Mass customization of products has become a common approach in manufacturing organizations.
Chapter 7: Mass customization of products has become a common approach in manufacturing organizations. Explain the ways in which mass customization can be applied to service firms as well.
“Mass customization refers to using mass-production technology to quickly and cost-effectively assemble goods that are uniquely designed to fit the demands of individual customers” (Daft, 2016, p. 271). The concept of mass communication is made possible only by the creation of the assembly line, lean accounting, and the smart factory. Prior to mass customization manufacturing companies thrived on mass production of specific products rooted in the assembly line process. As manufacturing technology, equipment, and management become more equipped to handle customization elements the market for on-demand customization increased. The ways manufacturing organizations bring maximum value to their customers is through management techniques that incorporate methods to “greatly minimize delays, reduce costs and improve quality” by removing things that do not add value to the company (Nallusamu& Saravanan, 2018, par. 2).
These same strategies can be applied to any organization and implemented within their operational structure. A few ways to incorporate mass customization within a service firm is through strong communication, client surveys, company auditing,
Service firms such as healthcare, banking, and education provide an intangible product that “does not exist until requested by the customer” and “cannot be stored, inventoried, or viewed as a finished good” (Daft, 2016, p. 273). Due to the nature of the product-provided service firms are “labor and knowledge-intensive” which means these companies must provide technical or skilled service. Service firms have always leaned towards customized output by working closely with the client and listening to what they want and need.
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