Sourcing Rules Ranking not working as expected

Hi ,

I have a requirement where there is a Warehouse(W1), it sources an Item based on below:

1. First we have to see if there is on-hand in the Inventory-org (Inv1) If yes then satisfy the demand using the on-hand

2. If there is still some unmet demand then create a planned order with supplier (S1)

So the idea is that, Planned order demand should not be created for Inv1 org.

To meet the above requirement I have done below:

.1. Created a sourcing rule

     Transfer From Inv1 -- Rank 1 -- 100%

     Buy From S1    -- Rank 2 -- 100%

2. Set the Item attributes in Inv1 Org