For this example, we use a manufacturer whose production department continuously produces materials on pallets. These are then transferred immediately from production to high rack storage shelves within the warehouse.

In this situation, the IM system is not informed each time a pallet is transferred from production to the warehouse. Instead, a posting that summarizes the goods receipt is made at regular intervals.

1. In WM you create a transfer order to transfer each individual pallet into the warehouse.
2. When you create a transfer order, the system posts a negative quantity to the interim storage area that is designated to receive material from production and a positive quantity to the destination storage bins in the warehouse, for example, in high rack storage.
3. Each time a pallet of the same material is received in the warehouse, the system increases the negative stock posting in the interim storage area (cumulative update).
4. Subsequently you start a batch program that reads the data from the interim storage area (for example, the quantities and material). This triggers the task for posting a goods receipt in the IM system.
5. When you post the goods receipt for the production order in the IM system, the system then updates the inventory data in IM and clears the negative quantities from the interim storage area.