4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

SAPs'WORDWeSAPFor www.sapsword.com
YourCause

Home ChoosingSAPasacareer SAPMRP SAPPP/PPPI

SAPBatchManagementandClassificationSystem SAPTechnical JoinasMember Donations

SAPLinks&Websites SAPEducation Home Sitemap

Home>SAPPP/PPPI>SAPMRP>
SAPMRPConfiguration

StudyMaterialContributedbyUlhasKavleSeniorSAP
Consultant

NextStep>>>CreationofMaterialMasterMRPViewsandAssignmentofMRPTypes


SAPMRPConfiguration




SAPMRPConfiguration


ThefollowingaretheMajorConfigurationitemsexplainedindetail:

a)ActivatingMRPandPlanningFileEntry
b)SAPMRPPlantLevelMRPParametersConfiguration
c)SAPMRP,MRPGroupLevelParametersConfiguration
d)ConfiguringSAPMRPTypes
e)ConfiguringSAPMRPScopeofPlanningfortheTotalPlanning
Run
f)ConfiguringSAPMRPPlanningtimefenceandRollForwardPeriod
g)ConfiguringSAPMRPAreas
h)SAPMRPDynamicSafetyStock(RangeofcoverageProfile)
i)ConfiguringSAPMRPDaysSupplyandReceiptDaysSupply

SAPMRPConfiguration

ActivatingMRPandPlanningFileEntry


a)ActivatingSAP'sMaterialRequirementsPlanning(MRP)

Thisconfigurationallowsyoutochoosetheplantforwhichyouwould
want to activate SAP Material Requirement Planning (SAP MRP).
ActivatingMRPfortheplantallowsonetousetheSAPMRPtoolfor
theplant.SAPTransactioncodeOMDUandtheSAPpathisLogistics

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 1/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

>Production>MRP>PlanningFileEntry>ActivateMRPandSetup
PlanningFile

b)ActivatingPlanningFileEntriesforaPlant

ActivatingPlanningfileentryfortheplant(throughavariantthatcan
berescheduled)allowsyoutocollectallthematerialinaplanningfile
list,whichhasanMRPTypeinthematerialmasterMRP1View(other
thanMRPTypeXO)

The process of recording a planning file entry for a material, can be
runperiodicallyusingabatchjobschedulingmethod.Thetransaction
code to set up the variant and period scheduling is OMDO and the
PathforactivatingtheplanningfilesetupisLogistics>Production>
MRP>PlanningFileEntry>ActivateMRPandSetupPlanningFile

All the entries in the planning file will have a change indicator
specifying that a material has undergone a change (change in
receiptselementsor issues elements). This indicator will help you to
choose only those materials that have undergone a change, through
the use of planning key called Net Change Planning when running
MRP.

Theplanningfilerecordforamaterialalsohasanetchangeplanning
in the current horizon field which will be set if the change in the
materialsreceiptorissueelementisvalidintheplanninghorizon.This
indicator will help you choose only those materials which have
undergone a change in the planning horizon through the use of a
planning key, in an MRP run, called Net change planning in the
planninghorizon.

PlantLevelconfigurationforMRP

PlantLevelconfigurationforMRP


SAP MRP is run at plant level or at a group of plant level (called as
scopeofplanning),thustheMRPconfigurationisdoneatPlantlevel.

TheconfigurationdoneforSAPMRPatPlantlevelwouldalsobetrue
forSAPConsumptionBasedPlanning(SAPCBP)settings.

Transaction code OPPQ takes you in to the SAP MRP configuration
calledasPlantParametersforMaterialRequirementPlanning.The
Path which can be used is Logistics > Production > Material
Requirement Planning > Plant Parameters > Carry out Overall
MaintenanceofPlantParameters.

The Transaction code for Consumption Based planning is OMI8 and
thePathisLogistics>MaterialsManagement>ConsumptionBased

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 2/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

Planning > Plant Parameters > Carry out Overall Maintenance of

PlantParameters.

FigMRPConfig1


InthetransactioncodeforPlantlevelparametersforSAPMRP,you
shouldfirstinputtheplantandpressthemaintainbutton.

If you have already maintained the configuration for the parameters,
thenitstatesso,ifyouhaventthenitsimplysaysToMaintainnext
totheparameter

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 3/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

FigMRPConfig2



FollowingaretheparametersthatneedtomaintainasapartofSAP
MRP/CBPConfiguration:

a)Numberranges


ThenumberrangeIDsaremaintainedforthefollowingobjects:

thePlannedorders
thereservations,
thedependentrequirements,
thesimulativedependentrequirements,
thepurchaserequisitions,
theMRPLists,

In this section only the number range IDs are maintained. While the
actualnumberrangeisconfigured,forthenumberrangeID,usinga
transaction code OMI2 (for the above mentioned objects created in
theplanningrun).OnecanalsousethetransactioncodeOMI3forthe
objectscreatedmanuallyinthefrontend.

Everynumberrangeinterval,createdusingOMI2andOM13,hasan
ID, which can be allocated to the objects at plant level, i.e., every
plant can have a different number range for the objects mentioned
above.



b)AvailabilityCheckruleforBackorderProcessing


AsperstandardSAP,theAvailabilitycheckingruleforthebackorder
processingisPP, though you can have your own availability check
rulescreatedorconfigured.

EveryAvailabilitychecksrule(availabilitycheckingscopedefined)has
a set of receipts (Purchase orders, Production orders) and issues
(Sales orders, dependent requirements, reservations, planned
independent requirements etc) which are to be considered or not to
beconsideredduringtheSAPavailabilitychecks.

To have the checking rule work along with the configuration, you
should have the Availability checking groups maintained in the
material master. The Checking groups are configured to be
associatedwiththecheckingrules(checkingscopes).

The availability checking rule (checking rule scope) has to be
maintained,foragivenSAPfunctionalityandithastobeassignedto
theavailabilitycheckinggroupmaintainedinthematerialmaster.The
SAPfunctionalitiesthatuseavailabilitycheckstochecktheavailability
oftheheadermaterialsaswellascomponentsattheplantatthetime
ofsalesordercreation,theavailabilitychecksoftheheadermaterial

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 4/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

at the time of sales order delivery, the availability checks for

components in production thus reporting the missing parts list, the
backorderprocessingetc.



c)Reporting


Thisconfigurationisusedforthefollowingpurposes.

To configure the objects, which are to be considered in the
calculation of the receipts days supply like the production
orders/process orders, firmed planned orders, purchase orders,
assigned planned orders, firmed purchase requisitions, QM
Inspectionlots,reservations,safetystocks


To configure the reporting of periods totals in terms of a
defined period (day, week, month, periods as per planning
calendar)ofinStockrequirementlist,MRPlist,simulativeMPRor
interactiveMRP




d)MRPControllers


This is a mandatory configuration. Here you can configure the list of
MRPcontrollersfortheplant.AMRPControllerisapersonoragroup
ofpeople,whichisresponsibleforplanningamaterialoragivenlistof
materials.

YouhavetoassigntheMRPcontrollertotheMaterialMasterMRP1
View, so as to delegate the responsibility of the planning and
evaluationofplanningforthatmaterial.




e)Floats


Floats are buffers in the total lead time, that are provided in
production/processorderorintheplannedorderscreatedmanuallyor
duringanMRPrun.TheschedulemarginkeyisusedintheMaterial
MasterMRP2View.ItisusedinMRPaswellasinproductionorder.

Thefloatsaredefinedusingtheschedulingmarginkey.

Opening period: Number of working days between the date that the
orderiscreatedandtheplannedstartdate.Thistimeisavailablefor
the MRP controller to convert a planned order into a purchase
requisitionoraproductionorder.

Float after production: Number of working days between the
scheduled finish date and the order finish date used as a float in

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 5/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

productionscheduling.

Floatbeforeproduction: Number of working days between the order
startdateandthescheduledstartdateusedasafloatinproduction.

Schedulingreleaseperiod:Numberofworkdaysbetweentheplanned
start date and the date for releasing the order. If the order release
indicator is set, the production order is released by a background
programthattakesalldatesintoaccount.


Plant Plant Margin Opening Fl. Before Fl. After Release
Name Key Period Production Production Period
(In (InDays) (InDays) (In
Days) Days)
0001 0001 001 5 2 2 5
0001 0001 002 5 3 3 5
0001 0001 002 5 4 4 5




f)SpecialProcurement


The special procurement function helps you to configure and assign
special procurement to the materials which can be used during an
MRPrunwhilecreatingtheprocurementproposal.

The special procurement functions are withdrawal from alternate
plant, production in alternate plant, subcontracting, direct production,
phantomitemplanning,

https://sites.google.com/site/sapswords/home/learnsappp/sap
materialmaster/sapmrp2view


Example:ForStockTransferfromPlantC001toPlantC002


Create the Special procurement key (Key number = 12 as an
example) in the plant C002 with the procurement type as F and
special procurement as U (Stock transfer) and the special
procurement plant as C001. Normally when creating the special
procurement key use Z, Y or X to the Key number, so instead of
havingKeynumberas12,wecouldhavesomethinglikeZ2orYAetc.

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 6/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

FigMRPConfig3


Similarly for Withdrawal from Alternate plant, you could have a
Configurationasbelow:

FigMRPConfig4


SimilarlyforSubcontracting,youcouldhaveaConfigurationasbelow:

FigMRPConfig5

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 7/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

Similarly for Production in alternate plant, you could have a
Configurationasbelow:

FigMRPConfig6




g)ConversionforPlannedorders


Inthisconfigurationparameter,youcanmaintaintheproductionorder
type or the process order type, which the system should use as
default during the planned order conversion. Setting defaults in the
plantparametersconfigurationallowsthesystemtofixandselectthe
ordertypeforaplantduringtheconversionprocess.

Note: This can be a useful tool when you are using one production
order type and one process order type, but if you are using multiple
production/process order types, then you should not be maintaining
defaultshere.

Alsoforthepurchaserequisitionconversion,youaregivenanoption
intheconfigurationtodefinethemaximumnumberofplannedorders
thatcanbeconvertedintoPurchaserequisition.

FigMRPConfig7



http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 8/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

g)DependentRequirementsavailabilitycheck


Whencarryingouttheavailabilitycheckforeachofthecomponentsin
a MRP BOM explosion, the system needs to know the availability
checkingscoperule.AgainwewouldmaintainthestandardChecking
ruleasPPoryoucouldalternativelyconfigureoneforyourselves.




h)BOM/RoutingSelectionID


Thisconfigurationparameterisreallyimportantanditismandatoryto
maintain one, since it helps selection of BOM and task lists in the
plannedorders.Thoughthereisonemoreplaceintheplannedorder
Scheduling parameters MRP configuration, where you can maintain
the selection ID for selection of the Task lists (Routing/Recipe/Rate
Routing).

A selection procedure is set to select BOM or Routing/Recipe on
prioritiessetfortheBOMusageorforthetasklisttypesandthetask
list status. Knowing the selection procedures allows the MRP run to
selecttherightBOMandtasklistfortheplannedorders.

In other words, you could have the BOM Selection being set for
selection of the Production BOM Usage first and if a BOM for the
material with the Usage production (Usage = 1), is not found, you
couldhavethesystemsearchforaBOMofuniversalUsage(Usage=
3).

Similarly, you could have a task list of type Routing or Recipe or
referenceoperationsetsselectedandsetinprioritiesofselection(1st
Routing, 2nd Reference operation sets, 3rd, which has a Status
Releasedforallpurposesorreleasedforcosting)etc.




h)SchedulingofPlannedorders


Thisconfigurationparameterisreallyimportantanditismandatoryto
maintain one. It allows you to set the control parameters for
scheduling of planned orders of type LA at a given plant and for a
givenMRPController.YoucanleavetheMRPcontrolleras*tohave
the scheduling parameters true for all the planned orders across all
theMRPcontrollers.

Thefollowingcontrolparameterscanbeconfiguredhere:


The Routing/Recipe Selection ID, specifying the
routing/recipe that would be selected for detailed scheduling, as
pertheprioritiessetfortasklisttypeandtaskliststatus.

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 9/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

TheDetailedscheduling,usingthetasklistisonlycarriedfor
the scheduling Horizon mentioned, i.e., if the planned orders
dates lie beyond the scheduling horizon, then the basic date
scheduling is used where the in house production times from the
materialmasterisused.

AllowSchedulingIndicatorallowstheplannedorderstobe
scheduledusingthedetailedschedulingorbasicdatescheduling,
either of the two, depending upon the availability of the task list
andschedulingtypeselectedfortheMRPrun.

GenerateCapacityrequirementsindicatorallowsgeneration
ofthecapacityrequirementsfortheworkcentersandloadsthem
accordingly. The loading of the work centers is as per the use of
theworkcenterdeterminedthroughtheschedulingcarriedout.

The Task list selection, scheduling horizon, scheduling
indicatorandthecapacityindicatorcanalsobesetforrough cut
planningusedforLongtermplanningpurposes.

Thenextconfigurationparametertalksabouttheconfiguration
of the selection of the type of scheduling level that should be
usedforadjustingthebasicdatesofplannedorders.Thevarious
optionsavailableareratebasedscheduling,leadtimescheduling,
schedulingusingtakttimes.

TheAdjustplannedorderdatesconfigurationoptionallows
youtoreadjusttheschedulingresultsorthebasicdateseverytime
you carry out Scheduling. Though there is one more scheduling
configuration option provided by the system for
overwriting/adjusting the existing basic dates by the new dates
arrived at, through rescheduling (using the scheduling level as
mentioned).

Thesystemnotonlyoffersanoptiontoadjustthebasicdatesfor
theplannedorderarrivedatbyusingtheschedulinglevelset,but
it also setting the dates of the dependent requirements to the
operationstartdateortheorderstartdate.

Thisconfigurationnotonlyadjustsorsetsthedatesoftheheader
planned order and the dependent planned orders, but it also
generatescapacityrequirementsforthesame.

See below for the details of adjusting dates in scheduling and
adjustingdatesforcapacityrequirementgeneration:


YoucanadjusttheBasicDatesoftheheaderplanned
order using the scheduling level and adjust (or set) the
dependentrequirementstothestartoftheheaderplanned
order

YoucanadjusttheBasicDatesoftheheaderplanned
order using the scheduling level and adjust (or set) the
dependent requirements to the start of the respective
operation to which the dependent requirements are
assignedto
http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 10/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

You can decide not to adjust the Basic Dates of the
header planned order arrived at by using the scheduling
level and at the same time notadjust (or not set) the
dependentrequirementstothestartoftheheaderplanned
order

You can decide not to adjust the Basic Dates of the
header planned order arrived at by using the scheduling
level and at the same time notadjust (not set) the
dependent requirements to the start of the respective
operations to which the dependent requirements are
assignedto


Youarealsoprovidedanoptiontoconfigurethescheduling
type whether forward or backward scheduling. It is a normal
behavior for the standard system to have this configured as
backward scheduling so that SAP MRP (material requirement
planning) never misses the customer delivery date or order
availabilitydate.Anoptionisalsoprovidedtonottoschedule,any
ordersduringthebreakssetinthefactorycalendar.

Startdateintheinthepastoptionsallowsyoutopushthe
start date of the planned orders to a certain number of days in
past. If the order start date goes beyond the number of days
allowed,thenthesystemusestheconceptoftodaysscheduling
and sets the start date of the planned order to todays date and
carryingoutforwardschedulingthereafter.

One of the scheduling parameters is reduction measures,
used to reduce the total order lead time in circumstances
designed. You can avoid configuration of reduction measures, if
youarenotusingit.

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 11/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

FigMRPConfig8




i)DefaultValuesforExternalProcessing


For external purchasing, one can maintain the default lead time
required for conversion of Purchase requisition into purchase order,
usingtheplanneddeliveryleadtimesfromthepurchaseinforecordor
purchasingagreement.Soastousetheplanneddeliverytimesfrom
thepurchaseinforecord,oneshouldalsomaintainthesourcelistfor
thematerial,withthesamevendorinthesourcelistandthepurchase
inforecord.

Using the planned delivery times from the material master or from
purchaseinforecord,istotallyadecisionoftheconsultant.Itisindeed
aniceadditionaloptionprovidedbySAPforusingtheleadtimefrom
inforecords.




j)PlanningHorizon


Maintaining a planning horizon helps the system to plan only those
demands,whichfallintheplanninghorizonstartingfromtoday.When
anMRPRunistaken,theplanninghorizonisnumberofworkdaysas
mentioned (lets say 180 days) from todays date the system would
notplananyorderswhosestartdateliesbeyondthishorizon.


http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 12/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

k)Availablestockfornetrequirementcalculations


SAP MRP offers you a choice to select the most controversial stock
types,initsnetrequirementcalculations.Thestocktypesarestock
in transfer (stock in transfer is considered as stock at the receiving
plant as it is already issued from the sending plant), blocked stock,
restrictedbatchstock(stockofbatchesmarkedwithrestrictedbatch)

FigMRPConfig9




l) Option to trigger direct Production in MRP or in production
planning



j)Allowingstartdateinthepast

MRPGroupLevelconfigurationforMRP

MRPGroupLevelconfigurationforMRP


The entire configuration that is created as a part of SAP MRP Plant
levelparameterintheabovestepscanbealsosetforanMRPGroup.
YoucangroupmaterialsusingMRPGroups.EachoftheMRPGroup
canhaveitsownMRPParameterset.YoucansettheMRPgroupin
thematerialmasterMRP1View.

MRP Group can be maintained using transaction code OPPR or the
transactionpathLogistics>Production>MRP>MRPGroups>


AdvantageofworkingwithMRPGroups:


Working with MRP groups can be convenient for a plant or an
organization,sincebyassigningtheMRPgroupstoasetofmaterials,
would allow planner to configure these materials (through MRP
http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 13/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

Groups)tobehaveinacertainmannerforplanningpurposes.Inother
words, all the materials in the group would then have a unique
planning method or unique planning features. Thus the organization
candevicemultipleMRPgroupswiththeirownplanningfeaturesand
characteristicsrather than having one set of planning features set at
theplantlevel.Thegroupcouldhaveitsownunique:

Strategygroup,
Conversionordertypes,
Planninghorizon,
Planningtimefenceandrollforwardperiods,
BOMandtasklistselectionIDs,
Directprocurementparameters,
Plannedorderschedulingparameters,
Startnumberofdaysallowedinthepast
Availabilitycheckinggroups,



StrategyGroups


The strategy groups can be set for a given MRP group at a given
plant.Thestrategygroupconsistsofanumberofplanningstrategies
assigned in a sequence of priorities. In other words, the strategy
groups,groupstogethertherelevantplanningstrategiesofamaterial.
If you dont see the default strategy groups, then we would have to
manuallymaintain the strategy groups on the materials MRP 3 view.
Defaultingthestrategygroupsisaniceideawhenthestrategygroups
would remain the same across all the materials which would be
assignedwithagivenstrategygroup.


Forexample:

Amaterialcanhavethepriority1strategyasMadetoStock(planning
strategy 40) and then priority 2 planning strategy as MadetoOrder
(planning strategy 20). Assigning this strategy group for a MRP
group in the MRP Group Parameters configuration and then
subsequentlyassigningtheMRPGrouptothematerialmasterwould
make the material work on a planning strategy 40 and planning
strategy20inasequenceofpriority.

Theprimarystrategyforthematerialis40Madetostockwhilethe
secondary strategy is 20 Madetoorder, which means that every
time you plan or produce a material or create a sales order for the
material it will always primarily work as a madetostock material.
Nevertheless,youcanalsomaketomaterialworkasamadetoorder
material, by changing the requirement type KE of the material in
thesalesorderprocurementtab,tosuitformadetoorder,whichthe
system would allow since the materials secondary planning strategy
ismadetoorder.



ConfiguringSAPMRPTypes

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 14/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

ConfigurationofSAPMRPTypes


In all probabilities, MRP Types is not something which one should
configureinSAPitisusedasastandardconfiguration.Nevertheless,
a consultant should know the importance of MRP types and the
involvedpreconfiguredparameters.

FigMRPConfig10

a)MRPProcedures


MRPProceduresdefinesthetypeofMRPtobeusedReorderpoint
planning methods, Material requirement planning or demand based
planning methods, Forecast based planning methods, Time phased
planning methods, MPS and the no planning procedures to mark a
materialwithaMRPtypesthatdoesnotplanamaterialatall.



b)FirmingType


In the category of MRP procedure called MRP or demand based
planning method and MPS, SAP offers 8 different MRP types with
FirmingnamelyP1,P2,P3,P4andM0,M1,M2,M3,M4.


When working with the planning time fence, one needs to set the
firming methods & the scheduling methods of the procurement
proposalswithintheplanningtimefence.

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 15/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

0 1 2 3 4
Firmingtype

M0 P1 P2 P3 P4
MRPTypes M1 M2 M3 M4


Firming Methods for Procurement Proposals in the Planning time
fence

No Firming of Procurement X
Proposalswithintheplanningtime
fence

AutomaticFirmingofProcurement X X
Proposalswithintheplanningtime
fence

Manual Firming of Procurement X X
withintheplanningtimefence(No
Automatic Firming of the
procurementproposals)


TreatmentwithNewOrderProposalsinthePlanningtimeFence

Automatic Creation of New X X
Procurement Proposals to cover
the shortages within the planning
timefence.Butthedatesofthese
new Procurement Proposals are
pushed outside the planning time
fence

No New Procurement Proposals X X
created to Cover the material
shortageswithintheplanningtime
fence





c)IncludeExternalRequirements


Theinclusionofexternalrequirementsinnetrequirementcalculations
is available to be set, when you are working with reorder point
planning based MRP types. Actually there are 2 options in this field,
i.e., include external requirements in the total planning horizon or
restrict the inclusion of the external requirements only within the
replenishmentleadtime.

Forexample:

If the external requirements are set to be considered in the total
horizon (of 7 weeks) then in the todays MRP run, the Customer
demandwillbeconsideredasitfallsintheplanninghorizonanditwill
reduce the warehouse stock proportionately which would trigger the
reorder point planning procurement once the stock falls below the
reorderpoint.
http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 16/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

If the external requirements are set to be considered in the
Replenishment lead time, lets say the Replenishment lead time is 1
week,theninthatcase,onlyinaMRPruntriggeredoneweekbefore
the start date of the external demand, this customer demand will be
considered,thustriggeringreductioninwarehousestocks.

FigMRPConfig11



SAP also offers an option to select the additional external
requirements that should also be included in the net requirement
planningcalculationslikethecomponentssuppliedtothevendorina
subcontracting case, reservations set for the components in a
production order, reservations of components in plant maintenance
orders, requirements to satisfy the Stock transfer order to another
plant, stock transfer requisitions created for Stock transfer orders,
requirementsraisedbecauseofstocktransferdeliveryschedules.



c)ForecastingforMRP


Forecasting MRP Types have a forecasting indicator as obligatory,
unlikeotherMRPtypeswhichnormallyhavetheforecastingindicator
settooptional.


Also the historical data is updated in the material master as total
consumption(plannedconsumptionplus unplanned consumption) or
unplannedconsumption.Whentheconsumptionisplannedasperthe
MRP reservations, planned consumption is updated and when the
consumption is not planned as per the reservation or is greater than
thereservationquantities,thenunplannedconsumptionisupdated.

InMRPtypeconfiguration,youhaveanoptionofchoosingthetypeof
historical consumption of a material to be used for planning whether
total consumption (planned + unplanned consumption) or unplanned
consumption.

Afterchoosingthehistoricaldatetype,youshouldconfigure,thetype
of forecast requirements to be considered in MRP planning run,
whether total consumption (planned + unplanned consumption) or
unplannedconsumption.
http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 17/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

The reduction method for forecast requirements is also configurable.
Thedefaultisreductionbyconsumption.



d)Planningmethod


TheMRPtypeoffersyoutoplanthematerialsinanexternalsystem,
like the MRP Type X0. The indicator called the planning method
allowsyoutochooseexternalplanningsoastoplanmaterialsinthe
externalsystem.



e)AutomaticCalculations


You can have the safety stock and the reorder point calculated
automatically by the system, when you are using the automatic
reorder point planning methods. In the automatic calculations the
systemusestheforecastdata.

ConfiguringSAPMRPScopeofPlanningfortheTotalPlanningRun

Configuring SAP MRP Scope of Planning for the Total Planning
Run


SAP provides an option to plan multiple plants together or multiple
MRP areas in one planning run in a sequence. Transaction code
OM0E can be used for configuration or the logical SAP path SAP
CustomizingImplementationGuide>Production>MRP>Planning>
DefineScopeofPlanningforTotalPlanning,canbeusedtoconfigure.


Step1DefinetheNameoftheScopeofplanningrun


Step 2 Define the plants or MRP areas to be included in the
planningrunarrangedinasequence.Thesequenceisdefinedbythe
firstfieldcalled


ConfiguringSAPMRPPlanningtimefenceandRollForwardPeriod

Configuring SAP MRP Planning time fence and Roll Forward
Period


The transaction path to configure the planning time fence and roll
forward period is: SAP Customizing Implementation Guide >
Production > Material Requirements Planning > Planning > MRP
Areas > MRP Calculation > Define Planning Time Fence and Roll
ForwardPeriod
http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 18/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

PlanningTimeFence:


Theplanningtimefenceisthenumberofworkdays,withinwhichyou
can protect the master plan (or in other words the procurement
proposalsofamasterplan)frombeingdisturbedorchangedfromany
automaticchanges(ofanMRPRun).Theprocurementproposalsare
firmed so as to protect them from any changes. The firming of the
procurement proposals (planned orders, purchase requisitions,
deliveryschedules)intheplanningtimefencepreventstheproposals
inthetimefencefrombeingadoptedinthenextplanningrun.

Inotherwords,intheplanningtimefence,thesystemdoesnotcreate
ordeleteanyprocurementproposalsnordoesitchangestheexisting
proposals.

The system calculates the time fence from todays date plus the
number of days mentioned as planning time fence in the material
master or in the MRP configuration (where you can define the
planningtimefenceforplantorforagivenMRPgroup).Itisneedless
tosaythatanynewrequirementsarenotincludedinthistimeperiod
nor the existing requirements are changed. MRP carries its usual
planningoutsidethisfencewithoutinterruptingthisfencedperiod.


ConfigurePlanningTimefenceandRollForwardPeriod

Plant MRPGroup PlanningTimefence RollforwardPeriod
0001 0001 14 3
0001 0002 14 2


It is logical that any procurement proposal lying outside this fence
wouldstartmovingintothefenceonebyonewhenthefencemoves
ahead on the time scale. When they move in to this fence, they are
automaticallyfirmedforprotection.


Firmingforautomaticallycreatedprocurementproposals:


TheautomaticallycreatedprocurementproposalsintheMRPRunare
notfirmedbythesystem,sothattheyareavailableforadjustingdates
and quantities in the next planning run, in cases where there is
changeinBOMortasklist.

You can though manually firm the planned orders individually or
collectivelyusingtransactioncodeMD19

Note Automatically created planned orders in the planning time
fenceareonlyremainfirmtilltheyareintheplanningrun.



Firmingformanuallycreatedprocurementproposals:

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 19/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

For manually created or changed procurement proposals or even
when you reschedule the planned order in the graphical planning
table,thesystemalwaysmarksthemwithafirmingindicator.Though
youcanremoveordeletethisfirmingindicator.



Firmingforcomponentsplannedorders:

Incaseofaplannedorder,youcanmanuallyfirmitbyselectingthe
firmingplannedorderIndicatorintheplannedorderheader.Andin
order to make sure that the BOM levels below are not exploded or
changed in a planning run, you have to set the firming components
indicator

SeethebelowExamplePlanningtimefenceis3days.


Planning
Start
Date
Today Day2 Day3 Day4 Day5 Day6 Day7 Day8
Day1
Planningtimefence
Planned Planned Planned Planned Planned Planned Planned Planned
Order1 Order2 Order3 Order4 Order5 Order5 Order6 Order7
Auto Auto Auto Not Firmed Not Not Not
Firmed Firmed Firmed firmed firmed firmed firmed
Next
Planning
Start
Date
Planningtimefence
Planned Planned Planned
Order4 Order5 Order5
Auto Auto Auto
Firmed Firmed Firmed



RollForwardPeriod


The Roll Forward Period adds the functionality of automatic deletion
of firmed planned orders, from the master plan. It also creates new
proposals to cover any requirements pending during the MRP run.
Thisperiodcanbedefinedfornumberofdaysinpastorfuture.The
system deletes all the firmed planned orders that lie before the roll
forwardperiod.

Using the roll forward period, you can have the system delete all
uselessoldfirmedplannedorders,whichotherwisethesystemwould
never had deleted, since they were firmed. This allows for
reorganizingtheplannedorders.

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 20/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

ConfiguringSAPMRPAreas

ConfiguringSAPMRPAreas


Longago,SAPMRPwasonlyattheplantleveloratMRPcontroller
level (activated through a user exit). Then SAP came up with the
conceptofrunningMRPatMRPareas.Youcandefineyourownarea
forwhichyouwanttorunMRPwithoutdisturbingotherareas.


RunningMRPforMRPAreas:ForrunningMRPataMRParea,you
wouldhavetocreateascopeofplanninginMRPconfiguration,which
containtheMRPareaorasetofMRPareasarrangedinsequenceof
planning.


AssigningMRPareas:TohavetheMRPAreaswork,youhaveto
activatetheMRPareasandthencreatethemandthenassignthemto
thematerialmasterMRP1view.IfaMRPareaisnotassignedtothe
material,thenitwillworkaspertheplantlevelMRParea.


ConfiguringMRPareas

Step 1: Activate MRP Area: Use the transaction path: SAP
Customizing Implementation Guide > Production > Material
RequirementsPlanning>MasterData>MRPAreas>ActivateMRP
forMRPAreas

Step 2: Define MRP Areas: Use transaction path: SAP Customizing
ImplementationGuide>Production>MaterialRequirementsPlanning
>MasterData>MRPAreas>DefineMRPAreas




TypesofMRPAreas:


PlantMRPAreas:YoucancreateoneMRPareaforseveralplants,so
that when you run the MRP for this MRP area, the run is for all the
plantsconfiguredintheMRParea.

StorageLocationMRPAreas:YoucancreateMRPareasforseveral
storage locations at a plant. You cannot use one storage location in
multipleMRPareas.

Subcontractors MRP Areas: You can create MRP areas for several
subcontractors for a plant. You cannot use one subcontractor in
multipleMRPareas.



ConfiguringSAPMRPDynamicSafetyStock(RangeofcoverageProfile)

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 21/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

ConfiguringSAPMRPDynamicSafetyStock(Rangeofcoverage
Profile)


The Range of coverage profile is configured for the use of Dynamic
safetystockforagivenmaterial.Therangeofcoverageconfiguration
contains the parameters for the calculation of the dynamic safety
stock. The dynamic safety stock is a stock calculated based on the
average daily requirements for a period rather than the actual
requirements over the period, therefore it is more statistical value
ratherthananabsolutevalue.


Safety stock as we know is used to cover the fluctuations in the
requirements, so is the dynamic safety stock, the only difference
being, the safety stock is an absolute value provided directly for a
materialwhereasthedynamicsafetystockiscalculatedbythesystem
on the basis of the coverage period and average daily stock
calculatedinternallybythesystem.


TheDynamicsafetystockiscalculatedineveryplanningrun.

The transaction path is: SAP Customizing Implementation Guide >
Production > Material Requirements Planning > Planning > MRP
Calculations > Define Range of Coverage Profile (Dynamic Safety
Stock)


RangeofcoverageConfiguration:

FigMRPConfig12



Configuration for calculation of average daily requirement for a
period


PeriodindicatorIndicatethetypeofperiod,whetherweekormonth
oraccordingtoPPplanningcalendar.(LetssayitisWWeek)

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 22/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

NumberofPeriodsNumberofperiodsusedtocalculatetheaverage
dailyrequirements(Letssayitis13Weeks)


TypeofPeriodlengthItdefinesthenumberofdaysintheperiod,if
the period length is in terms of workdays, then the factory calendar
workdaysareconsidered,iftheperiodlengthisintermsofcalendar
days then it is considered in terms of Gregorian calendar, and if it is
termsofstandarddays,thenyouwouldhavetoenterthenumberof
days in a period in the configuration (Lets say that the configuration
was done with workdays and the factory calendar has 7 days per
week)


ThereforeAveragedailyrequirement=

=Requirementsintheperiod(Requirementsin13WeeksLetssay
910Units)/(NumberofPeriodsLetssay13Weeks)*(Numberof
daysintheperiodLetssay7days)

=910/(13*7)

=10Units



Configuration parameters for calculation of Dynamic Safety
StockfortheRangeofCoverage


You can define 3 different range of coverage minimum, maximum,
and target range of coverage, which is used to calculate 3 different
stocks using the average daily requirements (range of coverage
multipliedbytheperiodlength).TheTargetrangeofcoveragedefined
here would be used to calculate the Dynamic Safety Stock for the
periodofthecoverage.

The Period of the coverage is specified in the configuration. The
coveragesandtheperiodsforwhichtheyshouldworkfor,aredefined
for2separateperiodlengthsandthe3rdperiodlengthisfortherestof
horizon.

Intheexample,wehavedefinedthesafetystocktocoveraperiodof
7 days (minimum, target and the maximum range of coverage). The
minimum,targetandthemaximumstockiscalculatedfortheaverage
dailyrequirementovertherespectivecoverageperiods.

Youcanchecktheminimum,maximum,targetstocklevels,minimum
range of coverage, maximum range of coverage, target range of
coverage in the MRP List or Stock requirements lists Period Total
DisplaySection.

Asperourexample,forthefirstperiodof13weeks,allthe3stocks
levels minimum, maximum, and target stock levels would be 70

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 23/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

Unitsandforthenextperiodof26weeksitwillbe70unitsaswelland
fortherestofthehorizonitwillbe70unitsagain.

Normally when the available stock falls below the minimum stock
level,SAPplanningrun,wouldimmediatelycreateplannedordersto
suffice at least the target stock level. For example if the minimum
stock level is 30 and the maximum is 80 and the target stock is 50
units, then if the available stocks fall below the 30 units mark, SAP
creates a procurement proposal for 50 units to reach back to the
target stock level. Whereas in the example below, all the 3 stocks
typesare70units,thereforewhenthestocksfallbelowthe70units,
thesystemwilltrytoraiseaprocurementproposaltoreachbackto70
units.


Asperourexampleintheconfigurationscreenshot


Dynamic Dynamic safety
Dynamic safety safety stocks stocks for the Dynamicsafety
stock formula for the 1st 2ndperiodof26 stocks for the
summarizedas= period of 13 weeks rest of the
Average Daily weeks Horizon
Stock*Rangeof
coverage

70Units 70Units 70Units
Minimum safety
stock

70Units 70Units 70Units
Target safety
stock

70Units 70Units 70Units
Maximumsafety
stock




AnotherExampleofDynamicSafetyStock

FigMRPConfig14

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 24/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

Stepa)Demandfor8Weeks=800


Stepb)AverageDailyRequirements

=896UnitsofDemandfor8Weeks/(8Weeks*7DaysPerWeek)
=896/(8*7)
=896/56
=16Units


Stepc)CalculationofSafetyStockforthecoverageperiod

Asperourexampleintheconfigurationscreenshot

For the first period, when the stock falls below 32 units (minimum
Stock Level), the SAP MRP run would create the procurement
proposals (Lets Say planned order) for a quantity to suffice at least
the target safety stock level or the dynamic safety stock level = 8
Units.


Dynamic safety Dynamic Dynamic safety Dynamicsafety
stock formula safety stocks stocks for the stocks for the
summarizedas= for the 1st 2nd period of 8 rest of the
Average Daily period of 8 weeks Horizon
Stock*Rangeof weeks
coverage

=2*16=32 =2*16=32 =2*16=32
Minimum safety
stock

=5*16=80 =5*16=80 =5*16=80
Target safety
stock

=7*16=112 =7*16=112 =7*16=112
Maximum
safetystock




ConfiguringSAPMRPDay'sSupplyandReceiptDay'sSupply

ConfiguringSAPMRPDay'sSupplyandReceiptDay'sSupply


The days of supply is not a mandatory configuration, you can only
configurethedayssupplyifyoufeeltheSAPpreconfiguredonesare
notwhatyouwant.

SAP offers 2 types of evaluations in SAP, the days supply and the
receiptdayssupply.

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 25/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

In the SAP MRP Evaluation transactions such as stock requirement

list or MRP list, the days supply would calculate the number of days
onthetimeaxis,tillthematerialrequirementscanbesatisfiedpurely
bythecurrentavailablestock.

While the Receipt Days supply would indicate how long would the
current stock and the expected receipts would cover the
requirements.Thereare2receiptdayssupplyevaluationsofferedby
SAP called as the receipt days supply 1 and receipt days supply 2.
SAPoffersaconfiguration to select the receipts elements for receipt
day supply 1 and 2 evaluations. There is also an option to have the
receiptdayssuppliestobecalculatedwhenthestocksfallbelowthe
safetystockorbelowthecurrentavailablestocks.

The days supply values or the receipt days supply values can be
correlated with the range of coverage concept. These tools comes
withtrafficlightsred,yellowandgreenwhichofferwarningstothe
MRP Controllers/users and lets him/her strategically know when the
material stock would be totally consumed out, which would help the
plannertoforesightandtakenecessaryactionsinadvance.

ThetransactionpathforthesameisSAPCustomizingImplementation
Guide > Production > Material Requirements Planning > Evaluations
>DefineReceiptElementsforReceiptDays'Supply

FigMRPConfig13




Days Receipt Receipt
Number of Days Stocks will Cover Supply Days Days
theRequirements Supply Supply
1 2

ConsiderCurrentStocksonlyincalculationofDaysSupply

X
Only Consider Current available Stocks
tocoverRequirements


Consider Receipts also along with Current Stock in Calculation of
DaysSupply

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 26/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

Firmed Planned orders, Planned orders assigned with Production
versions,Purchaseorders,Schedulelines,FirmedPurchaseRequisitions,
ReceiptReservations,ShippingNotifications

X
Consider all the possible receipt
elementsalongwiththeplantstock

Example Firmed Planned orders,
Planned orders assigned with
Production versions, Purchase orders,
Schedule lines, Firmed Purchase
Requisitions,ReceiptReservations,

X
Consider all the Most Certain receipt
elementsalongwiththeplantstock

Example Production order, Shipping
Notifications,QMInspectionLots




ExampleforDaysSupplyandReceiptDaysSupply:



DaysSupplyforMaterialM1onToday=3days
(Receiptsarenotconsidered)

Day Requirements AvailableQty
StockBalanceLeftafter
coveringRequirements

Today 20 CurrentStock= 10020=80
100
2nd 30 StockAvailable 8030=50
Day =80
3rd 50 StockAvailable 5050=0(Stock=0)
Day =50
4th 52
Day
5th 40
Day
6th 20
Day

DaysSupplyonToday=CoveragesConsideringwithoutthereceipts=3
DaysExactly




ReceiptsDaysSupplyforMaterialM1onToday=Alittlemorethan
4days
(ReceiptsarealsoconsideredThisexamplecanbeforReceiptDays
supply1or2)

Day Reqmts Expected Available
Receipts Stock
http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 27/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

StockBalance
Leftafter
covering
Requirements

Today Available= (100+15)20
20 FirmedPlanned 100 =95
order=10
Productionorder=
5
TotalReceipts
onday=15

2nd (95+0)30=
Day 30 TotalReceipts Available= 65
onday=0 95


3rd (65+25)50
Day 50 Productionorder= Available= =40
25 65
TotalReceipts
onday=25


4th
Day 47 Plannedorder=8 Available= (40+13)47
Productionorder= 40 =6
5
TotalReceipts
onday=13

5th Available= (1+5)40=
Day 40 Plannedorder=5 6 34
TotalReceipts Shortage
onday=0


6th
Day 20

ReceiptDaysSupplyonToday=CoveragesConsideringthereceipts
=51+(6/40)=4+0.15=4.15Days







NextStep>>>CreationofMaterialMasterMRPViewsandAssignmentofMRPTypes

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 28/29
4/22/2017 SAPMRPConfigurationSAPs'WORDWeSAPForYourCause

AllthesitecontentsareCopyrightwww.sapsword.comandthecontentauthors.Allrightsreserved.
Allproductnamesaretrademarksoftheirrespectivecompanies.Thesitewww.sapsword.comisinnowayaffiliatedwithSAP
AG.Everyeffortismadetoensurethecontentintegrity.
Informationusedonthissiteisatyourownrisk.
Thecontentonthissitemaynotbereproducedorredistributedwithouttheexpresswrittenpermissionof
www.sapsword.comorthecontentauthors.

Sitemap
Sitemap

Signin | ReportAbuse | PoweredBy GoogleSites

http://www.sapsword.com/home/learnsappp/sapmrp/sapmrpconfiguration 29/29