Warehouse pick and put-away in Business Central

How Business Central's warehouse module organises inbound put-away and outbound picking — the three warehouse modes, directed put-away and pick, and where the basic and advanced flows diverge.

Updated 2026-05-21

Business Central can run anything from a one-bin back room to a multi-zone advanced warehouse with directed put-away and pick. The configuration lives at the Location level: each location has a Warehouse profile that dictates which documents and which warehouse activities apply. Understanding the three modes and what each one enables is the foundation of warehouse design in BC.

The three location modes.

  • No warehouse activities. Inventory moves with the source document (purchase receipt, sales shipment, transfer). No separate warehouse paper. Suitable for tiny operations with one bin and one person.
  • Basic warehousing. Inventory put-away and inventory pick documents are introduced — a separate warehouse activity per source document. Bin codes are tracked. Still one warehouse activity per source.
  • Advanced warehousing. Warehouse receipts and warehouse shipments aggregate multiple source documents. Put-away worksheets and pick worksheets break the work into optimised tasks. Directed put-away and pick (with zones, bin types, and put-away templates) becomes available.

The location card flags Require Receive, Require Put-away, Require Shipment, Require Pick, and Bin Mandatory to encode which features apply.

Inbound: receive → put-away.

In advanced warehousing:

  1. Vendor truck arrives. Warehouse operator opens or creates a Warehouse Receipt for the location.
  2. Operator pulls in lines from open purchase orders or transfer orders that have arrived.
  3. The receipt posts when goods are physically received at the dock. This creates Posted Whse. Receipt and inbound Warehouse Entry records, but inventory isn't yet at its bin.
  4. A Put-away Worksheet breaks the receipt into put-away tasks; the system suggests bins using the Put-away Template on the item or default rules.
  5. Warehouse operator works the Warehouse Put-away document, scanning items into bins. Posting the put-away moves the inventory from the receive zone to its destination bins.

Outbound: shipment → pick.

  1. Sales order or transfer is released. The location requires a shipment, so the order doesn't ship directly.
  2. Operator creates a Warehouse Shipment and pulls in lines from open released orders.
  3. A Pick Worksheet consolidates pick work; the system suggests bins to pick from using Pick Template logic, prioritising FEFO if configured.
  4. Warehouse operator executes the Warehouse Pick, moving items from bins to the ship zone.
  5. The shipment posts; inventory leaves the warehouse, the source order's Qty. Shipped updates, and inventory ledger entries are written.

Basic warehousing skips the worksheet step — pick and put-away are created directly from the source document, one warehouse activity per order.

Bins and bin types. A Bin is a physical location in the warehouse. Bin Types (Receive, Ship, Pick, Put-away, QC) define what flows can use the bin. A bin can be multiple types simultaneously (e.g. both Pick and Put-away). The default bin for an item determines where the system suggests putting new stock without explicit instruction.

Zones. Zones group bins for logical traversal (Receiving, Bulk Storage, Pick Face, Shipping). Zone-aware put-away templates implement strategies like "put bulk to bulk storage, but if the pick face is below minimum, replenish there first."

Replenishment. Once bulk and pick-face bins are separated, Movement Worksheets generate internal moves to replenish pick faces from bulk. This is a small but important workflow — without it, pickers run out at the pick face while bulk stock sits.

Mobile and barcoded operations. Out-of-the-box BC has a basic web app suitable for tablet use, but most serious warehouses run a third-party Warehouse Mobile extension or AppSource app (Insight Works, Tasklet, Warehouse Insight) for scanner-driven picking. The data model underneath is the same — warehouse entries, warehouse activities — but the UI is optimised for barcode scanning.

Common pitfalls.

  • Choosing advanced when basic suffices. Advanced warehousing has more configuration and more steps. Don't pick it if you have one bin per location.
  • Bin mandatory turned off. Without bin mandatory, the bin codes become advisory; the system happily ships from a non-existent bin. For accurate stock, bin mandatory should be on.
  • No replenishment process. Picks fail at the pick face because bulk wasn't moved. Movement worksheets must run, often automated by job queue.
  • Manual put-away. Skipping the put-away template means operators choose bins themselves — slower, less consistent, harder to optimise.

When to outgrow BC's warehouse. For most mid-market 3PL or wholesale operations, BC advanced warehousing plus a mobile add-on is sufficient. The migration to D365 Supply Chain Management's warehouse module typically happens when you outgrow BC's single-tenant scale (>1M warehouse entries per month) or need features BC lacks: wave planning at scale, complex labour standards, advanced shipping cartonisation, deep TMS integration.

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