What is MRP?

Explain with real time scenario.

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Planning the material for procurement based on the your requirement.

1. MRP – Material requirement planning.

This is based on the work order planning system generate the Indents (like sales order and demand order).

2. CBP-Consumption based planning.

This based on the settings of reorder point, stock levels and lot size settings (MRP views).

System generate the indents based on this settings in Material Master.