MTO
Make-to-Order
Make-to-Order is the Supply Chain Configuration Strategy which uses unique, identifiable t:SOs to drive all decision and execution processes. In practice this means stock is assigned to orders early on in the supply chain: at receipt of product in Source-To-Order process or in the Make-To-Order Make process. For inventory transactions both the item number and the Sales Order/reference are recorded*.
Make-to-Order is one of the four Supply Chain Configuration Strategies: Make-to-Stock, Make-to-Order, Engineer-to-Order and Reverse Logistics.
Contents
Use Cases
- Assemble-To-Order (ATO)
- Build-To-Order (BTO)
- Configure-To-Order (CTO)
- Package-To-Order (PTO)
- Customization Postponement
- In Retail: Special Orders
- In Services industries: Tailored services
Notes
The emphasis for planning Make-to-Order is on positioning the capacity required to execute (Source, Make and/or Deliver), instead of executing ahead of receiving the Sales Order.
*) Serial-, lot- or batch numbers may also need to be recorded for some use cases.
Community Importance Rating:
Hierarchy
| ID | Name | Level | x |
|---|---|---|---|
| SCCS | Supply Chain Configuration Strategy | 1 | SCCS |
| MTO | Make-to-Order | 2 | MTO |
| ATO | Assemble-to-Order | 3 | ATO |
| CTO | Configure-To-Order | 3 | CTO |
| PTO | Package-to-Order | 3 | PTO |
Process(es)
| ID | Name | Level | x |
|---|---|---|---|
| A1 | Align Strategy | 2 | A1 |
| A103 | Segment Supply Chains | 3 | A103 |
| A109 | Define Scorecard | 3 | A109 |
| A113 | Identify Strategic Supply Chain Capabilities | 3 | A113 |
| A2 | Align Network | 2 | A2 |
| S2 | Source-to-Order | 2 | S2 |
| M2 | Make-to-Order | 2 | M2 |
| D2 | Deliver-to-Order | 2 | D2 |
Term(s)
| ID | Name | Clear | x |
|---|---|---|---|
| ATO | Assemble-to-Order | ATO | |
| CTO | Configure-To-Order | CTO | |
| ETO | Engineer-to-Order | ETO | |
| JIS | Just-In-Sequence | JIS | |
| JIT | Just-In-Time | JIT | |
| MTS | Make-to-Stock | MTS | |
| PTO | Package-to-Order | PTO | |
| S2P | Source-to-Pay | S2P | |
| SOS | Special Order Service | SOS | |
| SCCS | Supply Chain Configuration Strategy | SCCS |