# Dynamics 365 Supply Chain Warehouse Only Mode: What It Is and Its Limits > Source: https://netray.co/erp-help/dynamics-365-supply-chain-warehouse-only-mode > Publisher: Netray (netray.co), AI and integration engineering for ERP and manufacturing systems. > Section: ERP Help ## Short answer Warehouse management only mode is a Dynamics 365 Supply Chain Management configuration that lets you run the warehouse management processes while another system, such as a separate ERP, owns orders, pricing and finance. Source documents arrive as inbound and outbound shipment orders instead of sales and purchase orders, and the warehouse executes and reports back. ## Kind how-to ## System dynamics ## Erp Microsoft Dynamics 365 Supply Chain Management ## Module Warehouse management only mode ## Query dynamics 365 supply chain warehouse only mode ## Alternate Queries - d365 warehouse management only mode - d365 wms only deployment - d365 warehouse only mode limitations ## Applies To Dynamics 365 Supply Chain Management. This is a feature enabled in Feature management, and its availability and scope depend on your release, so confirm in Microsoft's current documentation before committing. ## Steps ### Evaluate and enable warehouse only mode **Items:** - Decide that a separate system truly owns orders and finance, and that you want only warehouse execution from D365. - Check Microsoft's current documentation for your release, including the feature's status and the list of supported and unsupported processes. - Enable the Warehouse management only mode feature in Feature management in a sandbox first, and treat enabling as a one-way decision unless documentation says otherwise. - Configure the warehouse as usual: warehouses, locations, location profiles, work templates, wave templates, directives and mobile device menus. - Build the integration that feeds inbound and outbound shipment orders from the upstream system, plus the return flow of confirmations and inventory changes. - Test receiving, picking, packing and shipping end to end, including partial receipts, short picks and cancellations from the upstream side. - Plan inventory reconciliation between the two systems. ## Sections ### What changes in this mode **Body:** In normal operation a warehouse receives against purchase orders and ships against sales orders in the same database. In warehouse only mode the documents driving the floor are shipment orders created by your integration. Warehouse execution (waves, work, mobile app, license plates, containers) behaves like standard WMS, but pricing, costing and invoicing are not the job of this system. The integration is therefore the project. Message design, error handling, ordering and idempotency decide whether the warehouse runs smoothly. D365 supports integration through data entities, OData, and the data management framework, and the choice depends on volume and latency. ### Limits to plan around **Body:** Expect reduced finance and costing functionality, and verify each module you rely on, since not every process works without the full order-to-cash chain. Features that depend on sales orders, such as certain reservations and price-dependent logic, need individual validation. Compare the alternative: running full Supply Chain Management for order handling and warehouse together. If your ERP is being replaced soon, warehouse only mode can be a bridge. If not, weigh the cost of maintaining the integration long term. ### Integration patterns **Body:** Common patterns are a scheduled import of shipment orders through the data management framework, or event-driven calls from middleware to OData endpoints. Keep a clear mapping between upstream order IDs and shipment order IDs for reconciliation. See our page on the Supply Chain Management APIs for authentication and endpoint options. ## Pitfalls - Enabling the mode in production without confirming it is reversible for your release. - Assuming every sales order dependent feature still works without sales orders. - Underestimating the integration work, which is usually larger than the warehouse configuration. - No agreed owner for inventory truth, leading to two systems with different on-hand. ## Ai Angle Where two systems share a warehouse process, most pain is reconciliation. A grounded assistant can compare shipment confirmations against the upstream order status and surface mismatches for people to resolve. Netray builds such read-only reconciliation views, including on-prem next to the upstream ERP. ## Faq ### What is warehouse only mode in D365 Supply Chain Management? **Answer:** It is a deployment configuration that uses the warehouse management processes while an external system handles orders, pricing and finance. Work comes in as inbound and outbound shipment orders created by an integration. ### Who should use warehouse only mode? **Answer:** Companies that want D365's warehouse execution but keep another ERP for orders and finance, often during a phased migration or in a multi-ERP group. It is not for companies that want one integrated system. ### Can I switch back to the full mode later? **Answer:** Do not assume so. Treat enabling as a significant decision and verify reversibility in Microsoft's current documentation for your release before using it in production. ### How does the upstream system send orders? **Answer:** Through an integration, commonly data entities loaded with the data management framework or calls to OData endpoints, creating inbound and outbound shipment orders in D365. ## Search terms dynamics 365 supply chain warehouse only mode, d365 warehouse management only mode, d365 wms only, d365 inbound shipment order, d365 outbound shipment order, d365 standalone warehouse management, d365 wms with external erp, warehouse management only mode limitations --- Talk to an engineer: https://netray.co/contact?intent=erp_ai | Machine catalog: https://netray.co/agent/catalog.json