Wk 5 BA541 Asign Mass Customization Essay Example | Topics and Well Written Essays - 750 words

Wk 5 BA541 Asign Mass Customization - Essay Example A good thing about mass customization is that it gives a company the competitive edge because the company does not just create any product, but those that customers need based on the company’s research. Another advantage of this strategy is that it promotes innovativeness on the part of the manufacturer and results to customer satisfaction for the consumer. (Babiarz, P., Piotrowski, M., et. al., 2008) Another benefit that mass customization brings is cost-reduction since companies, aware of what products or services are needed, are able to streamline processes. (Peppers, D. & Rogers, M, 2011). As mentioned earlier, there are also drawbacks in using mass customization as a strategy to build lasting customer relationships. One of these is that there is no standard per se in mass customization. (Peppers, D. & Rogers, M, 2011) For example, in some methods, customers can choose to change the color or style of a product once they have it. For others, it is different. As a result, some companies may lose their competitive edge because the method they chose may not give them information on what the customers want. For instance, companies who create interactive dress-up games for children may not know what colors or styles are designed by the consumers. Another disadvantage of mass customization is that, unlike in mass production, there is no inventory of finished goods so the customer may have to wait. (Zipkin, P., 2001) Because mass customization is dissimilar to mass production wherein the products are based on customer information, the company can project the quantity to be made. As a result, if there is an unexpected need, the quantity will not be enough. There have been several companies that successfully managed to shift to mass customization and received the loyalty of their customers. One of these that come to mind is Lutron Electronics Company. Specializing in lighting systems, Lutron listened to its customers and came up with a