ECONOMICS

Detailed explanation-1: -Definition of MRP: MRP is a system designed to plan manufacturing production. It identifies necessary materials, estimates quantities, determines when materials will be required to meet the production schedule, and manages delivery timing – with the goal of meeting demands and improving overall productivity.

Detailed explanation-2: -Material requirements planning (MRP) is a system for calculating the materials and components needed to manufacture a product. It consists of three primary steps: taking inventory of the materials and components on hand, identifying which additional ones are needed and then scheduling their production or purchase.

Detailed explanation-3: -Material Requirements Planning (MRP) is a standard supply planning system to help businesses, primarily product-based manufacturers, understand inventory requirements while balancing supply and demand.

Detailed explanation-4: -Explanation: Materials Requirements Planning (MRP): Materials requirements planning is a simple system of calculating arithmetically the requirements of the input materials at different points of time based on the actual production plan.