Combining internal functional integration with product modularization and supply chain alignment for achieving mass customization

Zhigang Fan (), Fei Dai (), Mingu Kang (), Kihyun Park () and Gukseong Lee ()
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Zhigang Fan: Hangzhou Normal University
Fei Dai: Zhejiang University
Mingu Kang: Zhejiang University
Kihyun Park: Rockwell School of Business, Robert Morris University
Gukseong Lee: Kookmin University

Operations Management Research, 2024, vol. 17, issue 3, No 20, 1197-1212

Abstract: Abstract Mass customization poses one of the primary challenges for manufacturing firms seeking to maintain competitiveness by satisfying diverse and ever-changing demands. The purpose of this study is to present a mechanism illustrating how internal cross-functional integration promotes mass customization by leveraging external supply chain partners and emphasizing the contingent role of product characteristics. Using 223 samples collected from multi-sources of manufacturing firms worldwide, regression and bootstrap analyses are applied to test the proposed moderated mediation research model. Our findings reveal that a firm’s capability of cross-functional integration plays an important role in directly promoting its mass customization performance and indirectly doing so through supply chain alignment. Moreover, our findings underscore that this indirect mechanism is more pronounced when products are designed to be highly modular. Based on our findings, manufacturing firms can enhance mass customization more efficiently and effectively by integrating internal cross-functional collaboration and product modularization, thereby fostering alignment within the external supply chain.

Keywords: Cross-functional integration; Supply chain alignment; Product modularization; Mass customization (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s12063-024-00498-w

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