Hi Gary,
After defining the Queue you are supposed to assign area and activities to queue
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in the below example for warehouse 001 if the source storage type in TO is 005 and Destination storage type is 916 and if the shipment type of TO is A-Stock removal then it will assign the Queue PICKING01 to the TO at the time of TO creation
second line item is for putaway where my shipment type is E-Putaway and my source storage type 902 then it will stamp Queue PUTAWAY in the TO
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Regard your second query ----if user are using the System guided approach then it is firs come first serve basis i am using that u r not using TRM