Make to stock (MTS)

Make to stock (MTS),

Definition of Make to stock (MTS):

  1. Strategy of an organization to produce products based on anticipated demand. Made to stock is the opposite of made to order where items are produced based on actual demand or orders from customers. When accurate forecasting of demand is possible, the make to stock strategy can be very cost effective. The downfall of this strategy is possible over production due to unrealistic forecasting of demand.

Meaning of Make to stock (MTS) & Make to stock (MTS) Definition