Compare make-to-stock, make-to-order, and assemble-to-order strategies and their impacts on lead times and inventory.

• A. Make-to-stock produces for stock; make-to-order produces after a customer order; assemble-to-order assembles from pre-specified components; MTS offers shorter lead times and higher service levels, MTO longer lead times, and ATO balances lead time.
• B. Make-to-stock produces after order; make-to-order produces for stock; assemble-to-order uses finished goods.
• C. All three strategies involve the same lead times.
• D. Make-to-stock is never used in manufacturing.

Answer: (A)