Definitions and setup of warehouse structures

In Microsoft Business Central (BC), warehouse management is an essential component for optimizing logistics and inventory management. The most important terms and their definitions in connection with the structuring and management of warehouses are explained in the following:

Structuring and definitions of the warehouse

Structuring a warehouse in Microsoft Business Central includes the detailed planning and organization of Locations, Zones and Bins. This enables efficient inventory management and optimized logistics. The most important elements are:

  • Locations: These are the physical locations where goods are stored. Each storage location can contain several zones as well as bins.
  • Zones: These are specific areas within a location that are used to store certain types of goods or perform certain warehouse activities.
  • Bins: These are the smallest units in the warehouse structure that represent exact locations within a zone where goods are stored.
  • Halls: Large areas within a location that can include multiple zones and bins.
  • Multiple Locations in one: The ability to manage multiple physical storage locations within the same company or location.

Zones

Zones are specific areas within a warehouse that are used to manage and organize warehouse activities. Each zone can have different functions, such as:

  • Receiving zone: Area for incoming goods, where goods are checked and stored.
  • Storage zone: Area for the long-term storage of goods.
  • Picking zone: Area for the preparation and compilation of customer orders.
  • Shipping zone: Area where goods are prepared for shipment.
  • Returns area: Area for managing returns.

Setting up Zones in Microsoft Business Central:

  1. Navigate to Locations.
  2. Select the desired storage location.
  3. Add new zones in the Zones tab.
  4. Define zone type and associated properties.

Bins

Storage bins are the specific positions within a zone where goods can be stored. They enable precise localization and management of stocks. Bins can have the following characteristics:

  • ID/Code: Unique identification of the Bins.
  • Description: Short description of the Bin.
  • Associated zone: Indication of the zone to which the Bin belongs.
  • Capacity: Maximum storage quantity that a Bin can hold.
  • Bin types: Determine the type of items stored (e.g. pallet bin, shelf, compartment).

Setting up Bins in Microsoft Business Central:

  1. Navigate to Locationand open the desired Location in which Bins are to be set up.
  2. Click on Bins in the header menu under the Start tab.
  3. Afterwards you can add new Bins here
  4. Define Bin characteristics and capacities.

Halls

Halls are large areas within a warehouse that can comprise several Zones and Bins. They are used for the physical and logical structuring of the warehouse and can have different functions, for example:

  • Hall 1: Main storage area for raw materials.
  • Hall 2: Area for finished products and shipping.
  • Hall 3: Area for special goods or dangerous materials.

In Microsoft Business Central, warehouses are often regarded as a higher-level structural unit that can comprise several Zones and Bins. They provide an additional level of organization and facilitate the management of large storage locations.

Several Locations at one site

Microsoft Business Central enables the management of multiple Locations within a site or company. This is particularly useful for companies with large storage capacities or different storage areas for different product types. Each Location can be configured and managed individually. Features and benefits include:

  • Individual inventory management: Each Location can have its own stock, Zones and Bins.
  • Specific logistics processes: Each Location can have specific logistics processes and workflows.
  • Flexibility and scalability: Enables flexible and scalable warehouse management that can be adapted to the company's specific requirements.

Management of multiple Locations in Microsoft Business Central:

  1. Navigate to Storage Locations.
  2. Create new Locations with unique codes and names.
  3. Configure specific settings and properties for each Location.

By structuring and defining Locations, Zones, Bins and Halls as well as managing multiple Locations at one site, Microsoft Business Central enables efficient and flexible warehouse management that meets the individual requirements and processes of a company.