What is secondary demand?
How many individual parts, raw materials or materials are required to manufacture a specific product or to produce spare parts? The important value for this is called secondary requirements and refers to the need for materials etc. that are not sold directly (see primary requirements) but are essential for manufacturing and production.
How high the respective secondary requirements are can be determined using work plans or parts lists, for example. If such documents are not available, a procedure such as consumption-based planning is used, from which secondary requirements can be determined. A value can also be determined approximately with the help of so-called partial where-used lists.
Important: Unlike the primary requirement, which quantifies the demand for saleable end products or spare parts, the secondary requirement specifies the demand for raw materials that are required for the production of these primary products.
