ASL VMI Setups

Under Inventory tab, we have replenishment control setups wherein we define min and max quantities . So, as soon as we fall below the min value the system replenishes the quantities.

There is one check box 'Automatic Allowed' . I would like to understand what it does and when we book a SPO, the orders are getting closed after approval.

I would like to know how these setups are driving the transactions.