Before connecting, make sure you have:
- A Xero organisation, and a login that is allowed to connect apps to it
- Items in Xero with item codes. Tracked items give Dream MRP your stock on hand; untracked items still get their requirements calculated, so you do not have to switch tracking on to begin
- Nothing else — signing up with Xero creates your Dream MRP account as part of the same step
Start here. Signing up with Xero creates your Dream MRP account and your first organisation together — there is nothing to set up beforehand.
Sign up with Xero →On the Continue with Xero step, leave the Read-only connection box ticked. Dream MRP then asks Xero for view access only. You can do everything in Dream MRP; the one difference is that nothing is posted back to Xero.
You are sent to Xero to sign in and approve. Xero shows exactly what Dream MRP is asking for. With a Read-Only connection the organisation data permission reads “View your business transactions, contacts, and organisation settings” with no “manage”, so Xero itself prevents any write.
If you have several Xero organisations, choose which one to connect. Each organisation has its own Dream MRP plan and data, and you can connect the others later.
Dream MRP reads your items, stock on hand for tracked items, customer accepted quotes (Xero’s equivalent of a sales order), open purchase orders and contacts. This takes a few minutes for a large organisation.
If you manufacture, this is the step that matters. A BOM links a finished item to its components and quantities, and Dream MRP explodes it through every level when it calculates. Build them in the app or import a spreadsheet by CSV, using the same item codes as Xero. Or set one up by hand: in the Items menu, change an item from purchased to make to stock or make to order, then add its components one by one on screen. That is ideal for trying a single product during your trial. Resellers who only buy and sell finished goods can skip this step.
Run your first calculation. Dream MRP nets demand against the stock you hold and the orders already on their way, then plans the purchase orders and work orders to cover the difference. With a Read-Only connection you see the whole plan and Xero is left exactly as it was.
One button syncs your Xero data stage by stage, then calculates the planned purchase and work orders.
Check the planned purchase orders and send the ones you agree with to suppliers. Check the planned work orders and open the ones you want to start. Where the plan is not quite right, set up the data it was missing, such as an item’s default supplier, minimum stock level or package size, then run MRP again. A couple of passes is usually all it takes.
The connection is already live; it is just one way. If you want it two-way, switch it in Settings and approve the extra permission in Xero. From then on approved purchase orders post to Xero and completing a work order updates your tracked product quantities. Or stay read-only for good: that can be a valid long-term process, particularly if you enter supplier invoices in Xero anyway.
Next steps
- Set minimum stock levels and package sizes on the items that need them
- Configure preferred suppliers per item so planned orders group correctly
- Add sales forecasts if you buy ahead of confirmed demand
- Turn on auto-approve purchasing and auto-start work orders for the suppliers and products you trust
If you run into any issues: check the general setup guide, or contact us at support@dreammrp.com.