Glossary

Make-To-Order means manufacturing a custom made product on demand, where customer waits for delivery on a promised due date.

Work-In-Progress or Work-In-Process is the amount of work that is already at the reach of resources. In our terms, it is already released work.

One-Piece-Flow is a term related to LEAN manufacturing techniques where the amount of WIP is minimized as much as possible.

Standard Delivery Time in OTIF100 is a good practice where customers are offered regularly the same delivery time. It is an acceptable delivery time, that rarely is changed from one order to the other. We say it is good practice because we believe customers prefer a longer and reliable delivery time rather than an ever changing promise. (We had experience with customers that said "tell me always 80 days and I will prepare for that, but changing from 45 to 90 to 60 only confuses me").

Production Buffer Time or simply the buffer is the minimum time in working days that we want to allow WIP to be released before due date for most orders.

In OTIF100, Families are groups of products (SKU) that share the same PBT.

Promised Due Date is the date that we have promised to our customer to deliver the order.

Scheduled Release Date is the resulting date when we substract PBT working days to PDD.

Actual Release Date is the date where the order was actually released to production. No need to be accurate, if for some reason you don't know it, just report an approximation.

Non Working Day is a day where no production is done, so all NWD should be considered when calculating PDD and SRD.

Capacity Constrained Resource in a chain is the "weakest link", the resource that limits the output of the whole line.

Parts Per Hour is the approximated average of production rate of each product at the CCR.

Due Date Performance is the percentage of orders that are delivered on the PDD.

On Time In Full is almost the same as DDP, emphasizing that the order was completely delivered on time, no pending quantities allowed.