SAP Business One - MRP (2)
Material requirements planning (referred to universally as MRP) is, in the most generic sense, a set of planning
techniques that use bill-of-materials data, inventory data, and supply inputs from scheduled production and
purchase orders, as well as demand inputs from actual and forecasted orders, to calculate material requirements
for made or bought items. The output of an MRP run is a set of recommendations to reorder or produce materials
as well as alerts about materials that will be past due. Based on the results of an MRP run, the arrival of materials
can be accelerated and delays in production can be accommodated through schedule changes. MRP can also be
used to maintain proper inventory levels of items purchased for resale.