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MFG/PRO 9.0 User Guide Volume 3: Manufacturing - QAD.com

MFG/PRO 9.0 User Guide Volume 3: Manufacturing - QAD.com

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Component Effective Dates<br />

MATERIAL REQUIREMENTS PLANNING 249<br />

MRP uses <strong>com</strong>ponent effective dates to determine which <strong>com</strong>ponents are<br />

required for a given order due date. Components are active beginning on<br />

the start date specified in the product structure and remain active through<br />

the stop date, the last day a <strong>com</strong>ponent will be used.<br />

Executing MRP<br />

MRP Processing<br />

MRP reports and inquiries can optionally display item requirements<br />

summarized by week. The beginning day of the week is specified in the<br />

Summary Default field of the MRP Control File. Calculations are based<br />

on this weekly period.<br />

MRP calculates net requirements for items using three variables:<br />

• Gross item requirements are the sum of an item’s requirements from<br />

forecasts, higher level products, customer orders, service items, and<br />

intersite orders. They do not take into account inventory on hand or<br />

scheduled receipts.<br />

• Scheduled receipts for that item, including open purchase orders,<br />

open work orders with a quantity open and a status of R, and intersite<br />

requests for DRP items.<br />

• Quantity on hand from the previous period.<br />

MRP uses these three variables in the following calculation:<br />

Net Requirements = Gross Requirements – Quantity on Hand for the<br />

previous period – Scheduled Receipts<br />

MRP schedules planned purchase orders and work orders to fill these net<br />

requirements. Planned work orders generated by MRP are exploded into<br />

gross requirements for their <strong>com</strong>ponents. This process continues until<br />

there are no more planned work orders to explode.<br />

Note MRP does not explode product structures for purchased and<br />

distribution items or <strong>com</strong>ponents with structure code Document.<br />

Ï See “Engineering<br />

Effectivity” on<br />

page 23 for more<br />

information on<br />

how MRP<br />

handles<br />

<strong>com</strong>ponent<br />

effective dates.

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