If I understand your requirement correctly, you have an item with Inventory Status = Blocked, and you expect that if someone tries to post an inventory adjustment for this item, the system should restrict the transaction.
However, in D365 F&SCM, the Blocked inventory status only prevents certain operational transactions such as production orders, sales orders, transfer orders, and other outbound processes. It does not prevent inventory adjustment journals, so users can still post adjustments even when the inventory status is blocked.
If your requirement is to also prevent adjustments when the inventory status is Blocked, this would typically require customization, because the standard functionality does not enforce that restriction.
Alternatively, if the goal is to completely stop the item from any inventory transactions, you could use Default order settings and set Stopped = Yes for inventory. This will block inventory transactions for the item.
That said, if you configure this at a specific site or warehouse, there may still be scenarios where the same site/warehouse contains a mix of inventory with different statuses (e.g., Blocked and Available). In such cases, this approach might not fully meet the requirement. Because it will hold item completely irrespective of Inventory status of item.
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Regards,
Syed Haris Shah
