Org-Level Min-Max in Fusion INV: Subinventory Source Type + Generated Supply Order?

Hi all,

We are implementing Organization-level Min-Max replenishment in Oracle Fusion Cloud SCM – Inventory (INV), and we understand that some setup is required on the item (item organization) attributes.

In the item attribute where we define the replenishment source, there is a field like Replenishment Type with the LOV values: Organization, Supplier, and Subinventory.

I understand the use of Organization (replenish from another inventory organization) and Supplier (purchase replenishment), but I’m not clear on the intended use of Subinventory in an organization-level Min-Max setup.

Could someone please clarify:

In what business scenarios would you set the item’s source type to Subinventory for organization-level Min-Max replenishment?