The increasing demand towards products and services that perfectly matches the customer needs is evident, so the manufacturing trends are aiming to produce small unit of customized product in large total volumes. The advances in manufacturing and information technologies provided great opportunities to achieve cost-effective mass customization. The purpose of this study was to have a holistic view on under-standing how entrepreneurs in small companies employ and effectively manage mass customization realization. The focus was placed in identifying what are the major factors that influence successful mass customization, how available technologies are enabling this process and how companies achieve value co-creation with the customers. In order to study the practical implementation of mass customization four case studies have been conducted. The information gathered was categorized and the preliminary theoretical framework was used as a template to compare the empirical results. The results show that every strategy for mass customization has to be customizes according to the particular product/service, market, customers, and the available technology for cost efficient implementation of mass customization. In a mass customization system value co-creation is achieved by direct customer integration and is benefiting from economies of integration. The challenge is to balance the system to the right degree, so socially and technologically efficient environment can bring higher value for the customers and better business opportunities for the companies. / This Master Thesis project has been carried out as part of "Production Development and Management" Program at JTH and "Information Technology and Management" program at JIBS.

Product configuration systems (PCS) have the ability to significantly streamline the internal sales process within engineering-to-order (ETO) companies due to its ability to e.g. automate design and quotation processes. This is made possible through the accumulation of product specific knowledge put into a software which is used to create customer adaptable products at lower costs. PCS development is regarded resource heavy endeavors, and many projects have thus a hard time achieving an overall profitability. Recent studies have tried to establish frameworks that supports companies in achieving successful implementation processes. However, these studies mainly focus on technical implications and monetary benefits while lacking to establish and consider a comprehensive picture for the likelihood of PCS success. Thereby, this case study establishes a holistic framework for executives of ETO companies to consider when deciding on whether to invest in a PCS. The findings show that PCS provides benefits to its adopting organization by reducing engineering time and lead time during the sales process, increasing product specification quality, improving knowledge facilitation, contributing to the development of a streamlining mindset among its employees and provide the organization with an increased digital agility. For the organization to reap these benefits, it is highly dependent on its current setting (e.g. available resources, competences, organizational identity etc.), which should be evaluated thoroughly before deciding for investment. The study show that PCS investment should, in addition to streamlining sales process, be seen as a strategic investment. In a society influenced by digital solutions, PCS investment can be regarded a catalyst for organizations to become malleable, which have been suggested as a prerequisite for organizations in order to adopt to a digitally driven business environment. Additionally, implementing a PCS showed to contribute to the three pillars of sustainability by streamlining both the sales process as well as the, to some extent, assembly and production processes.