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Integrate Customer Order Decoupling Point and Mass Customisation Concepts: A Literature Review

In: Customization 4.0

Author

Listed:
  • Violetta Giada Cannas

    (Politecnico di Milano)

  • Margherita Pero

    (Politecnico di Milano)

  • Tommaso Rossi

    (School of Industrial Engineering, Carlo Cattaneo – LIUC University)

  • Jonathan Gosling

    (Logistics and Operations Management, Cardiff Business School, Cardiff University)

Abstract

The postponement represents the key strategy for companies to achieve mass customisation. It is associated with the customer order decoupling point (CODP) positioning: the backward shifting, from a pure standardised configuration (i.e. make-to-stock (MTS)), allows companies to delay some supply chain activities until the customer order arrives, increasing product variety while maintaining efficiency. This concept has been widely analysed in the literature, but there is a lack of studies about the means to reach more standardisation starting from a pure customised configuration (i.e. engineer-to-order (ETO)). Nevertheless, the movement toward mass customisation benefits also ETO companies, by reducing costs and lead times while assuring flexibility, and represents a need in the high-competitive global markets. Therefore, this concept needs to be extended to a wider perspective that includes possible levels of customisation achievable from different configurations. This is possible through a good understanding of the CODP theory. This paper reviews the CODP literature to investigate the different existing perspectives and classify them in a structured framework. This framework compares the CODP literature with the mass customisation one, to understand what are the interconnections among them in the actual state of the art and what is missing to achieve a more general view of these concepts. This allows the study to open further research highlighting the recent trends and the uncovered topics.

Suggested Citation

  • Violetta Giada Cannas & Margherita Pero & Tommaso Rossi & Jonathan Gosling, 2018. "Integrate Customer Order Decoupling Point and Mass Customisation Concepts: A Literature Review," Springer Proceedings in Business and Economics, in: Stephan Hankammer & Kjeld Nielsen & Frank T. Piller & Günther Schuh & Ning Wang (ed.), Customization 4.0, pages 495-517, Springer.
    • Handle: RePEc:spr:prbchp:978-3-319-77556-2_31
    DOI: 10.1007/978-3-319-77556-2_31
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    Cited by:

    1. Cannas, Violetta G. & Gosling, Jonathan & Pero, Margherita & Rossi, Tommaso, 2019. "Engineering and production decoupling configurations: An empirical study in the machinery industry," International Journal of Production Economics, Elsevier, vol. 216(C), pages 173-189.
    2. Zhiming Shi & Yisong Li & Gábor Bohács & Qiang Zhou, 2022. "A Study on Optimal Location Selection and Semi-Finished Product Inventory Allocation in the Steel Industry," Sustainability, MDPI, vol. 14(22), pages 1-21, November.
    3. Cannas, Violetta G. & Gosling, Jonathan & Pero, Margherita & Rossi, Tommaso, 2020. "Determinants for order-fulfilment strategies in engineer-to-order companies: Insights from the machinery industry," International Journal of Production Economics, Elsevier, vol. 228(C).

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