Both research and company cases show that modularization has great potential to create continuous competitive advantages.
- Increased Market Offering
- Increased market flexibility
- Increased opportunities for market variance
- Reduced time-to-market
- Reduced manufacturing costs
- Reduced stocks, spare parts, and handling costs
- Reduced internal variance and thereby complexity
- Improved supply base
- Corresponding product development
- Capital Expenditure Efficiency
Consider your characteristics
The impact of modularization varies in practice, meaning that different business types will reap different benefits. When a company is to decide on a modularization strategy, the choice should therefore be determined by both the nature of its products or solutions and by the overall impact of different modular architectures.