Hello, @radhakrishnan .
Elias here with Shopify Support. That’s a great question!
I understand you want to fulfill the order based on the nearest inventory to the customers. If you’re fulfilling orders from multiple locations, you can fulfill parts of the order separately based on their locations. By default, the system will fulfill them based on your fulfillment priority; however, when you fulfill an order, you can manually change the fulfillment location so that it’s being fulfilled based on the nearest inventory to the customer.
Is this what you were looking for? If you have any other questions on locations and order fulfillments, don’t hesitate to let me know in this thread!