The application of a knowledge-based reference framework to support the provision of requisite variety and customisation across collaborative networks

Abstract

The research described in this paper demonstrates how individual operational capabilities and the collective knowledge and expertise of a collaborative customer-supplier network can be harnessed to manage the challenges associated with the provision of a requisite level of product variety and customisation. It concerns the discussion and application of a previously published approach to the classification of collaborative networks, the justification of the extension to this approach and the use of the approach as a knowledge-based reference framework to demonstrate how product variety and customisation can be supported across different forms of collaborative customer-supplier networks. In addition, explanations are provided on how collaborative networks can be classified, on how their adaptive capabilities can be established, and on the characteristics and attributes that particular types of network require in order to handle their commitment to the provision of variety and customisation. IntroductionContinued success for many businesses is predicated on their ability to innovate new ideas and introduce new products. Global competition and the search for growth have created a business environment where sales can be rarely increased from a fixed range of products or markets. More often, sales growth is dependent on the ability of a business to stimulate an existing market or penetrate a different one by offering new choices. Consequently, product development has become more rapid, manufacturing systems have become more flexible and product proliferation and variety continue to increase. Differentiation of products has gone beyond the simple and prosaic categories of age, size, and gender to include regional and national tastes, aesthetics, and personal attributes and lifestyle. The management of the complexity associated with wide product diversity is often dependent on harnessing the knowledge and cooperative efforts of the members of a collaborative network (CN). This paper focuses on the utilisation of shared information and knowledge and the operational know-how involved in managing product variety across collaborative customer-supplier networks. More specifically, the aim of this research is to attempt to support decision-making in CNs by demonstrating how the effective execution of appropriate sales, production and supply-chain policies within and between network partners can be used to support the efficiency of the processes associated with the management of product variety. In addition, explanations are provided on how CNs can be classified, how their adaptive capabilities can be established and on how the characteristics and attributes that particular types of network require in order to handle their commitment to the provision of variety and customisation.Previous research on knowledge management in networks or supply chains is limited but where it does exist it has tended to focus on how (explicit) knowledge can be used to improve performance. Examples include Yuva (2002) and Wadhwa and Saxena (2005). T...

A knowledge chain management framework to support integrated decisions in global supply chains

“…Lyons et al (2012) revealed how binding individual operational capabilities and collective knowledge can be used to manage the challenges of product variety across collaborative networks. Hernandez et al (2012) presented a collaborative network platform for multi-site production, where mass customisation decision-making process was facilitated in collaborative supply chain networks and collaborative dynamic decision-making for supplier selection.…”

Knowledge management and supporting tools for collaborative networks

“…The next article "The Application of a Knowledge-Based Reference Framework to Support the Provision of Requisite Variety and Customisation Across Collaborative Networks", by Lyons et al (2013), concerns the discussion and application of a knowledge-based reference framework to demonstrate how product variety and customisation can be supported across different forms of collaborative customer-supplier networks. In addition, explanations are provided on how collaborative networks can be classified, how their adaptive capabilities can be established, and the characteristics and attributes that particular types of networks require in order to handle their commitment to the provision of variety and customisation.…”

Balancing modularity and solution space freedom: effects on organisational learning and sustainable innovation

“…Thus, while modularity offers customers some level of choice, it does not offer individual customers the option to request a completely specific solution. However, true customisation allows customers to specify all key attributes of a solution (Duray et al 2000;Lyons et al 2013). Therefore, we argue that customisation in TI firms involves two dimensions: the degree of modularity and the degree of solution space freedom.…”

“…First, we suggest that customisation should not be viewed one-dimensionally, i.e. as two ends of a spectrum with standardisation on one end and pure customisation on the other (see Lyons et al 2013 for an overview) but rather two-dimensionally (cf. Duray et al 2000).…”