SAP MRP Process Details
SAP MRP Process details
Maintaining Material Master MRP Views:
To have a material managed through SAP MRP, it is mandatory that you would create the MRP views for the materials. When you create the MRP views for the material, a MRP Type has to be assigned in the MRP 1 view. A MRP type designated to the material explains whether the material is allowed to go through material requirement planning and if the MRP type allows material requirement planning, it explains the type of material planning that is required for the given material at a given plant.
It should also be noted that the MRP type “ND” would not trigger any Material requirement planning for the material, while MRP type “XO” carries out MRP in an external system like APO. (It should be noted that you should extend the material for all the 4 MRP views)
MRP Types can be categorized in to 2 major categories, namely Material Requirement planning and consumption based planning. In material requirement planning, the planning is based on the master plan designed for a material through planned independent requirements or through incoming sales order demands. In the case of Consumption based planning, the materials are planned on the basis of their consumption patterns, for example the 'reorder point planning' where procurement proposals are created once the stock is consumed below a certain reorder point level or the forecast based planning where the future consumption is based on the forecasted consumption, arrived at through the past historical consumption for the given materials.
The Material requirement planning is mostly carried out for high value materials like the assemblies, subassemblies or the high value procurement materials whose procurement quantities are planned based on the incoming demands. For high value materials, the planning is monitored and production/procurement is ordered once the higher levels demands arrive.
On the other hand, consumption based planning is carried out for low
Maintaining Material Master MRP Views:
To have a material managed through SAP MRP, it is mandatory that you would create the MRP views for the materials. When you create the MRP views for the material, a MRP Type has to be assigned in the MRP 1 view. A MRP type designated to the material explains whether the material is allowed to go through material requirement planning and if the MRP type allows material requirement planning, it explains the type of material planning that is required for the given material at a given plant.
It should also be noted that the MRP type “ND” would not trigger any Material requirement planning for the material, while MRP type “XO” carries out MRP in an external system like APO. (It should be noted that you should extend the material for all the 4 MRP views)
MRP Types can be categorized in to 2 major categories, namely Material Requirement planning and consumption based planning. In material requirement planning, the planning is based on the master plan designed for a material through planned independent requirements or through incoming sales order demands. In the case of Consumption based planning, the materials are planned on the basis of their consumption patterns, for example the 'reorder point planning' where procurement proposals are created once the stock is consumed below a certain reorder point level or the forecast based planning where the future consumption is based on the forecasted consumption, arrived at through the past historical consumption for the given materials.
The Material requirement planning is mostly carried out for high value materials like the assemblies, subassemblies or the high value procurement materials whose procurement quantities are planned based on the incoming demands. For high value materials, the planning is monitored and production/procurement is ordered once the higher levels demands arrive.
On the other hand, consumption based planning is carried out for low