Design storage and tracking dimensions, choose the warehouse execution posture, preserve lot genealogy through a recall-capable model, and settle the costing policy that the manufacturing posting families depend on.
Inventory is where a SYSPRO migration is won or lost operationally. Finance failures surface at close, which is uncomfortable but bounded. Inventory failures surface on day one, in front of customers, in a warehouse where nobody can pick.
D365 offers two broadly different warehouse postures, and the choice is architectural.
Storage and tracking dimension groups are the structural expression of how granularly the estate manages stock.
This is the domain's compliance-critical thread, and the gap register is unambiguous about it: Recall Management is a named SYSPRO capability, and D365 requires a composite pattern across quality, inventory, returns and disposition controls. Under-scoping it creates operational and regulatory risk.
Costing is the decision that sits between supply chain and finance and therefore goes unowned until it blocks something.
Target on-hand is not a quantity. It is a quantity at a complete set of storage and tracking dimensions, with a cost basis and a traceability identity. A load that carries item, warehouse and quantity produces a balance that ties at total level and fails at every level the business actually works at — the picker who goes to a location…
Inventory and manufacturing. Open work in progress consumes on-hand and produces it. The wave plan loads on-hand in wave five and open work-in-progress state in wave six, so the two have to be consistent at a single point in time. Freezing one without the other produces a chain that does not balance.
The warehouse execution posture — full warehouse management or basic warehousing — follows evidence of how the warehouse actually runs, not ambition. It is very hard to reverse later. Storage and tracking dimension groups are shared, effectively permanent structures.