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Pick to Order (PTO)

A Variety of shippable components are stocked.


Customers order kits or collection of these parts under a single item number.
Kits can be predefined or configured by the customer during the order entry process.
There is no additional value added after the customer order.
For Example : Computer System (CPU , Monitor , and Printer)
Configure To Order (CTO)
This is when manufacturer has few configurable base models. An example is heavy equipment
manufacturers which usually have several base tractor & truck models, but where customers can choose
configuration option for each order, like air con, radio, bucket size, boom length, etc. Without CTO
software, the number of combination of finished good stored in the system will be ridicilously high. Using
CTO software, manufacturer only has to store a master base (or generic) item along with its generic BOM
& routing, plus some configuration question which adds or remove parts/operations. When customer
books an order, the sales rep asks series of questions (would you like air con? which bucket size would
you like? and so on) then records the answers in the system. The CTO software then automatically create
a new product variant specifically according to the configuration required by the customer. The product
variant will automatically have customized BOM & routing per customer request as well, so that when the
production is executed in the shop floor, correct materials & routings are followed

PTO - Pick To Order is a fixed configuration of a product which you need to order. No changes can be
done in the configuration.
For example consider the buying of a computer. Now there are various sizes of monitor that can be
available. Say X is the entire computer. If its a PTO then the monitor given shall be the one that will be
delivered. But if its an ATO then the user can select the monitor that is a 15" or a 17".
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In Order Management with discrete manufacturing, the fulfilment process can be divided into 3 different
categories - PTO, ATO and CTO.
PTO - Pick To Order. This is a push based manufacturing system where the goods are manufactured
based on forecasted demand. The goods are picked as and when the orders come in and fulfilled against
the order.
ATO - Assemble To Order. This is a pull based manufacturing system where the parts are kept in stock
but not manufactured until the actual order is created. Based on the order, the work order gets created
(based on a predefined BOM) and fulfilled.
CTO - Configure To Order. This is also pull based. The main difference here is the dynamic creation of
the BOM based on option classes defined. The configuration can be created during Order Processing
based on which the BOM as well as the work order gets created for fulfilment.
Regards,

PTO:
PTO is collection mandatory and optional items and consists of ATO model
also.
In PTO Sales Order no configuration items would be created.
All picked items would be shipped to customer immediately.
In PTO kit you have mandatory item, hence there no option of choosing items.

Quick ship order:


products that are pre-made and ready to ship when you order them. You dont make changes to these.

Configure to order

Build to order and sometimes referred to as make to order, is a production approach where
products are not built until a confirmed order for products is received

Configure-To-Order (CTO):
It is a method of manufacturing which allows you, or your customer, to select a "base product" and
configure all the variable parameters associated with that product.
It allows you, or your customer, to choose a base product at the very moment of ordering and then
configure all the variable parameters (features) associated with that product from defined/available
options. Based on these selections, configurable items on each quote or order typically generates the
"unique product" configuration and manufacturing routing and/or bill of materials based on various
features and options. Vendor/order receiving company subsequently builds that configuration dynamically
upon receipt of the order.
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CTO is similar and refers to an item that is "Configured to Order". An example might be a Dell
Computer that allows a customer to specify Options and Features for the computer (keyboard
style, memory size, hard drive size, etc.).
a Configure to Order (CTO) system takes the ATO concept one step further, in allowing each customer
to configure his/her own product in terms of selecting a personalized set of components that go into the
product. Aside from checking that the product so configured must make sense, there is no menu of
product types that limits the customer's choice. See description to learn more about Configure to Order
(CTO).
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Sales Force-Opportunity:
Represents an opportunity, which is a sale or pending deal.
Opportunities are the sales and pending deals that you want to track. By adding opportunities, you are
also building your pipeline, which will contribute to your forecast. You can also link opportunities to
campaigns to help measure the ROI of your marketing programs. In addition, you can create quotes,
which show proposed prices for products and services, from an opportunity.

Sales Force:
The division of a business that is responsible for selling products or services

Warranty:
A warranty has various meanings but generally means a guarantee or promise which provides assurance
by one party to the other party that specific facts or conditions are true or will happen

Install Base:
Install Base is a product to track an Item from Cradle to grave.
Lets say you want to track a component hard drive in a computer, you can do so once you have the item
set up in Inventory as trackable.
Oracle Install Base is an item instance life cycle tracking application that facilitates enterprise-wide life
cycle item management and tracking capability.
Oracle Install Base tracks an instance from the time that it is received in inventory, in work in process, in
projects, at customer sites, and throughout the return and repair process.
It records a history of changes to tracked items and supports the creation and
maintenance of Oracle Install Base configurations.
Oracle Install Base is a centralized repository of information for an item instance
and its tracking details including location, status, ownership, party, account and
contact relationships, configuration data, and the change history of customer items
or corporate assets. The application includes drill-down capability to obtain details
of inventory, work in process, and order management transactions affecting an
item's tracking attributes.
Oracle Install Base provides links to detailed information from
contracts, service requests, repair orders initiated for an item instance, and counters associated with the
item instance.

Freight Carrier:
A freight carrier is the company or person who directly handles your shipment.

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