Mass Customization Original Work: The Four Faces of Customization by James H. Gilmore and B. Joseph Pine II, Harvard Business Review, January-February 1997 Mass Customization Website

Original Work:

The Four Faces of Customization by James H. Gilmore and B. Joseph Pine II, Harvard Business Review, January-February 1997

Mass Customization Website

What is Mass Customization producing goods and services to meet individual customer's needs with near mass production efficiency

producing goods and services to meet individual customer's needs with near mass production efficiency

Features of Mass Customization Customer co-design Meeting the needs of each individual customer Stable solution space Adequate price and cost level

Customer co-design

Meeting the needs of each individual customer

Stable solution space

Adequate price and cost level

Customer co-design Customers are integrated into value creation by defining, configuring, matching, or modifying an individual solution Different to a do-it-yourself (DIY) setting, co-design activities are performed in an act of company-to-customer interaction and cooperation. offers possibilities for building up a lasting relationship

Customers are integrated into value creation by defining, configuring, matching, or modifying an individual solution

Different to a do-it-yourself (DIY) setting, co-design activities are performed in an act of company-to-customer interaction and cooperation.

offers possibilities for building up a lasting relationship

Meeting the needs of each individual customer is a differentiation strategy increment of utility of a good: The larger the heterogeneity of all customers' preferences, the larger is this gain in utility.

is a differentiation strategy

increment of utility of a good:

The larger the heterogeneity of all customers' preferences, the larger is this gain in utility.

Stable solution space The space within which a mass customization offering is able to satisfy a customer's need is finite, but still flexible and responsive. A traditional (craft) customizer re-invents not only its products but also its processes for each individual customer. But a mass customizer uses stable processes to deliver high variety goods.

The space within which a mass customization offering is able to satisfy a customer's need is finite, but still flexible and responsive.

A traditional (craft) customizer re-invents not only its products but also its processes for each individual customer. But a mass customizer uses stable processes to deliver high variety goods.

Adequate price and cost level still targeting the same market segment that was purchasing the standard goods before, different from craft customization

still targeting the same market segment that was purchasing the standard goods before, different from craft customization

The Four Faces of Customization Collaborative Adaptive Cosmetic Transparent

Collaborative

Adaptive

Cosmetic

Transparent

Collaborative Customization Conduct a dialogue with individual customers For business whose customers cannot articulate what they want, or Paris Miki are being frustrated when forced to select from a plethora of options

Conduct a dialogue with individual customers

For business whose customers cannot articulate what they want, or

Paris Miki

are being frustrated when forced to select from a plethora of options

Adaptive Customization Offer one standard but customizable product and users can alter it For business whose customers want the product to perform in different ways on different occasions Lutron Electronics

Offer one standard but customizable product and users can alter it

For business whose customers want the product to perform in different ways on different occasions

Lutron Electronics

Cosmetic Customization standard product presented differently for different customers Personalized presentation Springle or other treats: bite size, travel size, resealable, customized for super markets

standard product presented differently for different customers

Personalized presentation

Springle or other treats: bite size, travel size, resealable, customized for super markets

Transparent customization Customized, but unknown to customers Customer needs are predictable or deducible, but they do not want to be interfered or repeat their needs.

Customized, but unknown to customers

Customer needs are predictable or deducible, but they do not want to be interfered or repeat their needs.

Taxonomy