Engineer to order is becoming one of the fast-adaptive process by manufacturing industry, for its ability to create products\services as per customer’s exact requirements. Previously customers used to purchase products with nearest fit requirement and use it. With evolving time, everybody wants their product to be unique from each other, and to achieve this, engineer to order is one the best processes that can be followed by the manufacturer. It provides more possibility of serving wide customer base from scratch.
The process starts from gathering customer’s requirement to building of the final product. Manufacturers know this is an iterative process of improving the raw product to customer ready product. Though it is time and money consuming process, it also makes sure that a unique product is provided to each requirement.
The various stages of Engineer to Order (ETO) are –
*Improvising the design based on customer’s input is a repetitive process for the final product
Industries which are involved in Engineer to order (ETO) and Manufacturing to order (MTO), know that it takes a lot of time to develop and produce the products for customers. Every customer would like the Engineer to order business to be considered as a priority, focusing on the production process and optimizing it to ensure that it is most efficient, making their business the best it can be.
Businesses that can facilitate this type of process can reap the benefits, but to achieve the maximum benefits, the important thing is to comprehend customer requirements, which directly helps in designing and estimating cost. Also, for any project, the outcome is weighed by how much money we have estimated and how much we have spent, which directly impacts the company’s revenue.
Businesses which can cater to all this has to investigate another important aspect of the final product which is, Quality, since customer would always request Quality and Content at the same time. It is up to the business to understand this and make sure the quality checks are based on the products they are building, as they are not manufacturing the same product repeatedly, being in ETO process.
As the Businesses evolve more and more on ETO, they can further diversify into varied process of manufacturing, for the customers who require more of a Assemble to order product. Inspired from their ETO manufacturing process, businesses can even provide multiple options to their customers, on what could be some of the combinations required for the final product.
Posted on – April 6th, 2018
By – Srikanth Reddy Prathakota, Senior Business Consultant (Infor ERP LN)