diff --git a/erpnext/manufacturing/doctype/work_order/test_work_order.py b/erpnext/manufacturing/doctype/work_order/test_work_order.py
index e1c1069..b56e9e1 100644
--- a/erpnext/manufacturing/doctype/work_order/test_work_order.py
+++ b/erpnext/manufacturing/doctype/work_order/test_work_order.py
@@ -1208,6 +1208,51 @@
 		except frappe.MandatoryError:
 			self.fail("Batch generation causing failing in Work Order")
 
+	@change_settings("Manufacturing Settings", {"make_serial_no_batch_from_work_order": 1})
+	def test_auto_serial_no_batch_creation(self):
+		from erpnext.manufacturing.doctype.bom.test_bom import create_nested_bom
+
+		fg_item = frappe.generate_hash(length=20)
+		child_item = frappe.generate_hash(length=20)
+
+		bom_tree = {fg_item: {child_item: {}}}
+
+		create_nested_bom(bom_tree, prefix="")
+
+		item = frappe.get_doc("Item", fg_item)
+		item.update(
+			{
+				"has_serial_no": 1,
+				"has_batch_no": 1,
+				"serial_no_series": f"SN-TEST-{item.name}.#####",
+				"create_new_batch": 1,
+				"batch_number_series": f"BATCH-TEST-{item.name}.#####",
+			}
+		)
+		item.save()
+
+		try:
+			wo_order = make_wo_order_test_record(item=fg_item, batch_size=5, qty=10, skip_transfer=True)
+			serial_nos = self.get_serial_nos_for_fg(wo_order.name)
+
+			stock_entry = frappe.get_doc(make_stock_entry(wo_order.name, "Manufacture", 10))
+			stock_entry.set_work_order_details()
+			stock_entry.set_serial_no_batch_for_finished_good()
+			for row in stock_entry.items:
+				if row.item_code == fg_item:
+					self.assertTrue(row.serial_and_batch_bundle)
+					self.assertEqual(
+						sorted(get_serial_nos_from_bundle(row.serial_and_batch_bundle)), sorted(serial_nos)
+					)
+
+					sn_doc = frappe.get_doc("Serial and Batch Bundle", row.serial_and_batch_bundle)
+					for row in sn_doc.entries:
+						self.assertTrue(row.serial_no)
+						self.assertTrue(row.batch_no)
+
+		except frappe.MandatoryError:
+			self.fail("Batch generation causing failing in Work Order")
+
 	def get_serial_nos_for_fg(self, work_order):
 		serial_nos = []
 		for row in frappe.get_all("Serial No", filters={"work_order": work_order}):
@@ -2270,6 +2315,7 @@
 	wo_order.planned_start_date = args.planned_start_date or now()
 	wo_order.transfer_material_against = args.transfer_material_against or "Work Order"
 	wo_order.from_wip_warehouse = args.from_wip_warehouse or 0
+	wo_order.batch_size = args.batch_size or 0
 
 	if args.source_warehouse:
 		for item in wo_order.get("required_items"):
diff --git a/erpnext/manufacturing/doctype/work_order/work_order.py b/erpnext/manufacturing/doctype/work_order/work_order.py
index 233ca19..f897a91 100644
--- a/erpnext/manufacturing/doctype/work_order/work_order.py
+++ b/erpnext/manufacturing/doctype/work_order/work_order.py
@@ -536,6 +536,12 @@
 			"Item", self.production_item, ["serial_no_series", "item_name", "description"], as_dict=1
 		)
 
+		batches = []
+		if self.has_batch_no:
+			batches = frappe.get_all(
+				"Batch", filters={"reference_name": self.name}, order_by="creation", pluck="name"
+			)
+
 		serial_nos = []
 		if item_details.serial_no_series:
 			serial_nos = get_available_serial_nos(item_details.serial_no_series, self.qty)
@@ -556,10 +562,20 @@
 			"description",
 			"status",
 			"work_order",
+			"batch_no",
 		]
 
 		serial_nos_details = []
+		index = 0
 		for serial_no in serial_nos:
+			index += 1
+			batch_no = None
+			if batches and self.batch_size:
+				batch_no = batches[0]
+
+				if index % self.batch_size == 0:
+					batches.remove(batch_no)
+
 			serial_nos_details.append(
 				(
 					serial_no,
@@ -574,6 +590,7 @@
 					item_details.description,
 					"Inactive",
 					self.name,
+					batch_no,
 				)
 			)
 
diff --git a/erpnext/stock/doctype/stock_entry/stock_entry.js b/erpnext/stock/doctype/stock_entry/stock_entry.js
index ac2fe58..96a9209 100644
--- a/erpnext/stock/doctype/stock_entry/stock_entry.js
+++ b/erpnext/stock/doctype/stock_entry/stock_entry.js
@@ -1081,7 +1081,9 @@
 			cint(frappe.user_defaults?.use_serial_batch_fields) === 1
 		) {
 			this.frm.doc.items.forEach((item) => {
-				frappe.model.set_value(item.doctype, item.name, "use_serial_batch_fields", 1);
+				if (!item.serial_and_batch_bundle) {
+					frappe.model.set_value(item.doctype, item.name, "use_serial_batch_fields", 1);
+				}
 			});
 		}
 	}
diff --git a/erpnext/stock/doctype/stock_entry/stock_entry.py b/erpnext/stock/doctype/stock_entry/stock_entry.py
index f554787..b75ce21 100644
--- a/erpnext/stock/doctype/stock_entry/stock_entry.py
+++ b/erpnext/stock/doctype/stock_entry/stock_entry.py
@@ -2541,6 +2541,7 @@
 					)
 
 					d.serial_and_batch_bundle = id
+					d.use_serial_batch_fields = 0
 
 	def get_available_serial_nos(self) -> List[str]:
 		serial_nos = []