Pick wave is not working as expected for lot items when reservation is done for partial quantity

Summary:

For sales order with Lot items which has reservation for partial quantity when doing pick wave it is back ordering the whole line. for orders with Serial Items for the same scenario the Line is automatically split with reserved quantity moved to release to ware house and remaining quantity backordered.

Content (please ensure you mask any confidential information):

Why is there a variation in behavior between sales orders with Lot enabled items and Serial enabled items when doing pick wave.

When only partial quantity for the item is reserved sales order with serial controlled item automatically split the lines with release to ware house status for reserved quantity and backordering the remaining quantity. For Lot controlled items the whole line is back ordered