After completing this chapter, you should be able to:

1. Describe the conditions under which MRP is most appropriate.
2. Describe the inputs, outputs, and nature of MRP processing.
3. Explain how requirements in a master production schedule are translated into material requirements for lower-level items.
4. Discuss the benefits and requirements of MRP.
5. Explain how an MRP system is useful in capacity requirements planning.
6. Outline the potential benefits and some of the difficulties users have encountered with MRP.
7. Describe MRP II and its benefits.
8. Describe ERP, what it provides, and its hidden costs.