The Location is one geographical location, whereas the Location Region is a collection of locations. 

Let’s say your location is The White House, that might belong to region Central Washington, with a number of other location as well.

The region is used to group locations, and if you are running automatic scheduling, it can be used to restrict or discourage border crossings.

Multiple locations can belong to one region, and a location can belong to multiple regions. 

Thanks anmise but how can I connect the location with a location region? I entered a location in IFS & created a location region, how are they connected now?

On the location page, you will see a sub menu called Scheduling Details. In that section you can link it to regions.

thanks so much.