DRP: Distribution Resource Planning, New Component in 4.0A

Description

The objectives of DRP in the SAP R/3 System are two-fold:

On the whole, distribution requirements planning can be done using techniques available in SAP's Material Requirements Planning (MRP) component. The planning results account for the fact that requirements can be satisfied by more than one supply center and include stock transfers (or stock tranfer requisitions), which enable you to guarantee the stock level required in the distribution center.
Deployment enables you to take appropriate action when either a requirements shortage or surplus is calculated as a result of distribution requirements planning runs at different time intervals. Deployment makes use of algorithms for "fair share" distribution when a requirements shortage is detected and "push" distribution when a requirements surplus is detected.

Network

The new Network tool enables you to create and manage the distribution network graphically. For example, you can

DRP Enhanced Functionality

Deployment

Dependent functions

Before planning and execution can be carried out using DRP, a distribution network must be built. A distribution network represents possible delivery relations for individual materials. DRP typically entails planning the supply chain from internal deliveries to the distribution center that supplies customers. It is normally assumed either that sales orders exist or that sales estimates are available. The primary aim of planning is to determine the quantities required on specific dates, including the lead times of the distribution lanes.

Further notes

For more information, see "PP Distribution Resource Planning" in the R/3Library.