Mass customization and postponement

Mass customization and postponement - competitiveness With...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Mass customization and postponement have a lot in common. In fact, postponement is a huge part of mass customization and postponement work together is the computer company Dell. Dell uses mass customization, which lets the customers chose the features and software they want on their computers. Each computer from Dell is made exactly how the customer wants it when they want it. Postponement means the product isn’t made until it is ordered by the customer. Dell is one of the most successful companies that use mass customization and postponement. It is a great way to satisfy every customer with what they desire. There is a huge change going on with supply chain management in many businesses because they are noticing that customers enjoy customizing their items. Not only that, mass customization reduces cost, inventory, forecasting, and improves
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: competitiveness. With every product being different, there is no need to forecast and make in advance the products. The business doesn’t know what the demand will be until the product is ordered. Since the company only makes what is ordered, there is also a less risk of having surplus or stock-out. Inventory is reduced because the only material need isn’t known until the products ordered. Dell has beaten many other companies because Dell has managed to provide a provider-customer relationship, no one can copy. There are different methods of mass customization. Some companies decide to assemble some parts before the product is ordered. For example, Dell assembles all of the hard drives, which makes it easier to make the computer when ordered....
View Full Document

{[ snackBarMessage ]}

Ask a homework question - tutors are online