SAP PP
Basics of MRP Area
https://blogs.sap.com/2015/07/01/basics-of-mrp-area/
The purpose of this document is to explain
the basics of MRP area, steps involved in activating MRP area and to use it in
different possible ways.
As we know MRP runs at plant level
(centralized), but as per business need we may have to plan MRP for individual
& independent planning areas (decentralized). This can be achieved by
activating MRP areas. These MRP areas are fully configurable organizational
units within ECC where MRP can be run individually. So we can broadly classify
running MRP in 2 major ways.
MRP at plant level: The system
adds together stocks from all of the individual storage locations to
determine total plant stock. The requirements are combined in the planning
run and procurement elements are created for these pegged requirements
with unknown sources. Individual storage locations can be planned
separately or be excluded from planning.
Illustration:
MRP area level: Only the stocks from the storage
locations or subcontractor assigned to the respective MRP area are taken
into account. The requirements in this particular MRP area are combined
and procurement elements are created for them. This enables us to plan
material requirements specifically for certain areas (MRP areas).
Illustration:
You can define MRP areas within a plant
and carry out MRP specifically for that particular area, for example in above
illustration, for MRP area M0001 can be planned independently without running
MRP for plant FP01.
In each MRP area you can control staging
and procurement of parts that are produced in house or externally. All MRP
procedures are supported by MRP areas and one can display the result of MRP run
for each MRP area.
MRP Area (definition):
As per SAP, “MRP Area represents
an organizational unit for which material requirements planning is carried out
independently”
MRP Area is functionality for special
planning process that enables you to carry out planning not only at plant level
but also at different planning levels (eg, storage location &
sub-contractors). There are 3 types of MRP areas in SAP
Plant MRP Area
MRP Areas for storage location
MRP Areas for Subcontractors
Plant MRP area:
MRP area can be created at plant level. On
doing so, system combines all its storage locations and stock with
subcontractors under that MRP area. When you define MRP areas for storage
locations and for subcontractors and assign material to newly created MRP areas
with in plant then the plant MRP area gets reduced by exactly the numbers of
subcontractors and storage locations. This is because they will now be planned
separately in new MRP areas.
MRP area for storage location:
MRP area can also be defined for storage
location or multiple storage locations. Material requirements for this storage
location are then planned separately from the rest of the plant. Important
point to note here is that you can assign 1 storage location to only 1 MRP area
but you can have multiple storage locations under single MRP area. It’s a N to
1 relationship.
MRP Areas for Subcontractors:
You can also define an MRP area for each
subcontractor. Important point to note here is that a subcontractor can be
assigned to only one MRP area in a plant. An MRP area of the subcontractor type
can only contain one subcontractor. It’s a 1 to 1 relationship.
How to setup MRP area in SAP
There are 2 aspects of setting up MRP
area. First one is to activate it in customizing and second part it to set up
master data (i.e. adding materials to that particular MRP area in material
master).
MRP with MRP area is not operational until
you assign MRP area to a particular material in material master or in order
words create a MRP area segment. If you have not assigned a material to an MRP
area, that is, you have not created an MRP area segment in the material master,
the material will continue to be planned in the plant MRP area only.
Step 1 – Converting Planning file
entries
Path: SPRO > Production > Material
Requirement Planning > Master Data > MRP Areas > Convert Planning file
entries for MRP areas – OM0F or SE38 program RMDBVM00
When we convert planning file entries for
MRP area, system creates plant MRP area for each plant. Following entries from
below tables are converted. Planning file entries are maintained in MRP file
which are converted to MRP area file in below tables.
Planning file entries in MDVM are
converted to DBVM
Planning file entries in MDVL are converted
to DBVL
Planning file entries in KDVM are
converted to KBVM
Planning file entries in KDVL are
converted to KBVL
If you are running converting planning
files for the first time then system will automatically create plant MRP areas.
These new entries can be seen in OMIZ under plant MRP area with area type “01”.
IMP note: After the conversion, contents
of MDVM/MDVL/ KDVM/KDVL are deleted and entries are created in DBVM/ DBVL/
KBVM/ KBVL.
Step 2 – Define MRP area in SPRO – OMIZ
Path: SPRO > Production > Material
Requirement Planning > Master Data > MRP Areas > Define MRP areas
MRP area has 3 types (01, 02 & 03) and
system will allow you to have MRP areas in below types only (Plant, Storage
location or Sub Contractor)
Plant MRP area should have same name as
plant so you can have only one entry for plant MRP area. For example plant 1000
will have plant MRP area as 1000.
In order to maintain consistency and
uniformity, only MRP areas of the type ‘plant’ are allowed to have 1-4 digits
key. Sloc MRP area should have minimum of 5 digits. Example M0001 etc…
You can only have 1 sub-contractor vendor
assigned to 1 MRP area. Multiple vendors cannot be grouped together in a single
MRP area.
You can have multiple storage locations
combined together in a single MRP area.
You can only one entry for plant in plant
MRP area. Multiple plants cannot be grouped together in a single MRP area.
Once MRP area is defined, next step is to
Activate MTP area
Step 3 – Activating MRP Areas – OM01
Path: SPRO > Production > Material
Requirement Planning > Master Data > MRP Areas > Activate MRP for MRP
areas
NOTE: MRP areas are activated at client
level. Once you activate it, it will be available for all plants and MRP areas
features would be available to use.
This sums up setting up MRP area
configuration in SAP customizing.
You can find following changes due to
activation of MRP area. These are just few for example
MD61 – PlR creation
MRP
Material Master
Stock Requirement list
Step 4: Master data for MRP area
The material will not be considered in MRP
area planning until it’s extended to MRP area. Following steps shows how
to extend a material in MRP area. You can extend a material to multiple MRP
areas based on the need.
Go to change material master under MRP 1
screen and assign MRP area as shown below:
You will have additional views for MRP 1,
MRP 2, Forecast & Consumption values. You need to fill required fields as
per your need.
When you assign a material to a new MRP
area, a new record for this assignment gets added in the planning file. You
have an option to define individual MRP and forecast parameters for each
MRP area that you assign to a material. These parameters can differ from those
defined in the material master at plant level. As an example, you can have
different MRP controllers, lot size or MRP type for each individual MRP areas
that is assigned to a material.
Users can set up different forecast model
and consumption values in MAR area tabs. Once MRP with MRP area is activated,
ATP check is also activated at MRP area level.
Scope of planning with MRP area
You can create scope of planning run if
you want to carry out total planning for limited MRP areas. In case you do not
give any MRP area in total planning run, system will consider all MRP areas
under a plant and plan for them in total planning.
For single item planning system, in MD02
& MD03 system plans a material only in the specified MRP area.
Sample Scenario:
Let’s consider a material Assembly maintained in plant ZSY1 under 2 storage locations (ZSY3 & ZSY4)
Sloc ZSY3 maintained in MRP area MA001.
Assembly is extended to MA001 with following stock situation
ZSY3 – 100 (under storage location MRP
area MA001)
ZSY4 – 150 (under Plant MRP area ZSY1)
Lot size for same material is maintained
as FX (fixed lot size) in MA001 MRP area and EX in plant MRP area ZSY1
Total stock MMBE
MD04 – MRP Area
ZSY1
MD04 – MRP Area MA001
Let’s have requirement from a Sales order
for plant ZSY1, it will come under plant MRP area ZSY1
For testing, we can also have PIR created
for specific MRP area MA001
Here is the stock situation of MD04 with
sales order in Plant MRP area
Stock requirement for MRP area MA001:
If we run MD02 for plant ZSY1, system will
only consider plant MRP area and will not plan for MRP area MA001 as it’s a
separate planning area
MRP area MA001 is untouched:
After running MRP for MA001 system creates
planned order for 200 quantities
Material Assembly was maintained as EX lot
size in plant MRP area and with fixed lot size 200 in MA001 hence planned order
of 200 Qty created in MA001. In this way separate planning parameters can be
maintained to run requirement planning using MRP areas.
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