Final answer:
The statement is false as MRP, or Material Requirements Planning, is also applicable to services through the adaptation of Service Resource Planning (SRP). It helps in efficient planning of resource supply to meet customer demand, even in the absence of traditional raw materials.
Step-by-step explanation:
The assertion that MRP (Material Requirements Planning) doesn't apply to services because they do not require raw material is false. MRP systems are designed to ensure that materials and resources are available for production and delivery at the right time and in the right quantity. While it's true that services often do not require physical raw materials, they still require careful planning of the resources, such as workforce and equipment, to ensure efficient operation and meet customer demand.
Services may utilize a form of MRP known as Service Resource Planning (SRP) that aligns workforce management, scheduling, and other resources to optimize the delivery of services. This adaptation of MRP acknowledges that while services may not deal with raw materials in the traditional sense, they still benefit from resource planning to coordinate the intangible 'raw materials' of service industries such as time, labor, and expertise.
Thus, MRP principles are adaptable and relevant to service industries for planning and managing the resources necessary to provide the service efficiently and effectively.