Understanding value co-creation in the delivery of a complex higher education service system.

Abstract

The marketisation of Higher Education (HE) with the introduction of market forces, combined with a declining population and stringent immigration requirements for international students has resulted in growing competition among universities and consequently the need to develop sustainable competitive advantages. Further, growing references to students as customers have had a distinct impact on the overall environment in HE. Lengnick-Hall et al include education providers in the group of organisations that they refer to as ‘human service firms’ where the ‘primary deliverable’ is ‘human change’ and the customers themselves are the ‘primary raw material’ that the firm ‘seeks to change’ or add value to (1996). Beaty et al, on the other hand, identify specific ‘orientations to learning ‘that distinguish students and their respective strategies to ‘gain maximum value from the experience’ (1997). These characteristics pose distinct complexities to universities, policymakers, regulators and most importantly students and parents alike, who seek to measure service quality to inform their respective decision-making needs.
Service dominant logic and consequently the co-creation of value, over the last two decades, have gained popularity in resolving challenges of innovation, customer experience and strategic management as a means of developing competitive advantage. Its application within the commercial and public service sectors is gaining prominence, possibly more so in the former than the latter. Among public services, the healthcare sector which faces similar multifaceted ‘wicked’ problems of demographics, resources and value for money has led the way in utilising service-dominant logic and value co-creation. In contrast, little knowledge exists of its application within the higher education sector as a whole and particularly in the United Kingdom.

The central focus of this study is to undertake an empirical analysis of selected key components in the co-creation of value-in-use, inside and outside the classroom, between universities and students and to synthesise a relevant model for application in higher education. Using a qualitative approach to develop a single-case study, this thesis seeks to build on the work of Dollinger et al to develop an understanding of the mechanisms that universities use to enhance Experience, Personalisation and Relationship, specifically in the delivery of the teaching and learning experience, through a co-creation lens.

This thesis adds to this understanding in two unique ways. Firstly, it responds to previous calls of researchers for empirical evidence of impact from activities viewed through a Value Co-Creation (VCC) lens. This study provides such evidence by identifying (1) the individual components that constitute mechanisms that contribute to successful VCC platforms for higher education institutions; (2) specific VCC mechanisms that promote personalisation of the learner experience; and lastly (3) the impact of such successful VCC efforts on the relationship between learners and universities.

Secondly, it synthesises current VCC models in the extant literature and proposes an alternate, indicative model – The Combined Paradigm for VCC in HE. This thesis submits that this model is more appropriate as a framework to be used in the development and delivery of VCC in HE because it (i) clarifies the ambiguity around the nature of co-production in the actual delivery of learning; (ii) highlights the role of interactive learning in the successful implementation of VCC in HE; and finally (iii) clarifies the distinction between interaction and engagement in delivering meaningful learning outcomes.

Date of Award	25 Jun 2025
Original language	English
Awarding Institution	University of Bath
Supervisor	Peter Nuttall (Supervisor), Rajani Naidoo (Supervisor) & Hong Bui (Supervisor)