Transfer of Floor Stock Data 
This function enables the transfer of floor stock data from SAP ERP to SAP ME to support the following scenarios:
Floor Stock Replenishment (movement type 311)
The process for floor stock receipt without reservation (goods movement type 311 ) in SAP ME assumes that the goods are moved from a warehouse location to a production location for use during the production process (see Goods Movement). These quantities are recorded and sent to SAP ERP during the production confirmation for consumption against the production order.
When you post a transfer of unrestricted-use stock from a central (issuing) storage location to a floor stock (receiving) storage location in SAP ERP with the goods movement type 311 (transaction MIGO), the stock data is transferred from SAP ERP to SAP ME using the INVCON02 IDoc (see Integration of Production Orders and Transfer of Floor Stock Data: Integration Details).
SAPMEINT performs floor stock receipt for the specified components.
When a yield or scrap collaboration is triggered, SAP ME sends a confirmation to SAP ERP reporting consumed components.
Production Order-Specific Consumption (movement type 261)
Goods consumption happens when a material leaves the storage location. This consumption creates an inventory ID in SAP ME. This inventory ID is consumed in assembly but this information is not reported to SAP ERP because the consumption has already occurred in SAP ERP.
When you post a goods issue from a central storage location to a production order in SAP ERP with the goods movement type 261 (transaction MIGO), the stock data is transferred through the INVCON02 IDoc with Production shop order pegging in SAP ME (see Integration of Production Orders and Transfer of Floor Stock Data: Integration Details).
SAPMEINT performs a floor stock receipt for the specified components (including the batch information, if available) and reserves the stock for the SAP ME Production shop order (This reservation can be verified through the Floor Stock Report).
When a yield or scrap collaboration is triggered in SAP ME, SAPMEINT sends the yield or scrap quantity to SAP ERP without reporting component consumption.
Integration
SAP ERP is the system of record for inventory management. SAP ME is the system of record for floor stock management.
A transfer posting in SAP ERP is comparable to floor stock receipt in SAP ME.
For inventory ID records created in SAP ME through the integration, the database field ERP_INVENTORY is equal to “true” (see Inventory ID).
Floor storage location exists in both SAP ERP (LGORT) and SAP ME (Storage Location). The Receiving Storage Location (UMLGO) exists only in SAP ERP.
Prerequisites
SAP ERP
You have created production storage locations for floor stock materials.
You have set up ALE communication to create and transmit INVCON02 IDocs (see Customizing for ALE for Communication with SAP ME).
For ERP configuration type C, you have maintained integration of goods movements (see SAP Note 1555198
).You have set up a filter for the goods movement type 261 and 311 (see Customizing for ALE for Communication with SAP ME).
You have created a BOM for the finished goods material on the production order.
SAP ME
You have created and configured data type for floor stock integration (see SAP ME Configuration for SAP ME ERP Integration).
For materials to be received into floor stock and assembled, you have specified the following on the Build tab page of Material Maintenance after the material is transferred to SAP ME (see Material Transfer):
Data to Collect on Assembly: INV or INV_SFC
Data to Collect on Floor Stock Receipt: ERP_INV_DATA
You have created a storage location matching SAP ERP Receiving Storage Location in Storage Location Maintenance (see Storage Location Maintenance).
For the production order specific consumption scenario, you have created or imported shop order data for the pegging of components to occur (see Integration of Production Orders).