1.2 KiB
| _label |
|---|
| Engineer-to-Order Manufacturing |
Engineer-to-order manufacturing is a strategy where the product is designed and manufactured based on very specific customer requirements. Since the end product tends to be complex, customers may engage with the ETO company throughout the entire design and manufacturing phases, to ensure that their specifications are met. This strategy is used by construction, fabrication industry, etc.
Since most specifications like design, requirements, engineering changes etc are often tossed back and forth several times between the ETO company and the customer, either party can become confused if the exchange of product information is poorly managed. Managing and identifying parts for production is an important step.
Engineered-to-order products are often built from difficult to source parts, expensive parts and highly engineered components. Thus, acquiring the necessary product components can be a time consuming and costly endeavor, causing issues before and during production runs.
To manage ETO products maintain a consistent serial number records and create a Bill of Material for each product. Focus on the bill of materials rather then on the estimation and budgeting of the product.