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Describe Dynamics 365 Supply Chain ManagementeasyMultiple ChoiceObjective-mapped

MB-920 Describe Dynamics 365 Supply Chain Management Practice Question

A company uses Dynamics 365 Supply Chain Management for production. They want to automatically create production orders when sales orders are entered for make-to-order items. Which planning method should they use?

⚠ Common exam trap

Many exam-takers confuse 'master planning with automatic firming' as the method for creating production orders, but it is actually a scheduling and firming feature that works in conjunction with MTO planning, not a standalone planning method.

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Make-to-order (MTO) planning

Make-to-order (MTO) planning is the correct method because it directly links sales orders to production orders, automatically generating production orders when a sales order is entered for a make-to-order item. This ensures that production is triggered only when demand exists, aligning with the company's requirement for make-to-order scenarios in Dynamics 365 Supply Chain Management.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Discrete manufacturing with BOMs

    Why it's wrong here

    Discrete manufacturing is a production type, not a planning method.

  • Engineer-to-order (ETO) planning

    Why it's wrong here

    ETO involves engineering changes before production, not automatic creation.

  • Make-to-order (MTO) planning

    Why this is correct

    MTO automatically generates production orders from sales orders.

  • Master planning with automatic firming

    Why it's wrong here

    Master planning can create planned orders, but MTO is the direct method for sales order-driven production.

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