What is the difference between MRP Area and MRP Group?

An MRP Area is basically a distinct organizational structure where MRP can be executed separately. It can be defined within a plant and can include a singular or multiple storage locations of a plant or a subcontractor. On the other hand, an MRP group refers to the grouping of several planning control parameters such as strategy group and planning horizon in a single field. MRP groups generally help to reduce the MRP master data maintenance effort.