A holding location is used in financial accounting during the receiving process, it is not a physical location.

Every site must have one and only one Holding LocationA holding location is used in financial accounting during the receiving process, it is not a physical location. More, and the convention is to call it RECEIVING. Holding Locations are created in the Locations application with a location type of HOLDING.

A Purchase Order is raised and in the Receiving application the action Select Ordered Items is used. The Material Receipt created will use the General Ledger Account of the Holding Location if the item requires inspection or asset serialization, i.e. the receipt cannot be completed because there is an additional receiving process to perform. The GL Account of the Holding Account therefore holds the value of all items received into the site, which have not been distributed to the destination storeroom or the person who requested the item, if direct issue.

Holding Locations are standalone locationsA physical place where assets exist and where work can be performed. More which cannot be a part of a location hierarchy. Holding Locations exist at the SITE level.