Production system classification matrix: Matching product standardization and production-system design

The potential benefits of using off-site production in residential construction have been highlighted in many studies, but the full potential of off-site production approaches is not always realized. This shortfall can be explained by the mismatch between market requirements and the output offered by the production system; in other words, a mismatch between the degree of product standardization and the design of the production system. This mismatch could be resolved through a classification matrix that aids decision makers in matching market requirements and the degree of product standardization with the degree of off-site production and production system design. This paper describes the development of a classification matrix that guides the decision-making process during the designing of new, or redesigning of existing, production systems in residential construction. An important aspect of the development was balancing the trade-off between productivity and flexibility so that products can be produced competitively. The merits of the classification matrix are exemplified by five case companies with different approaches to industrialization and off-site production. The main contribution is the classification matrix per se that reflects different production systems' strengths and weaknesses and thereby aids managers in balancing the productivity-flexibility trade-off to be able to meet the market requirements in the most profitable way. The matrix also supports researchers in analyzing and comparing different production systems used for producing residential buildings.