MRP - Material Requirements Planning

Material requirements planning (MRP) is a production planning and inventory control system used to manage manufacturing processes.
Most MRP systems are software-based, while it is possible to conduct MRP by hand as well.

An MRP system is intended to simultaneously meet three objectives:

• Ensure materials are available for production and products are available for delivery to customers.
• Maintain the lowest possible level of inventory.
• Plan manufacturing activities, delivery schedules and purchasing activities.[1]

References

1. http://en.wikipedia.org/wiki/Material_requirements_planning

Links

Enterprise Resource Planning
MRP Raw Materials, Intermediate Items & Products