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Make-to-Order (MTO) is a production strategy where products are manufactured only after a customer places an order, ensuring customization and reducing excess inventory.
Make-to-Order is a customer-centric approach that focuses on producing goods based on specific customer requirements. This method avoids overproduction and minimizes waste by creating items only when there is confirmed demand. It is ideal for businesses offering personalized or highly specialized products.
Make-to-Order works by starting production only after receiving a customer order, ensuring each product meets specific requirements. This strategy benefits your business by reducing inventory costs, minimizing waste, and allowing for greater customization, which can enhance customer satisfaction and loyalty. It’s perfect for businesses offering unique or high-value products.
Buske Logistics is a Top 40 3PL with over 35 warehouses across North America, specializing in warehousing, transportation, and value-added services. We provide tailored logistics solutions serving major Fortune 500 companies.
Make-to-Order is essential for businesses that prioritize customization, reduce inventory costs, and minimize waste. By producing goods only when needed, companies can offer tailored solutions while maintaining lean operations and reducing storage expenses.
For example, a furniture manufacturer might use Make-to-Order to produce custom-designed sofas. Once an order is placed, the product is manufactured, assembled, and shipped directly to the customer, eliminating the need for large inventory storage and reducing overhead costs.
