Article 16 - Goods Issue

Article 16 - Goods Issue


Article 16: What is Goods Issue (GI) in SAP MM?

What is a Goods Issue?

A Goods Issue (GI) is a fundamental inventory management transaction in SAP MM that reduces stock in a plant or storage location[1][2]. It's the physical and systematic process of issuing materials for specific business purposes.

What are the main purposes of Goods Issue?

  • Manufacturing consumption: Raw materials issued to production orders[3]
  • Customer shipments: Finished goods delivered to customers[4]
  • Internal transfers: Materials moved to another location[2]
  • Scrapping: Disposal of damaged or obsolete materials[5]
  • Sampling: Withdrawal of materials for quality testing[5]

What documents are created during Goods Issue?

Every goods issue automatically creates two key documents:

  1. Material Document: Records the physical inventory movement[6][2]
  2. Accounting Document: Records the financial impact of the stock reduction[6][2]

Why is Goods Issue important?

  • Accurate inventory tracking: Maintains real-time stock levels
  • Cost accounting: Properly records material consumption costs
  • Financial compliance: Ensures accurate balance sheet reporting
  • Audit trail: Provides complete documentation of material movements

Which SAP modules are involved?

  • MM (Materials Management): Handles inventory updates[7]
  • FI (Financial Accounting): Records financial transactions[7]
  • PP (Production Planning): For manufacturing-related issues[3]
  • SD (Sales & Distribution): For customer deliveries[8]



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