Critical Role of Supply Chain Decoupling Point in Mass Customisation from Its Upstream and Downstream Information Systems Point of View

Concentrating on the role of supply chain decoupling point, this chapter introduces different levels of customisation and mass operations and three types of mass customisation. It argues that in each mass customisation type, information systems which are upstream and downstream of the decoupling point can be varied. Consequently, information flows in different types of mass customisation have been examined. This analysis is an endeavour to organise mass customisation information systems across the supply chain, while it can be a useful structure for future researches in this area as well.

Applying Service CAD System to Value Customization

This chapter introduces a new concept, value customization, to increase the level of customer satisfaction. It presents methodologies and practice for designers to customize value in a service in industrial operation based on the discipline of service engineering (SE). SE aims at creating more value largely by knowledge and service contents rather than just materialistic contents. Especially, an information system named Service Explorer, an implementation of the methodologies, is applied to an Italian accommodation industry. After the application, five redesign options such as introducing a new service system with cash-back and a system of renting various goods were generated. Through this, the effectiveness of SE for value customization is suggested. This chapter addresses the importance of identifying value to be provided with specific customers based on their particular requirements, which has only briefly been discussed in researches of mass customization. In addition, both service activities and physical products can be crucial to realize value. Several further research issues such as general design methods for value customization were also identified.

An Agent-Based Information Technology Architecture for Mass Customized Markets

This chapter presents a Web-enabled, agent-based information system model to support mass-customized markets. We present a distributed, real-time, Java-based, mobile intelligent information system that interfaces with firms’ existing IT infrastructures, follows a build-to-order production strategy, and integrates order-entry with supply chain, manufacturing, and product delivery systems. The model provides end-to-end visibility across the entire supply chain, allows for a collaborative and synchronized production system, and supports an event-based manufacturing environment. The system introduces four general-purpose intelligent agents to support the entire mass customization process. The adoption of this approach by a semiconductor manufacturing firm resulted in reductions in product lead time (by half), buffer inventory (from five to two weeks), and manual transactions (by 80%). Similarly, the adoption by a leading automotive manufacturer resulted in a 51% total inventory reduction while increasing plant utilization by 30%. These results verify that the successful adoption of this system can reduce inventory and logistic costs, improve delivery performance, increase manufacturing facilities utilization, and provide a higher overall profitability.

Research Issues in Knowledge-Based Configuration

This chapter gives an overview on these current and future research issues in the domain of knowledge-based configuration technology, and thus summarizes the state-of-the-art, recent achievements, novel approaches, and open challenges in the field.

Developing Interoperability in Mass Customization Information Systems

This chapter proposes a standard-based framework to assist industrial organizations to develop interoperability in mass customization Information Systems. After identifying the major challenges for business and information systems in mass customization, the authors propose an innovative standard-based conceptual architecture for a combined model-driven and services-oriented platform. The chapter concludes by describing a global methodology for integration of models and applications, to enhance an enterprise’s interoperability in the support of mass customization practices, keeping the same organization’s technical and operational environment, but improving its methods of work and the usability of the installed technology through harmonization and integration of the enterprise models in use by customers, manufacturers, and suppliers. Its platform aims to stimulate the adoption of mass customization concepts and improve those practices through proper integration and harmonization of information system models, knowledge, and data.

Product Modeling and Configuration Experiences

This chapter attempts to present an alternative for product modeling based on applied research activities. The model proposed is based on a concept supported by different views: functional, technological, and physical. With the aim of making the model learner-friendly, the chapter also presents an industrial case applied in the lift industry. The specific problems, the model used, the implementation carried out, and the results obtained are described in detail. The objective is to make a contribution based on the industrial practice to one of the basic enablers for product configuration. The final aim is to speed up the supply-chain process in Mass customization scenarios.

Knowledge-Based Recommender Technologies Supporting the Interactive Selling of Financial Services

Selling financial services requires deep knowledge about the product domain as well as about potential wishes and needs of customers. In this context, sales representatives can differ significantly in their expertise and level of sales knowledge. Therefore, financial service providers ask for tools supporting sales representatives in the dialog with the customer. In this chapter we present the knowledge-based recommender environment Koba4MS (Knowledge-based Advisors for Marketing and Sales) which allows a flexible mapping of product, marketing, and sales knowledge to the representation of a recommender knowledge base. In Koba4MS, we integrate diagnosis, personalization, and knowledge acquisition techniques, thus providing an infrastructure for the interactive selling of financial services.

Open Variant Process Models in Supply Chains

The following chapter will elaborate on complexity in supply chains and the implications on supply chain design. It investigates the specific requirements of supply chain processes in terms of flexibility versus standardization, evaluating the feasibility of designing, customizing, assessing, and improving logistics processes within a framework provided by process reference models. Mass customization and, in particular, the configuration approach developed by Winter for financial services will be discussed for their applicability for reducing complexity in a process environment. Process reference frameworks will be used as elements of an “open variant process model”. The Supply Chain Operations Reference (SCOR) model defined by the Supply Chain Council as the major cross-industry standard for supply chain management will be discussed for its usefulness and shortcomings in “process mass customization”, with a focus on systems implementation.

Mass Customisation of Services and Processes Based on Fuzzy Cognitive Maps

This chapter draws on the theory of fuzzy cognitive maps (FCM) to propose a modelling approach for mass customisation (MC) of services. The proposed model integrates concepts from service quality and customer preferences with business process and IT capabilities models. The model presented in this chapter is, to the best of our knowledge, the only fuzzy service model for MC that provides the means to consider the business objectives for service customisation, associate them with specific business areas, and suggest opportunities for MC. In contrast to other service designs and management approaches, the proposed model is dynamic, exhibits flexibility and responsiveness to environmental changes and customisability to specific organisational contexts, and allows the development of planning scenarios.

Mass Customization with Configurable Products and Configurators

Configurable products are an important way to achieve mass customization. A configurable product is designed once, and this design is used repetitively in the sales-delivery process to produce specifications of product individuals meeting customer requirements. Configurators are information systems that support the specification of product individuals and the creation and management of configuration knowledge, therefore being prime examples of information systems supporting mass customization. However, to the best of our knowledge, there is no systematic review of literature on how mass customization with configurable products and use of configurators affect companies. In this chapter, we provide such a review. We focus on benefits that can be gained and challenges which companies may face. A supplier can move to mass customization and configuration from mass production or from full customization; we keep the concerns separate. We also review benefits and challenges from the customer perspective. Finally, we identify future research directions and open challenges and problems.