While we try to create a new Business Group or Inventory organization, before we start it we need to have the location created to use while you create the organization. If its 11i then list becomes bigger and its needed for Legal Entity and Operating Units. With R12 that’s not the case. You have the ability to create address locations while you create the legal entity using Accounting Setup.
Now lets see how to create Inventory Locations.
Navigation – Inventory –> Setup –> Organizations –> Locations
Enter the name of the location and choose the address style, then click on the address field. This will open another popup to enter the address details.
Once done, click OK and move to Shipping Details tab
Click on the check boxes that applies for the location and save the record.
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