Advantages and disadvantages of product platforms: insights from literature
Van den Broeke, Maud Boute, Robert
Van den Broeke, Maud
Boute, Robert
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Publication Type
Journal article
Editor
Supervisor
Publication Year
2014
Journal
Review of Business and Economic Literature
Book
Publication Volume
58
Publication Issue
3
Publication Begin page
186
Publication End page
210
Publication Number of pages
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Abstract
Product platforms, as a base from which products can be derived, are believed to allow companies to off er their customers large product variety in a cost and time effi cient way. However, the overall impact of product platforms on diff erent (supply chain) activities is not always clear. In this paper we review literature to evaluate the advantages and disadvantages of platforms. Based on literature, we fi rst develop a new end-to-end supply chain framework that defi nes platforms from a cross-supply chain, cross-disciplinary and cross-departmental perspective. Th e building blocks of the platform framework acknowledge that platforms are a combination of product assets and processes, internal and external partners, and up- and downstream supply chain activities. We also assess which supply chain practices, such as commonality, postponement and the House of Quality, facilitate the objective of platforms to reduce upstream variety while at the same time allowing for downstream variety. To evaluate the advantages and disadvantages of platforms, we rely on our new end-to-end supply chain framework and defi nition. Th e framework supports the discussion about the impact of platforms on diff erent supply chain activities; these activities include product development, ordering, purchasing, operations, inventory management, customisation, reverse supply chain and aft er-sales activities, as well as marketing and sales
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Keywords
Operations & Supply Chain Management