Locating Rule

Understanding Locating Rule

What is a Locating Rule?

A Locating Rule in Canary7 defines how and where products should be stored in the warehouse after are received. It acts as the set of instructions used during both Putaway Job execution and Replenishment execution to guide items to their correct storage locations. Locating Rules can be automatically assigned based on criteria using the Locating Assignment Master.

When a receipt is uploaded, each item on the receipt detail is evaluated against it's assigned Locating Rules. These rules are essential for:

• Driving intelligent putaway decisions, helping warehouse operatives store items quickly and accurately.

• Supporting replenishment logic, ensuring stock is topped up efficiently in picking zones or primary locations.

• Maximising space utilisation, by steering items into suitable storage locations based on item characteristics or warehouse zones.

• Improving inventory accuracy, through consistent, rule-based storage behaviours.

What is a Locating Rule Comprised Of?

A Locating Rule is built from one or more Locating Rule Details. Each detail is made up of two key components:

1. Locating Selection

This acts as a filter — it defines the pool of eligible storage locations based on specified criteria. You can filter by:

• Zones (e.g. Ambient, High Bay, Fast-Moving)

• Aisles or Racks

• Specific locations

• Custom attributes (if defined in your system)

2. Locating Method

Once the system has narrowed down the eligible locations via the Locating Selection, the Locating Method dictates how it chooses the final destination. There are four available methods:

• Permanent Location
  Assigns the item to a fixed, pre-defined storage location (ideal for consistent SKUs).

• Empty Location
  Directs the item to an available location with no current inventory.

• Consolidate (Same Item + UoM)
  Directs the item to a location that already contains the same item and Unit of Measure.

• User Defined (Location as per Selection)
  Allows a user to manually enter a location to complete the putaway to.

The Global Rule (Best Practice)

It’s recommended to create a Global Locating Rule that acts as a “catch-all” that ensures no item is left without a storage location. This rule should:

• Apply to all inventory locations via broad Locating Selections.

• Include all four Locating Methods, ideally ordered from most preferred (e.g. consolidate) to least (e.g. manual entry).

This ensures that even if no specific rule matches, the system can still locate a suitable place for the stock.

Customising Locating Rules

Locating Rules can be as simple or granular as your warehouse operation requires:

• You might have a single rule that only uses the Consolidate method, excluding zones like “High Bay” for fast-moving items.

• Or you might define multiple layered rules, each targeting specific SKUs or storage areas (e.g. zone-specific, aisle-specific, or even individual bin rules).

This flexibility allows warehouse managers to strategically manage space, reduce picker travel time, and streamline replenishment workflows.

Accessing Locating Rule

 Within the Navigation menu, click on the search bar and type and click on "Locating Rule". Locating Rule is also in Configuration, under Receiving Profile Setup > Locating Rule.

Add Location Rule

 Name your Location Rule

Click on the Submit Button to continue.

Adding Details

Within the details tab, click on the red action button and click on "add".

Select the Mandatory Fields 

Select the Following:

1.   Locating Selection Creating a location selection

   A query of records based on predefined criteria of Locations.

   A query of records based on predefined criteria allows a more straightforward configuration of Locations.

2.  Locating Methodwhich consists of 4 options 
   1.  Consolidate Item With Location That Already Contains Item
   2. Empty Location
   3. Permanent Location
   4. Location as per selection - gives the first location that shows on the Detail List.

Click on the Submit Button to continue. 

The Order of Location Rule Detail

The location rule will go through each detail in the list from top to bottom, if the first rule isn't met, it  will try to use the second rule and so on. To change the order right, click on the rule and select move up or move down, depending on what you need.