We have many options to utilize the Site Dimension, we can make it represents country/region/state all options are upon business requirements.
The site dimension could be a control point in the inventory items as well, where the user could not perform transaction without identifying the site dimension, and we have option to let AX validate on item site dimension, where the user could not use change site.
The site could reflect financial dimension, and generate an entry in transfer order between two financial dimensions
The Site dimension function in MS Dynamics AX 2012 is out of the box function, do not need to activate it as we used to do in previouse version.
Inventory and Warehouse Management->Setup->Inventory breakdown->Sites
Here we identify site code, description, time zone (it is important if you operate in multi country), and site address
Link site to financial dimension
Inventory and Warehouse Management->Setup->Posting->Dimension link
Select financial dimension, and activate
Set mandatory site storage dimension
Product Information Management->Setup->Dimensions->Dimension Groups
Here set mandatory site during transactions, and other options.
Site specific order setting and default order setting
Product information management->Released product-> Manage inventory-> Default order setting
Inventory management->Common forms-> Setup button-> Site specific order setting
Here set default site, and could make it a mandatory where the user could not change it
Hope these information gives you insights regarding Site Dimension in AX
Highly recommend to read this blog post to know about Site Dimensions in AX 2012 “Operational Sites in MS Dynamics AX 2012” by Ievgenii Korovin
User group: DynamicsArabia