The Postponement principle or it may be called Assemble to order or finish to order is...

 

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The Postponement principle or it may be called Assemble to order or finish to order is where the product or even service can be finished after receiving the actual order. The product main components are partially manufactured and stored waiting for the orders. This will allow the customization of the final product as per the customer requirements in short time, and the product can be tailored by changing small parts. An example which have a success story of this principle is Dell computer which have the main component assembled and the customization will be at the end of the supply chain near the customer. What are your recommendations for the location and the specification of DCs? What channel of distribution you recommend, and why? The Postponement principle or it may be called Assemble to order or finish to order is where the product or even service can be finished after receiving the actual order. The product main components are partially manufactured and stored waiting for the orders. This will allow the customization of the final product as per the customer requirements in short time, and the product can be tailored by changing small parts. An example which have a success story of this principle is Dell computer which have the main component assembled and the customization will be at the end of the supply chain near the customer. What are your recommendations for the location and the specification of DCs? What channel of distribution you recommend, and why?

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Recommendations for Dells Distribution Centers DCs based on Postponement Principle Location Strategic Locations Since Dell uses a postponement strategy with final assembly near the customer strategica... View the full answer