This process is used to run the replenishment requirement of all materials at a plant. Each plant will determine the frequency of running MRP – every other day, once a week. The purpose of MRP is to ensure the right material arrives at the right place at the right time. The MRP run is used to automatically generate planned orders or purchase requisitions enabling the replenishment of materials depleted by consumption and the planning of known requirements. The system tries to achieve a balance between optimizing needed materials and minimizing costs by keeping inventory levels at a minimum and having no stock outages.
