MAKE
The MAKE Level Two process types, make-to-stock (M1), make-to-order (M2), and engineer-to-order (M3), attempt to characterize how your company converts raw materials (RM) to work-in-process (WIP) to finished goods (FG) status.
M1 is generally triggered by a forecast or replenishment requirement from PLAN; the conversion process is executed prior to the customer order. The work-order quality is indipendent of specific customer order quantities, and is often related to a replenishment economic order quantity. M2 is generally triggered by a specific customer order requirement from DELIVER; the conversion of the raw materials or semi-finished goods is executed in response to a customer order quntities.
M3 is generally triggered by a specific customer order requirement and design specifications from DELIVER. Manufacturing engineering specifications must be completed prior to the issue of a work order. The work order quantity is dependent on specific customer order quantities, and is usually executed once.