I am trying to configure odoo for a custom sign shop and wondering what the difference between Make to order and manufacture is regarding handing of products.
@Luke I am assuming you're suggesting this book because you know it has the answer to this question. Surely that means you also know the answer to the question, and could answer it? Odoo is changing too fast for books to hold the definitive guides. We need to create online resources, not rely on media with longer turnovers than a significant Odoo release.
There are two routes available on the product for the procurement, Buy and Make to Order. The Buy route is called Make to Stock, which means, assign from the stock if available in stock or create a procurement order
According to Make to Order, just create a procurement order as and when the product is required. It means that the stock is not maintained in the warehouse. Either the purchase order or manufacturing order will be created when the procurement runs on both the routes.
- Make order : is the way to tell the system to do cross docking. That means maker order allows you to not get stock of products. When customer ask 5PCE, odoo don't take them from stock but run purchase order to buy and bring them for deliver customer;
- Manufacture : every company have two main ways to procure himself in product : buy with supplyers or product(manufacture) it himself.
- you can manufacture products by maker order option. That mean you run manufacturing order only if customer confirms sale order.
Hello Hariharan Gopalan,
MTO stands for Make To Order and it is one of the routes present in an Odoo. The Make to Order function will create a Purchase Order for the amount of the Sales Order associated with the product. The process of MTO (Make to Order in Odoo) doesn’t effect inventory. If you don’t want to manage or maintain stock at Odoo end then MTO helps to prepare stock once it is required. So, if you don’t want to invest too much in the stock then ‘Make to Order‘ is a better choice as it lets you create Purchase order at the time of sale order confirmation.
Refer the blog to know more about MTO
However, Manufacture is also a route which helps to create MO using BOM of the products. So the main difference is that purchase order is created for MTO and manufacturing order is created for Manufacture route.
Technical Content Writer (ODOO)