Sales order entry scenarios
The following scenarios describe creating a sales order: a simple one and one with variances.
The scenarios use the demo data company USMF for Microsoft Dynamics 365 Supply Chain Management.
Scenario - Sales order entry to cash process - simple
In this scenario, the order processor in USMF plays the role of multiple persons in this end-to-end demonstration. The company that the order processor works for sells standard products, typically manufactured or procured to stock. The sale of standard products helps ensure a short delivery lead time. In some cases, the company procures to order. In this scenario, the customer (a wholesaler) orders replenishment of three line items: one projector and two LCD TVs.Customer US-013 requests that USMF ships all order lines as early as possible and that the order is complete; the customer won't accept partial orders.
Instructions
Follow these steps to complete the customer's order:
Go to Sales and marketing > Customers > All customers.
Select customer US-013.
On the Sell FastTab, under the New submenu, select Sales order.
Under the Sales order lines FastTab, in the Item number field, select T0002.
In the Quantity field, enter 10. On the Sales order FastTab, the Requested ship date and the Requested receive date default to the current date.
Expand the Line details FastTab and then select the Delivery FastTab.
Select the Simulate delivery dates link.
In the Available ship and receipt dates dialog, observe the Transport days (for example: five days). Observe that you can ship the goods tomorrow and that the customer can receive the line item in five business days.
Select Cancel to exit the page.
Note
In this exercise, you don't confirm dates on a line-by-line basis. Instead, you confirm dates across all lines later so that you can ensure ship date alignment for complete delivery.
On the Sales order lines FastTab, select Add line.
In the Item number field, select T0004.
In the Quantity field, enter 8.
On the Line details FastTab, select the Product tab.
In the Color field, enter Silver.
On the Sales order lines FastTab, select Add.
In the Item number field, enter T0005.
In the Quantity field, enter 10.
On the Line details FastTab, in the Color field, select White. You now have three order lines for the customer.
Select Save.
Close the page.
You might receive a warning that the customer credit limit has been exceeded. The reason is because the Accounts receivable clerks have had an off-site meeting and haven't registered the payments that they recently received from the customer. Therefore, this message is only a warning, so you can proceed.
Scenario - Sales order entry to cash process - reserve inventory
Because US-013 is a high-priority customer, you receive a request to make a reservation against inventory to ensure that no subsequent orders reserve the required on-hand items for this high-priority customer order.
Instructions
To complete the reservation against inventory, follow these steps:
Go to Sales and marketing > Sales orders > All sales orders.
On the list page, find the sales order that you created. This sales order is likely in the lower part the grid.
Select the Sales order number, which is a link that opens the sales order.
Select Edit on the Action Pane in the upper part of the screen.
Under the Sales order lines FastTab, select line item T0002. A check mark appears on the selected line.
Expand the Line details FastTab and then select the Setup tab.
Set the Reservation field to Automatic. This setting creates a reservation in inventory for the sales order line demand.
Scroll up to the Sales order lines. In the grid, select line item T0004.
On the Line details FastTab, select the Setup tab. Set the Reservation field to Automatic.
Scroll up to the Sales order lines. In the grid, select line item T0005.
Set the Reservation field to Automatic. Now, all line items are reserved.
Select Save.
On the Action Pane, select the Manage tab.
In the Customer submenu, select Find prices. The Current prices and discounts page opens. Close the "customer credit limit is exceeded" warning if it appears.
The Current prices and discounts page shows how the system calculates prices and discounts on items for the specific customer in the Customer account field.
In the Item number dropdown menu, select item number T0002.
Enter a Quantity of 10 and then press the Tab key.
View the detail of the Price and discounts from agreements section toward the bottom of the page.
Observe how the system retrieves prices and discounts from trade agreements. No discounts are defined and no price breaks are available. A general price for all customers is defined, implying a standard list price of USD 3,750.00 for all customers who are quantity independent.
In the Item number dropdown menu, enter a quantity of 15 and then press the Tab key to recalculate values.
Observe, that no better price or extra discount is granted for a higher quantity that's ordered, as expected.
Close the Current prices and discounts page.
On the Sales order Action Pane, select the Sell tab.
In the Tax submenu, select Sales tax.
Observe the calculated Actual sales tax amount. The calculated sales tax is for a sales tax code for the customer receipt location, which in this case is New York State, where the sales tax code is 4%.
Select OK to close the Sales tax page.
On the Action Pane, select the Sales order tab.
In the View submenu, select Totals.
Observe the total computation of all sales taxes that pertain to this sales order. The customer credit line is USD 500,000.00. If the Subtotal amount exceeds the credit line amount, you receive the credit limit exceeded warning. Additionally, the Invoice amount field has the sales order total that you need to invoice to the customer.
After creating a sales order confirmation for the customer, your objective is to ensure that all line items align with the line item that has the ship date farthest in the future. This verification is to ensure complete shipment, no partials.
The output is that all lines get the same confirmed ship and receipt date, and the sales order header has the confirmed ship and receipt date auto updated.
On the Sales order page, with your sales order checked, select the Sell tab on the Action Pane.
In the Calculate submenu, select Confirmed delivery dates. Confirmed ship dates are set on all order lines and on the sales order header. Select the Latest confirmed date accepted option by using the calendar icon.
Select OK. The system returns you to the Sales order details page.
Select your Sales order. This action places a check mark next to your order.
On the Action Pane, in the Generate submenu, select Confirm sales order.
On the Confirm sales order dialog, set the Print confirmation toggle to Yes, and then select OK to generate print-to-screen. You might receive a warning about posting the confirmation and printing to screen only. Select Yes to continue.
A screen appears, displaying the report. Review and then close the report. You might receive a warning if the credit limit is exceeded. Close the warning.
On the Sales order Action Pane, select the Pick and pack tab.
In the Generate submenu, select Generate picking list.
On the Posting picking list page, you can scroll to view the Picking list overview and the associated Sales order lines. Select OK. The system sends a confirmation message, notifying that you're about to post the document without printing it.
Select OK. Don't print. The picking list has now been issued and picking can commence. You can start the picking process from multiple areas in Supply Chain Management. So far, you've performed picking in the simplest way, which is directly from the Sales order page.
Note
An alternative and more specialized way to release lines for picking is to use Release sales order picking, which allows a centralized and consolidated view on sales order line demands that are waiting to be released to pick. Another approach would be to release in a batch, depending on specific query criteria.
On the Sales order Action Pane, select the Pick and pack tab.
In the Generate submenu, select Picking List Registration.
On the Action Pane, select Updates > Update All. The Handling status under the Identification FastTab now shows as Completed.
Select Save and then Close the window.
On the Sales order Action Pane, select the Pick and pack tab.
In the Generate submenu, select Post Packing Slip.
On the Packing slip posting page, set the Print packing slip toggle to Yes.
Select OK to generate print-to-screen. The system generates a packing slip and the warehouse team ships the goods. You receive a warning that you're posting the packing slip and printing to the screen only. Select Yes to continue.
When you review the report, close it.
On the Sales order header, select the Invoice tab.
In the Generate submenu, select Invoice.
On the Posting Invoice page, set the Print invoice toggle to Yes. You can also scroll down to view the Invoice overview and the Lines.
Select OK to generate print-to-screen. Note the customer invoice number; you need this number later. You receive a warning that you're posting the invoice and printing to screen only.
Select Yes.
Create a new payment journal
More ways are available for you to receive a customer payment and settle the payment against one or more customer debits. The chosen method that's shown in this section is fast and performs the payment registration and settlement in the same task. However, if business requirements dictate, you can first receive a customer payment and then later settle it against one or more customer debits.
Go to Accounts receivable > Payments > Customer payment journal.
On the Action Pane in the upper part of the page, select New.
In the Name field, enter CustPay. The system defaults the Description to Customer payment.
On the upper Action Pane, select the Enter customer payments tab.
Select Customer US-013.
Enter an appropriate payment reference of your choice, such as Customer Payment.
Enter the Amount of the payment, such as $74,092.80. For reference, the invoice amount that's due appears in the lower part of the page, displayed under the Amount to pay column. This amount is the net amount due after discounts. Ensure that the amount of payment is equal to the amount debited to the customer for the previous invoice.
Select the Currency if it's different than US dollars.
In the Select to Pay grid, select the invoice that you previously created.
In the Amount field, enter the amount that's equal to the Remaining amount. The Settled field automatically calculates the payment amount that you're making.
Check that no Remaining amount for settlement results from the payment.
Select Save in Journal on the Action Pane.
Select Close. You've now recorded the customer payment and have received and settled it against the customer invoice. However, it's not posted in the ledger yet.
On the Customer payment journal page, select the Journal batch number for the payment journal that you created. A check mark appears next to the payment journal.
Select Post and then select the Post option. On the Customer payment journal page, under the Posted on column, notice the date and time that the payment posted.
If the Infolog appears, select to close it.
On the page, select Close.
Scenario - Sales order entry to cash process - with variances
In this scenario, the customer (a wholesaler) orders replenishment of two line items. However, stock is insufficient on one line item, and the order processor must trigger supply for this specific demand. Consider this scenario as a deviation from the previous scenario and as slightly more complex.
Go to Sales and marketing > Customers > All customers.
On the list page, select customer US-027.
On the Sell tab, under the New submenu, select Sales order.
On the Sales order details page, expand the Line details FastTab.
Select the Delivery tab. The Requested ship date and receipt dates default to today, which is defaulted from the order header. Because a shipping location isn't defined, the Requested ship date and Requested receipt date at the customer location are the same (so no transport time). The customer wants the following items:
10 projector televisions
8 sound receivers
10 cables that measure 10 meters each
4 cables that measure 2 meters each
On the Sales order lines FastTab, select Add line.
In the Item number field, enter and select T0002.
In the Quantity field, enter 10. On the Line details FastTab, under the Delivery tab, observe the requested receipt date online. This date has been projected in the number of days from the requested ship date, so you need to investigate.
Select the Simulate delivery date link.
In the Delivery date simulation, observe the Transport days. Notice that you can ship the goods today and that the customer can receive the line item in the number of days noted from today. For example, if the Transport days field shows three days, the customer receives the goods in three days.
Select Cancel to exit the page. For this exercise, you don't confirm dates on a line-by-line basis. Instead, you confirm dates across all lines later so that you can ensure ship date alignment for complete delivery.
On the Sales order lines FastTab, select Add line.
In the Item number field, enter and select T0001.
In the Quantity field, enter 8.
On the Line details FastTab, select the Product tab.
In the Size dropdown menu, select 10.
In the Sales order lines grid, select Add line.
In the Item number field, enter T0003.
In the Quantity field, enter 16.
Depending on your data, when you entered the T0003 line item, you might have noticed that the Requested ship date that the Available to Promise (ATP) calculation sent was slightly into the future. The reason is because you might already have too much time-phased demand for your projected and time-phased supply and shorter-term supply.
With the cursor still positioned on line item T0003, on the Sales order lines FastTab, select Product and supply > ATP information.
Go to the ATP quantity table.
Scroll to the first line that doesn't have an exclamation mark. This point in time is where you can promise a shipment of a quantity of 16 based on current expected receipts, issues, and projected on-hand.
Select Close. The objective is to ensure that all line items align with the line item that has the ship date farthest in the future. This approach helps you ensure complete shipment and no partial delivery. Output is that all lines get the same confirmed ship and receipt date, and the sales order header has the confirmed ship and receipt date auto updated.
On the Sales order header, select the Sell tab.
On the Sales order header, in the Generate group, select Confirm sales order.
On the Confirm sales order dialog, set the Print confirmation toggle to Yes, and then select OK to generate print-to-screen.
You receive a warning that you're posting the confirmation and printing to screen only. Select Yes.
Review and then close the report.
On the Sales order header, select the Pick and pack tab.
In the Generate group, select Generate Picking List.
On the Posting picking list page, select OK.
On the Sales order header, select the Pick and pack tab.
In the Generate group, select Picking List Registration.
Select Updates and then select Update All.
Select Close.
On the Sales order Action Pane, select the Pick and pack tab.
In the Generate group, select the Post Packing Slip action.
On the Packing slip page, set the Print packing slip toggle to Yes and then select OK to generate print-to-screen.
You receive a warning communicating that you're posting the packing slip and printing to screen only. Select Yes. The Sales order status now shows as Delivered.
On the Sales order Action Pane, select the Invoice tab. In the Generate submenu, select Invoice.
On the Posting invoice page, set the Print invoice toggle to Yes and then select OK to generate print-to-screen.
You receive a warning stating that you're posting the invoice and printing to screen only. Select Yes.
Review and then close the report. Note the customer invoice number because you need this number later.
Go to Accounts receivables > Journals > Payments > Payment Journal.
Select New on the Action Pane.
In the Name field, enter CustPay and then tab off the field.
With the new journal still selected, select Enter Customer Payments on the Action Pane.
Select customer US-027.
Make sure that the amount of payment is equal to the amount debited to the customer for the previous invoice.
In the Select to Pay grid, select the invoice that you previously created.
In the Amount field, enter the amount that's equal to the Remaining Amount.
Check that no remaining amount for settlement results from the payment.
Select Save in Journal on the Action Pane.
Select Close.
Select the Journal batch number that you created, select Post, and then select the Post option. The Posted on date now displays the date and time that the journal posted.
If the Infolog appears, close it.
On the page, select Close.