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Build-to-Order
Production Planning

Build-to-Order (BTO)

Build-to-Order

Production strategy in which final products are built only after a confirmed customer order is received.

Examples

  1. 01The furniture maker works build-to-order: each sofa is built only after the customer chooses fabric, size and colour.
  2. 02Sales and planning agree on a 4-week delivery promise for build-to-order products, based on actual capacity.
  3. 03In the daily meeting, build-to-order jobs whose fabric has not arrived are moved back so the line keeps running.

Related terms

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