Dynamics 365 Business Central: Introduction to Warehouse Management Part 1

This is a two part series to introduce Business Central Warehouse Management on a high-level.

In Business Central, there are various warehouse configurations available, which can be overwhelming for new onboarding customers, especially those transitioning from system without inventory management capabilities.

Hence, in this series, I will simplify and streamline the understanding of the high-level differences between various warehouse configurations found on the “Location Card” in Business Central and what are their Inbound and Outbound processs flow.

To make it more straightforward, we will focus solely on Purchase, Sales, and Transfer. Warehouse handling for Assembly and Production follows nearly identical flows.

The information here is summarized and made easier from Microsoft Learn.
Click here to learn more and understand the full capabilities of Business Central Warehouse Management.

Types of Warehouse Setups

TypeLocation CardScreenshot
No Warehouseeverything uncheck
Basic (Inventory)Require Put-away
Require Pick
Basic (Warehouse)Require Receive
Require Shipment
AdvancedRequire Put-away
Require Pick
Require Receive
Require Shipment
Advanced (Put-away)Require Put-away
Require Pick
Require Receive
Require Shipment
Use Put-away Worksheet
Advanced (Directed)Require Put-away
Require Pick
Require Receive
Require Shipment
Directed Put-away and Pick

Inbound Warehouse Process

No Warehouse

Basic (Inventory)

Basic (Warehouse)

Advanced

Advanced (Put-away)

Advanced (Directed)

Similar Inbound process as “Advanced” except you can’t post receipt from Order.

Outbound Warehouse Process

No Warehouse

Basic (Inventory)

Basic (Warehouse)

Advanced

Advanced (Directed)

Similar Outbound process as “Advanced” except you can’t post ship from Order.

High-Level Comparison

No WarehouseBasic
(Inventory)
Basic
(Warehouse)
AdvancedAdvanced
(Directed)
Allow Combine Rec/Ship DocumentsNoNoYesYesYes
Allow Post Rec/Ship from OrdersYesYesYesYesNo
Must fill in Qty. to Rec/Ship firstYesYesNoNoNo
Must add to “Warehouse Employee”NoNoYesYesYes
  • Dynamics 365 Business Central: Introduction to Warehouse Management Part 1
  • Dynamics 365 Business Central: Interim Accounts – Income or Balance Sheet?
  • Dynamics 365 Business Central: How to Migrate Open Foreign Invoices
  • Dynamics 365 Business Central: How to post Reclassification using Recurring General Journal