Main challenges
Efficient interaction with the customer
Combining the low unit cost of mass production processes with the flexibility of individual customization requires a deep and complete integration of customers into value creation. Acting as an interface between customers and companies that allows products to be modified or designed from scratch, configurators play a crucial role in this integration process. A successfull Mass Customization strategy therefore depends to a large extent on an appropriately designed configurator. If the configurator is poorly developed and does not allow customers to participate easily in the value creation process, decreased customer satisfaction, low loyalty levels and ultimately lower sales will result.
Setting possibilities and limits for customization
Mass Customization grants customers certain possibilites while excluding others. Defining these possibities and limits is of paramount importance if the company's processes are to run smoothly, stably and without unforeseen disruptions. Value creation within a defined range of possibilities (known as the solution space) is the major difference between mass customization and conventional craftsmanship. When a traditional craftsman tailor-makes products, he re-invents not only the product but also the processes for manufacturing it. By contrast, a mass customizer develops a stable process by means of which a wide variety of goods can be obtained.
Modularization
Mass Customization fequently makes use of modular components that can be combined to create a wide range of different products. This presents two significant challenges to companies: products not only have to be (re-)designed on a modular basis, the modules also have to function effictively with each other, in a potentially infinite number of combinations. On the other hand, they also need to determine which product options should be made available to customers. For example, a certain combination of components might lead to a technically feasible, but aesthetically unappealing product.
