In: Operations Management
What are the characteristics of engineer-to-order products in manufacturing (as opposed to mass production)?
Why are lead times significant for engineer-to-order products?
How does MES play a role in supporting manufacturing engineer-to-order products?
Q1) Engineer-to-order products are the products that start designing followed by development and production after an order is placed for the same. Below are the characteristics of engineer-to-order products in manufacturing -
1. Increased customer participation in design and manufacturing of the product.
2. Products are highly customized and complex and each ETO process produces a single distinct product.
3. Changes to design are pretty common and frequent.
4. Involves huge capital investment
Q2) Engineer-to-order products are normally huge construction and similar projects that involve huge investment costs as well as will have longer lead times as the products start with engineering design and end with delivery of the project.
As the projects involve multiple engineering, design changes and are dependent on multiple labor and equipment resources, lead times are pretty significant for the products.
Q3) Manufacturing Execution Systems (MES) play lesser role in supporting manufacturing engineer-to-order products by reducing lead times of manufacturing though design takes longer times but it does not require all the setup needed for MTO and MTS products as it is only a single large product/project with heavy focus on design.