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Distribution resource planning, Distribution requirement Planning

Hi PP Gurus

Can anyone tell me what is SAP-DRP(Distribution resource planning) . Also want to know

1. Configuration steps for DRP

2. Transactions to complete business scenario.

3. Prerequisites to implement SAP DRP.

Thanks in Advance


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    Former Member
    May 29, 2010 at 04:04 AM

    Hi Hemant,

    LTP is used for plnning the production for comming year and budget cost for comming year. i.e. std cost restimation is calualted.

    MRP/MPS are used to planning material/plant/multi plant level.

    After demand is put in DC's then if the special procurement key is maintained in DC's so that when run MRP in DC's the requirement will be passed to production plant in the form of sto planned order.

    Now we can run MRP/MPS sequencially in MD01- using scope of planning in which you can set the parameter such that which DC's MRP is run first, then which Manu plant MRP is run....

    In DRP, after running MRP you can run DRP to see that that push pull scenario is run so that load balance is done in such a way that DC's requirement can be met by another DC or a manu plant. If stock is not avaialbe in one manu plant it will go to other, if not available then systen will create a planned order in one of the manu plant.

    In APO we can optimise the whole cycle of push pull so that amany other constraint like cost also takne into account.

    Go through following documents on DRP-


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  • May 29, 2010 at 07:53 AM


    Distribution Resource Planning

    Distribution resource planning provides a framework for determining the need to replenish

    inventory by:

    • Linking market requirements with manufacturing and demand management

    • Relating current inventory positions and demand forecasts to production scheduling

    • Matching material supply to manufacturing demand, and customer demand to product


    Process Flow

    1. You define all nodes in the network including plants, distribution centers (DCs),

    warehouses, and stock transfer points using the Distribution Network tool.

    2. You set up the material master record for each node. In MRP 4 of the material master

    record, you must define the deployment strategy for each material (the fair and push

    distribution options) as well as deployment horizon (push horizon). For the push horizon,

    enter the number of days for which the system considers the ATD quantity and any

    additional quantity produced. Any quantity produced beyond the push horizon is not

    considered in the deployment calculation.

    3. To calculate an available to deploy (ATD) quantity, use the availability check rule, DE, in

    Customizing, u2018Carry out control for availability check.u2019 The availability check and the

    deployment checking rule, determine the MRP elements that are used to calculate the

    ATD quantity.

    4. You create a forecast for each DC; for example, a sales forecast.

    5. You transfer the forecasted data to Demand Management. The system creates

    independent requirements.

    6. You perform a DRP run in each DC and in each supplying plant. The DRP run considers

    the quota arrangements defined in the network, available stock, sales orders, and

    independent requirements.

    • The DRP run in the DCs creates releases for stock transport requisitions in the

    supplying plants.

    • The DRP run in the supplying plants creates planned orders for production.

    7. You convert planned orders into production orders for manufacturing.

    You run deployment to produce stock transport orders for distribution of stock from the supplying

    plants to the DCs.

    Distribution Requirement Planning :

    Generates stock transport requisitions between locations.

    Accounts for time-dependent safety stocks when the replenishment stock is calculated.

    Initiates planning runs in a net change procedure or in a regenerative planning mode


    When demand is greater than supply, deployment calculates a fair share quantity based on the available-to-deploy (ATD) quantity and requirements in the distribution centers to be supplied.

    When supply is greater than demand, deployment calculates distribution of stock using pull or push logic within the distribution network according to planned requirements.

    Generates stock transport orders from suggested orders in the DRP plan.

    Prioritizes quantities supplied based on requirements types (customer order, forecast, and safety stock).

    Multi-Sourcing Using Quota Arrangements

    Lets multiple plants supply a percentage of the material required by a single location, which makes it possible to prioritize the deliveries made by plants and to specify maximum delivery quantities for particular time periods.

    Represents simple capacity constraints, and combines the percentage-based and maximum quantity approaches.

    Lets you establish minimum, maximum, and rounding profiles for lot sizing within the network.

    Lets you change the distribution network at future dates.

    Lets you offset delivery times for specific items from the sourcing location to the replenishment location.

    Single-Sourcing Using Special Procurement Keys

    Hope this above details will be useful for your requirement .



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    Former Member
    May 28, 2010 at 10:36 AM

    Hi Hemant,

    Please refer to the following link:

    Hope it helps.



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    • Former Member Former Member


      Everything you asked for is in the above mentioned document, other than the step-by-step config and transactions.

      Configuration guides for all of the prerequisite setups can be found in Best Practices. BP also takes you through creation of master data.

      If those docs are inadequate for you to perform the required setup and execution, then you should consider engaging a consulting company to provide assistance.

      Good Luck,