Mastering Demand and Supply Uncertainty with Configurator Software

This paper evaluates the role of configurator software in agile supply chains that are characterized by a relatively high degree of uncertainty both in the market and in production processes. Product configuration software is successfully used to manage demand uncertainty. The objective of this research is to assess the feasibility of configuration software to manage also supply uncertainty and to identify development strategies and challenges. The paper builds on a typology of supply chain strategies as a frame of reference. A firm’s information systems should match the type of supply chain it operates in. By means of a case-study in a youngplant-growing firm it is concluded that current configurator software does not sufficiently support the flexibility at the supply side required in agile supply chains. Main challenges are better integration with flexible back-office systems, and functionality to support process configuration in addition to product configuration.