Managing Technological Innovations Affecting Product Complexity, Modularity, and Supply Chain Structure

Abstract

Modularity is one of the most relevant paradigms in manufacturing as it has made mass customization possible through the introduction of postponement and through the effective management of product complexity. Hence, the study of the relationships between mass customization, modularity, technological innovations, and the supply chain still has elements that can be used to extend existing knowledge in the field. This chapter provides an insight of the management of technological innovations using modularity to provide customized products. The cases in the automotive industry addressed reveal that the capability of handling a modular architecture in a complex product can offer an infinite number of bespoke configurations with the sources of innovation for modular architectures located within the firm. The findings support the use of a modular architecture to assist in the introduction of technological innovations with a minimum disruption to the supply chain.