Requirement coverage calculation

MRP > MRP Wizard > Calculation > Requirement coverage calculation

The requirement coverage calculation checks which components are required for a sales order:

The MRP always breaks down the assembly requirements (eg. from customer orders). If the sub-requirement (BOM of an assembly) is again an assembly, it is first checked whether this can be covered by stock or by planned inflow. If not, this is broken down further. For this, during the computation, the planned inflow is temporarily assigned to the planed outflow.

The following inflow is considered in order:

Note: The system ignore the Item-Version

The delivery date is taken into account, but it may be in the future. This is set up in Configuration wizard – Detail – Breakdown replenishment – Consideration of future receipt.

The delivery date is not taken into account - except for point 1 - since otherwise there would be a risk that the sub-material is dispatched twice. For this reason, Configuration wizard – Detail – Breakdown replenishment – Consideration of future receipt parameter is set to 99 days.

Temporary reservation that is set up here, is valid only at the moment of computation and should not be confused with a fixed reservation. The temporary reservation is made at a time, when it is not yet known which material is actually needed. The computation is performed at this moment. At the time of computation, there is no balance, so this can not be considered. Therefore, the program uses a different priority for the temporary reservation:

The temporary reservation determines, whether sub-assemblies are broken down any further. The assigned planned inflow does not cover the requirement of a planned outflow.

In case of working with fix reservations, when the reserved material is always firmly linked to a pegging and it may not be assigned to another pegging.

Note: All production receipts are taken into consideration, regardless of the warehouse they are posted to. Warehouse settings defined in Planning scenarios – Warehouse are not considered here.

Note: The temporary reservation can be displayed even after the computation in Order recommendation report > Origin.

In this list all temporary links are displayed in a structure view. See origin of requirement structure.

Delivery date

If the date of delivery would be taken into consideration, the following problem could occur:

Assembly A contains assembly B with material M1.

Sales Order: assembly A on May 5th

Requirement of assembly B at May 10th and material M1 at May 9th.

Work order is created for May 10th, material is ordered for May 9th.

All requirements are covered.

The customer asks for a delivery one day earlier on May 4th:

If the requirement coverage calculation would take into account the delivery date, then the work order would no longer cover the requirement.

In effect, assembly B would be broken down, although the balance is 0. From the work order and the sales order a requirement would arise for material M1 - and thus it would be ordered twice.

To prevent this, the delivery date is not considered.

Instead, the order recommendation list has the Only shortage filter as default.

This filter shows all items, which need to be ordered or produced or for which the planned inflow is too late.

In this case, assembly B would be shown as shortage, as the balance for 4th May is negative.

The inflow to be used, can be specified in MRP wizard > Detail > Breakdown of resources.