accurately trying to predict the configuration options your customer will order over a 12-month period is tough. with a ‘new normal’ now testing the industry, oems agile enough to respond rapidly to customer demand stand a greater chance of survival compared to those that are not. let’s take a look in more detail at this late stage configuration technique and some of the benefits an oem can expect to gain when outsourcing to an electronics manufacturing services (ems) provider that offers this service. dell have long been seen as early adopters of this strategy and arguably transformed the pc market we know today from a “make-to-stock” to a “make-to-order” model.
” while postponement manufacturing is a relatively simple theory, in practice it involves a high degree of collaboration between the oem and ems provider and visibility throughout the supply chain. regular business reviews between the oem and the ems provider are critical when it comes to postponement manufacturing. in addition, they are a particularly useful forum when discussing new products added to the range or when the oem is planning to withdraw an older version from the market. so now we have covered some of the basics, what are the advantages to an oem in working with their ems provider and implementing a postponement manufacturing strategy? however, for those that have researched the benefits of a complete outsourced manufacturing solution, and are now actively looking to focus on the core activities that really matter to their business (design, sales, marketing, customer service,) it can totally transform their business.
one of the earliest references to the concept was in a paper by zinn and bowersox in the journal of business logistics. he explained that there is a shift of the risk to another partner in the supply chain due to postponement of the owned bunch of goods. the ideal strategy would be to either use speculation or postponement in the distribution channel depending on competition and potential risk savings.
finally, the fifth challenge tells that in order to conduct a solid research plan on postponement one should consider the triangulation model with first step – how postponement is implemented in a global supply chain, second step – where, to what extent and how postponement is applied, third step – benefits of postponement in the customized supply chain. to conclude, the 21st century has enhanced the postponement concept in terms of definition, aspects and strategies. one of the most modern definitions today is the following, suggested by christopher (2005): “postponement refers to the process by which the commitment of a product to its final form or location is delayed for as long as possible”.
what is postponement manufacturing? in simple terms, the ems provider builds a generic version of the product (often postponement is a concept in supply chain management where the manufacturer produces a generic product, which can form postponement: this strategy delays certain stages in manufacturing process of a product until a customers order, time postponement, time postponement, form postponement, geographic postponement, companies that use postponement strategy. manufacturing postponement means that manufacturing activities are initiated by pulling raw materials from raw material inventory when actual orders are coming. it means that the system doesn\’t start to produce unless there is a hard order. this also called make-to-order approach.
within supply chain management (scm), postponement is a deliberate action to delay final manufacturing or postponement is a strategy that allows businesses to take advantage of the offshore capacity and labor for manufacturing if a company has a long production process or delivery time from factory to end consumer, having this kind of power, manufacturing and geographic postponement, combined postponement, packaging postponement example, assembly postponement
When you search for the manufacturing postponement, you may look for related areas such as time postponement, form postponement, geographic postponement, companies that use postponement strategy, manufacturing and geographic postponement, combined postponement, packaging postponement example, assembly postponement. what is product postponement? what is a postponement? what is a potential benefit of the postponement strategy for the company? what is postponement in warehousing?