That is clearly mentioned in the help guide suggested by Jurgen please have a look on that Direct picking Direct picking takes place when two-step picking is material-dependent (defined in the material master). In other words, part of the material is picked using the 2-step method and part of the material is picked directly from the warehouse. e.g. Suppose you always want to have 2 step picking for material Mat1 so you can define the 2 step indicator in material master WM1 view. Now when you receive order it will be combination of Mat1, Mat2, Mat3 and so on.So outbound delivery will also have the Mat1, Mat2 & Mat3. So in this case you can perform the picking of Mat1 in Two step and rest of the material (Mat2 & Mat3 will directly go to 916 area. Hope this will help
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