You create a local software component version to allow you to edit an object locally, for example for test purposes.
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1. In the Enterprise Services Repository menu, choose Object → New.
2. In the create dialog, expand the Work Areas node.
3. Select Software Component Version.
4. Select the Local Software Component Version radio button.
5. Enter a name for the local software component version.
6. Choose Create.
7. You can make further entries in the Edit Software Component Version editor.
More information: Editing a Software Component Version
You have created a local software component version and can now define namespaces for it.
More information: Creating Namespaces