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Material requirement Planning (shortened MRP) is the English expression for materials requirements planning usual since approximately 1960.
Since beginning of the 70's it was part of production planning and - control systems (PPS systems), whose concept was described detailed as Communications Oriented information and control system (COPICS). The PPS systems follow a phasereferred gradual planning concept. On the basis of the planning of the production program, which was developed again from a selling program, this primary requirements over parts lists with consideration from stocks was dissolved to secondary needs (see ascertainment of need). The production program was determined out already well-known customer orders, results of the demand forecast due to stock orders planned by past values and. The result of this planning stage were roughly scheduled production orders.
The steps in detail were the bill explosion by parts list processors so mentioned (DBOMP of IBM, UNIVERSITY BORON of SPERRY and other one). The result of the bill explosion was the need of individual parts, sub-assemblies and building groups for the products which can be manufactured. On each component level of the usually multi-level parts list structure the determined gross requirements were confronted to the stock, combined then the remaining net requirements (net requisition planning) into planned production orders (lots) and continued to dissolve. Before the further dissolution by lead times roughly the dates of the production orders and/or purchase orders were computed (time limitation). This time limitation of materials requirements was based on the acceptance of unrestricted capacities for the execution of the production orders.
The so roughly scheduled production orders were scheduled more in detail afterwards over schedules. This run time limitation supplied at the same time the capacity need per planning period (see production planning and - to control). This time limitation of materials requirements was based like the time limitation over the bill explosion on the acceptance of unrestricted capacities for the processing of the production orders.
End of the 70's followed the above proceeding a capacity time limitation, among other things with the goal of receiving by the avoidance of overloaded capacities in individual plan periods more realistic dates for the planned production orders. This is called today (that did not mean in such a way at that time) MRP I.
An advancement and an extension of materials requirements planning (MRP) are Manufacturing Resources Planning with the misleading and therefore confusing abbreviation MRP II (see Manufacturing Resources Planning).
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