Paradigm Shift from Current Manufacturing to Social Manufacturing

Abstract

The emergent phenomenon of social manufacturing is disrupting industries all over the world. Social manufacturing represents a new collaborative manufacturing paradigm. The shift from the current manufacturing paradigm to social manufacturing is facilitated by rapid development of mobile technologies, new digital manufacturing, and online social networks. There are already successful businesses that build upon the social manufacturing paradigm, e.g., in finance, hospitality, and transportation: new banks are born without physical offices (ING Direct), the world’s greatest hotel chain does not own a single room (AirBnB), and a taxi company neither owns cars nor employs drivers (Uber). The objective of this study is to construct a model concerning the paradigm shift from current manufacturing to social manufacturing. The model for the paradigm shift incorporates various topics that are central in the transition process, such as 3D printing, customization, value chains, and social networks. The model is divided into two phases. First, there is an intermediary phase of social manufacturing where customers will co-create with manufacturers. However, here manufacturers still control the manufacturing platform. This phase represents an incremental dimension of social manufacturing. Second, there is the fully-fledged social manufacturing phase that I call it the ultimate phase of social manufacturing. In this phase of social manufacturing, customers can become entrepreneurs, pursuing their ideas throughout the manufacturing value chain by using support from a public manufacturing platform. This phase represents the disruptive dimension of social manufacturing. To demonstrate the practicality of this study, the proposed model is then applied in the apparel industry for creating insights both to the intermediary and ultimate phases of social manufacturing within this field. Finally, opportunities and risks related to social manufacturing are discussed, the limitations of the study are presented, and future avenues of study are outlined.

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