VMI replenishment is not working for non-stocked items

Hi Oracle,

Could you please clarify the following situation?

Explaining the situation:
Key users need to process Vendor-Managed Inventory using non-stocked items.
Product Information Management > item is set as:

• Stocked = No
• Transaction Enabled = No
  The supplier is replenishing those items. However, the system displays the following error:
  The destination type is invalid. Inventory destination type isn’t applicable for this requisition line.

Then,
If the Product Information Management > item is set as:
Stocked = Yes
Transaction Enabled = Yes
When the supplier is replenishing those items, the process works as expected.

Note: Key users need to process Vendor-Managed Inventory using non-stocked items