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Is there a relation between the Project in Project Management Module and the functional Location in Asset Management Module?

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Posted on by Islam Mohab

If we assume that we implement asset management for a Construction Company which have some projects for some customers and have some assets (Vehicle)

which contribute in the constructing process.

How can we track those assets in asset management module?

Can we Assume that every project as a functional location and track the assets transfers between the projects as moving assets from functional location to another?

Another question: For the asset management parameters we define a default maintenance project ,How can i choose the project that the asset assigned on it now in work order not the default project?

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CA Neeraj Kumar 4,994 on at

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Hi Community member,

Updating the replies for whoever is going to visit this question for future purpose.

[Note: AI is used just to redraft the content, original content is written, verified and tested by me as well]

✅ How to Track Assets in a Construction Company using Asset Management in D365 F&O
Imagine your construction company has several projects for different customers, and you use assets like vehicles, cranes, and other equipment to help build those projects.
👉 The best way to track where these assets are being used is by using Functional Locations in D365 Asset Management.
👍 Here’s a simple way to think about it:

Treat each project as a Functional Location.

Example:

Project A → Functional Location A

Project B → Functional Location B

Then, when you use a piece of equipment on a project (say a vehicle), you can assign it to that project’s functional location.

✅ Why this makes sense:

It helps you track exactly which project is using which asset at any point in time.

You get a clear history of asset movement from one project to another.

It’s useful for costing and reporting later on.

✅ How Work Orders and Maintenance Projects Fit In
👉 In Asset Management, you can set a default maintenance project in the system parameters.
In the project setup, you can define the project for different Functional location (in this case it is equivalent to Project as well).

This way, the work order is directly linked to the right project the asset is being used on.
Example:

You have a vehicle used in Project A.

You create a work order to service the vehicle.

In the work order, Project A in the Project field automatically picked.

The maintenance cost will now be charged to Project A.

Regards,

Neeraj Kumar

If this helped, please mark it as "Verified" for others facing the same issue Keep in mind that it is possible to mark more than one answer as verified
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SS-27031701-0 6 on at

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Hi,

There is always this dilemma on how to map the assets on functional locations in such a way that they represent their actual positions and connecting them to warehouse management warehouses for stock and spares consumption.

For you example you need to map like this

For every work site create a

1 - Project in D365

2 - Functional Location in D365
3 - Warehouse in warehouse management

All assets which are deployed to a construction site will be linked to that construction site by updating the functional locations on the Asset master.

This way Assets are linked to the sites where they are working (Functional location) and can consume spares from that site as we have a warehouse representing the same site. See below example where construction is happening in 2 sites.