Planning Storage Location Stock Separately (SAP Library - Material Requirements Planning (PP-MRP))

Planning Storage Location Stock Separately

Use

You can plan storage locations separately, that is, storage location stock separately from plant stock.

Prerequisites

You have maintained the following entries for the storage location (Storage location MRP screen area) in the material master (MRP 4 view):

You have set the Storage location stock planned separately indicator as the MRP indicator.
You have defined a reorder level and a replenishment quantity (fixed lot size).
You must also decide which type of procurement is to be used for this storage location:

stock transfer from storage location to storage location in a plant
stock transfer from another plant
external procurement directly to the storage location
in-house production directly to the storage location
production in an alternative plant
procurement on a consignment basis

For procurement from storage location to storage location of a plant, you only have to enter the MRP indicator, the reorder level and the replenishment level.

All other procurement types are defined using the field, Special procurement type, storage location.

No special procurement keys are included in the standard system for procurement types External procurement directly to storage location and Internal procurement directly to storage location. Create these procurement types in Customizing for MRP. For more information refer to the Define special procurement types chapter in the Implementation Guide.

Features

During a planning run, the system compares the reorder level of storage locations to be planned separately with the stock of this storage location. If available storage location stock falls below the reorder level, a receipt element is created amounting to the replenishment quantity or, if necessary, for a multiple of the replenishment quantity.

According to the procurement type selected for the storage location, the receipt can take the form of a purchase requisition, a planned order, a schedule line and so on and directly refers to this storage location.

The system takes quota arrangements and the source list into account when creating a purchase requisition or a schedule line.

The source list can refer to a contract or a delivery schedule.

If the source list refers to a delivery schedule, the system will only take the delivery schedule if the storage location recorded in it is the same storage location for which storage location MRP was defined in the material master record.
If the source list refers to a contract, the system will only take the contract if the storage location recorded in it is the same as the one for which storage location MRP was defined in the material master record.

If you have chosen Stock transfer within a plant as procurement type for the storage location, the system creates a stock transfer reservation. This is regarded as a receipt at storage location level and as an issue at plant level.

The following diagram illustrates the procedure for stock transfer within a plant:

For storage location X, the reorder level was set to 50 pieces. Since stock at the storage location X (30) has fallen below the reorder level, a stock transfer reservation amounting to the fixed lot size (50) was created. At the same time, this stock transfer reservation produced an issue at plant level for the same amount.

See also:

Reorder Point Planning