mass customization

...d airlines played a vital part in the development of industrial revolution. Finally, the application of steamship marked another changeover. Above all,¡± The industrial revolution brought with it an increase in population and urbanization, as well as social classes.¡±(Rempel, 2005) 2.2 Mass production Mass production is defined as manufacture of goods on a large scale, a technique that aims for low unit cost and high output. (Wikipedia, 2005) In mass production, each worker repeats the tasks that use the same tool to perform almost identical operations on a stream of products. The systems of mass production are generally organized in assembly lines, which pass by on a conveyor; if not too heavy. The diagram of a typical mass-production factory is like the skeleton of a fish. Besides, with mass production, factories can purchase very large amounts of materials, thus reducing the overhead costs. For example, the Venice Arsenal apparently produced nearly one ship every day, in what was effectively the world¡¯s first factory that, at its height, employed 16000 people. 2.3 Mass Customization Mass customization, described as ¡°enabling a customer to decide the exact specification of a product or service, and have that product or service supplied to them at a price close to that for an ordinary mass produced alternative.¡± obtains the technological skills from industrial revolution. The uniqueness and profitability of customized products and services with the economies of scale and mass-market penetration stems from the mass production techniques. 3. Implications of Mass Customization in Business 3.1 Innovations Are Realized Mass customization not only creates higher profit but also saves time for companies. For example, with mass customization, Tennessee, a dishwasher factory improved quality by 55%, acted work in process by 60% and increased capacity by 50%. Besides, the service of delivery is changed. The delivery system then delivers one particular item, perhaps direct to the customer, rather than deliver numerous items when the retailers order. Thus, the period that products get to customers is shortened. For instance, some manufacturers, notably Renault, are speeding up their production and ordering system so that customers can get whatever they want in less than 14 days. In addition, processes of IT systems are used to support mass customization. For example, the Internet has provided a handy means of linking up supply chains, in real time, in order to put mass customization into effect. 3.2 Improvements are needed In order to help customers, a series of design systems incorporating computer based training, expert systems and simulation should be developed. Besides, customers¡¯ needs can be better satisfied where products and services can be personalized and customized easily. Besides, profiles of individual customer¡¯s products need to be available to support staff throughout the life of the customer. This is especially so where the serv...

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