Build to order supply chains in developed and developing countries

Abstract The new competitive environment requires firms to produce products with greater specificity to customer needs. Traditional approaches historically employed by manufacturers, such as the use of planning bills and standard interactions among suppliers and buyers, may not prove to be as effective in this new environment. In our research, we first seek to differentiate the traditional Made to Stock (MTS) environment from the emerging Build to Order (BTO) one. In addition, given the global nature of supply chains today, we also compare BTO operations in developed countries with those in the developing world. The results from this study can be useful to practicing managers because we provide specific directions on aligning supply chains for the BTO environment across the globe. In addition, this research adds to the theoretical development of postponement strategies in manufacturing, and establishes empirical links between the international operations, build to order environment, and supply chain literatures.