Hi Shreya,
it is depend up on the business requirement ,
pick part is used when you are staging the material against any production order or planned order . if your requirements are coming thourgh MRP then definitely go for pick parts and accrodingly define the staging indicator in the control cycle.
Release order is used when you have uncertain requirement and you are entering the requiremetn manually to stage the material from warehouse to production .
Crate parts are used when you have activated kanban in your warehouse.
please let me know if you need any more inputs.
rgds,
manish
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