Standardization in a High Mix Low Volume Company : A Case Study

Abstract: The market has been evolving from mass production towards mass customization, which has increased the complexity level for the companies. Unlike in mass production companies where the tasks are routine and standardized, the mass customization types of companies have a varied work demand which makes the work environment complex. These types of mass customization companies are known as High Mix Low Volume type of companies basically because of their characteristics of having a high mix in products and comparatively low volume production.  This thesis research was done with DEWTON INDUSTRIES, Kochi in India. Although product variety and complexity has been answered using technology development and modularization in the previous studies, there has been less focus given to reducing the complexity from the production process point of view. It is also evident that there is limited literature and research done regarding the standardization in High Mix Low Volume type companies both in the academia and in the industry. Hence, understanding the problems regarding standardization in a High Mix Low Volume company and how to handle them has been of a major importance at this point of time. The purpose of the research is to see how standardization can be increased in HMLV companies. The research approach used here was the case study to collect the necessary data to achieve the results. The data collection techniques used were interviews, observations and literature review, which gave the guidelines and suggested solutions to the identified problems related to standardization in High Mix Low Volume company in the production department.  The findings from the research suggest that standardization in HMLV production is very important for the companies in their current market demands. This is because standardization has a major effect on the quality of end products, production lead time, working standards of employees in the production department and design department. Various problems can occur, and only standardized procedures can solve these problems. It has been well exemplified in this thesis work, how these standardized procedures can increase the quality of the products, increase production speed, and also profit for the company. This research paper can be used as a guideline by other HMLV companies, while they plan to implement standardization in the production department. To the best of our knowledge this research was one of a kind in this particular field of study and also provides a base for in-depth research on each identified problem.