A customer recently contacted us to inquire about options for changing how GP comes up with the Unit Cost on a Purchase Order. They use GP Manufacturing and create Purchase Orders from Purchase Request Resolution (PRR). They had two issues they wanted to address: First, the PRR window does not show the Unit Cost, so they couldn’t see the cost and had to manually open and review each PO after creating it. Second, several of their Vendors add additional charges into the cost of an item to cover special fees. There were several sources of the additional charges, such as a rush handling fee, a commodity surcharge, and/or ordering a different quantity than normal and receiving (or not) a quantity price break.
Dynamics GP stores the last Unit Price paid for an Item in the Originating Invoice Cost field on Item Vendors Maintenance. Anything that causes the Receipt Cost to change will be reflected in the next PO. In the case of the additional surcharge, this can result in a upward spiral in the cost when your Vendor takes the Unit Cost from your PO, adds a surcharge, which becomes the Originating Invoice Cost when the PO is received, which becomes the next Unit Cost on your next PO, to which your Vendor again adds a surcharge….and so on.
The situation was frustrating for users, and was costing the company money when PO’s were released with an incorrect cost.
Fortunately we already had available several options to help them.
has several Tweaks which focus on different aspects of the PO Cost. “Lock Last Cost” prevents GP from updating the Originating Invoice Cost field. This allows you to set what the Unit Cost should be, and regardless of the cost on the PO Receipt, the Originating Invoice Cost stays the same. “Lock Last Cost” can also password protect the Originating Invoice Cost field so only certain users have the ability to change it.
Another option comes from . overrides GP when it retrieves the Originating Invoice Cost, and instead provides a cost coming from our Vendor Pricing module. Vendor Pricing provides the ability to setup Vendor Pricing with Quantity Price Breaks, as well as pending price lists which automatically become active on the specified Effective Date. Vendor Pricing integrates tightly with GP Manufacturing, providing the ability in PRR (and MRP Planned Orders) to see the Unit Cost that will be used, manually enter a different cost if needed, and to view the Vendor Price List (if one exists). Of course it also integrates with PO Generator and Purchase Order Entry.
The client had not considered the possibility that they could even have access to view and edit costs from PRR, so they were excited about Vendor Pricing. Not only did it give them the ability to prevent Unit Cost from changing each time they create a PO, but they could put a Vendor Price List into GP so the Unit Cost would automatically be adjusted for a given Quantity Price break.
is a firm dedicated to helping businesses achieve a positive Return On Investment using Microsoft Dynamics GP. We do this by providing unique products that help users be more efficient, and by partnering with you to create client specific enhancements that streamline business activities.
by WilloWare
