MASS CUSTOMIZATION

BY:
SOUPARNIKA
 HISTORY
q Established -1917.
q Bayerisch Motoren Werke(BMW). Bavarian Motor
Works .
q They were the 1st European company to establish a
plant in Japan.
q Outsold their biggest competitor Mercedes for the
1st time in 1990.
q In 2000, their revenues exceeded USD 3.03 billion
for the 1st time.
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q Established a new plant in leipzig area of Germany
in 2005 .
q Invested more than USD 1.3 billion .
q The plant was to manufacture BMW 3 -series cars.
q The leipzig was designed to allow maximum
flexibility and communications.
 MASS CUSTOMIZATION
 Mass customization is a business strategy that
aims at fulfilling customer needs with near mass
production efficiency .
 Ability to provide your customers with anything they
want profitably at any time they want it and in
the way they want it .
 Use of flexible processes and organizational
structures to produce varied products.

 BENEFITS OF MASS
CUSTOMIZATION
FOR CUSTOMERS :


 Personalized cars
 Does not have to pay for the features which
they do not want
 Great amount of flexibility ; have more control
over products
FOR BMW:


 Develops brand image in auto industry

 Competitive advantage , Company’s
profitability
 Cut in inventory ,elimination of spare parts



Process flow structure
 Job shop
 Batch production
 Assembly line
 Continuous flow
 Challenges to mass
customization
 To balance the mass production and differentiation
 Improvement in manufacturing process and more
efficient .
 Reduction in order processing time
 Effective communication
 Relationship to suppliers
 Requirement of large number of showrooms and
online ordering system
 company’s image vs customer preference
 Location of suppliers
 Rely on manpower rather than machine
 Flexible work program
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ULTIMATE DRIVING MACHINE

THANK YOU