Guide

Guide

Guide

NetSuite MRP: how to set it up and run it, and where MRP lives in other ERPs

In NetSuite, MRP (material requirements planning) runs inside Supply Planning. You turn on the Advanced Inventory Management and Material Requirements Planning features, set each item's replenishment method, lead time, safety stock and lot size, run a supply plan, and release its planned orders from the Supply Planning Workbench. Oracle says MRP is part of its Demand Planning module, so first check that module is on your contract. NetSuite plans at infinite capacity: it plans material, not machine hours.

8 min

Morsa publishes this guide. Morsa is software with an AI agent that works in your ERP, email and Teams; it keeps the supplier dates MRP plans from up to date, and a buyer approves each change. Menus read in Oracle’s help on 8 November 2026.

Quick answer

  • Does it cost extra? Oracle says NetSuite MRP “is available as a part of the NetSuite Demand Planning module”, and a NetSuite licence is a core platform plus optional modules [3]. If Demand Planning is not on your contract, ask your NetSuite account manager for the price; Oracle publishes none. NetSuite consultancy BrokenRubik reports Advanced Inventory at about $500 a month [10]. More in NetSuite pricing.

  • What it does: takes sales orders, forecasts and safety stock, explodes each bill of materials (BOM), nets the result against stock and open orders, offsets by lead time, and suggests planned orders for a planner to release [1].

  • What it does not do: check machine hours. Oracle’s help says “NetSuite uses infinite capacity scheduling to schedule work”, which “doesn’t account for current work center capacity” [7]. It also trusts the PO dates in the system, so a slip that sits in an email is invisible to it.

  • Moving off Excel: run both for four weeks and compare, as below, before you trust the workbench alone.

Run it in NetSuite

  1. Check the licence. Confirm Demand Planning (which carries MRP) is on your contract [3].

  2. Enable the features. Setup > Company > Enable Features. Company subtab: Locations. Items & Inventory subtab: Multi-Location Inventory, Advanced Inventory Management and Material Requirements Planning. For items you build, also Assembly Items, Advanced Bills of Materials and Work Orders. Tick only what is not already on [2].

  3. Set two preferences. Setup > Accounting > Accounting Preferences: tick Allow Purchase of Assembly Items and, on Approval Routing, Purchase Orders. Then Inventory Management Preferences: tick Use Lead Time and Safety Stock per Location [2].

  4. Set up each item, as in the next section [2][6].

  5. Create a supply plan definition: the planning horizon (how many days ahead) and the scope (which items, locations and demand sources). Refresh the planning repository, NetSuite’s snapshot of orders and stock, then run the plan [1][5].

  6. Work the results. Transactions > Supply Planning > Supply Planning Definitions, then View Results opens the workbench. It shows planned orders, exception messages and pegging (which demand each order covers). You firm a planned order (fix it so the next run leaves it alone), release it to create the real purchase, work or transfer order, and approve reschedule or cancel suggestions [1][4].

What to set on each item before the first run

Lists > Accounting > Items, edit the item. The replenishment method sits on the Purchasing/Inventory subtab; the rest is per location, on the item’s Locations subtab under Item Location Configuration, Planning subtab [2][6].

Field

What to put

Replenishment Method

Material Requirements Planning

Supply Type

Purchase or Assembly

Purchase Lead Time

Days from order to receipt, or tick Auto-Calculate Purchase Lead-Time to use your receiving history

Work Order Fixed and Variable Lead Time

For built items: fixed days plus days per unit

Safety Stock Level

The buffer you hold today in Excel

Supply Lot Sizing Method

Lot for Lot (the default), Fixed Lot Size or Periods of Supply

Planning Time Fence

Days ahead in which MRP will not add, reschedule or cancel orders; Oracle’s example is the lead time to get the material [5]

[6] lists every field. Start with the 20 items that stop the line when short, not the whole item master.

Run Excel and NetSuite side by side for four weeks

Keep your Excel plan as it is. Each week, run the NetSuite plan the same day, then compare the two for those 20 items: did both say order, how much, and by when? Where they differ, the cause is nearly always one of the data errors further down, usually a lead time or an open PO date. Fix it in NetSuite, not in Excel. When the two agree for two weeks running, release from the workbench and retire the sheet.

A worked MRP run you can check by hand

One pump and three components. Today is the start of week 1. Each item orders exactly what it is short (lot for lot) unless noted; no safety stock.

  • P-100 pump: built in 1 week. Each needs 1 H-20 housing and 4 B-5 bolts.

  • H-20 housing: built in 1 week from 2 kg of A-1 aluminum bar.

  • B-5 bolt: bought in lots of 500, 2-week lead time.

  • A-1 aluminum bar: bought, 3-week lead time.

Step 1, the pump. Demand is 100 in week 3, 150 in week 5 and 80 in week 6. On hand 40; an open work order brings 30 in week 3.

Week

Netting

Planned order

3

40 + 30 − 100 = 30 short

30, start week 2

5

0 − 150 = 150 short

150, start week 4

6

0 − 80 = 80 short

80, start week 5

Step 2, BOM explosion. Each pump start becomes component demand in the same week: housings 30 (week 2), 150 (week 4) and 80 (week 5); bolts four times that, 120, 600 and 320.

Step 3, the housing. On hand 50.

Week

Netting

Planned order

2

50 − 30 = 20 left

None

4

20 − 150 = 130 short

130, start week 3

5

0 − 80 = 80 short

80, start week 4

So the aluminum bar is needed in week 3 (130 × 2 kg = 260 kg) and week 4 (80 × 2 kg = 160 kg).

Step 4, the bolts. On hand 300; fixed lot of 500.

Week

Netting

Planned order

2

300 − 120 = 180 left

None

4

180 − 600 = 420 short

500, order by week 2, leaving 80

5

80 − 320 = 240 short

500, order by week 3, leaving 260

Step 5, the aluminum bar. On hand 200 kg; an open PO brings 100 kg in week 2.

Week

Netting

Planned order

2

200 + 100 = 300 kg

None

3

300 − 260 = 40 kg left

None

4

40 − 160 = 120 kg short

120 kg, order by week 1: buy it this week

The run’s output is eight planned orders. The urgent one is the 120 kg aluminum PO, due out today; in NetSuite it is a planned order in the workbench, waiting for you to release it.

Now the slip. The bar supplier emails that the 100 kg will arrive in week 4, not week 2. Week 3 now has 200 kg, enough for 100 housings, not 130. Week 4 then has 120 housings against 150 needed, so 30 of the 150 pumps due in week 5 will be late. MRP shows none of this until someone changes the PO date in NetSuite.

Seven data errors that make MRP wrong

  1. Lead times set at go-live and never checked against real receipts. Auto-Calculate Purchase Lead-Time fixes this from receiving history [6].

  2. Open PO dates that show the date you asked for, not the date the supplier confirmed.

  3. On-hand counts off by unposted receipts or scrap nobody booked.

  4. BOM quantities with no allowance for scrap or yield.

  5. A unit of measure that differs between the BOM and purchasing, such as kilograms against bars.

  6. Forecasts that count demand already on sales orders a second time.

  7. Past-due orders left open, which MRP treats as due now.

Error 2 needs a process, not a setting: the right date is in the supplier’s reply, not in the system.

Where MRP lives in other ERPs

  • Business Central: the Planning Worksheet, Calculate Regenerative Plan, then Carry Out Action Message; supply planning is in Essentials at $80 a user a month, production orders need Premium at $110 [8][9]. See Business Central pricing.

  • Odoo: reordering rules create purchase or manufacturing orders; the Master Production Schedule is not in Odoo’s open-source code, so it needs Enterprise [11][12].

  • SAP Business One: MRP > MRP Wizard, then the Order Recommendation report; full Wizard access is for Professional users, per SAP partner Leverage Technologies [13][14].

  • Acumatica: Regenerate Inventory Planning, then Inventory Planning Display to turn planned orders into real ones; part of its Manufacturing Management applications [15][16].

When a supplier date moves before the run

When the bar supplier’s email lands in the buyer’s inbox, Morsa matches it to the NetSuite PO and works out the hit: 30 housings short, 30 pumps late in week 5.

  1. It shows the buyer the new date and the late pumps in Teams. On approval, it writes the date onto the PO, so the next run plans from it.

  2. It drafts an expedite request, or a 60 kg quote request to a second supplier, and the buyer picks which one goes.

JRG Automotive, a Morsa customer, caught 5 of 8 production-stopping shortages early enough to act, about $2 million saved. Book a 30-minute walkthrough.

What to do this week

  1. List the 20 items that stop the line when short, and compare each NetSuite lead time with its last three receipts.

  2. Fill the item fields above for those 20, then run one supply plan.

  3. Check one item from that run by hand, the way the pump is checked above.

  4. Count open POs with a supplier-confirmed date against those still on the requested date.

  5. If material is right but machines are overloaded, MRP is not the tool: see production planning software.

MRP is one step of the weekly cycle; the full rhythm, with the capacity check MRP skips, is in the production planning process.

To see which weeks are overloaded first, run your orders through the production schedule template.

Sources

  1. Oracle NetSuite Help, Supply Planning Overview: https://docs.oracle.com/en/cloud/saas/netsuite/ns-online-help/section_159172025754.html (read 8 November 2026)

  2. Oracle NetSuite Help, Setting Up Supply Planning: https://docs.oracle.com/en/cloud/saas/netsuite/ns-online-help/section_159172130393.html (read 8 November 2026)

  3. NetSuite, Materials Requirements Planning (MRP) product page: https://www.netsuite.co.uk/portal/uk/products/erp/supply-planning/mrp.shtml (read 8 November 2026)

  4. Oracle NetSuite Help, Supply Planning Workbench: https://docs.oracle.com/en/cloud/saas/netsuite/ns-online-help/section_159187932855.html (read 8 November 2026)

  5. Oracle NetSuite Help, Supply Planning (planning horizon and scope), Supply Planning Parameters and Planning Time Fence: https://docs.oracle.com/en/cloud/saas/netsuite/ns-online-help/section_159171867422.html, https://docs.oracle.com/en/cloud/saas/netsuite/ns-online-help/section_161780477064.html and https://docs.oracle.com/en/cloud/saas/netsuite/ns-online-help/bridgehead_3848105838.html (read 8 November 2026)

  6. Oracle NetSuite Help, Setting Supply Planning Parameters: https://docs.oracle.com/en/cloud/saas/netsuite/ns-online-help/section_159172238892.html (read 8 November 2026)

  7. Oracle NetSuite Help, Infinite Capacity Scheduling: https://docs.oracle.com/en/cloud/saas/netsuite/ns-online-help/bridgehead_1508338236.html (read 8 November 2026)

  8. Microsoft Learn, Run full planning, MPS, or MRP (Business Central): https://learn.microsoft.com/en-us/dynamics365/business-central/production-how-to-run-mps-and-mrp (read 8 November 2026); Microsoft, Business Central pricing: https://www.microsoft.com/en-us/dynamics-365/products/business-central/pricing (read 8 November 2026)

  9. Microsoft Learn, Supply planning (Business Central): https://learn.microsoft.com/en-us/dynamics365/business-central/production-planning (read 8 November 2026)

  10. BrokenRubik (NetSuite consultancy), NetSuite pricing: the definitive guide: https://www.brokenrubik.com/blog/netsuite-pricing-the-definitive-guide (read 8 November 2026)

  11. Odoo 19.0 documentation, Reordering rules: https://www.odoo.com/documentation/19.0/applications/inventory_and_mrp/inventory/warehouses_storage/replenishment/reordering_rules.html (read 8 November 2026)

  12. Odoo source code on GitHub, 19.0 addons (mrp present, no mrp_mps): https://github.com/odoo/odoo/tree/19.0/addons (read 8 November 2026); Odoo 19.0 documentation, Master production schedule: https://www.odoo.com/documentation/19.0/applications/inventory_and_mrp/manufacturing/workflows/use_mps.html (read 8 November 2026)

  13. SAP Help, Running MRP (SAP Business One): https://help.sap.com/saphelp_sbo92/helpdata/en/5a/6957d864b3458ea5b48aa0b8249e54/content.htm (read 8 November 2026)

  14. Leverage Technologies (SAP Business One partner), SAP B1 user types: https://www.leveragetech.com.au/blog/sap-business-one-sap-b1-user-types/ (read 8 November 2026)

  15. MYOB Acumatica Help, Material requirements planning: general information: https://help.myob.com.au/myobadvancedhelpdraft/Docs/Published/UserGuide/MFG_MRP_GeneralInfo.html (read 8 November 2026); Acumatica Community, How can I create a production order based on MRP: https://community.acumatica.com/manufacturing-89/how-can-i-create-production-order-based-on-mrp-35962 (read 8 November 2026)

  16. Acumatica, Manufacturing Management: https://www.acumatica.com/cloud-erp-software/manufacturing-management/ (read 8 November 2026)

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Keep reading

Keep reading

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FAQs

FAQs

FAQs

Questions people ask

Questions people ask

Still have a question? A founder will answer.

01

What is the difference between Demand Planning and MRP in NetSuite?

Demand Planning builds each item's expected demand from history or projections. MRP turns that demand, plus sales orders and BOMs, into planned purchase, transfer and work orders [1].

02

Can NetSuite MRP plan several warehouses at once?

Yes. One supply plan can cover several locations, and lead time, safety stock and lot size are set per location [1][6].

03

What does NetSuite MRP do with past-due orders?

The Late Period Days setting sets how many days back the run looks for them [5]. Close or redate old POs before the first run, so the plan does not count supply that will never come.

04

What is a planned order?

A suggestion with a quantity and a date. It becomes a real purchase, work or transfer order only when a planner releases it.

05

Is Business Central's planning worksheet the same as its requisition worksheet?

No. The planning worksheet plans items you make, assemble, buy or transfer; the requisition worksheet plans only bought and transferred items, which suits distributors [9].

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© 2026 Lunar Inc. All Rights Reserved.