MRP compares the order against the bill of materials, on-hand stock and open orders, and calculates what is needed, how much and by when. MRP II tests that against capacity, labor and cost to make the plan feasible. The net requirement is recalculated on every stock movement.
ANATOMY OF THE CALCULATION
OUTPUT · DATED NET REQUIREMENT
FROM DEMAND TO A DATED REQUIREMENT
The order quantity is exploded through the bill of materials; each component's gross requirement is calculated, and on-hand and in-transit stock deducted. What remains is the true net requirement.
MRP → MRP II
MRP answers "what, how much, when". MRP II adds capacity, labor and cost to the same calculation and also answers "is this plan actually feasible?"
CORE CALCULATION
Material requirements planning — compares demand against the bill of materials and stock, and dates the net requirement.
RESOURCE PLANNING
Manufacturing Resource Planning — tests the same calculation against capacity, labor and cost to make it feasible.
PLATFORM CAPABILITIES THAT COMPLETE MRP
MRP compares the order against the bill of materials, on-hand stock and open orders, and calculates what is needed, how much and by when. MRP II tests that against capacity, labor and cost to make the plan feasible. The net requirement is recalculated on every stock movement.
ANATOMY OF THE CALCULATION
OUTPUT · DATED NET REQUIREMENT
FROM DEMAND TO A DATED REQUIREMENT
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MRP → MRP II
MRP answers "what, how much, when". MRP II adds capacity, labor and cost to the same calculation and also answers "is this plan actually feasible?"
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PLATFORM CAPABILITIES THAT COMPLETE MRP
