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What Is An Interim Storage Area

Updated Sep 13, 2023

Interim Storage areas are the bridge between IM and WM. They ensure a harmonious stock balance between these two essential systems. Without Interim Storage, efficient Warehouse Management would be a difficult task.

When you post a goods movement in Inventory Management, like a Goods Receipt, the changes in stock levels appear in the interim storage type. For instance, a Goods Receipt using movement type 101 triggers a positive quantity in interim storage type 902, the stock increase.

Practical Use of Interim Storage

Interim Storage Areas can be easily recognized by their keys, often starting with "9." Common examples include the Goods Receipt Area and Goods Issue Area. However, interim storage area 100 is a unique connector between WM and Production Control.

Every goods movement affecting both WM and IM must pass through an interim storage area. For instance, a goods receipt for a purchase order is initially posted in IM and then transferred to WM through the Goods Receipt Area.

The Flow of Interim Storage

Communication between Inventory Management and Warehouse Management happens through interim storage types. When a goods receipt occurs in IM for a WM-managed location, it's automatically posted to the goods receipt area. This creates a quant in the interim storage area, which is then posted to a storage bin in the warehouse, often automatically. This ensures consistency in stock quantities between IM and WM.

During a goods issue, a quantity is posted to the goods issue area or shipping zone, creating a negative quant to reflect the reduction in-stock quantity.

Determining Interim Storage Usage

Your business should decide how many and what types of interim storage areas to use. Typically, you'll need at least four:

  1. Goods Receipt Area: For incoming goods.
  2. Goods Issue Area: Managing outbound shipments.
  3. Interim Storage Area for Differences: Handling stock variations until resolved.
  4. Posting Change Area: Used for making adjustments to posted data.