Transfer of Inventory Data 
This function enables the transfer of inventory data for component quantities issued to a production order or component inventory for floor stock locations from SAP ERP to SAP ME via SAP MII using the INVCON IDoc.
The process for inventory receipt in SAP ME without reservation (goods movement type 311 — Transfer posting storage location to storage location in one step) 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 an order.
The process for the goods movement type 261 (Goods issue to a production order) assumes that SAPMEINT does not report component consumption information to SAP ERP.
Integration
SAP ERP is the system of record for inventory management; SAP ME is the system of record for floor stock management (see Inventory ID).
Prerequisites
SAP ERP
You have created a BOM for the finished good material on the production order.
You have created production storage locations for floor stock materials.
You have set up ALE communication to create and transmit INVCON02 IDocs.
You have set up a filter for the movement type 261 and 311 (see Customizing for ALE for Communication with SAP ME).
SAP ME
You have created and configured data types for inventory integration (see SAP ME Configuration for SAP ME ERP Integration).
You have created or imported shop order data for the pegging of components to occur (see Shop Order Maintenance).
Activities
When materials are issued to a specific production order within SAP ERP, the data is transferred via the INVCON02 IDoc with the goods movement type 261 for shop order pegging.
When materials are transferred to a specific storage location within SAP ERP, the data transferred from SAP to SAP MII via the INVCON02 IDoc with the goods movement type of 311. The goods movement type 311 indicates an optional production storage location (FLOOR_STR_LOC) to assign the component (without pegging) to in SAP ME.
SAPMEINT does the following:
Performs inventory receipt for the specified components (can be verified via Inventory Report)
Queries SAP ERP to get the batch header information using BAPI_BATCH_GET_DETAIL.
Queries SAP ERP to get the batch characteristic information using VB_BATCH_VALUES_FOR_OUTPUT.
Pegs the list of components to the specified shop order if the goods movement type is 261 and does not report component consumption information to SAP ERP, or
Assigns the list of components to the specified shop floor storage location if the goods movement type is 311 and then reports component consumption information to SAP ERP.