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When confirming a quotation that has make_to_order / manufacture products in it, the procurement scheduler moves all the needed parts for production (from the BOM) from Stock Location to Stock Location

After that from what I have noticed it then moves all the products again from Stock Location to Production location

What is the reason and purpose of this?

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Well,

when you confirm a production order, mrp.production create a picking (internal shipment) with raw materials from production.location_src_id (source_location_id) to (if not destination_location_id: destination_location_id = source_location_id). If your bom or your production order has no routing_id or your routing_id has no location_id, is supposed that you produce at the location where the finished products are needed. At the same time, confirm create also consume moves with raw materials from source_location_id to product_id.property_stock_production and also produce move with finished goods from product_id.property_stock_production to destination_location_id, without picking and state waiting.

When you produce, consume moves and/or produce moves previous created are processed.

Hope this help, Filsys

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I understand that production require moves from stock location to production location (the consumed raw materials) and from production to stock the finished product.And I have seen the internal move each mo creates, my question is what is that move required for? If production is done between stock and virtual location "production" what is the point of this?

If you want to track production operations and/or production order by factory, shops and work centers, you must define routes with location_id where raw materials is prepared for consume. In that manner raw materials are moved from stock to route location_id at confirming and from route location_id to virtual production location at produce event. The internal shipping picking is in fact a 'reservation' picking for production. If you have no route or if your route location_id is finished goods location, then the internal shipping check if you have enough raw material in stock location.

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That makes sense when you put it like that, thank you filsys!