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Material Requirements Planning (MRP) is the practice of determining the time phased requirements and replenishment of materials in manufacturing plant.
MRP calculates the material purchases or transfers (for materials, semi-finished goods) required to support customer orders, projected demand and inventory goals to meet Service Levels and performance goals.
MRP is a subset of Manufacturing Resources Planning (MRP-II).
Alternative names include: MRP-I.
Criticism of Material Requirements Planning is that it solely focuses on material requirements and therefore ignores capacity constraints in raw materials warehouses, transportation and manufacturing plants. Order Cycle Time Supply Chain Costs Cash Conversion Cycle
Community Importance Rating:ID | Name | Level | x |
---|---|---|---|
MRP-II | Manufacturing Resource Planning | 2 | MRP-II |
MRP | Material Requirements Planning | 3 | MRP |
ID | Name | Level | x |
---|---|---|---|
P | Plan | 1 | P |
P2 | Plan Source | 2 | P2 |
P201 | Gather Sourcing Demand | 3 | P201 |
P202 | Gather Inventory & Schedule | 3 | P202 |
P203 | Calculate Sourcing Plan | 3 | P203 |
P204 | Publish Sourcing Plan | 3 | P204 |