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Switching to Make-to-Order but there are still stock in the system

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Posted on by Tu-Vuong Le

Hello,

Our company is going lean and we are going to start producing our machine parts to order rather than to stock.

In BC, I switched the manufacturing policy to Make-to-Order. So now, when new production orders are created from a sales order, it shows me the exact quantity I need to produce it. However, we're still new to this make-to-order procedure and still have a lot of stock available.

Is it possible for BC to tell me to produce the part only when there's none left in stock? We would like to exhaust our stock before creating new pieces.

Any help is appreciated.

Thank you,

Tu-Vuong Le

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Dynamics 365 Business Central

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Ben Baxter 4,964 Super User 2024 Season 2 on at

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Switching to Make-to-Order but there are still stock in the system

Switching the Manufacturing Policy to Make-to-Order on its own will do very little to change how the system plans.

The biggest impact is your Reordering Policy for the finished product. I would recommend you use Lot-for-Lot, with minimal order modifiers and a blank Lot Accumulation Period. This will make it very similar to an Order policy, except the Lot-for-Lot can factor in your existing Inventory when making planning suggestions via the Planning Worksheet.

You need to understand Lot-for-Lot is a Many-to-1 policy, where it groups demand in a given time period (blank = 1 Day). This means if you had 10 orders, for the same finished product, all due on the same day, the system is still going to group those orders in the Lot-for-Lot policy.

Lot-for-Lot will give you the most flexibility and control when moving to a lean inventory policy. If you make the move to Order policy, you need to take a good amount of time understanding everything that will be put into place (especially reservations).
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KasparsSemjonovs 3,962 Super User 2024 Season 2 on at

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Switching to Make-to-Order but there are still stock in the system

Not confirmed this works, but You could try using the planning worksheet to create Production Orders, or on Sales order add a reservation to items from stock.