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Auftragsfertigung

Also: Make-to-Order, MTO, Einzelfertigung auf Bestellung, kundenauftragsbezogene Fertigung, auftragsbezogene Fertigung

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In brief

Make-to-order refers to a production model in which the manufacture of a product does not begin until a specific customer order has been received. Unlike make-to-stock production, goods are produced individually for each customer and demand-driven.

Key facts

What is make-to-order production?

In make-to-order production – also known as Make-to-Order – manufacturing does not start speculatively but exclusively on the basis of an existing customer order. This means: without an order, there is no production. This model stands in contrast to the make-to-stock principle, in which products are manufactured in advance and then sold from inventory.

Make-to-order production is found wherever products are configured to customer specifications, where the range of variants is so large that holding stock would be uneconomical, or where the value of the goods does not justify carrying inventory at the company's own risk. Typical industries include mechanical engineering, plant engineering, furniture manufacturing, and parts of the electronics industry.

How does make-to-order production work in practice?

As soon as an order is received, the production system – typically an ERP – triggers the procurement of the required materials and the scheduling of capacities. Logistics is closely interlinked with production planning: material availability, supplier lead times, and capacity bottlenecks must be coordinated in such a way that the promised delivery date is met.

Key logistics tasks in this model include:

  • Material requirements planning and procurement of raw materials and purchased parts based on the specific order demand
  • Managing order throughput time from order receipt to delivery
  • Coordinating bottlenecks at suppliers or within internal production
  • Providing transparency on order status for sales and customers

The delivery time communicated to the customer depends directly on the procurement and production lead time. This makes careful scheduling and capacity management a core competency in make-to-order production.

What factors matter when selecting a production model?

Whether make-to-order is the right model depends on several factors. The decisive considerations are the delivery time acceptable to the customer, the variety of variants in the product range, and the capital costs of potential speculative production. If customers expect short delivery times while also demanding many individual variants, a hybrid model may make sense: standard components are manufactured or procured to stock (Assemble-to-Order), while customer-specific final assembly only takes place after the order is received.

From an IT perspective, make-to-order production requires close integration of ERP, production planning, and warehouse management systems so that material availability and capacities can be mapped in real time. Companies that adopt this model should also define clear escalation processes for supply shortages, as any delay has a direct and visible impact on a specific customer order.

Frequently asked questions

In make-to-order production, manufacturing only begins once a specific customer order has been placed, whereas in make-to-stock production, goods are manufactured in advance and sold from inventory. Make-to-order enables greater customization but typically involves longer delivery times.

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