MRP (Material Requirements Planning) is a fundamental, time-phased inventory control and production scheduling system used in manufacturing.

Its core function is to translate the Master Production Schedule (MPS) into precise, coordinated requirements for all components and raw materials needed to fulfill demand. By utilizing the Bill of Materials (BOM) and current inventory data, MRP systematically calculates what materials are needed, how much, and when to order or produce them. The primary goal is to ensure the Just-in-Time availability of components, optimizing inventory levels and preventing production delays, thereby driving efficiency across the entire supply chain.