Serial Numbering

I have the need to create serial numbers and wondering what is the best practice for that. I have embedded a chart showing that I have a main machine product, then we have 2 different designed configurations for it. And then from there, we would have serial numbers. 

At first we thought we would track in PDM, but as I learn more about MPM, that seems to be the tool to track what physically was built and sent out the door. Is this the right approach?