Analyzing the barriers to implementation of mass customization in Indian SMEs using integrated ISM-MICMAC and SEM

Abstract

PurposeThe purpose of this research is to identify the crucial barriers to the implementation of mass customization (MC) in Indian SMEs and to investigate the interactions among them so that important managerial implications could be formulated to facilitate the implementation of MC in SMEs.Design/methodology/approachThe contextual relationships and hierarchies of the barriers are established through the interpretive structural modelling (ISM) approach, and MICMAC analysis has been used to classify the barriers into different groups. Further, structural equation modelling based on partial least squares (PLS-SEM) has been applied to statistically validate the ISM model using the data collected through a questionnaire-based survey of Indian organizations.FindingsA portfolio of barriers, containing 16 items, has been identified from the literature review and a series of semi-structured interviews of practitioners. The study develops a structural model by establishing relationships and imposing directions among the barriers and classifies the barriers according to their driving and dependence power to serve as a roadmap for SMEs willing to implement MC into practice.Practical implicationsThe study highlights the critical barriers which have a significant impact on other barriers and need to be handled at priority. Also, the present research renders insights to SMEs to better prioritize their efforts and resources to overcome these barriers.Originality/valueThis research happens to be first in the MC literature that investigates the key barriers responsible for hindering the implementation of MC in SMEs and develops a statistically validated contextual model showing hierarchies and relationships of the barriers.