The Customer Centric Enterprise: Advances in Mass Customization and Personalization

Mitchell M. Tseng and Frank T. Piller

Part V:   Customer Centric Manufacturing
Process design, production planning and control for achieving near mass 
production efficiency Customer Centric Manufacturing


The term mass customization represents an oxymoron, and at no stage of the mass customization value chain is this more true than in manufacturing. The contradiction within the claim of producing high variety products with mass production efficiency poses a great challenge for manufacturing in any enterprise. Manufacturing for mass customization introduces multiple dimensions, including a drastic increase in variety, multiple product types manufactured simultaneously in small batches, product mixes that change dynamically to accommodate the random arrival of orders and the wide spread of due dates, and throughput that is minimally affected by transient disruptions in manufacturing processes such as breakdown of individual workstations. Solving the trade-off between customer centric manufacturing on the one hand (meaning high variety and fast responsiveness) and low costs, stable capacity utilization and high quality on the other necessitates incorporating systematic methodologies for manufacturing planning, process design and quality assurance in an integrated manner. Main enablers of customer centric manufacturing are modern flexible manufacturing technologies. They focus on batch production environments using multipurpose programmable work cells, automated transport, improved material handling, operation and resource scheduling, and computerized control to enhance throughput. The development, implementation, operative planning and control of these systems were the kernel of research on mass customization in the last three decades. But despite this history of research in the field, there are still many unanswered questions and new methodologies needed, as the chapters of Part IV will demonstrate.


Urbani, Tosatti, Bosani and Pierpaoli open the field in Chapter 19. The authors elaborate on the internal and external implications of mass customization and propose system capabilities which focus on flexibility and reconfigurability as a possible solution. They discuss the relationship between the principles of a mass customization system and the evolution of corresponding manufacturing systems. Several mass customization oriented paradigms are compared with a hypothetic, desirable evolution in market organization, providing an analytical approach. Tsigkas, de Jongh, Papantoniou and Loumos consolidate this discussion and present an innovative approach in Chapter 20 called "Distributed Flow Design and Development". This method should integrate product and process development. The objective is to boost the capability to sense quickly changing customer value requirements followed by the capability to rapidly transform these requirements and expectations in a variety of new product platforms and services. Their solution is closely related to the principles of lean manufacturing. Lean manufacturing and mass customization can supplement each other. The authors also introduce a new performance indicator to measure how fast an enterprise turns customer demands into value-adding mass customized products. A steady increase in this factor will lead an enterprise towards continuous, customer centric invention.

While the first two chapters of Part V argue on the level of strategic production planning, Lopitzsch and Wiendahl address the important issue of planning and controlling a mass customization manufacturing system on the operative level. In Chapter 21 they present their approach of "Segmented Adaptive Production Control" which combines the advantages of a customer-oriented push system with the benefits of an efficiency orientated system of pull control. In doing so, their approach merges KANBAN and CONWIP control systems. The system makes it possible to control the manufacturing of parts manufactured in mass production as well as of customized parts being produced at the same work stations. Traditional control approaches relying on either push or pull principles are unable to face the trade-off between variety and efficiency introduced by mass customization.

The next three chapters address mass customization manufacturing from a broader perspective. In Chapter 22 Schenk and Seelmann-Eggebert comment on the complexity of implementing mass customization in an existing mass or serial production system. Pioneering examples of customer centric manufacturing often focus on newly founded enterprises. However, most firms will implement mass customization principles within an existing setting. Implementing mass customization is reflected in all parts of a company and consequently in the entire supply chain. As existing production and logistics systems have evolved individually, no standard solution can be offered for the implementation of mass customization into an existing production line. The authors name some of the resulting challenges. An important point is the training of the employees in manufacturing which must be able to respond promptly to changing demands, too. Modularization can be seen as a main enabler and principle of being customer centric efficiently. However, though many companies have gained experience with modularization, there is still significant confusion about managing the modularization effort. The cause-effect relationships related to modularization are complex and comprehensive. In Chapter 23 Hansen, Jensen and Mortensen discuss the impact of modularization in greater detail. Recognizing the need for further empirical research, the authors formulate a research framework with the purpose of uncovering the current state of modularization using the example of Danish industry. Finally, Mchunu, de Alwis and Efstathiou present a framework for selecting a best-fit mass customization strategy in manufacturing. The authors report about their findings in a large-scale empirical project and introduce a methodology for characterizing the mass customization capability of a manufacturing enterprise (Chapter 24). Their methodology emphasizes the collection and analysis of quantitative as well as qualitative data. A key component is the use of a field workbook to collect triangulated data. Together with three other tools presented in this chapter, it forms a framework that aids the selection of an optimal mass customization strategy.

  Springer 2003
ca. 535 p. 168 illus.
ISBN 3-540-02492-1
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