- SAP Managed Tags
Time to step into the engine room of planning — MRP!
Material Requirements Planning is the core function that ensures you have the right materials, in the right quantity, at the right time — without overstocking or risking shortages.
🔍 What is MRP?
MRP analyzes demand (planned orders, sales orders, forecasts) and supply (stock, purchase orders, production orders) to create procurement or production proposals.
It answers:
➡️ What materials are needed?
➡️ How much is needed?
➡️ When is it needed?
⚙️ Types of MRP in SAP PP:
🔹 MRP Run (Classic MRP) – Transaction: MD01, MD02, MD03
🔹 MRP Live (S/4HANA) – Transaction: MD01N (real-time, in-memory)
🔹 Net Change vs. Regenerative Planning
🔹 Lot sizing, Safety stock, Procurement type — all play a role
🚀 What does MRP generate?
Planned Orders (for in-house production)
Purchase Requisitions (for external procurement)
Scheduling info for production and procurement
Exception messages (e.g. rescheduling alerts)
✅ Pro Tip:
Fine-tune MRP parameters in the Material Master (MRP1–MRP4 views). A small mistake in lot sizing or procurement type can ripple through your entire planning process!
💬 Have you transitioned to MRP Live yet? Or are you still running classic batch-based MRP? Drop your insights below!
#SAP #SAPPP #MRP #MaterialPlanning #ProductionPlanning #ERP #SAPS4HANA #MRPLive #SmartManufacturing #Manufacturing #DigitalTransformation #LinkedInSeries #SupplyChain #InventoryManagement
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