AX2012 TMS: How to add freight and fuel charges into sales order upon outbound transportation process

In this blog post I would like to warn you regarding one checkbox that is stealing miscellaneous charges from your sales order. In general, without turning this checkbox on, miscellaneous charges will not be automatically added into sales order after successful outbound shipment in the Load planning workbench. Are you wondering what it can be? Let me elaborate on this issue.

In this example we have a sales order for an item and we are going to charge our customer for freight and fuel, which is the product of the mileage and the rate per mile at the current fuel prices. All these charges we are going to add to the sales order for the customer to pay.

Below you can find the list of configurations that should be setup in order to transfer miscellaneous charges to the order at the time of shipment confirmation.

Terms of delivery

Navigate to the Sales and marketing > Setup > Distribution > Terms of Delivery.

Select Freight charge terms Core, ancillary, and handling.

Set Add transportation charges to orders checkbox.

Miscellaneous charges

Navigate to the Transportation management > Setup > General > Miscellaneous charges.

Click New button.

Select Charge module, Customer.

Select Charges code.

Select additional criteria for which the charge should apply to. We will determine that Freight charge code should apply to GFE shipping carrier, STD carrier service and Freight delivery terms.

Charges code

Navigate to the Accounts receivable > Setup > Charges > Charges code.

Set Debit type, Customer/Vendor. This will add the transportation charge to the customer’s account.

Set Credit type, Ledger account. This will account for the expenses from the transportation charges.

Shipping carrier

Navigate to the Transportation management > Setup > General > Shipping carrier.

At the beginning of this post I mentioned about one flag that MUST be set.

Activate carrier rating flag must be set to “Yes”. Keep in mind that being set to No, miscellaneous charges will not be added into the sales order.

Load template

Navigate to the Transportation management > Setup > General > Load template.

Set Max.allowed load weight and Max.allowed gross weight.

This template will be used during new load creation.

Add weight to the product

Navigate to the Product information management > Released products > Edit button > Manage inventory tab > Net weight field in the Weight measurements group of fields.

Set Net weight field.

It this demonstration all settings related to the rate engine functionality have been omitted such as fuel index regions, fuel index, carrier fuel index, accessorial assignments, accessorial master, billing Group, carrier accessorial charges, mileage engine, rate master but have to be configured in order to follow the described process.  

Walkthrough

1. Create sales order by navigating to the Accounts receivable > Sales orders > All sales orders.

Click New button.

Set the following values:

• Customer account
• Site, Warehouse
• Mode of delivery
• Delivery terms

Make sure that Delivery address is set.

2. Create sales order line.

Set the following values:

• Item number
• Quantity
• Unit price

Make sure that Address of the warehouse is set. Together with the Delivery address this information will be used for the miles determination.

3. Reserve the stock by clicking Inventory > Reservation.

4. Create a new load by going to the Warehouse management tab on the Action pane and clicking Load planning workbench.

Make sure that Pick up and Drop off addresses are populated.

Click To new load.

In the Load template assignment form, select Load template ID field and click OK.

Make sure that Total weight is displayed as well as it less that Weight capacity taken from Load template.

As the result, new load will be created.

5. Select transport rate by clicking Rating and routing > Rate route workbench in the Loads section.

Make sure that both addresses are displayed.

Click Rate shop at the top of the form.

Route results will be displayed.

Switch to the Segments tab – > Details.

120 $ will be added as Freight charge and 54 $ will be added as Fuel surcharge.

Select the route guide, and then click Assign.

Routes form will be displayed.

Close that form as well as Rate route workbench form.

In the Load planning workbench click Rating and routing -> Routes to make sure that route is assigned to the load.

Click Route rate detail.

6. Release to warehouse by clicking Release > Release to warehouse in the Load planning workbench.

Make sure that Work, Wave, Shipment are created.

Check Work details by clicking Related information – > Work details.

Check that all locations are set.

7. Complete warehouse sales picking work in the Mobile device.

Find available license plate by clicking Inventory by location.

8. Complete warehouse sales loading in the Mobile device.

Make sure that Work status is Closed.

9. Confirm shipment by clicking Ship and receive -> Outbound shipment

Make sure that Shipment has been confirmed.

Check the status of the Load, it should be Shipped.

10. Review transportation charges added to the order.

Navigate to the Accounts receivable > Sales orders > All sales orders > Financials > Maintain charges.

Make sure that charges have been added to the sales order.