What is procurement proposal in SAP PP-MRP - Material Requirements Planning?

SAP Term: procurement proposal

• Component: PP-MRP

• Component Name: Material Requirements Planning

• Description: Receipt element that is created during planning if shortages occur. Procurement proposals are saved in the system as planned orders, purchase requisitions, or scheduling agreement schedule lines.

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• Key Concepts: 
  Procurement Proposal is a feature of SAP's Material Requirements Planning (MRP) component. It is used to create a list of materials and services that need to be procured in order to meet the production requirements of a company. The list is created based on the current inventory levels, production plans, and other factors. 
  
  How to use it: 
  The Procurement Proposal feature can be accessed through the MRP component in SAP. Once the list of materials and services is created, it can be used to generate purchase orders or other documents related to procurement. The list can also be used to analyze the current inventory levels and plan for future procurement needs. 
  
  Tips & Tricks: 
  When creating a procurement proposal, it is important to consider the current inventory levels, production plans, and other factors that may affect the need for materials and services. Additionally, it is important to review the list regularly to ensure that all necessary items are included. 
  
  Related Information: 
  The Procurement Proposal feature is part of SAP's Material Requirements Planning (MRP) component. Other features of MRP include inventory management, production planning, and demand forecasting. Additionally, there are other components of SAP that are related to procurement such as Purchasing and Supplier Relationship Management (SRM).