Two of the most common manufacturing philosophies are make-to-order (MTO) and assemble-to-order (ATO). The strategy to be applied is determined by the respective market. Each strategy enables agile reactions to the management of order flows in different manufacturing contexts.
The MTO production is active when the order is received. The work is carried out in response to an order placed. Several production sites can be involved in this process.
Advantages of MTO:
- Cost reduction without storage
- Avoidance of waste in your company
- Allows companies to manufacture products that are tailored to consumer specifications
Buying a fautile or sofa is an example of this. Have you ever ordered a sofa of a certain size with a certain design that you have chosen from a catalog? How long then did you have to wait for the product? Was it six or eight weeks? For some, maybe even three months. That was the MTO production.
Assemble to Order (ATO)
Assemble-to-Order (ATO) is a combination of MTO and MTS. It applies to goods that only need to be assembled for shipping to the customer without the need for extensive specialist work. This can be an electronic product such as a computer, in which all parts from different production facilities come together. The product is then assembled according to customer specifications and packaged for shipment. The order is accepted and then assembled from already manufactured components such as keyboards, monitors and motherboards with their specific parts into adaptable computers.
Make-to-Stock (MTS) involves the production of parts that are readily available and quickly assembled to ensure that customer orders are carried out within the desired timeframe. This production or manufacture of goods is based on expected consumer demand. A major disadvantage of MTS is that it relies on significant inventory levels, which are almost always considered to be costly or wasteful. This also results in a large part of the finances being locked in inventory.
From product design to the packaged product
You will be guided from product design to finished and assembled packaged product when using GTS to produce your product in China. Contact us for a free quote. We make sure that your product arrives at the desired destination. Whether Germany, Great Britain, Italy, France, other EU countries, Canada or the USA, we are there for you to help you with the custom-made product. Your manufactured product will be assembled, packaged and shipped to the country and city of your choice.