What is the difference between DRP and MRP?

DRP and MRP address different parts of the Supply Chain.

MRP (Material Requirements Planning) focuses on production planning. It determines which raw materials and components are needed to manufacture products.

DRP, on the other hand, focuses on distribution. It determines how finished products should be allocated across warehouses and distribution centers.

In many organizations, DRP works alongside:

• Demand Planning
• Inventory Optimization
• Supply Planning

Together these processes ensure that products are produced and distributed efficiently.