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Allocation node in Supply Allocation rules

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How to populate allocation node while defining Supply Allocation rules

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We see that allocation node is a drop down field to specify the allocation target in supply allocation rules to be used in backlog management. We however are not able to understand how to create the allocation node. What is the source of this information? Can someone please throw some light and also if possible point us to the right document which specifies the setups needed to create the allocation nodes?

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