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MRP Run for MTS & MTO..........................

Former Member
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Dear Friends,

Please explain me the following question.

If a customer needs some 100 pieces of product, but we dont have the inventory to produce that.

So we need to run the MRP.

Here what is the output of the MRP in MTS and MTO.

Thanks very much.

Accepted Solutions (0)

Answers (5)

Answers (5)

Former Member
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Whether u have inventory or not system created planned order/Purchase req based on the procurement type u gave in MRP 2 VIEW

Former Member
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Hopes you need to address both scenario.MTO and MTS.

In this case maintain strategy 40 in MRP 3 VIEW OF MATERIALMASTER.

Now Maintain some qty say 100 in MD61 for any month .So when you get a sales order of 100 nos for that month,previosly posted 100 nos will be consumed by system on running MRP and a planned order will be created which can later be converted to a production order.

In normal MTO scenario with strategy 20 system will create a planned order on running MRP.

In normal MTS scenario with strategy 10 system will create a planned order on running MRP.

Former Member
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Hi

In both the cases if you run MRP system will generate planned for the 100 qty and also for the components required to produce the same.

In MTS

system will create Planned order which will not be sales order specific.

In MTO

System will create Planned order which will be sales order specific.

The planned order for the finished product along with the components will have Sales Order assigned

Thanks N Regards,

Hitendra Dwivedi

Former Member
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Hi Arun

Your Customer wants 100 quantity of material but you dont have in stock so you are gonna run MRP, below are the results.

a) MTS Scenario - 100quantity of Planned Independent requirement to be created, run MRP MD02 for that material and you get planning orders, now convert the planned orders into Production order and for components do Goods issue to the production order and the operations do confirmations, then do Goods receipt and take the material into stock, now you can issue the material from stock to the sales order and your requirement is fullfilled.

b) MTO Scenario - 100quantity of Sales order is created and run MRP using MD02 or MD50, you get the planned orders then convert the planned orders to Production order and do Goods issue of components to the Production order and confirmation of operations, now you do GR to sales order and the material is put in sales order stock, this stock can only be issued to that particular sales order you have planned.

Hope the above clarifies...

Former Member
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hi

1.MTS you need to create PIR and run MRP then you get plaaned order, this planned order will be converted to production order, then GR for order, stock comes to storage location. for this stock you can deliver to customer with respective to sale order.

2.MTO, if you create sale order then Run MRP for sale order and planned order is generated, this planned order is converted to productionorder, the GR for this planned order. stock comse to storage location.

now delivery to customer against the sale order.

-ashok

Former Member
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Hi Ashok,

My question is, we dont have inventory for that. Then the MRP will give purchase requistion or Planned order?

Please explain

Former Member
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Hi Ashok

Its based on the Procurement type you set in MRP 2 view, if you set the procurement type as F you will get a Purchase requesition and if you set and X or E you will get a Planned order after you execute MRP, if you have set the procurement type as X and you get a planned order this can be converted into a PR or a Production order...

Hope the above clarifies....

Former Member
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HI Jade

i do know these settings it better adress this to the person who raised the issue.....

-ashok