CHAPTER 6: SALES ORDERS

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CHAPTER 6: SALES ORDERS

Objectives

The objectives are:

• Review the various forms and list pages for working with sales orders.

• Determine and apply different sales order types. • Set up account receivable order parameters. • Create a sales order and add lines to it.

• Specify multiple delivery addresses for sales order lines. • Discuss how to set up a delivery schedule on a sales order. • Set up the Delivery dates feature to specify and update requested

dates.

• Use the Available dates feature to specify and update request dates. • Create order entry deadlines and order entry deadline groups for

sites.

• Create an order of the Direct delivery type and update the order • Review the sales order posting status and profiles.

• Discuss how to generate a sales order confirmation. • Discuss how to generate a sales order picking list. • Review the picking list registration process.

• Discuss how to generate a packing slip for a sales order. • Explore the Shipment carrier interface feature.

Introduction

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Working with Sales Orders

Various forms and list pages are available for creating, reviewing, and updating sales orders. The following topics review the Sales order form and Sales order list page functionality.

All Sales Order List Page

The All sales orders list page is found in Sales and marketing > Common >

Sales orders > All Sales orders. The list page displays all sales orders for the

current company. It can be used to create, change, or review any sales orders in the system for the company that you are logged in to.

FIGURE 6.1 ALL SALES ORDER LIST PAGE

The All sales orders list page contains two FactBoxes that display additional information about the selected sales order.

• Latest sales orders - displays a list of recent sales orders for the same customer as the sales order that is selected in the grid. The user can browse to a related sales order by clicking the Sales order link inside the FactBox.

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The buttons in the Action Pane are used to complete various tasks that are related to the selected sales order(s). Not all buttons are available when you select more than one sales order.

The preview pane on the All sales orders list page displays a list of each line on the selected sales order.

Sales Order Form

The Sales order form is used to enter and view the details about one specific sales order. There are several methods to open the Sales order form:

• Open Sales and marketing > Common > Sales orders > All sales

orders. Next, click Sales order in the New group of the Action

Pane.

• Open Sales and marketing > Common > Customers > All

customers. Next, click Sales order in the New group on the Sell tab

of the Action Pane.

orders. Next, select the desired sales order and then click Edit in the Maintain group of the Action Pane.

orders. Next, double-click the desired sales order.

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Working in the Line View

When you open the Sales order form, the form will always open in the Line view. The line view version of the form has three FastTabs:

• Sales order header - displays basic information from the header of the sales order that applies to all lines of the sales order. However, some fields can be overridden at line level. To expand the Sales

order header FastTab enter CTRL + 1.

• Sales order lines - displays a list of each item or service for the sales order. This FastTab will always be expanded

• Line details - displays additional information for the line that is selected in the Sales order lines tab. The additional information on the Line details tab is split into several tabs across the bottom of the tab page, dividing the additional fields into logical groups or areas. To expand the Sales order header FastTab, enter CTRL + 3.

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Working in the Header View

To enter detailed information about a sales order into the header and optionally have the information copied to all the lines of the sales order, you must open the header view. To access the header view, click Header view in the Show group of the Action Pane on the Sales order form or enter F12.

FIGURE 6.3 SALES ORDER FORM - HEADER VIEW

When you are in the header view of the Sales order form, the Header view button on the Action Pane will be highlighted to give you a visual indication of the current view.

The header view is split into several tabs that are described in the following table.

Tab Description

General View and edit information about the selected sales order. The shortcut to expand this FastTab is CTRL + 1.

Setup View and change the buyer group, order, pool, and language information for the selected sales order.

The shortcut to expand this FastTab is CTRL + 2.

Address View or select address information about the vendor for the selected sales order.

The shortcut to expand this FastTab is CTRL + 3. Delivery Set up delivery information for the order.

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Tab Description

Packing Enter RFID tagging information for the order. The shortcut to expand this FastTab is CTRL + 6. Intercompan

y settings

Enter intercompany setting information for the order. The shortcut to expand this FastTab is CTRL + 7. Foreign

trade

Enter foreign trade information for the order. The shortcut to expand this FastTab is CTRL + 8. Financial

dimensions

View information about financial dimensions, such as the default dimensions and where the dimensions are used in account structures and account rule structures.

The shortcut to expand this FastTab is CTRL + 9.

Working in the Edit in Grid View

To open the Sales order form in the Edit in grid view, click Edit in grid in the

Maintain group of the Action Pane. To change to the grid view when the Sales order form is open, click the Grid icon in the status pane.

The Edit in grid view lets you modify information on the most common sales order fields. It also lets you select multiple sales orders for update.

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Sales Order Statuses

A sales order can have several statuses that indicate how far the selected order is within the sales order process.

• Open order • Received • Invoiced • Canceled

In addition to the status on the header of the sales order, each line of the order can also have a status, as follows:

• Open order • Received • Invoiced • Canceled

Sales Order Document Statuses

In addition to the sales order status, each sales order has a document status that indicates which documents are generated for a selected sales order.

• None - no documents are generated for the order. • Confirmation - a confirmation is generated for the order. • Picking list - at least one picking list is generated for the order. • Packing slip- at least one packing slip is generated for the order. • Invoice - at least one invoice is generated for the order.

Because the status and document status are calculated separately, different combinations of statuses and document status can help additionally identify an order’s status. For example, if an order’s status is Open order and the document status is Invoice, you can conclude that the order is partly received and invoiced.

One-Time Customer

Use the One-time customer function when you are working with a customer who does not exist in the Customer form. Before you use this function, make sure that a number sequence is set up for one-time customers in Account receivable >

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Sales Order Types

When you create a sales order in Microsoft Dynamics AX 2012, select from one of several sales order types:

• Journal • Subscription • Sales Order

You cannot select the following sales order types manually, because they are created through the Return management feature or the Project management and

accounting module.

• Returned Order • Item Requirements

Sales Order

The sales order type of Sales order is used when the customer confirms that he or she wants the order. You can set the default type to be Sales order inside the

Accounts Receivable Parameters form, depending on the client's business

process.

Journal

Sales orders of the Journal type resemble purchase orders of the Journal type because they are also used as draft sales orders.

Journals help when you bring data into the system that might not meet quality or other standards. This can occur with data loads or data that is entered by a new or temporary worker.

A sales order of the Journal type does not affect stock quantities, and the quantity on the order line will not be considered in Master planning.

Subscription

The sales order type of Subscription is used for repeated sales of the same item or service to the same customer. When a packing slip is updated, Microsoft

Dynamics AX 2012 generates a packing slip. When the invoice is updated, a new packing slip or invoice entry can be updated for the same sales line. The order never has an Invoiced status, only Open or Delivered.

Example: Subscriptions Type

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Each month, the subscription is invoice-updated, and the goods are delivered to the customer, and then the customer is billed for the standard quantity of 100 pieces. The sales order remains at the Open order status, but transactions are created for the sales order line.

Returned Order

The sales order type of Returned order is used when you receive goods back from a customer.

The Returned order type in Microsoft Dynamics AX 2012 cannot be selected manually. It is created through the Return orders form in

Sales and marketing > Common > Return orders > All return orders.

For more information about Customer returns, refer to Customer Returns in the Supply Chain Foundation in Microsoft Dynamics AX 2012 course.

Item Requirements

The sales order type of Item requirements is connected to the Microsoft

Dynamics AX 2012 Project management and accounting module. When you create the item requirements in the Project management and accounting module, the system automatically creates a sales order of the type Item requirements.

Set Up Sales Parameters

Use the Accounts receivable parameters form to set up sales parameters and perform the following tasks:

• Define settings that apply to all sales transactions.

• Enter default information that will be used if the information has not been specified at a lower level.

• Select the Prompt for customer information parameter if the user must be prompted for transfer of customer master data to the sales order on sales order creation or modification.

• Select the template customer who must be used for any one-time customer that you create.

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General Tab

Using the General tab of the Accounts receivable parameters form to set up the default values that appear on new sales orders or quotations. You can change the values on individual sales orders or quotations as appropriate. You can also specify requirements for reason codes.

The following table provides an overview of the parameters on the General tab.

Parameter Description

Mandatory tax group

Select this check box to require that a tax group be defined for each new or modified customer account. Tax exempt

number requirement

Select the country/region group that applies to your legal entity and that determines whether a tax exempt number is mandatory for customers who claim tax exemption. Minimum

reimbursement

If a customer has a credit amount because of an

overpayment or a credit note, a reimbursement transfers the amount to a vendor account.

Enter the minimum amount to process for a reimbursement. If the value in this field is 0.00, no minimum payment is required.

One-time

customer account

Select a customer account as the default template for one-time customers. This is the customer account that will serve as a template for the information that will be entered on a sales order for a customer who is not expected to make other orders.

Order type Select the order type to be proposed when you create an order in the Sales order form.

Period of validity Enter the number of days for the sales order deadline. When you create a sales order, the deadline is

automatically calculated as today's date plus the number of days specified in this field.

You can delete all sales orders that have a deadline earlier than the specified date by using the Delete orders form. (Click Sales and marketing > Periodic > Clean

up > Delete order.)

Sales order pool Select the default sales order pool that will be added automatically to an order when you create the order in the Sales order form. If you do not want to use the default sales order pool, you can change it for a specific customer or on a specific sales order.

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Sales origin Select the default sales origin of an order. The sales origin that you specify here is inserted automatically when you create a sales order.

Sales origin from Enterprise Portal

Select the default origin for sales orders that are entered through the Enterprise Portal.

Prompt for customer information

Select this check box to receive a warning when you create or modify a sales order in the Create sales order form. The warning will explain that the customer's term information, such as terms of payment, will be copied from the Customers form to a sales order.

Mark order as void

Select this check box if you want sales orders to be just voided instead of deleted when a sales order is deleted. Prompt quantity

field value when posting

documents

Select this check box to automatically recommend a value for the Quantity field when you post a document.

Period of validity Enter the number of days that a Return Materials Authorization (RMA) for customers is valid. The estimated date of arrival is calculated based on the system date plus the number of days that you specify. Require reason

code for payment cancellations

Select this check box to require that a reason code be selected when payments are canceled.

Require reason code for return orders

Select this check box to require that a reason code be selected before a return order can be posted.

Require reason code for transaction reversals

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Accounts receivable > Setup > Accounts receivable parameters > General

tab

FIGURE 6.5 ACCOUNTS RECEIVABLE PARAMETERS - GENERAL TAB

Updates Tab

Use the Updates tab on the Accounts receivable parameters form to enter or view parameters in the General, Picking list, Packing slip, Invoice, and batch sections. This includes rules for delivery acceptances and updating invoices and picking lists.

Invoicing parameters will not be covered in this topic. For more information about generating invoices for sales orders, refer to the Financials I in Microsoft Dynamics AX 2012 course.

To view or edit parameters for automatically updating order lines when you change the sales order header, click Update order lines. The options are described in the following table.

Accept overdelivery

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Accept underdelivery

Select this check box if customers are willing to accept that an underdelivery might be regarded as a final delivery.

Safety level of invoiced orders

Specify whether to allow for changes to a fully invoiced sales order.

Use default language

Select this check box to print the picking list in the default language that is specified in the Legal entities form. If this check box is cleared, the picking list is printed in the language that is defined as part of the picking list report properties.

Automatic reduction, picking list

Select this check box to reduce the quantity that is sent to pick to the available on-hand quantity.

Picking route status

Select the picking route status that will be used when the picking list is updated.

• Completed - When the picking list is issued, the pick is performed and the system updates the quantity to be picked.

• Activated - The order is generated with the Activated picking status. The picking process must be manually activated, and then later it must be manually

completed to change the status to Completed. Post packing

slip in ledger Select this check box to post the stock value of physical inventory transactions to the ledger when you update a packing slip.

Automatic reduction, packing slip

Select this check box to reduce the quantity that is sent to the packing slip to the available on-hand quantity. Number of

document in batch task

Enter the maximum number of documents that must be processed in parallel in each batch task in the batch job. The batch job is run when you post sales orders. Update order

lines

Use this button to open a form where you can specify how sales order lines are automatically updated when

modifications are made on the sales order header.

For each field, you can select one of the following values. • Always - The order lines are updated automatically

when the order header is updated.

• Never - The order lines are not updated when the order header is updated.

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Accounts receivable > Setup > Accounts receivable parameters > Updates

tab

FIGURE 6.6 ACCOUNTS RECEIVABLE PARAMETERS - UPDATES TAB

Summary Update Tab

Use the Summary update tab to specify default values and the order error tolerance for summary updates of sales orders.

To set up parameters for data collection for a summary update, click Summary

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Accounts receivable > Setup > Accounts receivable parameters > Summary Update tab

FIGURE 6.7 ACCOUNTS RECEIVABLE PARAMETERS - SUMMARY UPDATE TAB

The Split based on group lets you split the sales order confirmations, picking lists, packing slips, and invoices based on the Site or Delivery information check boxes.

For example, if you select the Delivery information check box for confirmation, the sales confirmation will produce one confirmation for each sales order line delivery address when you post. If you clear the check box the confirmation will use the header address in the Sales order form as the delivery address when you generate the sales order confirmation.

Shipments Tab

Use the settings on the Shipments tab to specify whether to include shipping information on invoices or product receipts. You can also specify whether to create bills of lading and which information to include.

Shipping specification

Specify whether and when shipping specifications will be automatically entered. Shipping specifications include volume, net weight, cartons, gross weight, shipping zone, and shipping label print settings.

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ATP incl. planned orders

Select this check box to include planned orders in

available-to-promise (ATP) calculations, if you select the ATP calculation method in the Delivery date control field.

Delivery date control

Select the method to use to calculate possible ship and receipt dates. If you select ATP + Issue margin, the shipping date is equal to the ATP date plus the issue margin for the item. The issue margin is the time that is required to prepare the items to ship.

If you select CTP, a capable-to-promise (CTP) explosion is calculated. The confirmed ship date is updated with a suggested ship date.

Sales lead time Enter the number of days for the default lead time. ATP time fence Enter the period, in days, to use to calculate ATP, if you

selected the ATP calculation method in the Delivery date

control field.

ATP backward demand time fence

Enter the number of days—backward from today—that past-due demand will be considered when you are calculating availability dates for inventory. Past-due demand, also known as inventory issues, affects the earliest available delivery dates for inventory.

For example, if you enter 0, no past-due demand will be considered. If you enter 1, yesterday's demand will be considered, if it has not already been fulfilled.

ATP backward supply time fence

Enter the number of days—backward from today—that past-due supply will be considered when you are calculating availability dates for inventory. Past-due supply, also known as inventory receipts, affects the earliest available delivery dates for inventory.

For example, if you enter 0, no past-due supply will be considered. If you enter 1, yesterday's supply will be considered, if it has not already been fulfilled. ATP delay

demand offset time

Enter the number of days - forward from today -

considered to be the delivery date for past-due demand on inventory issues.

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ATP delay supply offset time

Enter the number of days—forward from today—that is considered the received date for items on past-due inventory receipts.

For example, if you enter 0, the item will be considered as received today. If you enter 1, the item will be considered as received tomorrow.

Shipment report layout

Select a shipment report layout:

• Shipping labels - Print one or more shipping labels for each package that is specified when you entered the shipping descriptions.

• Shipment list - Print a dispatch list that contains information about all packages.

Bill of landing Specify whether and when to create a bill of lading when dispatching the shipment.

You can create the bill of lading when the packing slip is updated, when the invoice is posted, or at both times. Language Select the language in which to print the bill of lading. Carrier name Specify the name of the company that handles your

transport of items.

This information is transferred to the corresponding fields in the Bill of lading and Posting invoice forms. You can define the carrier names in the Carrier form.

Freighted by Specify who handles the transport of items used in the Bill

of lading and Posting invoice forms.

Freight charge terms

Specify who will pay for the freight. This information is transferred to the corresponding fields in the Bill of

lading and Posting invoice form.

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Accounts receivable > Setup > Accounts receivable parameters > Shipments

tab

FIGURE 6.8 ACCOUNTS RECEIVABLE PARAMETERS - SHIPMENTS TAB

Prices Tab

Use the Prices tab to specify how to calculate the total discount if you define both line and multiline discounts for a sales order. You can also specify generic currency, smart rounding, and trade agreement evaluation options. The options are described in the following table.

Find main charges

Select this check box to automatically search and apply main charges when you create a sales order. If you have not defined automatic charges, clear this check box to increase performance.

Find charges for line

Select this check box to automatically search and apply line charges that are set up for the ordered item when you create a sales order line. If you have not defined automatic

charges, clear this check box to increase performance. Discount Select the method to determine how the combined discount

is calculated if a line discount and a multiline discount are effective for a certain sales order line.

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Generic currency

Select the generic currency to use for the base price list. The base prices in the generic currency are transferred to other currencies by using the exchange rate type that is selected in the Exchange rate type field.

Exchange rate type

Select the exchange rate type to use with the generic currency.

Apply smart rounding after currency conversion

Select this check box to automatically apply smart rounding to price endings after you have converted currency from the generic currency.

Calculate total discount on posting

Select this check box to automatically calculate the total discount when you do any of the following tasks: • Post sales orders

• Update sales orders by using an AIF service

• Click any of the following buttons on the Action Pane in the Sales order form or on the All sales orders list page:

• Sell > Tax > Sales tax

• Sell > Calculate > Multiline discount • Manage > Customer > Check credit limit • Invoice > Bill > Payment schedule • Invoice > Bill > Cash flow forecast

• Click any of the following buttons in the Sales order

lines grid in the Sales order form:

• Financials > Tax > Sales tax

• Sales order line > Calculate > Supplementary items Trade

agreement evaluation

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Accounts receivable > Setup > Accounts receivable parameters > Prices tab

FIGURE 6.9 ACCOUNTS RECEIVABLE PARAMETERS - PRICES TAB

Inventory Dimensions Tab

Use the settings on the Inventory dimension tab to select the inventory dimensions that are displayed on sales order and quotation lines.

Accounts receivable > Setup > Accounts receivable parameters > Inventory dimensions tab

Number Sequences Tab

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The number sequence can be set up to have a specific format such as SO#####. This means that the sales order number will be generated by using the next available number in that format. For example, if the next number in the sequence is 22187 when a new sales order is created, the system will generate the sales order as SO22187.

FIGURE 6.10 ACCOUNTS RECEIVABLE PARAMETERS - NUMBER SEQUENCES TAB

Each number sequence must have a specified number sequence code before a document of that type can be created.

Accounts receivable > Setup > Accounts receivable parameters > Number Sequence tab

Creating a Sales Order

There are several ways to create a sales order. The following topics describe in detail the steps for creating a sales order and adding lines to it.

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Procedure: Create a Sales Order from the All Sales Orders

List Page

To create a new sales order from the All sales orders list page, follow these steps:

1. Open Sales and marketing > Common > Sales orders > All sales

orders.

2. Click Sales order in the New group of the Action Pane to create a new sales order.

3. In the Create sales order form, select a customer.

FIGURE 6.11 CREATE SALES ORDER FORM

4. If you are prompted, click Yes to copy address, delivery address, currency, invoice account number, and language to the sales order. 5. If you are prompted, click No to create the new sales order without

copying previous customer purchase information.

6. In the Order type list, select the type of sales order to create. 7. Enter or change the information in the Create sales order form if it

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Procedure: Create a Sale Order from the All Customers

List Page

To create a new sales order from the All Customers list page, follow these steps: 1. Open Sales and marketing > Common > Customers > All

customers.

2. Select the desired customer.

3. Click the Sell tab in the Action Pane. 4. Click Sales order in the New group.

NOTE: Creating a sales order from the Customer form will skip the Sales order create form and all defaults from the customer will be transferred automatically.

Procedure: Enter Sales Order Header Details

Detailed information can be entered or viewed for a sales order by using the

Header view on the Sales order form. To enter details about a sales order,

follow these steps:

orders.

2. Select the desired sales order and then click Edit in the Maintain group of the Action Pane, or create a new sales order.

3. Click Header view in the Show group of the Sales order form or click F12.

4. Click in each tab and enter the required information.

NOTE: For more information about the header view of the Sales order form,

refer to the Working in the header View topic, or refer to the Help for this form.

Adding Lines to a Sales Order

There are several ways that you can add lines to a sales order.

• Manually add one line at a time by using the Add line button on the

Sales order lines tab, or enter Ctrl +N when focused on a line, and

then select one of the following:

o Item number: Use the Item number drop-down list to select a product that is defined in the system. These products can be service or items, and might be stocked or not stocked based on the setup that is defined on the product.

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• Add multiple lines by using the Add lines button on the Sales order

lines tab. On the Create lines form, use the Filter > Advanced filter sort button to search for the desired products. Next, enter the desired

quantity next to each item number in the Sales quantity field. Use the Create button to accept the amounts and close the form, or use the Apply button to add the selected item numbers to the sales order and continue to search.

FIGURE 6.12 CREATE LINES FORM

• Copy lines from another sales order by using the From all or From

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There are several differences on a sales order lines when the product is a stocked product, a not stocked product, or a sales category base line.

• Sales category base line: site is mandatory and the warehouse is optional. Only site and warehouse can be entered on the order line. • Not stocked products: site is mandatory, other storage and tracking

dimensions are active according to the dimension group setup. However, they are optional.

• Stocked products: site is mandatory and other storage and tracking dimensions are active and can be mandatory, depending on the dimension group setup.

NOTE: If a line item is sales category based, then foreign trade information must

be must manually entered for the order line.

Procedure: Add a Line to a Sales Order

To add a line to a sales order, follow these steps:

1. From the Sales order form, click Line view or F11 in the Show group of the Action Pane.

2. Click Add line in the Sales order lines tab. 3. Select the Item number or Sales category.

4. If it is required, enter the Size, Color, Configuration, and other inventory dimensions.

5. Type the quantity to be sold in the Quantity field.

6. Select the unit of measurement to sell the quantity that is specified in the Unit field.

7. If it is necessary, enter the Unit price for the line.

8. Optionally, enter discount information and repeat steps 2 through 8 for each additional line.

Procedure: Add a Sales Category Line to a Sales Order

To add a sales category to a sales order, follow these steps:

1. From the Sales order form, click the Line view button or F11 in the

Show group of the Action Pane.

2. Click Add line in the Sales order lines tab. 3. Select the Sales category.

4. Type the quantity to be sold in the Quantity field.

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7. Optionally, select the warehouse from the Warehouse drop-down. 8. Enter the Unit price for the line.

9. Optionally, enter discount information and repeat steps 2 through 8 for each additional line.

Copy from All

When you create a sales order, the Copy from all feature lets you view all sales orders, confirmations, packing slips, and invoice lines to select a document or lines that are most like the one(s) being created. This data can be copied and used as a starting point for a new sales order.

This helps when you create a new sales order that resembles one that was created for a different customer, or even for the same customer for a different item or quantity. Within this option, users can configure the copying of these variables in the Quantity and Setup field groups:

• Quantity factor • Invert sign • Copy charges • Recalculate price • Copy precisely • Delete order lines • Copy order header

You can open the Copy from all form by clicking Copy from all in the Copy group of the Action Pane or in the Sales order lines tab of the Line view, and then clicking Sales order line and selecting an option for copying information.

Procedure: Copy from Sales Order

To create a new sales order and copy the lines from another sales order, follow these steps:

orders.

4. If you are prompted, click Yes to copy address, delivery address, currency, invoice account number, and language to the sales order. 5. Enter or change the information in the Create sales order form if it

is necessary, and then click OK.

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Lab 6.1 - Create a Sales Order

Contoso Entertainment Systems - Company CEU

Scenario

The customer, Sparrow Wholesales, calls and orders ten pieces of item number 1701, Standard DVD player - black and will pay to have the DVD players to be installed for 300 U.S. dollars (USD). This will be entered as one day installation fee on the sales order.

As a Sales Clerk with Contoso Entertainment Systems, you will create the sales order for item number 1701 and a sales line for the Installation sales category.

Challenge Yourself!

Create the Sales order from the Customer form with two sales lines.

Need a Little Help?

• The Customer form is opened through Sales and marketing >

Common > Customer > All customers.

Step by Step

1. Open Sales and marketing > Common > Customers > All

customers.

2. Select Customer 1201.

3. Click the Sell tab in the Action Pane.

4. Click Sales order in the New group to create a new sales order. 5. In the Item number drop-down, select 1701.

6. Type “10” in the Quantity field. 7. Click Add line.

8. In the Sales category drop-down, select Services > Installation. 9. Type “1” in the Quantity field.

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Ship to Multiple Addresses

The Multiple ship to functionality lets users specify delivery addresses for each order line instead of only according to the order header.

Use the Multiple ship to functionality in sales orders to perform the following actions:

• Specify multiple customer delivery addresses on sales order lines. • Copy addresses that are manually entered on the sales order into the

Addresses table for reuse later.

• Select if sales order documents are printed for each delivery address or for each order.

Scenario: Specify and Save an Alternative Delivery

Address for a Sales Order Header

The order processor is informed that, because of a temporary relocation of a customer, the sales order must be sent to another delivery address.

This address differs from the customer's main address that is specified in the

Customers form. Therefore, the order processor must update the sales order with

the customer’s new delivery address.

To do this, the order processor updates the delivery address on the Sales order header, and then copies the new address to the Alternative delivery address for the customer for later use.

Procedure: Insert an Alternative Address for a Sales

Order Header

To insert an alternative address for a sales order header, follow these steps: 1. Open Sales and marketing > Common > Sales orders > All sales

orders.

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4. Click the Addresses FastTab and use one of the following options to change the address:

a. Use the Delivery address drop-down list to select an available delivery address.

b. Click the Global address book icon to select a different address from the global address book.

c. Click the Add icon to create a new address.

5. Click Yes in the Infolog to update the address where the sales order lines matched the old header address. Click Yes to all to update all sales order lines or No not to update sales order lines.

Scenario: Specify an Alternative Delivery Address for

Sales Order Lines

The Order Processor is informed that a sales order, with three sales order lines for a customer, must be delivered to three delivery addresses for three of their retail outlets.

The customer informs the Order Processor that they need a packing slip for each delivery address.

The Order Processor updates the delivery address on each sales order line, and when the items are ready for delivery, the Order Processor packing slip updates the sales order. As the Packing slip parameter is selected in the Split based on

delivery information field group, one packing slip is printed for each sales order

line for each retail outlet.

Procedure: Change an Address for a Sales Order Line

Detailed information can be entered or viewed for a sales order line in the Line

details tab when you use the Line view on the Sales order form.

To a change an address for a sales order line, follow these steps:

orders.

3. Click Line view in the Show group of the Sales order form. 4. Select the desired line in the Sales order lines tab or create a new

line.

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6. Click the Address FastTab and use one of the following options to change the address.

a. Use the Delivery address drop-down list to select an available delivery address.

b. Click the Global address book icon to select a different address from the global address book.

c. Click the Add icon to create a new address.

TIP: The Address FastTab can stay open when you browse to the next line where

an address change is needed. This eliminates keystrokes where multiple lines need line detail input from the same FastTab.

Delivery Schedule

In Microsoft Dynamics AX 2012, delivery schedules are used on the sales order and sales quotation. This lets the user split an order line into multiple deliveries.

Delivery Schedules

The delivery schedule consists of an order line with multiple deliveries that are manifested as delivery schedule lines. Each delivery schedule line is displayed in the sales order below the order line with multiple deliveries. An icon

distinguishes between the order line with multiple deliveries and the delivery schedule lines.

The order line with multiple deliveries serves as a template for the delivery schedule lines. This means that when the delivery schedule lines are created, the values are copied from the order line with multiple deliveries to the delivery schedule lines.

For example, prices and conditions from trade agreements will be applied to the order line with multiple deliveries and copied to the delivery schedule lines. The quantity of the order line with multiple deliveries and the sum of the quantity of the delivery schedule lines will always be synchronized. After a delivery schedule line is created, most of the attributes of the delivery line can be edited as on a typical order line.

Only delivery schedule lines will be displayed on the sales order confirmation or picking lists, not the order line with multiple deliveries.

NOTE: You can delete a delivery schedule from the Delivery schedule form. If

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Sales and marketing > Common > Sales orders > All Sales orders > Lines view > Sales order line > Delivery schedule

FIGURE 6.13 DELIVERY SCHEDULE FORM

Scenario: Create a Sales Order with a Delivery Schedule

Susan, the Order Processor, receives a call from Desert Wholesales. The customer wants 200 pieces of 1507 LCD Video Projectors each month for the next five months. Because of the trade agreement with Desert Wholesales, they achieve a better price if the order is for 1000 pieces. Susan enters the order for 1000 pieces and uses the delivery schedule deliveries of 200 pieces for the next five months.

Procedure: Create a Sales Order with a Delivery Schedule

To create a sales order with a delivery schedule, follow these steps.

orders.

If you are prompted, click Yes to copy address, delivery address, currency, invoice account number, and language to the sales order. 4. If you are prompted, click No to create the new sales order without

copying previous customer purchase information and then click OK in the Create sales order form.

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9. Enter the Quantity and the Requested receipt date for line . 10. Repeat steps 8 and 9 for each scheduled delivery.

11. Click OK.

Enhanced Delivery Date Control

The Enhanced delivery date control function is primarily about giving realistic and complete delivery promises to a customer during sales order entry and shortening the sales order entry time.

Enhanced delivery date control supports the user in his or her daily work and makes it simpler to give realistic delivery dates. The order processor enters sales orders and Microsoft Dynamics AX 2012 checks if the requested delivery date for the customer can be met from a shipping perspective. If a requested delivery date cannot be met, the order processor is provided with user-friendly simulation that lists the options to help find a resolution to the requested delivery date problem.

Use the delivery date control function together with transfer orders, where the delivery date control is used to calculate earliest possible ship and receipt dates for the transfer order/transfer order lines.

Enhanced delivery date control examines:

• Various levels at which the delivery date control can be enabled • The range of factors to include in the delivery data calculation to

give you the most accurate delivery date

• Using the Available dates functionality to simulate different delivery scenarios and accept or reject calculated delivery dates

Enable the Delivery Date Control Feature

To enable default delivery date control on the sales order header, you must enable the feature. Do this by selecting Sales lead time in the Delivery date

control parameter in Accounts receivable > Setup > Accounts receivable parameters > Shipments tab.

Enabling the Delivery date control feature helps you make sure that delivery date control is set by default every time that you create a sales order header.

You can set up delivery date control on each item, in the Default order setting form, and this defaults to the sales order lines, even if the Delivery date control parameter setting is None. The Delivery date control setting on the item overrides the parameter setting

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Enable the control in the following places: • Create sales order

• Sales order header • Sales order lines • Create release order

NOTE: If you select the ATP, CTP or ATP + Issue margin in the Delivery date control parameter, it will work with the Available-to-promise (ATP) time fence

and ATP incl. planned orders parameters for the ATP feature.

Available-to-Promise

The available-to-promise (ATP) parameter is available in the Delivery date

control field in the Accounts receivable parameters and on the Default order settings form on the item setup.

Available-to-promise (ATP) logic applies to stocked items, and automatically results in the assignment of a delivery date to a sales order line item. ATP logic assumes that item replenishment is driven by demand procurement and

production. Therefore, delivery promises can be based on scheduled receipts within the horizon that is defined by the ATP time fence. The optional

consideration of planned orders as scheduled receipts would be applicable when most planned orders are used to create actual supply orders.

The ATP time fence for an item typically represents its cumulative lead time, although it sometimes represents the lead time to produce a manufactured item from stocked components. The promised delivery date will be automatically placed at the end of the time horizon that is defined by the ATP time fence when there are insufficient scheduled receipts.

The ATP logic can also consider past-due demand and supply. These dates should be updated to the current date or a future date to correctly coordinate supply chain activities, either by manually changing the date or by automatic changes based on the calculated futures date. When the dates are not updated, the optional ATP policies should be used to consider the past-due dates. For

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Capable-to-Promise

Capable-to-promise (CTP) logic generally applies to make-to-order items, and automatically results in the assignment of a delivery date to a sales order line item. CTP logic considers components’ on-hand inventories and their lead times to suggest a promised delivery date. For example, when no component inventory exists, the promised delivery date reflects the item’s cumulative manufacturing lead time.

The CTP logic is conceptually similar to the explosion logic for a sales line. The Explosion logic must be manually invoked for a line item, and involves several steps to correctly calculate and update the promised delivery date on a sales line. You can learn more about capable-to-promise (CTP) in the Microsoft Dynamics AX 2012 Discrete Manufacturing series.

Earliest Possible Delivery Date Factors

Several factors can help determine the earliest possible delivery date to the customer when you use the delivery date control functionality. Microsoft Dynamics AX 2012 uses certain factors to base its calculation of the earliest possible delivery date for a sales order.

Consider the following factors when calculating the earliest possible delivery date:

• Delivery date control method: None, Sales lead time, ATP, ATP + Issue margin or CTP

• Coverage calendar • Order deadlines • Transport time • Transport calendars • Customer receipt calendars

Sales Lead Time

Sales lead time is the number of days that you can use on all the activities from receiving the sales order to shipping it. These activities can include the

following:

• Sales administration tasks

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The sales lead time is a default value for all items that you sell from your company. However, notice that the sales lead time on individual items overrides the sales lead time in the Accounts receivable parameters. Define the sales order lead time in Accounts receivable > Setup > Accounts receivable parameters >

Shipments tab.

Considering the sales lead time, if you try to specify a requested shipping date that falls before the first possible date, the system generates a warning and asks you to find another available date for delivery.

The system-proposed ship and receipt dates can be overridden if you click

Disable dlv. date control. In this case, the system accepts the dates that were

originally proposed, although you cannot force the system to accept a closed date in the calendar or a date in the past.

Coverage Calendar

The coverage calendar for the warehouse is set up for each warehouse. In the coverage calendar, you can set up open and closed days for the warehouse. If the requested shipping date falls on a closed day, then the next open day is used for the requested shipping date. If you do not set up a coverage calendar, the open and closed days for the company are defined in the Company information form on the Shipping calendar.

Procedure: Set Up a Coverage Calendar for a Warehouse

To set up a coverage calendar for a warehouse, follow these steps:

1. Open Inventory and warehouse management > Setup >

Inventory breakdown > Warehouses.

2. Select a warehouse.

3. Click the Master planning tab.

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Transport Time

Set up transport time between a warehouse in your company and a customer address in the Transport form. This is opened by clicking Inventory and

warehouse management > Setup > Distribution > Transport.

FIGURE 6.14 TRANSPORT FORM

NOTE: Make sure that fallback warehouses are associated with the sites. The

fallback warehouse is used to calculate the transport time if a site but no warehouse is specified on the sales order line.

Procedure: Set up Transport Times

To specify the transport shipping point, receiving point, and transport duration, follow these steps.

1. Open Inventory and management > Setup > Distribution >

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3. Under the Receiving point section in the Type list, select Address or Warehouse.

4. Leave the remaining fields blank on the top pane of the form. This lets you see all the current transport possibilities.

5. In the middle pane, create a new line and select the relevant shipping warehouse.

6. Depending on the setting of step 2, on the General tab, select either the receiving warehouse or the receiving point address by selecting, for example, the ZIP/postal Code.

7. You can enter the number of transport days that will be used in master planning when you create planned transfer orders.

8. To add new shipping and/or receiving points, repeat the procedure from step 2.

9. In the bottom panel, create a new line and select a mode of delivery. 10. Enter the number of transport days for transport.

11. Repeat from step 8 for all desired modes of delivery.

12. Select the Default check box for the preferred mode of delivery that will be used in master planning when you create planned transfer orders. This overrides the Transport days setting in step 6. 13. To add new shipping and/or receiving points, repeat from step 2.

Fallback Warehouse

The Transport form is controlled based on warehouse and not site. This means that if only the site is specified on the sales order line, the Transport form does not receive the necessary input to calculate and find the correct transport time. The Fallback warehouse for site form is where you can specify a fallback warehouse for a site. This means that if only the site is specified on a sales order line, the necessary information for the Transport form is pulled from the fallback warehouse for that specific site instead. Therefore, the Transport form still calculates the transport time based on the individual warehouse settings.

NOTE: The fallback warehouse settings also apply if transport has only been set

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To set up fallback warehouses, open the Fallback warehouse for site form from

Inventory and warehouse management > Setup > Distribution > Fallback warehouse for site.

FIGURE 6.15 FALLBACK WAREHOUSE FOR SITE FORM

Transport Calendar

A transport calendar can be attached to a Mode of delivery by opening the transport calendar from the Modes of delivery form in Accounts receivable >

Setup > Distribution.

The transport calendar lets you operate with two levels of detail: • Mode of delivery

• Warehouse specific

The transport calendar is a working time calendar and allows for three statuses of the working times, as shown in the following table.

Status Description

Open The mode of delivery is open for pickup and delivery. Closed The mode of delivery is closed for pickup and delivery. Closed for pickup This means that the carrier can operate on an open day

but does not make pickups from warehouses on that day. This is an important feature because many carriers operate seven days a week but might only pick up items to be delivered on certain days of the week.

Procedure: Attach a Calendar to a Mode of Delivery

To attach a calendar to a mode of delivery for a warehouse, follow these steps.

1. Open Accounts receivable > Setup > Distribution > Modes of

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4. Specify the Warehouse for which the calendar is valid if you want to create a warehouse relation. Otherwise, leave the field blank. 5. Select the Calendar.

Procedure: Customer Receipt Calendar

Specify the opening days for the customer in the Customer receipt calendar. You cannot specify that a receipt date falls on a closed date in the customer's receipt calendar. If no receipt calendar is specified for the customer, all days are open for the customer.

To specify a customer receipt calendar, follow these steps:

1. Open Sales and marketing > Common > Customers > All

customers.

2. Select the customer and then click Edit in the Maintain group of the Action Pane.

3. Click the Invoice and delivery FastTab.

4. Specify a Receipt calendar in the Receipt calendar field.

Supply Overview

The purpose of the Supply overview form in Microsoft Dynamics AX 2012 is to provide an overview of the available supply beyond the default supply option and to enable the user to view and compare the alternatives for supplying items that the customer requires at the time that he or she specified.

Other locations include the following:

• Sites other than the one making the delivery • Vendors that are rarely used

• Alternative ways of producing the item

To satisfy a customer's demand for an item, the item can frequently be sourced in many ways, for example:

• Creating a production order at the site from which the order will be shipped to the customer

• Using available items in inventory or on existing production orders or purchased orders

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The Supply overview form is opened from the Product and supply > Supply

overview button from sales order lines, in the Sales Orders form.

FIGURE 6.16 SUPPLY OVERVIEW FORM

Scenario: Supply Overview Form

When Susan, the Order Processor, is viewing the Supply overview form, she notices that there is a quantity of an item on stock at another site. She contacts Eduardo, the Planner on that site, to check whether she could use those items. Eduardo currently has a surplus of the item in question because a customer recently changed an order. Therefore, he agrees that Susan can use them. Susan creates a transfer order for the items from their current site to the site from where they will be shipped. Susan inserts the ship and receipt dates on the sales order line based on this arrangement.

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Lab 6.2 - Setting up Transport Times

Contoso Entertainment Systems - Company CEU

Scenario

As the Sales Manager for Contoso Entertainment Systems, you are responsible for setting up the Delivery date control functionality and transport times for an existing customer in the ZIP Code/Postal Code is 07010.

• The standard transport time by Mode of delivery 50, Parcel between Contoso Entertainment Systems' warehouse 21 and the customer is five working days. This is the default transport time.

• Specify that, when 11, UPS Ground is the mode of delivery from warehouse 21, the transport time is three working days.

• Specify that, when 01, UPS Next Day Air is the mode of delivery from warehouse 21, the transport time is only one work day.

Challenge Yourself!

Set up the transport times to the customer for different modes of delivery according to the specifications in the lab description.

Need a Little Help?

• Set up the transport times in Inventory and warehouse

management > Setup > Distribution > Transport.

• Set up a standard transport time by using a default value.

Step by Step

Distribution > Transport.

2. Click New.

3. In the Overview grid, select 21 in the Shipping Warehouse field. 4. Type "USA" in the Country/region field.

5. In the Overview grid, type "01199" in the ZIP/Postal code field. 6. In the lowest pane, create a new line by clicking Add, and then select

50 in the Mode of delivery field and a transport time of five days. Select the Default check box.

7. Click Add, and then select 11 for the Mode of delivery field and a transport time of three days.

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Available Ship and Receipt Dates

The Available ship and receipt dates dialog box appears if a sales order cannot be delivered on the requested date, considering all the calendars and times that you have previously set up.

Available Ship and Receive Date Dialog Box

The Available ship and receipt dates form provides an immediate and clear warning that indicates if you can deliver a sales order in time to meet the customer's requirements.

FIGURE 6.17 AVAILABLE SHIP AND RECEIPT DATES FORM

In the Available ship and receipt dates form, you can perform the following: • View the dates on which you can/cannot ship a sales order in the

upper part of the form and the reason why the date is unavailable. For example, the shipping date falls on a closed date in the transport calendar.

• Resolve the problem. For example, change the mode of delivery for the order.

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Specify and Update Request Dates with the Available

Dates Function

When you create a sales order, Microsoft Dynamics AX 2012 calculates the earliest possible ship date and receipt date. The earliest ship and receipt dates depend on the setup that is created for all the factors previously referred to in the "Enhanced Delivery Date Control" lesson.

If you try to select a requested ship date or requested receipt date that falls before the calculated requested ship date or requested receipt date, the Available ship

and receipt dates dialog box appears.

The Available ship and receipt dates form has two panes:

• Top pane: indicates what the problem is with the requested ship/receipt date for the selected sales order.

• Bottom pane: the non-available dates are indicated with a caution icon. These are likely closed days in the calendar. The rest of the dates are available.

Available Ship and Receipt Dates - Parameters

Use the parameters and information in the Available ship and receipt dates form to try to meet the requested delivery date and solve the date problem. These parameters are described in the following table.

Mode of delivery

Change the mode of delivery to reduce the transport time. For example, delivery by AIR is usually faster than delivery by VAN. Therefore, to bring the requested receipt date forward, you can switch the mode of delivery to AIR and simulate what the result will be for available ship dates and available receipt dates.

Site Change the site.

Warehouse Change the warehouse and the number of transport days to be less or more. This lets you fulfill/not fulfill the requested ship/receipt date.

Delivery date control

Displays which delivery date control is being used for the sales order.

Lead time In the sales order header, the lead time comes from the default sales lead time that is specified on the Accounts

receivable parameters form. In the sales order lines, the

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Transport days

Shows the number of days it takes to transport items from the shipping point to the receiving point for the given mode of delivery. You can set up the transport days on the

Transport form.

My time Shows the order entry deadline at the shipping location. This is converted to your time zone.

Shipping location time

Shows the order entry deadline at the shipping location in the time zone of the shipping location.

Available

ship date Available ship date from the shipping point. Available

receipt date

Available receipt date at the receiving point.

Order Entry Deadlines

The delivery date control feature lets you specify order entry deadlines for each site and consider that sites might be located in different time zones.

This deadline in Microsoft Dynamics AX 2012 is defined as the order entry deadline.

The order entry deadline is defined for each site according to the time zone that the site is located in and not the time zone where sales orders are created. In addition, you can enable certain important customers to have later order entry deadlines than other customers.

In many companies, a sales order must be received before a certain time of day for the sales order to be treated as if it is received that day. If the order is received after this deadline, the company treats the sales order as if it is received the next business day.

Scenario: Order Entry Deadlines

Susan, the Order Processor, sets up order entry deadline times for all the days of the week in the Order entry deadlines form. If an order is received after this time, it will be treated as if it is received the next day. By default, these times are set to 23:59, that is, one minute to midnight at the end of the relevant day. Susan can change the default times so that they coincide with actual ship deadline times.

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If a company's sites are located in different time zones, the order entry deadline is set up in the site time zone. However, with sales orders and sales quotations, the order entry deadline is converted to the user's time zone in the Available ship

and receipt dates dialog box.

The permitted combinations of site and order entry deadline group are defined in the Activate order entry deadline combinations form.

Example: Order Entry Deadline

Suppose that today is Tuesday and the time is 17:00. If Susan, the Order Processor, sets the order deadline to 16:00 on Tuesday and tries to set the ship date as today's date (assuming zero lead time), she will receive a warning that the date is invalid if the Sales lead time, ATP, ATP + Issue margin, or CTP is selected in the Delivery date control field. This warning will appear in the

Available ship and receipt dates dialog box on which alternative dates can be

selected.

Example: Different Order Entry Deadline for Each Site

A company consists of two sites. The sites are located in two time zones. This is an example in which two sites have different order entry deadlines.

Site A Site B

California Florida Pacific Standard Time (PST) Eastern Standard Time (EST) Site A and B have defined the following order entry deadlines.

Order entry deadlines PST Order entry deadlines EST Monday 13:00 Monday 14:00 Tuesday 13:00 Tuesday 14:00 Wednesday 13:00 Wednesday 14:00 Thursday 13:00 Thursday 14:00 Friday 13:00 Friday 14:00

Susan, the Order Processor, is located in Utah where the time zone is Mountain Standard Time (MST).

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The following table shows the order entry deadlines for site A and B converted to MST time.

Site A (PST) MST Site B (EST) MST

13:00 14:00 14:00 12:00

Example: Same Order Entry Deadline for Each Site

A company consists of two sites. The sites are located in two time zones. This is an example in which two sites have the same order entry deadline.

Site A Site B

California Florida Pacific Standard Time (PST) Eastern Standard Time (EST) Site A and B have defined the following order entry deadlines.

Order entry deadlines PST and EST

Monday 13:00 Tuesday 13:00 Wednesday 13:00 Thursday 13:00 Friday 13:00

Susan, the Order Processor is located in Utah where the time zone is Mountain Standard Time (MST).

This means that, if Susan creates orders with site A before 14:00 MST and with site B before 11:00 MST, she meets the order entry deadlines for both sites. The following table shows the order entry deadlines for site A and B converted to MST time.

Site A (PST) Site A (MST) Site B (EST) Site B (MST)

13:00 14:00 13:00 11:00

NOTE: If daylight saving time adjustment is in effect, the order entry deadlines

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Procedure: Set Up Order Entry Deadlines

To specify order entry deadlines for each site and order entry deadline groups, follow these steps:

Distribution > Order entry deadlines.

FIGURE 6.18 ORDER ENTRY DEADLINES FORM

2. In the Site field, specify if you want order entry deadlines to apply to a specific site or to all sites.

3. Select a site in the Select field if you have selected Specific in the

Site field.

4. In the Order entry deadline group field, specify if you want order entry deadlines to apply to a specific order entry deadline group or to all order entry deadline groups.

5. Select an order entry deadline group in the Select field if you have selected Specific in the Order entry deadline group field. 6. Type order entry deadline times in each day of the week fields.

NOTE: If an error icon appears next to the line, the order entry deadline

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Procedure: Create an Order Entry Deadline Group

To define order entry deadlines for sites or groups of customers, follow these steps.

First, create order entry deadline groups and then associate the order entry deadline groups that have sites or customers.

Distribution > Order entry deadline groups.

FIGURE 6.19 ORDER ENTRY DEADLINE GROUPS 2. Click New to create a new Order entry deadline group.

3. Type a group name in the Order entry deadline group field and type a description of the group in the Description field.

Procedure: Assign an Order Entry Deadline Group to a

Customer

To assign an Order entry deadline group to a customer, follow these steps. 1. Open Sales and marketing > Common > Customers > All

customers.

2. Select the customer to whom you want to assign an order entry deadline group and then click Edit in the Action Pane.