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General MRP Parameters

There are parameters in the material master record that you can determine for every material, independent of MRP and lot-sizing procedures:

Procurement type

The procurement type is automatically suggested by the system depending on the material type. However, you can overwrite the default value. A material can be produced in-house, it can be externally procured or it can be partly produced in-house and partly procured externally. If both procurement types are possible for a material but you only want to specify one, then you must enter the appropriate indicator here.

MRP group

The MRP group, groups together materials from the planning point of view for allocating special control parameters for the planning run. The MRP group is defined in Customizing where it is also provided with the control parameters.

Special procurement type

Entering a special procurement type makes it possible for you to specify the procurement type "in-house production" or "external procurement" more exactly. For example, setting this indicator would make it possible for you to determine that an externally procured material should be procured via consignment orders.

MRP controller

In this field, you must enter a key for a single MRP controller or for a group of MRP controllers who/which is responsible for the planning of a material. In the future, you can process the MRP results according to the MRP controller.

Purchasing group

In this field, you must enter a key for a buyer or for a group of buyers who/which is responsible for purchasing the material. As a result, during a planning run, order proposals for externally procured materials can immediately be allocated to the appropriate purchasing group.

ABC indicator

With the ABC indicator, you can classify the material according to its consumption value. This indicator is used within logistics controlling for analysis purposes. It can also be automatically specified by the system.

PPC Planning calendar

With the planning calendar, you can define flexible period lengths for grouping requirements together and for determining procurement dates. To make this possible, you must select the lot-sizing procedure, Period lot size according to planning calendar and you must also specify a planning calendar. The requirements quantities are then grouped together into a lot according to the period that you determined in the planning calendar. The procurement date is copied from the planning calendar.

If you use the time-phased planning procedure, you can record the delivery cycle in this field (see Delivery Cycle).

For more detailed information on the use and maintenance of the planning calendar, please refer to the section entitled PPC Planning Calendar.

Quota arrangement

With this indicator, you can determine whether a material should participate in the quota arrangement and which transactions/events result in a quota arrangement. This means that you can determine, for example, that only purchase orders take part in quota arrangements or that order proposals, created by requirements planning take part in quota arrangements.

Availability check

With this indicator, you determine whether sales orders result in individual or collective requirements for requirements planning and also how the availability check for a material is carried out by the system. This indicator also controls:

  • whether the system creates individual or collective requirements when you create sales orders for this material
  • which MRP elements (for example, purchase orders, or reservations) the system should take into account for the availability check
  • whether the availability check should not be carried out until the end of the replenishment lead time or whether it should be carried out for the entire period in which MRP elements exist

Total replenishment lead time

Time that is needed for the complete production and procurement of a finished product or an assembly. This value is an estimate value and is used for the availability check.

MM/PP status

By allocating a material status from the view of materials management and production planning, you determine for which business transactions a material is used. If a material is not provided for a certain transaction, you specify whether a warning or an error message appears with this status.

Mixed MRP

You use this indicator to provide the material for special planning types:

To carry out assembly planning for a material, the respective indicator must be set here.

To carry out gross requirements planning or dual planning for a material, the respective indicator must be set here.

Individual/Collective

This indicator controls whether individual customer requirements planning is allowed for dependent requirements.

  • In individual planning, this indicator is used to display the dependent
    requirements of a component separately.
  • In collective requirements, this indicator is used to display the dependent
    requirements of a component grouped together.

Range of coverage profile

The range of coverage profile determines the parameters used in the calculation of the dynamic safety stock. You can use the dynamic safety stock to plan an additional safety stock which is based on the average daily requirements and which is available for planning purposes.

The dynamic safety stock is calculated using the following formula:

- average daily requirements * range of coverage

You define the range of coverage profile in Customizing for materials planning by determining the parameters for the ranges of coverage and the calculation of the average daily requirements.

Please refer to the SAP document Master planning / MRP for more information on this subject.

If you use the time-phased planning procedure, you should also refer to the section entitled Range of Coverage Profile in Time-Phased Planning.

Repetitive manufacturing

You use this indicator to mark that a material is available for repetitive manufacturing.

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