From the course: Material Requirements Planning (MRP) Strategies in SAP

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Overview of MRP strategies: Choosing a strategy

Overview of MRP strategies: Choosing a strategy - SAP ERP Tutorial

From the course: Material Requirements Planning (MRP) Strategies in SAP

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Overview of MRP strategies: Choosing a strategy

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- [Instructor] What to consider when choosing a strategy, 'cause, as we get into it, you'll see there's a lot of MRP strategies that come pre-configured so, what should you be taking into consideration when choosing the right strategy? Well, the first thing you probably want to ask yourself is, what level of the BOM, the bill of material, will I be doing my demand management at? So, demand management is an SAP term, forecasting is more of a generic term for the demand management module, although there is a forecasting module as well as a demand management module in SAP. For the sake of this course, I'm going to use the two terms kind of interchangeably, when I say demand management, or I may use the term independent requirements, or I may use the term forecast, all of them, as it pertains to this course that I'm teaching, I really just mean that independent requirements plan. So, what level of the BOM will you be doing that at? Are you going to be doing that at the finished goods…

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