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MB-920 Practice Question: Describe the core capabilities of the finance and operations apps

A company uses Dynamics 365 Supply Chain Management. The warehouse manager wants to enable wave processing to automatically create work for outbound orders. Which setup is required?

⚠ Common exam trap

A common mix-up: candidates confuse prerequisite setup (like location directives or reservation hierarchies) with the actual enabling configuration, leading them to select a wrong option that is necessary but not sufficient for wave processing automation.

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Warehouse management parameters with wave processing enabled

Wave processing in Dynamics 365 Supply Chain Management automates the creation of picking work for outbound orders. To enable this, the warehouse management parameters must have wave processing turned on, which allows the system to automatically generate and process waves when outbound orders are released to the warehouse. Without this setting, waves must be created and processed manually, defeating the automation goal.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Inventory status for the items

    Why it's wrong here

    Inventory status affects availability, not wave processing.

  • Location directives for picking

    Why it's wrong here

    Location directives are used within wave steps but wave processing itself must be enabled first.

  • Reservation hierarchy for the item

    Why it's wrong here

    Reservation hierarchy is for production, not wave processing.

  • Warehouse management parameters with wave processing enabled

    Why this is correct

    Wave processing must be enabled in warehouse management parameters to automate work creation.

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Written by Johnson Ajibi, MSc IT Security

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