsterdam, Niederlande


Instituto Europeo Prospectiva y Estrategia, Zarautz, Spanien