Documentation

Material Resource Planning in ERP

Basically MRP defines as the production planning and inventory control system. The overall production planning concept and process can be defined through the MRP solution. Depending on the industry or the type of business different ways of MRP process can be functioned. Taking an example of a particular buying house business, the business will depend based on the type of vendor. Vendor will provide an order of 10,000 pieces of t-shirts but before that he needs a sample of 5-10 pieces to see whether the order can be placed to him or not. So basically many roles and features do play in the MRP section. Merchandising procedure do plays a role in MRP such as
 

1) Style (Which is like the sample pieces and designing process for the sample pieces)

2) Sample Development (Development stages that has been provided for the sample production in the factory) in the meantime quality control also plays an important role

3) Shipment process

(Note that these three features are related to the solution of Merchandising Management System if the industry is garments, buying house etc.)

After shipping and getting the approval of sample from the vendor and receiving 10,000 pieces order, it will be generated as a work order from the system (In the mean time compliance also required for managing the resources and wastages) and then main functions of MRP starts to play. Following features of MRP which are basically common for all the industries are to be managed from the application:
(Note that if you are a merchandizer overall 3 things are beard in the mind for production process. They are 
1) Time and Action  2) Quality Control (QC)   3) Cost management )

The following features that are provided below for the MRP function is basically for all general industries or business related to MRP
 

1) Work Order

2) Material Requirements

3) Then comes the under 3 stage section wise process of materials (Work in process): i) Material Issue   ii) Material Consumption   iii) Section Delivery (Quality Assurance is important before delivering which can be managed)  iv) Section Transfer  v) Finish Product Delivery to Inventory.

4) After Finishing Product Delivery to Inventory next to go for the Production order to control the order management (Note that multiple production orders can be placed against a single work order from the system).
5) Product Shipment to the vendor against the work order number or generating a Sale order with Delivery to the vendor against that specific work order.