Considerations for Creating Subinventories and Locators

You should take into account the following when planning to create subinventories and locators:

Creating the Subinventory-Locator Hierarchy

You should consider the following when planning the hierarchy of subinventories and their corresponding locators:

The importance, for your organization, of creating a subinventory and locator hierarchy that represents the physical layout of your warehouse.
Your organization's plan for the movement of item and labor, and utilization of labor and equipment, for put away and picking.

You should refer to these plans when sequencing the picking order of subinventories and locators.

You should consider the following when planning to create subinventories:

How many storage and receiving subinventories are required in your warehouse.
Whether you must distinguish between receiving and storage subinventories.

Use storage subinventories for tracking on hand quantities.
Whether you want to associate items to subinventories and their locators by creating item subinventories.

You should consider the following inventory planning methods:

Inventory Planning Method	When to Use
Min-Max Planning	Use when the enterprise is responsible for managing the min-max replenishment process.
Supplier Managed	Use when the supplier is responsible for managing the replenishment process. Oracle Fusion Cloud Supply Chain Collaboration uses this field for vendor-managed inventory.
Not Planned	Use when not planning inventory.

You should consider the following when planning to create locators:

Whether you want to allow users to dynamically create locators.
Whether you want to add items to locators.
Whether it's necessary to implement locator control.

If you decide to implement locator control, consider whether you must implement locator control for the organization, for individual subinventories, or at the item level.
The level of granularity required for locators, such as: "row or rack" or "row or rack or bin".