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Make to Order
Make to Order
Thinking of production scheme from the standpoint of order time, the system where a production is performed after receiving an order is usually called "Make to Order". In this method, every time receiving an order, the customer specifications are determined, based on which the production is performed in the order of engineering, purchasing, and production. In the Make to Order, since order is directly connected with its production, changes in order directly influence the factory's work load. Therefore it is crucial to ensure its flexible production capacities and backlog of orders enough to allow the production stable.
Related term: Production System
Antonyms: Make to Stock
Thinking of production scheme from the standpoint of order time, the system where a production is performed after receiving an order is usually called "Make to Order". In this method, every time receiving an order, the customer specifications are determined, based on which the production is performed in the order of engineering, purchasing, and production. In the Make to Order, since order is directly connected with its production, changes in order directly influence the factory's work load. Therefore it is crucial to ensure its flexible production capacities and backlog of orders enough to allow the production stable.
Related term: Production System
Antonyms: Make to Stock
Reference：JIT Business Research Mr. Hirano Hiroyuki
Low-Mix High-Volume Production | Production Planning | Make to Stock