Managing Freight Charges at Sales Quotation—Exercises

Basic Data Setup

Define Freight Map and Zones

Purpose: The purpose of this exercise is define the freight map used in your site, with the different zones that will be used for calculating the freight to your customer's delivery address.

Windows:
Freight Map

  1. Enter the freight map header per ship via code.
  2. Define zones.

General exercise for Define Freight Map and Zones.

Enter Freight Price List for Unit Based Charges

Purpose: The purpose of this exercise is to learn how to enter and define the freight prices list, where the rates for freight will be set.

Windows:
Freight Price List

  1. Enter a new freight price list header.
  2. Enter freight price list lines.
  3. Activate the freight price list.

General exercise for Enter Freight Price List for Unit Based Charges.

Main Exercise

Enter Sales Quotation with Freight Charges

Purpose: The purpose of this exercise is to show you that by entering a sales quotation line, the freight corresponding to it is automatically added to the quotation by inserting a charge line.

 

Windows:
Sales Quotation

  1. Open the Sales Quotation window and click New.
  2. Enter a sales quotation for a normal customer where you have defined a freight price list for the ship via and forwarder of the quotation.
  3. Enter the wanted delivery date in the sales quotation header.
  4. Use a delivery term that triggers the freight calculation.
  5. Open the Delivery Information tab and observe that the freight map, zone and freight price list are shown there. If you assigned freight information for supply chain relation then map and zone will be retrieved from there. Otherwise, the system assigns freight map and zone from the sales quotation.
  6. Enter a quotation line for a sales part with weight, alternatively volume, and also with freight information defined.
  7. Save the record. Observe that a charge has been automatically added to the quotation and that it is connected to the specific quotation line.
  8. Duplicate the above entered quotation line. Notice that another charge line is created connected to the second line.
  9. In the second line, right-click and then click Lost Quotation Line.
  10. Notice that the charge line connected is removed automatically.

Consolidate Freight on a Sales Quotation

Purpose: The purpose of this exercise is to learn how to calculate the freight based on the weight or volume of the whole sales quotation, i.e. all quotation lines that will be delivered together.

Windows:
Sales Quotation

  1. Open the Sales Quotation window and search for your quotation.
  2. Make sure that there is more than one quotation line and its correspondent freight charge line.
  3. Manually consolidate the freight by right-clicking and then clicking on Calculate/Consolidate Freight.
  4. Observe that the freight price is now fetched from the price list for the total weight/volume of the lines together, and not just line by line.
  5. Release another sales quotation and observe that the consolidation is performed automatically.

Handling Minimum Freight Amount and Freight Free Amount

Purpose: The purpose of this exercise is to learn the impact of zone specific information in freight price list to the freight charges in the sales quotation.

Windows:
Freight Price List
Sales Quotation

  1. Open the Freight Price List window and click the Zone Info tab.
  2. Create a new record, and enter the zone ID in the Zone ID field, using the List of Values.
  3. Enter a minimum freight amount and freight  free amount per zone.
  4. Repeat steps 2 and 3 for the required zones.
  5. Enter a sales quotation for a customer where the ship via code and forwarder are applicable for your freight price list. Make sure that the delivery address represents the freight zone where you have entered freight information in step 3.
  6. Use a delivery term that triggers the freight calculation.
  7. Click the Sales Quotation/Delivery Information tab and observe that the zone, map and freight price list are shown there.
  8. Enter a quotation line so that the multiplication of the charge qty and the charge price relevant for the quotation line is less than the minimum freight amount.
  9. Notice that the charge price is the minimum freight amount and charge qty is 1.
  10. Add more quotation lines so that the Total Net Amount/Base field exceeds the freight free amount entered per zone in the freight price list.
  11. Right-click and then click Calculate/Consolidate Freight.
  12. Notice that the charge price is set to zero in all the freight charge lines although the charge cost is not zero. Charge cost is taken from the Freight Price List window. The Freight Free checkbox is selected.

Apply Fixed Delivery Freight to Sales Quotation

Purpose: The purpose of this exercise is to learn how to apply and manage fixed delivery freight to the sales quotation.

Windows:

Freight Price List
Sales Quotation

  1. Open the Freight Price List window.
  2. Click the Zone Info tab and enter the fixed delivery price per zone.
  3. Enter a sales quotation for a customer where the ship via code and forwarder are applicable for your freight price list. Make sure that the delivery address represents the freight zone where you have entered the fixed delivery freight in the above step.
  4. Use a delivery term that triggers the freight calculation.
  5. Click the Delivery Information tab and observe that the zone, map and freight price list are shown there.
  6. Enter a few quotation lines so that freight charges are fetched.
  7. Select the Apply Fixed Delivery Freight check box in the Sales Quotation/Delivery Information tab. Notice that the fixed delivery freight is fetched from the Freight Price List/Zone Info tab.
  8. This amount is shown in base currency. You can edit this value.
  9. Notice that there is no difference in the Charges tab.
  10. Right-click on the sales quotation header and then click Calculate/Consolidate Freight. Notice that the fixed delivery freight is distributed among freight charge lines proportionately to the connected quotation line weight or volume depending on the freight basis of the freight price list and the charge qty is 1.
  11. Change the wanted delivery date on a sales quotation line. Consolidate again.
  12. Notice that in the charge connected to the above quotation line, the charge price is equal to the fixed delivery freight. An amount equal to the fixed delivery freight has been distributed among other freight charge lines.
  13. This is because the amount equal to the fixed delivery freight is applied for each set of quotation lines which are to be delivered together. i.e. common map, zone, ship via and delivery date.
  14. Notice that if a sales customer order is created from the sales quotation header (if no quotation line is already converted to customer order before) then, the fixed delivery freight amount will be carried to the customer order.