Example: Goods Receipt for a Purchase Order
Physical Process
When goods are received in a company, they are generally not transferred immediately to their final storage bin. Typically, goods are delivered to an interim (temporary) storage bin, such as a marked area on or near the receiving dock, where they are identified and sorted. They remain at that location until a suitable final storage bin can be found in the warehouse.
Process in the System
The stock is noted in the system as being in a storage bin within an interim storage area. The quantity of stock recorded in WM is the same as the quantity of stock recorded in the IM system.
The transfer order initiates the physical stock movement. The goods are then transferred from the interim storage area to storage bins within the warehouse.