Take full advantage of your ERP system

The New MRP module is an “add-on” module for Microsoft Dynamics Ax (D365FO) designed with today’s ERP requirements in mind.

The module solves various challenges with the standard master planning functionality.

The New MRP module runs in Real Time and responds automatically to new demands by adding and adjusting planned orders – no matter where demand occurs in the supply chain.

The New MRP module uses a bucket strategy that avoids hard linking of receipts and issues. This is a major improvement of the planning result.

Be smart, by switching to the New MRP module. The module does not overwrite or change anything in the existing installation.

The installation is therefore very easy and straightforward.

The New MRP module has a separate menu and work space similar to the Master planning module.

Real Time MRP

The New MRP module runs the MRP calculation continuously and automatically in the background whenever new demands appear in the supply chain.

This reduces the administrative time and thereby the delivery time to the customers.

Instead of waiting for the master scheduling to create new planned orders for purchasing, producing and transferring goods the next day, the New MRP module calculates the need for replenishment immediately.

This makes it possible to shorten the lead-time, because new demands are detected earlier and faster with the New MRP module.

A Master plan can be marked for “Online Master scheduling” which means that new demands are detected, and will be calculated automatically in the background by the New MRP module.

Prioritized demand handling

The New MRP module prioritizes demands across product levels and across companies in a very smart way, which improves the service level.

When receiving new orders, the New MRP module always calculate the real possible delivery dates on customer inquiries as New MRP automatically prioritizes demands coming from sales orders at any product level before fulfilling safety stock and forecast demands.

Hereby physical stock can be used as intended, namely for actively absorbing fluctuations in sales demand instead of being reserved for safety stock and forecast demands, resulting in possible delivery dates being calculated based on replenishment from scratch.

Cross-level order prioritization in the New MRP module is an extremely powerful and unique feature.

Requirements have a demand type that identifies the type of the originating demand. Demand types are maintained across companies, warehouses and BOM levels. The type is used to prioritize demands when running MRP .

Genuine 24/7 handling

The New MRP module supports and manages MRP demands 24/7. In a globalized business, there are no nights to perform an exclusive update of the master scheduling. The New MRP module therefore runs in versions.

As soon as the master scheduling is done with an item, the new version is approved by the system. Immediately hereafter, the users can see the results, and do not have to wait until the whole master plan is calculated as in standard Ax.

The unique version control system ensures that the master scheduling can run without creating database transactions and users will therefore never experience database blocking while running CTP calculation upon order reception.

New MRP does not require database transaction scopes to insure data consistency. The “Master scheduling concurrency” can be “Transaction” which means that the database commits and releases database locks many times during an MRP calculation.

CTP Intercompany planning

In a major global company, products are typically produced in a few countries, but sold and stocked in a large number of countries.

Customer inquiries for possible delivery dates often involves multiple companies and it is therefore critical that intercompany planning can run directly across companies.

The New MRP module runs CTP calculations directly across companies upon order reception, making it possible to provide ‘capable to promise’ dates when the order has been given.

Further – the New MRP CTP runs extremely fast even when products needs to be produced over many BOM levels and companies, as the New MRP uses the real-time-updated net requirements as foundation for the calculation.

Sales orders are CTP calculated across companies during order reception. Possible delivery dates can hereby be calculated from sales companies no matter the complexity of the supply chain. In this example, a sales order is received in the German company. The CTP calculation has immediately moved the demand to the US company where a planned production order have been created. The possible production date is hereby send back to the order recipient in the German company as a capable to promise date

Intercompany sourcing rules

The New MRP module also handles intercompany sourcing rules; for example, it examines if it is possible to meet and fulfill requirements from available items in other companies before creating new planned orders.

The same products are often available in various places inside the global company. Rules for transferring and moving items between companies and sites within the company can be specified.

Hereby multiple main warehouses can exist from where requirements can be met as sourcing rules can be established examining whether products are available at any company, site or warehouse before new products are ordered.

Intercompany handling and sourcing rules in the New MRP module brings visibility and improved planning to the supply chain.

Sourcing rules can be maintained automatically by the use of templates or maintained manually item by item.  In this example the first rule applies to orders with order qty greater than 100 while the second rules analyzes whether demands in company demf can be fulfilled by stock in the usmf company. The third rule comes into action as last fall back rule.

Reorder point system

The New MRP module supports reorder point coverage based on reorder point quantities and standard order quantities.  The New MRP module creates a planned order for a standard order quantity whenever the accumulated on-hand level goes below the reorder point.

The old MRP cannot support a simple reorder point system because the hard coverage linking system requires demands to exist in the net requirement profile. The minimum stock level is often mistakenly considered the same as a reorder point but that is simply not so.

The reorder point system in the New MRP module eliminates the need for setting up positive and negative days in Dynamics Ax.  This makes maintaining the MRP setup much simpler in the New MRP module  compared to the old MRP.

Pegging, actions and calculated delays, are maintained by the New MRP module as any other standard coverage rules when the coverage code is “Reorder point”.

This item is MRP calculated using reorder point coverage. Whenever the accumulated quantity goes below 500 pieces an order for 400 pieces is created and scheduled forward from the order date.  

Advanced auto-firming

When items on the factory floor has been reported as finished, the New MRP module auto‐firms planned transfer orders in real‐time. This ensures that produced goods are transferred asap to the next production process.

The material flow is optimized and controlled in a new improved way, resulting in materials being automatically transferred through the factory without the need for manual system handling.

The New MRP module detects produced items in real time. The New MRP module then uses the real time updated net requirements profile to determine whether an immediate requirement exists for the produced items at other storage locations or sites. If so, relevant planned transfer orders are immediately auto‐firmed.

Hereby the New MRP module helps drive the production process by pushing goods through the company.

Planned orders can be auto-firmed in many ways or handled manual through planned order views. Planned order views provide static views of planned orders while the MRP runs dynamic and Real Time in the background.

Material distribution

The New MRP module distributes materials from any warehouse/site during MRP. This unique feature makes it possible to further optimize the material flow through the factory using the New MRP module.

If a material (a raw material or a produced item) is available at any warehouse within the company, the New MRP module always prioritize to meet requirements by moving the existing goods in the inventory.

The New MRP module hereby supports complex production with the use of dynamic warehouses. It does not matter whether the items are reported as finished to the main warehouse or to the production warehouse, – the New MRP module automatically creates the necessary transfer orders to the next process.

Result: the company is no longer restricted to operate only with one main warehouse as when using the old MRP.

The New MRP module handles multiple main warehouses. In this example, a test for available items on warehouse 11, 12 and 13 runs before the creation of any new planned orders for warehouse 21.

Easy deployable package

The New MRP module is delivered as an independent deployable package that fully supports the hard sealing of the application suite in D365FO.

However, the New MRP module code has not been sealed off and it is also delivered as a project that can be imported into Visual Studio. That makes it possible for the customer to adjust the logic so that it fits 100% to the company’s requirements. The New MRP module is in other words not a black box.