ERPNext Production & Material Planning (MRP)

A reference ERPNext solution architecture designed to automate material planning, optimize production schedules, and eliminate supply-demand mismatches – built for manufacturers focused on efficiency and growth.

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  • D2C (Direct-to-Consumer), Manufacturing

  • ERP Next

  • Digital Transformation

  • Completed

The Challenge

Business Challenges Addressed

Manufacturers operating without a structured production planning and MRP system typically face these operational risks

warning_amber
Raw Material Shortages

Production stoppages caused by unplanned or late procurement of critical materials.

sync_problem
Demand Mismatch

Sales demand not aligned with production and procurement planning.

construction
Production Planning

Production plans created using spreadsheets without system validation or capacity checks.

inventory
Excess or Dead Stock

Overstocking due to inaccurate material forecasting and lack of consumption tracking.

timeline
Unpredictable Lead Times

No clear visibility into procurement and production lead times.

visibility_off
Production Visibility

Lack of real-time insight into work orders, material status, and production progress.

The Solution

Solution Architecture Overview

WRP Solution implemented an ERPNext production planning and MRP framework based on these core principles

event_note
Advanced Demand-Driven Planning
Production plans generated directly from sales forecasts and confirmed orders.
list_alt
BOM-Based Material Planning
Automated material requirement calculation using structured Bills of Materials.
schedule
Controlled Production Scheduling
Planned work orders perfectly aligned with material availability and lead times.
sync_alt
Procurement & Production Alignment
Seamless linkage between MRP, purchase planning, and production execution.

Implementation

Modules Implemented

Deployment of ERPNext manufacturing and MRP modules ensuring predictable production execution and material control.

Production Planning & Forecasting

shopping_cart Sales Forecast Configuration

assignment Production Plan Creation

local_shipping Material Requirement Calculation

receipt_long Lead Time Consideration

payment Planned vs Actual Analysis

Bill of Materials (BOM) & MRP

account_balance Multi-Level BOM Setup

notifications Raw Material Mapping

gavel MRP Execution Engine

assignment_turned_in Purchase Recommendation Generation

article Material Availability Validation

Work Order Planning & Control

inventory Work Order Generation

visibility Production Scheduling

bookmarks Material Issue Control

link Production Progress Tracking

notification_important Consumption vs Standard Analysis

Results

Key Benefits Delivered

Streamlined sales-to-invoice workflow with measurable operational improvements:

  • Predictable production planning
  • Zero production stoppages due to material shortages
  • Optimized raw material procurement
  • Reduced inventory carrying costs
  • Improved production efficiency
  • Better coordination between sales, purchase, and production
  • Real-time production visibility

95%

Reduction in production delays

100%

Material Availability Validation Production

Real-Time

Production & Material Planning

Optimized

Raw material inventory levels

Visibility

Reports & Business Intelligence

Comprehensive production and material planning insights enabling operational excellence and cost control.

assignment

Production Plan vs Actual

inventory_2

Material Requirement

factory

Work Order Status & Progress

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Production Cost & Variance

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MRP Forecast Accuracy Report

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