How does the supply chain management of the mass production era differ from the supply chain management practiced today?

What will be an ideal response?


Answers will vary. Today's supply chain management, when performed well, reflects a completely customer-driven management philosophy. In the mass production era, manufacturers produced standardized products that were "pushed" down through marketing channels to consumers, who were convinced by salespeople to buy whatever was produced. But in today's marketplace, customers who expect to receive product configurations and services matched to their unique needs are the ones driving demand. Therefore, businesses have shifted their focus to determining how products and services are being "pulled" into the marketplace by customers as well as focusing on partnering with members of the supply chain to enhance customer value. For example, when Rolls-Royce launched its Ad Personam customer value program, the company used a build-to-order system that allowed every customer to design his or her car with more than a million combinations of leather, fabric, wood, and paint. This differed from the mass-manufacturing approach companies used historically, whereby a company's focus on efficiency determined a far narrower range of cars and custom options.

Business

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