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order penetration point (OPP)

The Order Penetration Point (OPP) is a term from Supply Chain Management

(SCM). The order penetration point refers to a specific point in the process chain at which a customer-specific order is recorded. Up to the order penetration point, production is not assigned to a specific customer and is based purely on sales forecasts (push principle). From the order penetration point onwards, a customer-specific order determines the further process in the supply chain (pull principle).

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Englisch: order penetration point - OPP
Updated at: 17.04.2012
#Words: 62
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Translations: DE