MRP Processing in QAD EEDate: April 21, 2021

Agenda

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• Speaker Introduction

• Introduction of Topic

• Audience

• Disclaimer

• What will you learn?

• MRP Overview

• Types Of MRP

• Important Parameters

• MRP Situation – Tips & Tricks

• Questions

Speaker: Milind Kulkarni

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Senior QAD consultant working with Arista Solutions

• Well verse with QAD implementation and support

• Industries

• Automotive

• Industrial

• Medical Devices

• Food and Beverage

Topic: MRP Processing in QAD EE

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Which factors affect MRP ?

How analyze the MRP result?

How to save valuable time?

Review

1. Few important MRP related set up and its impact.

2. Commonly Faced Situation and Tip and Tricks.

Audience

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• Planner

• Business Analyst

• Operators

• IT Team member.

Disclaimer: All information presented is merely for educational and informational purposes. It is not intended as a

substitute for professional advice. Should you decide to act upon, you do so at your own risk.

MRP Engine Overview

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Planning & Shipping

Schedule Discrete Sales

Order

Customer

Demand

Unfulfilled Schedule

Requirement (RAN)

Open Customer

schedule (RSS)

Scheduled

Receipts

MRP/DRP

EnginePlanned

Orders

Forecast

Product Structure

Planning Parameters

Purchase

Requisitions

Work Order

Supplier

Schedule

Inter-Site

Request(DO)

Master

Schedule

Inter-Site

Request (DO)

P/M Flag = D

P/M Flag = M or L

P/M Flag = P

Scheduled PO

Available

P/M Flag = P

Scheduled PO

NOT Available

On-Hand

Inventory

Routing

P/M Flag: Purchased / Manufactured

flag in planning parameters.

Demand

Supply Parameters

Type of MRP

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There are 3 ways to run MRP engine.

MRP Type ➔

Differences 23.1 Net Change Materials Plan 23.2 Regenerate Materials Plan 23.3 Selective Materials Plan

MRP Required Flag Plans Only “Yes” items Plans for all items Depends on the selection criteria

Options limit to specific to planner,

product line, Item type No No Yes

Recommended Use Daily At least once in a week For Master Scheduled Items

Advantage Faster Processing Considers all demands Need Basis

Limitation

It does not see demand or forecast

for items moving into the MRP

horizon as time passes.

May take more time to process Plans one level down only.

Important MRP Settings

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Planning Parameters

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Important Planning Parameter

• Plan Orders

• Order Policy

• Time fence

• Safety Stock

• Safety Time

• Purchase/ Manufacture

• Minimum Order Quantity

• Maximum Order Quantity

• Order Quantity Multiple

Product Structure

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The system uses product structures to plan availability of components and to determine manufactured product costs.

Each product structure record identifies a single-level relationship between a parent item and a component item. A component in a higher-level structure can be a parent in a lower-level structure.

Start and End Effective Date

• Use track changes in product structure

Routing

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A routing consists of one or more operations. Operation information consists almost entirely of control data, specifying where and how work is done, how long it should take, and how much it should cost.

Start and End Effective Date

• Use track changes in product structure

Customer Scheduled Sales order (CSSO)

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Standard Pack Quantity

• Recommendation: Use either Order multiple in the planning parameters or standard pack quantity in CSSO

Customer Schedule

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Prior Cum Req

• Recommendation:

• While adding customer schedule manually, please ensure correctness of prior cum quantity

• After cum reset, validate this field for correctness.

Difference Between 1.4.1 Item Master Maintenance V/s 1.4.17 Item Site Planning

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1.4.1 Item Master Maintenance 1.4.17 Item Site Planning Maintenance

Contains Item specific planning parameter Contains site specific, item planning parameter details

It is always available for all items It may for be available

It allows to create and maintain all item master data. It allows to create and maintain all site-specific item planning data.

Used when site specific item planning details not available Used first, if exists.

MRP Situation – Tips & Tricks

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MRP is ordering obsolete parts/ no longer in use

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• Analysis 01:

• Check 23.16 MRP Detail Inquiry to get demand and supply details for an item.

• Check safety stock level

• Check on hand inventory level

• Even is Safety stock level set to zero, but negative on hand inventory will create demand. Correct on hand inventory at site.

MRP is ordering obsolete parts/ no longer in use

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Analysis 02:

Check 23.16 MRP Detail Inquiry for independent as well as dependent demand.

1. Check and validate Inter-site Request

2. Check open Discrete Sales Order

3. Check prior cum the customer scheduled

4. Check & validate the demand for the parent items

MRP is ordering parts for scheduled Sales Order but next shipment not due

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Analysis:

Check 23.16 MRP Detail Inquiry for independent as well as dependent demand.

Customer Scheduled Order release

• Compare “Prior Cum Quantity” with shipped quantity.

• Check for Old RAN #

MRP is not planning for the part.

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Symptoms

• Supplier schedule not generated for the active parts.

• MRP is not suggesting to make active parts.

• Customer demand is available, but no supplier schedule generated/customer demand does not reflect in supplier schedule.

Analysis:

• Check the phantom flag in planning parameter

• Check if on hand inventory

• Check order policy and plan order flag in item planning

• Check MRP is considering all demands. Check required ship schedule.

• Check the product structure

• Check the P/M flag is correctly set up.

• For KIT items MRP does not create planned order for Finished goods, but it plans for the next level components.

• For purchased parts, check if 5.5.1.17 Scheduled Order MRP % Maintenance

Sudden increase/decrease in supplier schedule quantities.

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Analysis:

• Check 23.16 MRP Detail Inquiry to validate demand

• Check if on hand inventory

• Check the product structure

• Check the P/M flag

Incorrect dates in Supplier Schedule

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Analysis:

• Check 23.16 MRP Detail Inquiry

• Check the ship/Delivery pattern

• Check for Transport days

• Verify Update Supplier schedule from MRP, in detailed summary mode

Rebuild MRP Utility

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• Menu: 23.25.1 Rebuild 'mrp_det' Table

• Run this utility in exceptional cases

• Run 23.2 Regenerate Materials Plan for all the sites in the domain.

• Recommendation: Run during off hours.

Questions?

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