Goods Movement against Production Order in SAP PP: MIGO
There are two types of goods movement against production order which impacts the inventory of the material. These movements are done through movement types in SAP.
Goods Receipt (GR) against Order is executed with movement type 101 which is done when we produce the material. After goods receipt, the system increases the stock of the material at the relevant storage location.
Goods Issue (GI) against Order is executed with movement type 261 which is done whenever we consume the component materials to produce some other material. After goods issue, the system decreases the inventory of the components at the relevant storage location.