What is SAP MRP? The SAP MRP (Material Requirement Planning) is used to procure or produce the required material quantities on time for in-house purpose or for fulfilling customer demands. In manufacturing, the function of MRP is to guarantee material availability on time. The main objective is to plan the supply based on requirements and considering the current stock in hand and meet the shortages. MRP Process flow With MRP, inventory can be optimized via planning receipts according to the needs so that surplus inventory could be avoided. Sales and distribution give concrete customer requirements from the market. In Demand Management, sales are planned in advance via a sales forecast. The sales forecast is entered in demand management in the form of Planned Independent Requirement (PIR), i.e., the requirement for the finished product. In order to cover these requirements, MRP does net requirement calculation and plans procurement quantities and dates on which the material n...