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MRP and lot size

former_member197655
Active Participant
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what does MRP and lot size mean exactly . explain in detail

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Answers (2)

Answers (2)

Former Member
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dear manjeet

plz go through this link ,

http://help.sap.com/saphelp_45b/helpdata/en/7d/c2821c454011d182b40000e829fbfe/frameset.htm

if you are new to this topic , this will help you a lot..

reward points if helpful

regards

ravikant dewangan

Former Member
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MRP:-

With its accurate and up-to-date inventory management application and ordering

system, SAP R/3 System Materials Management can provide you with the ideal

foundation for precise material requirements planning (MRP).

The main function of MRP is to monitor stocks and automatically generate order Net Change Planning

proposals for the purchasing department. This is achieved by implementing

various requirements planning methods.

The planning run is usually done at the end of the day using the net change

planning procedure. This procedure only plans those materials whose stock or

requirements situation have undergone a change relevant to the planning run and

which have been flagged with the appropriate indicator in the planning file.

A relatively short runtime enables the MRP controller to repeat the net change

planning procedure in short intervals. The runtime can be shortened even further

by defining a planning horizon. This means that the MRP controller always has

current planning results at his disposal. Information concerning important parts

and exceptional situations are automatically generated by the system which means

that the MRP controller is also relieved of routine monitoring procedures. To

improve performance even more, you can use parallel processing functions.

During a planning run, the system performs the following steps: Processing Steps

q Calculates net requirements

q Calculates lot size

q Scheduling

q Creates purchase order proposals

q Creates exception messages

The MRP list automatically created by the system can be adapted by the MRP

controller using interactive planning. Individual materials can be planned again

online immediately.

Since MRP is always performed at plant level, all stock that is available in the Planning at Plant Level

plant is included in the planning run.

Storage location MRP enables you to exclude stock in individual storage locations Storage Location MRP

from the planning run at plant level or you can plan this stock separately at

storage location level. Stock that is planned separately is not included in planning

at plant level.

The planning procedures of consumption-based planning are simple and easy-touse.

Therefore, they are used in companies without in-house production or in

production plants for planning B- and C-parts and operating supplies.

MRP without a BOM explosion is also available as a special function in the MM MRP

System. In contrast to the consumption-based planning procedure, this function

operates using existing sales orders and material reservations.

You can determine which MRP procedure should be used for each material and

plant. Naturally, materials can also be excluded from automatic requirements

planning.

Lot-Size:-

Key that determines which lot-sizing procedure the system uses within

materials planning to calculate the quantity to be procured or produced

A procedure in material requirements planning used to ca

and production quantities (lot sizes).

Lot-sizing procedures are divided into the following gro

o Static

o Period

o Optimum

Production Planning and Detailed Scheduling (SCM-APO-PPS

Procedure in production planning that is used to calcula

order quantities of receipts.

o In the SAP APO (Advanced Planner and Optimizer), the

standard lot-sizing procedures are available, which

configured in the location product master.

o Exact lot size

o Fixed lot size

o Period lot size

o Reorder point procedure

For further lot-sizing procedures there are special heur

available, e.g.

o Groff lot-sizing procedure

o Reorder point planning

Reward points if helpful,

Regards,

Archit