DocumentCode
739084
Title
Integrated Product and Channel Decision in Mass Customization
Author
Xiao-Feng Shao
Author_Institution
Coll. of Econ. & Manage., Shanghai Jiao Tong Univ., Shanghai, China
Volume
60
Issue
1
fYear
2013
Firstpage
30
Lastpage
45
Abstract
This paper explores the effectiveness of mass customization strategies in a manufacturing firm. The manufacturing firm produces standard products in a flexible factory where mass customization is technologically feasible. We integrate product strategy and channel design to explore whether the firm should adopt mass customization and how the distribution channel should be configured for custom products. We find that the mixed mass customization strategy dominates the pure standard product strategy in the centralized system. For the decentralized system, we identify the parameters that would impact superiority of each product strategy. We further discuss two channel structures for mass customization: single-channel strategy and dual-channel strategy, and find that the dual-channel strategy is always superior to the single-channel strategy when mixed mass customization is adopted.
Keywords
flexible manufacturing systems; manufacturing industries; mass production; parameter estimation; product customisation; product design; channel design; custom products; decentralized system; dual-channel strategy; flexible factory; integrated product-channel decision; manufacturing firm; mixed mass customization strategy; parameter identification; product strategy; single-channel strategy; Companies; Marketing and sales; Mass customization; Standards; Supply chains; Channel structure; flexible capacity; mixed mass customization; pure standard product strategy;
fLanguage
English
Journal_Title
Engineering Management, IEEE Transactions on
Publisher
ieee
ISSN
0018-9391
Type
jour
DOI
10.1109/TEM.2012.2205694
Filename
6243201
Link To Document