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Procedure documentationRunning MRP - General Process, Prerequisites, and Procedure Locate this document in the navigation structure

 

The Material Requirements Planning (MRP) function lets you plan material requirements for complex manufacturing and procurement processes. To create and run MRP scenarios, you use the MRP wizard. The wizard generates recommendations (production orders, purchase orders, and inventory transfer requests) required to produce or procure the final product on time and in the required quantity. In the Order Recommendation report, you create production and purchase orders based on these recommendations.

This graphic is explained in the accompanying text.

The MRP Process in SAP Business One

Prerequisites

  • You have defined the following settings on the Item Master Data: Planning Data tab. For more information, see Item Master Data: Planning Data Tab.

    • Planning Method

      Only items with the Planning Method of MRP are available for selection when you are running the MRP wizard.

    • Procurement Method

      The procurement method affects the order type MRP recommends for items with demands.

    • Order Interval

      In MRP calculations, the application automatically groups the recommended orders into interval periods according to your definition, and arranges orders within the same period into the first working day of that period. For more information, see Example: Lead Time, Holidays, and Order Interval in MRP.

    • Order Multiple

      Your definition of order multiple may affect the order quantities MRP recommends.

    • Minimum Order Qty

      Your definition of minimum order quantity may affect the order quantities MRP recommends.

    • Lead time

      The lead time definition affects the order recommendation calculation.

      For more information, see Example: Lead Time, Holidays, and Order Interval in MRP and Examples: Cumulative Lead Time.

    Note Note

    You can either run MRP with the planning parameters you defined for each item in the Item Master Data window, or you can define a set of parameters when running the MRP wizard and apply them to all the selected items in the MRP run. For more information, see Update Selected Items in MRP Wizard, Step 3: Item Selection.

    End of the note.

  • If necessary, define forecasts and consume forecast settings. For more information, see Managing Forecasts.

Procedure

  1. To start MRP wizard, choose   MRP   MRP Wizard  .

  2. Create a new MRP scenario or select an existing one.

    For more information, see MRP Wizard: Select New or Existing Scenario.

  3. Define the parameters for your scenario, such as the planning horizon and item details, and choose your display preferences.

    To run a simulation scenario without saving the recommendations, select the Simulation checkbox

    For more information, see MRP Wizard: Scenario Details.

  4. Define the data sources for requirements that you want to include in your MRP scenario.

    For example, you define whether you want to consider the existing inventory or the minimum inventory level. You can also include a forecast to be consumed by sales orders.

  5. Save the scenario or run it.

    After you run the scenario, the system displays the MRP results report and the order recommendations MRP generates.

  6. Review the MRP results report. You can view the final inventory quantity either before or after the MRP run to observe the MRP impact on your inventory.

    For more information, see MRP Wizard, Step 6: MRP Results.

    For more information about how the MRP schedules recommendations for inventory transfer requests and orders, see Examples: Order Recommendations and Examples: Inventory Transfer Request - Warehouse Selection and Recommendation Algorithm.

  7. Save the order recommendations and exit the MRP wizard.

Result

After completing the MRP wizard, you still need to create the purchase and production orders, and maybe the inventory transfer request, in accordance with the MRP recommendations. For more information, see Generating Orders from Saved Recommendations.