Assemble to order

Tool assembly to orders (as it is necessary to replace worn tools)... 

Nature of the business in terms of customer orders This cheuacterization includes make-to-stock, make-to-order, assemble-to-order, and engineer-to-order. It has a great deal to do with what the detailed business operations ace and how operational and tactical planning is done. Qeariy this categorization has a tremendous influence on the ERP requirements emd on the behavior of the enterprise in its supply chain. More than any other, this characterization determines the nature of the delivery activities and the dependence on supplier relationships. 

An assemble-to-order (ATO) system is a hybrid model of biuld-to-stock at the component (subassembly) level and assemble-to-order for the end product. In an ATO system, typically, the components take a substantial lead time to buUd, whereas the time it takes to assemble all the components into the final product is often negligible. Hence, keeping stock at the component level improves responsetime performance, whereas not keeping any end-product inventory reduces inventory cost and maximizes the flexibility for customization. A good example of an ATO system is the production of a PC (personal computer). Other examples include fast-food operations and many mail-order or e-commerce services. 

Glasserman, P. and Wang, Y. (1998), Leadtime-Inventory Tradeoffs in Assemble-to-Order Systems, Operations Research, Vol. 46, pp. 858-871. 

Song, J. S., Xu, S., and Liu, B. (1999), Order Fulfillment Performance Measiues in an Assemble-to-Order System with Stochastic Leadtimes, Operations Research, Vol. 47, pp. 131-149. 

Asynchronous transfer mode (ATM), 250 ATC, see Apparent tardiness cost ATM (Asynchronous transfer mode), 250 ATO, see Assemble to order ATP (available to promise), 2046 Attention, limited-resource model of, 1016 AT T Laboratories, 268, 913 Attribute control charts, 1844-1851 Attribute data, 1856-1857 Attribute modeling, 2279—2280 AT T runs rules, 1863—1868 Attributes ... 

Strategy column of the table has MTO, make-to-order strategy. ATO is assembly-to-order strategy that means manufacturing components and assembling them based on customer order. MTP is make-to-plan. Total manufacturing cost includes manufacturing, inventory, and transportation costs. The relationship... 

In case some parts are needed for multiple repairs, in combination with different other parts, the problems for the different repairs are coupled because of the shared part. Allowing for this coupling gives rise to a much more complex problem, closely related to the problems faced in assemble-to-order systems. For an excellent overview of these systems see Song and Zipkin (2003). The complexities were excluded from the model presented here. 

Further researeh should foeus on obtaining a better understanding of the eonditions under whieh the approximation gives good solutions, and on improving the approximative method where neeessary. The work can be extended in several directions. We mentioned that demand rationing could improve the eontrol of the system. Finally, we could extend towards a system in which one or more spare parts are needed in different repair types. The resulting system would resemble assemble-to-order systems, and would be mueh more complex to analyze. 

The Assemble-to-Order (ATO) firm has designed a product which is manufactured from a variety of components. These components can be assembled into a wide range of products. The company stocks the components, but does not assemble the product until it receives a customer order. The customer is allowed to select from a variety of standard options, which are then assembled into the final product at the factory. A current example of this type of product is a computer manufacturer who waits until an order is received from a customer over the phone and then assembles the computer to meet the customer s specifications. This type of product has a fairly short lead time, but it still allows the customer to customize the product to suit his/her own unique needs. The manufacturing firm limits its risk to the amount of inventory that is stored as components for assembly. 

Part of the demand management decision was discussed earlier when the firm selected its approach to the market. Is the firm a make-to-stock firm (MTS) Or, is it an assemble-to-order (ATO), make-to-order (MTO), or engi-neer-to-order (ETO) firm These organizational decisions influence the amount of risk the producer faces and the speed at which the product can be supplied to the customer. 

Final assembly schedule (FAS)—A schedule of end items to finish the product for specific customers orders in a make-to-order or assemble-to-order environment. It is also referred to as the finishing schedule because it may involve operations other than just the final assembly also, it may not involve assembly, but simply final mixing, cutting, packaging, etc. The FAS is prepared after receipt of a customer order as constrained by the availability of material and capacity, and it schedules the operations required to complete the product from the level where it is stocked (or master scheduled) to the end-item level. 

Product mix changes are required over an operational time frame that, in this case, is daily. The element of flexibility is mobility. So, any product mix can be made each day, with the supply chain moving quickly to produce one product to another. A sandwich shop exemplifies this type of flexibility in a short timeframe, with any sandwich on the menu being assembled to order in minutes. 

DFT is an organized approach to matching production with demand, as the term implies. It envisions taking a pile of parts that is assembled to order. So, DFT works well with products designed around modules or common parts. DFT incorporates many of the concepts ascribed to the Toyota Production System and other approaches. 

This was an assemble-to-order environment using common components to build instruments that are calibrated and tested after assembly. The parent company supplied subassemblies and other components to three subsidiaries that also assembled and calibrated instmments. The subsidiaries, in total, assembled a volume equal to the parent company and placed a significant load on the parent. 

Assemble-to- order An environment where products or services are assembled after receipt of an order. This is useful where there are a large number of options consisting of common components. A basket of groceries is an example. Made-to-order computers are another. In a VAT analysis, this approach might be tried for T type product structures. (Adapted from APICS Dictionary, 10th edition)... 

A system used by design-to-order, make-to-order, or assemble-to-order companies. They enable direct customer or sales engineer configuration of the product. Configurators can generate solid models, drawings, costs, and bills of material. 

For retailers (e.g., Amazon), leadtime performance is purely determined by the structure and execution of inventory and distribution policies. But for firms that also manufacture or assemble products (e.g., Dell), the production function is also a driver of performance. Of course, all of the usual methods for achieving manufacturing efficiency (lean, agile, cellular manufacturing, etc.) are relevant to e-commerce settings. As we have noted above, modular product architectures and assemble-to-order production systems are particularly well-adapted to supporting quick-response manufacturing with which to support an e-commerce system. Since the issues of speed, variety, quality and flexibility were clearly priorities prior to the advent of e-commerce, research that addresses these remains relevant but has not been radically affected by the Internet. 

P. Glasserman and Y. Wang. Leadtime-inventory trade-offs in assemble-to-order systems. Operations Research, A6 6) %5%-%1, 1998. 

Y. Lu, J.-S. Song, and D.D. Yao. Order fill rate, lead time variability, and advance demand information in an assemble-to-order system. Working Paper, 2001. Columbia University, http //www.ieor.columbia.edu/ yao/lsy 1 rev 1 b.pdf... 

Liu, R., Shi, Y., Wan, Y. et al. 2006. Triconstitnent co-assembly to ordered mesostructured polymer-sUica and carbon-sUica nanocomposites and large-pore mesoporous carbons with high surface areas. J. Am. Chem. Soc. 128 11652-11662. 

Modularization in supply chain management is needed in order to implement supply chain strategies as well as manufacturing strategies. The assemble-to-order strategy can only be implemented if there is a modular design of products. The end product can then be assembled out of a small number of products. According to the modules, a decision can be made whether to make or to outsource certain modules to other suppliers and focus more on core competencies. In the next section this is discussed in further detail. 

Decoupling point Engineer-to- order Make-to-order Assemble-to- order Make-to-stock ... 

Assemble-to-order (ATO) High volume Batch production reliability as key factors League... 

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