Responsive supply in fashion mass customisation systems with consumer returns

Tsan Ming Choi, Shu Guo

Research output: Journal article publicationJournal articleAcademic researchpeer-review

39 Citations (Scopus)

Abstract

Mass customisation systems have been well-established in the fashion industry. Some fashion brands offer the mass customisation system for their selected seasonal products, and allow unconditional returns and full refund for any unsatisfied customers. Motivated by the above mentioned observed industrial practice and based on the growing importance of responsive supply, we explore in this paper the value of quick response supply in fashion mass customisation systems with consumer returns. We focus on investigating how the consumer returns rate affects (i) the optimal inventory decision of the fashion brand, (ii) the achievability of Pareto improvement in implementing quick response supply, (iii) the respective values of quick response for the fashion brand, the fashion supplier and also the fashion supply chain, and (iv) the impact of quick response supply on the environment. We interestingly find that consumer returns enhance the value of quick response supply to the fashion supplier. Quick response supply is also found to be helpful in reducing the environmental cost under the fashion mass customisation system with consumer returns.
Original languageEnglish
Pages (from-to)3409-3422
Number of pages14
JournalInternational Journal of Production Research
Volume56
Issue number10
DOIs
Publication statusPublished - 19 May 2018

Keywords

  • consumer returns
  • environmental cost
  • fashion mass customisation
  • responsive supply
  • use of information

ASJC Scopus subject areas

  • Strategy and Management
  • Management Science and Operations Research
  • Industrial and Manufacturing Engineering

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