Make To Order has a different way of approach from the Make to Stock. Here the stock is not considered. The products get manufactured only after getting a firm confirmation from the customer. Only upon a confirmed order the product’s manufacturing or buying will take place. The method is generally implied for highly configured products like automobiles, servers, products under perishable category or products that are very expensive to keep the inventory.
2. INTRODUCTION
● Make to Order is a production approach, where goods are purchased or manufactured after the
confirmation of sales order.
● The system will not check the current stock and does not affect the Inventory.
● Draft purchase order/manufacture order will generate regardless of the quantity on hand of the
product.
3. Let us check how it works:
Go to -> Sales -> Products -> choose a product
under inventory tab check make to order and one must ensure which procurement should be executed
ie, action to trigger when sales order is confirmed.If chose manufacture, manufacture order will
generate.Here i chose buy so RFQ will be generated.
4. There should be a vendor for the product.
next is to create sales order.