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    Impact of mass customization on cost and flexiblity performances: the role of social capital


    Wiengarten, Frank and Singh, Prakash J. and Fynes, Brian and Nazarpour, Ali (2017) Impact of mass customization on cost and flexiblity performances: the role of social capital. Operations Management Research, 10 (3-4). pp. 137-147. ISSN 1936-9735

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    Abstract

    More than ever, companies have to cope with ever changing market conditions. Some companies have reacted to shortened product life cycles, constant changes in customer preferences and cost pressures by implementing mass customization practices. Mass customization has been hailed as a way to overcome the tradeoff between cost and flexibility performance. However, there is lack of consistent empirical evidence to demonstrate that this really is the case. We advance this debate by proposing that in order for mass customization to be more effective, a company needs to possess and utilize social capital (i.e., cognitive, relational and structured social capital) within their supply networks. This study uses primary survey data from 513 plants from nine countries collected by the Global Manufacturing Research Group (GMRG). We used structural equation modelling analysis to test our hypotheses. Results indicate that mass customization has the ability to improve a company’s cost and flexibility performance. Furthermore, results regarding the moderating role of social capital are mixed. Cognitive capital only moderates the impact of mass customization on cost performance while relational capital increases this impact on both cost and flexibility performance. Structural capital does not moderate the impact of mass customization on performance

    Item Type: Article
    Keywords: Mass customization; Competitive strategy; Operational performance; Social capital;
    Academic Unit: Faculty of Social Sciences > School of Business
    Item ID: 11193
    Identification Number: https://doi.org/10.1007/s12063-017-0127-2
    Depositing User: Ali Nazarpour
    Date Deposited: 09 Oct 2019 16:23
    Journal or Publication Title: Operations Management Research
    Publisher: Springer Nature
    Refereed: Yes
    URI:

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