Implementing Build to Order (BTO) strategies instead of usual Build to Stock have the potential of sorting out some individual problems of the automotive industry (e.g. high stock of finished goods). BTO reconnects the customer to the Supply Chain by focusing on him/her and making him/her to the starting point of the production process. Consequently some objectives like stock reduction as well as an increase of market shares and profits are linked with BTO. However, some requirements and preconditions have to be fulfilled to realize BTO strategies. First of all flexibility across processes, products and volume have to be assured. Therefore actions and strategies like Direct Order Booking, integration of suppliers and 3rd party logistics, platforms and modular design could be adopted. Furthermore, it's necessary to take measures to reduce the Order to Delivery (OTD) time generally and the time of information flow, which currently accounts for more then 85% of the delay in the production and planning process, specially. Promoting IT along the whole Supply Chain, might be the key to success in this case. Finally it should be noted that BTO could not be the overall solution for the whole automotive industry. It will only be applicable if some circumstances are satisfied. Therefore the premium segment (customers going for individuality and prestige) as well as the European market (customers with relatively high willingness to wait) are the possible fields of implementing BTO in the near future. (author's abstract) / Series: Schriftenreihe des Instituts für Transportwirtschaft und Logistik - Supply Chain Management
| Identifer | oai:union.ndltd.org:VIENNA/oai:epub.wu-wien.ac.at:epub-wu-01_1087 |
| Date | January 2007 |
| Creators | Frühbauer, Roman |
| Publisher | Institut für Transportwirtschaft und Logistik, WU Vienna University of Economics and Business |
| Source Sets | Wirtschaftsuniversität Wien |
| Language | German |
| Detected Language | English |
| Type | Paper, NonPeerReviewed |
| Format | application/pdf |
| Relation | http://epub.wu.ac.at/510/ |
Page generated in 0.0024 seconds