Make-to-order involves stocking at the level of raw materials or direct purchasing of material from suppliers after receipt of a customer’s order. The final product is produced to meet the special needs of the customer using materials from the raw materials store or acquired through customer procurement orders. In both cases, the starting point is completed design and manufacturing process development. Thus, we can speak of stocking at the level of product and process development.
Consigned stocks, or consignment inventory, or vendor-owned inventory (VOI) are inventories of unpaid items. These are items that legally still belong to the supplier, but have already been physically moved to the company.