Backordered Items Defaulting to “Manual Reservation Required” Instead of “Scheduled”

Summary:

We’re noticing unusual behavior in Oracle Fusion Inventory / Order Management when entering orders for backordered items.

Normally, backordered items appear with the status “Scheduled.” Recently, many items are defaulting to “Manual Reservation Required,” and Oracle is pushing the Scheduled Ship Date out to a future date.

Most of the impacted items are Purchased items, though some are manufactured or transferred. Item Master setups appear correct.

Question:
Is this behavior expected in Oracle Fusion when orders are scheduled against future supply (POs, WOs, or transfers)?
Should backordered items remain in a “Scheduled” status and automatically allocate inventory once supply becomes on-hand, or is manual reservation required by design?