Hi guy,
Yes some of your understanding is ok but let me explain it to you.
1) My sales order on FG warehouse so by default production order for X200 on FG warehouse and that correct no issue.
2) X200 FG bom line on prod warehouse from where it will consume the raw material again its ok no issue
3) prod bom have on hand 0 so system suggest transfer order from central to prod. perfect
4) out of 4 raw material one have no stock on central so the system should suggest the plan purchase order also to meet the transfer order requirement for step 3. here is the issue.
production Order on FG
Production Order Consumption on Prod
Raw material buying on Central.