Material requirements planning (MRP) is a production planning, scheduling, and inventory control system used to manage manufacturing processes.

An MRP system is intended to simultaneously meet three objectives:

  • Ensure materials are available for production and products are available for delivery to customers.
  • Maintain the lowest possible material and product levels in store
  • Plan manufacturing activities, delivery schedules and purchasing activities.

In MonsoonSIM, MRP is one of the core modules. In this case, MRP is responsible for helping teams to create purchase orders based on demands, ensuring enough materials and goods are available for delivery and maintain lowest possible materials and goods in warehouse. Learners are encouraged to start with the basic module, called Baseline model, and slowly progress to more advanced functionalities.

Here are what you will learn in the MonsoonSIM MRP (Baseline):

  • Concept of Bill of Materials
  • Concept of materials and goods requisition planning based on demands
  • Concept of percentage of production vs outsourcing affecting the outcome of the MRP
  • Concept of buffer stock or minimum stock level


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