cancel
Showing results for 
Search instead for 
Did you mean: 

Net requirement calculation and Avilabilty check

Former Member
0 Kudos

Dear Experts,

Can any body explain the MRP Net requirement calculation ?

If i don't want to consider the scheduled receipts like Planned orders ( without firming ) , which setting i need to do .

The net requirement calculation is applicable for the semi finish, finish and ROH products .

IS the scope of check ( availability check) is applicable for the Net requirement calculation ?

In plant parameters we have the option to consider the which type of stock need to be consider , this is at the plant level

IF i want at Material level , what need to be done

Similarly for the scheduled receipts ?

Using strategy ( 10. 11 )we can control the net calculation for the finish product

What about the semi finish level.

Regards

Sasikanth

Edited by: sasiaknth srinivas on Mar 25, 2011 8:07 PM

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
0 Kudos

Sasikanth,

If i don't want to consider the scheduled receipts like Planned orders ( without firming ) , which setting i need to do

Delete them before running MRP. You can automate this by running MRP with the parameter 'delete and re-create'.

The net requirement calculation is applicable for the semi finish, finish and ROH products

Yes. All stockable material types that are planned with MRP will use Net requirements calculation. Some material types are not relevant for MRP, and therefore net requirements calc is also irrelevant.

IS the scope of check ( availability check) is applicable for the Net requirement calculation ?

No

In plant parameters we have the option to consider the which type of stock need to be consider , this is at the plant level

IF i want at Material level , what need to be done

Create a storage location that is not relevant for MRP, and then move the stock into that storage location. You also could change the status of the stock to "Blocked".

Using strategy ( 10. 11 )we can control the net calculation for the finish product

Not really much of a 'control'. All that happens is that sales demand is removed from the calculation.

What about the semi finish level

What about it? Are you saying you want to remove sales demand from semi-finished? Don't create a sales order view for these materials. Sales orders can therefore not be created for these SFG parts.

If ERP is not flexible enough for you in determining which elements are/are not considered in planning, there is a bit more flexibility in APO.

Best Regards,

DB49

Former Member
0 Kudos
What about it? Are you saying you want to remove sales demand from semi-finished? Don't create a sales order view for these materials. Sales orders can therefore not be created for these SFG parts.

Using strategy Gross requirement calculation we can ignore the Stocks consideration for the Finish product , Is the simifinish and ROH in the BOM of that Finish product ALSO NOT CONSIDERS STOCK ??

Delete them before running MRP. You can automate this by running MRP with the parameter 'delete and re-create'.

The Net requirement calculation is as below

Net Requirement = Gross requirement - ( stocks + scheduled Receipts )

The stock are Unrestricted and Quality stocks

Scheduled Receipts = Planned orderds( firmed and Un firmed ) + Production orders + STOs + purchase orders .

In standard in which setting we can select our required stocks and scheduled receipts .

What is the Impact of Rescheduling horizon on Net requirement calculation ???

Regards

Sasikanth

Former Member
0 Kudos

Sasikanth,

Is the semifinish and ROH in the BOM of that Finish product ALSO NOT CONSIDERS STOCK ??

Strategy is assigned at the material/plant level. Semifinished materials' and ROH Materials' plannings are dependent upon the strategies that you assign to them. From a business perspective, I can't think of an instance where one would assign Gross requirements planning to more than one level of the BOM, so the mostly likely answer to your question is 'yes, all lower level stock is considered".

In standard in which setting we can select our required stocks and scheduled receipts .

Assuming that you are still talking about Net Requirements Calculation, any receipt that is valid for updating of stock will be considered. In general, this means that all receipts are valid for Net requirements planning.

The validity of stocks are configured in OPPI. You can also configure that only a percentage of Safety stock will be available for Net Requirements Calculation, in OMI1.

Net Requirement = Gross requirement - ( stocks + scheduled Receipts )

I don't believe I have ever seen the Net Requirements Calculation formula stated in quite this way.

What is the Impact of Rescheduling horizon on Net requirement calculation ???

Technically speaking, not much. Rescheduling horizon determines which (if any) existing fixed supply elements will be considered for rescheduling. Generally, the most common effect that you will see with a 'short' rescheduling horizon is that a new planned order may be created, even when there is adequate existing supply later in the supply time stream. The Net Requirements calculation itself calculates the same way, but the elements that it considers for each calculation may be different, based upon Resched Horizon, and therefore the procurement proposals may also be different.

Best Regards,

DB49

scm_09
Contributor
0 Kudos

After expert like DG49's reply, there isn't much to say.

in short, you cannot control what scheduled recipts and issues we need to consider in net req planning.

you can only control some stocks and safety stock settings for MRP

Answers (0)