What is the first step in the MRP run?

The first step in the Material Requirements Planning (MRP) run is the calculation of net requirements. This step is crucial because it determines how much inventory is needed to fulfill production demands after considering existing stock, scheduled receipts, and any other relevant factors. The net requirements calculation establishes whether additional materials are needed to meet the production plan, which sets the groundwork for subsequent activities in the MRP process.

Once the net requirements are established, the next steps may include sourcing materials, performing a bill of materials (BOM) explosion to detail the components required for the products, and calculating lot sizes for procurement. However, without first knowing the net requirements, the MRP process cannot effectively determine what to procure and when. This foundational understanding is vital for ensuring the efficiency and accuracy of the entire planning process.