Friday, 17 May 2024, 6:56 PM
Site: Bcom International Supply Chain Management
Course: Bcom International Supply Chain Management (IMM)
Glossary: SCS Glossary

Engineer to Order (ETO)

Manufacturing process where product is built as per customer specifica-tion due to requiring unique engineering, design, customisation etc. 

Make to Order (MTO)

A production environment where a good or service can be made after receipt of a customer’s order. The final product is usually a combination of standard items and items custom designed to meet the special needs of the customer. 

Assemble to Order (ATO)

A production environment where a large number of end products (based on the selection of options and accessories) may be assembled from com-mon components. The key items used to produce the final product, up to the sub-assembly level, are planned and usually kept in inventory in anticipation of a customer order. 

Design to Order (DTO)

Individual parts are designed and assembled specifically for each customer order. Even if the end product contains standard parts, a separate pro-duction process with a specific parts list is required for the product. 

Bill of Material (BOM)

A listing of all the subassemblies, intermediates, parts, and raw materials that go into a parent assembly showing the quantity of each required to make an assembly. 


Implementation Barriers

Challenges or obstacles which prevents or limits the process of putting a decision or plan into effect, execution. 

Order lead Times

A lead time is the latency between the initiation and completion of a process. For example, the lead time between the placement of an order and delivery of new cars by a given manufacturer might be between 2 weeks and 6 months, depending on various particularities.

Functional Products

Functional products are items that are bought regularly and are considered staples. They are widely available in retail outlets, such as, grocery and convenient stores and have a predictable long life cycle due to their stability, although, competition is high resulting in low profit margins.

Innovative Products

Product innovation is the creation and subsequent introduction of a good or service that is either new, or an improved version of previous goods or services. 

Culture

Culture is an umbrella term which encompasses the social behavior and norms found in human societies, as well as the knowledge, beliefs, arts, laws, customs, capabilities, and habits of the individuals in these groups.