Collaborating for customisation: an extended resource-based view of the firm

Abstract

Mass customisation denotes the ability to provide customised products and services at a comparable price and speed of equivalent standard offerings. Management literature has suggested that the advent of mass customisation compels firms towards greater collaboration in the supply chain (Berman, 2002; Feitzinger and Lee, 1997; Da Silveira et al., 2001). However, evidence supporting this proposition remains anecdotal. This study seeks to develop and test a model that addresses the question: what are the benefits of buyer–supplier collaboration within the context of mass customisation? The study indicates that buyer–supplier collaboration may have significant effects on the focal firm's flexibility, responsiveness and modularisation capabilities, three capabilities shown to be critical to mass customisation. The results provide empirical support for the original proposition and have important implications for 'mass customised' supply chains.