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SAP Functional, Basis Components, and ABAP Programming Books

Difference between MRP type manual reorder point and automatic reorder

In manual reorder point, you must define the reorder point (and eventually the safety stock) according to your criteria.

For automatic, these values are estimated by SAP as a function of the forecast (coming from historical data), so the
base-quantities for the calculation of the reorder are not fixed but dynamic.

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