Introduction
Technology advancement has been criticized for changing the methods of business management, with businesses adopting the dynamics to keep their market base as well create new pools of customers. One of the notable achievements of technology in business management is the mass customization of products tailoring them to meet the specific preferential requirements of the customers through the adoption of various technologies. This report paper examines how technical developments like information management systems, artificial intelligence, the internet of things, robotics, computer aided designs, and enterprise resource planning have played a role in the running of business activities facilitating specification of products as per the preference of customers.
1.1: Computer-Aided Design/Manufacturing(CAD/CAM)
The CAD/CAM is a representation of a long-term project of innovation and dynamic development. CAM is located on the computer software Computer Numerical Control(CNC) and is applied to instruct the motion of manufacturing tools and machines, and it was developed before CAD. On the other hand, CAD is the software applied to making designs and manufacturing codes electronically, which assists manufacturers in increasing the specificity in production (Geddes, 2020). CAD has been applied in various fields like the automotive industry, architecture, aviation, and neurology by specialists to meet the demands of customers in the respective fields.CAM preceded CAD, but the two are used together with the former utilizing the CAD software to create electronic drawings hence facilitating the production of physical products inherently from the electronically designed files hence allowing mass customization of products and specificity to consumer preferences(Geddes, 2020). CAD/CAM is conjointly applied in various industrial fields, for instance, in the fashion industry, where they are applied in cloth production, maximizing fabric and therefore minimizing wastage; in the medical field, where orthopedists use them to create both simple and complex artificial oral parts replacements (Geddes, 2020). The application of electronically designed products to physical products allows the production of large specific quantities of products depending on the business market of specialization.
1.2: Management Information Systems(MIS)
The MIS refers to a set of operative systems and instructions used for data collection from a wide range of sources, analyzing the data, and presenting it to the end user in a readable form for actionable decision-making (Mehmood, 2021). MIS heavily relies on technology, and in the recent past, with the advancement to the fourth industrial revolution (industry 4.0), the roles of MIS systems have been on the rise (Alles & Vasarhelyi, 2021). With high customer expectations of minimal errors in the delivery of business products, an aspect of MIS, like the information technology, has been relied upon to meet customers’ demands (Mehmood, 2021). For instance, in the field of e-commerce, where transactions are made virtually, the information systems help in linking customers to buyers, allowing business firms to collect data on customer and their orders and monitor delivery as per the customer order. Complaints and returns are also coordinated using the MIS framework, which facilitates the management in the realization of mass customization at lower overhead costs.
1.3: Internet of Things (IoT)
Iot facilitates business management in the making of informed decentralized decisions aimed at improving customer satisfaction. This development is part of the industrial 4.0 revolution, which is aimed at facilitating the management of businesses in connecting the physical world with the machine world (Alles & Vasarhelyi, 2021). Iot involves the use of sensors with the interoperability of connecting happenings in the surrounding environment with machines (through the cloud), enabling close supervision essential in business (Alles & Vasarhelyi, 2021). For example, a business enterprise can order products through the business to business trade. However, the electronic resource planning system’s ability is limited to the inventory and sales records of the imported goods, while the goods’ values are recorded on arrival by accountants. During transit, the physical conditions of the shipped products can alter value leading to erroneous records, which can be rectified using Iot since the sensors have the ability to capture actual time conditions transmitting data to the importing business. The products reaching the client, based on the IoT sensory devices, would be in the same value as that of the original point, and any deviations would be recorded in the books of accounts.
1.4: Artificial Intelligence
The world today has been digitalized, and most people have accepted e-commerce over traditional norms. About 2.14 billion people in the world buy and shop using online platforms but face the challenge of returning products due to dissatisfaction with the products after trying to fit them in their homes (Durocher, 2022). They end up incurring transaction costs associated with the returned goods. The application of AI in this scenario could help ease the burden on customers and enable business management specializing in digital mass customization of products. For this reason, POMPOM business management considers applying AI in establishing real-time feting inventory records for customers who shop on their online platform (Durocher, 2022). The system is set to record the specific fashion requirements of a customer, facilitating the actual visualization of the fitness of a selected product even before buying, saving them the extra costs incurred (Durocher, 2022). This also facilitates the management’s comprehensive mass production of products while ensuring customers’ preferences are maintained. The conveniences enable customers to experience the swiftness of digital marketing since products are tailored according to an individual’s specific requirements.
1.5: Electronic Data Interchange(EDI)
Refers to the machine communication between a business and its stakeholders or partners, including consumers, through electronic transfers. It is a shift from traditional conventional and unconventional means used previously by businesses in the expanded informational systems linking an organization to another (Gerritsen, 2021). The EDI facilitates the transfer of information between trading partners electronically with little or no human intervention required compared to traditional means like emails or postal letters. The lack of human intervention in data transfer minimizes the incidences of rekeying and regular confirmation of data to check its authenticity. Of particular importance in our context is the external electronic data transfer, which links a business to its partners, like suppliers, customers, and competitors (Gerritsen, 2021). This facilitates a seamless flow of information between a business enterprise and its customers, making sharing of structural documents like invoices, and purchase and sale orders efficient and specific according to the required needs and also mass transfer to different clients since the system has the capability (Gerritsen, 2021). This is facilitated by the fast and uncensored communication flow between a business and its trading partners.
1.6: Robotic Process Automation(RPA)
It is an advancement linked to industrial 4.0 innovations. RPA refers to the reconfiguration of software tailored to independently execute several commands and processes from specific software directives delivering the expected results or service in the human way of doing things (Gerritsen, 2021). Most RPA processes do not require cognitive ability but are in guidelines-based form and mostly associated with humans; hence RPA fits in the non-official field. For instance, in the supply and logistics sector, where a firm is using a pay-to-order system, a lot of time is consumed in the process, inconveniencing both the customer and the business since mass customization cannot be applied (Gerritsen, 2021). However, a business with the objective of improving the process’s efficiency, reliability, and security can apply the RPA mechanism, thereby increasing the processing speed of the pay-to-order system. Additionally, mass customization can be achieved by incorporating RPA in processing procurement data, accelerating the process, mitigating errors, and cutting costs. The quality of the work improves buyers’ perception and the business image, making them competitive as robots do not get tired or fatigued when performing repetitive and tedious processes.
1.7: Enterprise Resource Planning(ERP)
Since mass customization involves the incorporation of specifications of customer preferences in the production process, modification of the ERP systems to these modalities is required. The ERP system has the ability to integrate data relating to supply, business inventory, and production information. However, they are mostly limited to traditional roles and unable to support mass customization of products despite the advancement in technology. Recent literature on the same has proved important in increasing the ERP systems through incorporating demand tabulation mechanisms to improve the situation (Grobler-Dębska et al., 2022). Due to the advancement of information systems in businesses, linking the ERP systems to an external cloud source would grant customers unlimited access to business information at their comfort through a website without the requirement of information technology knowledge or acumen (Hustad et al., 2019). It would also generate technical value through specified and faster system updates, automation of working modalities, availing critical business information required for decision-making, and enhancing the security of business and customer information. This would aid the business in configuring its systems to conform to the specifications of its customers, paving the way for mass customization.
Conclusion
In conclusion, technical advancement has revolutionized the manufacturing, functioning, and management of business enterprises leaning more on customer satisfaction to remain competitive. One such strategy is the mass customization of products through various technologies like artificial intelligence, ERP systems, and robotics, among others. These technologies are customized either during production and manufacturing or in the output processes of a business to achieve the efficiency and specifications required. Due to the dynamism of technology as ever-changing and now approaching the fifth industrial revolution phase, it is therefore imperative for busyness’ and customers to familiarize themselves with these changing circumstances to achieve the customization objective.
References
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Durocher, Y. (2022, April 21). Council post: How ai and mass customization could change the fashion industry. Forbes., from https://www.forbes.com/sites/forbesagencycouncil/2021/11/10/how-ai-and-mass-customization-could-change-the-fashion-industry/?sh=4163a8750b9e
Geddes, D. (2020, May 5). The history of CAD/CAM – Computer Aided Design & Manufacturing. Technical Foam Services. from https://technicalfoamservices.co.uk/blog/blog-history-of-cad-cam/
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Mehmood, T. (2021). Does Information Technology Competencies and Fleet Management Practices lead to Effective Service Delivery? Empirical Evidence from E-Commerce Industry. International Journal of Technology, Innovation and Management (IJTIM), 1(2), 14-41.
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