MRP is a planning process that ensures the availability of materials for production by analyzing stock levels, lead times, and production schedules. The goal is to minimize stockouts while optimizing inventory levels and production efficiency.
SAP provides two methods for executing MRP:
Classic MRP Overview
Classic MRP is the traditional SAP process that helps ensure the availability of materials for production and procurement by calculating the required quantities and scheduling orders based on current stock levels, demand, and supply. It runs periodically to generate planned orders, purchase requisitions, and production orders to fulfill future demand.
Key Features of Classic MRP:
Challenges with Classic MRP:
MD01 : Total Planning (Plant Level)
MD02 : Single Item- Multi Level Planning
MD03 : Single Item - Single Level Planning
MRP Live Overview
MRP Live is the next-generation Material Requirements Planning in SAP S/4HANA, designed to run faster and more efficiently by using SAP HANA's in-memory computing capabilities. It calculates material requirements in real time, ensuring immediate availability of materials for production and procurement.
Key Features of MRP Live:
MD01N : MRP Live
MRP Live selection screen is sub-divided into three sections
A.Planning scope
Plant : able to run single plant or multiple plants for which materials need to be planned
Material : Multi material planning is possible in single execution.
Product group : Multiple Product groups are planned in single execution
MRP controller : Limit the run to include only the materials assigned to a specific MRP controller, allowing for more targeted planning.
Material scope
A - All Materials are planned in the run
M – Only materials with MRP as planning procedure are planned
S – Only materials with MPS as planning procedure are planned
B.Also to be included in planning
Changed BOM Components : system include the components which are changed during this planning run.
All order BOM Components : System will include all the order BOM components in the planning run
Stock transfer materials : This selection will plan the materials in supplying plants provided required authorization are available
C.Control Parameters
Regenerative Planning : The system will consider all materials in planning
Scheduling : Selection mode for basic date scheduling or detailed scheduling
Planning mode : Mode to select procurement proposal generation
Differences of classic MRP and MRP Live in table
| Classic MRP | MRP Live |
Transaction code | MD01/MD02/MD03 | MD01N |
MRP List | MRP Parameter ‘Create MRP List’ can be used to control whether MRP list should be created | No MRP list are written by MRP live as MRP lists were intended for checking the MRP result |
Scope of planning | MRP Parameter ‘Scope of planning’ can be used to combine a group of plants or MRP areas. | The scope of planning has been replaced by the more flexible MRP Live, which can plan multiple materials across various plants and automatically include source plants in the planning. It consistently plans all MRP areas. |
Creation Indicators | Classic MRP has a set of rules for instructing the MRP run to create either purchase requisitions or planned orders for externally procured materials. | MRP Live on HANA automatically creates purchase requisitions for externally procured materials and schedules lines if there is valid scheduling agreement or source list with scheduling agreement. For in-house production materials, MRP Live on HANA always creates planned orders. |
Opening period | MRP Parameter ‘Creation Indicator- for Purchase Requisitions’ can be set as 2- Purchase Requisitions in opening period | MRP Live on HANA does not consider opening period. |
Planning Horizon | MRP Parameter “Processing Key” NETPL can be set on ERP system | MRP Live does not support planning horizon |
Processing key | MRP parameter ‘Processing key’ NETPL can be set on ERP systems, but it is removed in SAP S/4HANA systems. | The indicator ‘”Regenerative planning” in MRP live replaces the MRP parameter “Processing key”. It works similarly like processing key – NEUPL in classic MRP. |
MRP Controller | User exit M61X0001 can be used to influence which materials are selected to be planned during classic MRP run. | Fields "Product group" and "MRP Controller" are added in MRP Live |
Performance blog | Reports RMMDMONI and RMMDPERF can be used to analyze classic MRP performance. | New field "Name for Performance Log" is added in MD01N. Performance logs can later be checked by t-code MD_MRP_PERFLOG. No Performance Log per material. |
Simulation | Transaction code MD02 has 2 indicators “Simulation mode” and “Display results prior to saving” to simulate MRP run. Transaction code MD03 has an indicator “Display results prior to saving” | MRP Live doesn’t have simulation mode |
Stock Transfer Materials | Classic MRP can use the field "Scope of planning" to plan both supplying plant and receiving plant. | Indicator "Stock transfer materials" is added in MRP live to control whether you want to plan materials in the supplying plants during the planning run for stock transfer. Only if a change in the requirement happens, the supplying plant is also planned. |
SAP Note for MD01N
MD01N: Restrictions for Planning in MRP Live on HANA
Refer to : https://me.sap.com/notes/1914010
MRP Live on SAP HANA - MD01N
Refer to : https://me.sap.com/notes/2268085/E
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