Delivery Date Calculation for Sales in Microsoft Dynamics 365 Business Central

Delivery Date Calculation for Sales in Microsoft Dynamics 365 Business Central

Efficient delivery management is crucial in any sales process to ensure customer satisfaction and maintain a reliable supply chain. Microsoft Dynamics 365 Business Central provides robust tools to calculate delivery dates for sales orders, helping businesses plan and manage their deliveries effectively. This blog will explore how Business Central calculates delivery dates, both when a customer has requested a specific delivery date and when no specific delivery date is provided.

Calculating a Requested Delivery Date

When a customer specifies a requested delivery date on a sales order line, Business Central uses this date as the starting point for further calculations. The system will determine the exact dates for shipment and handling to meet the requested delivery date.

The calculation process is as follows:

1. Requested Delivery Date - The date on which the customer wants to receive the goods.
2. Shipping Time - The time required for the goods to be shipped from your warehouse to the customer's location.
3. Outbound Warehouse Handling Time - The time needed to prepare and pick the items for shipment from your warehouse.

Using these components, Business Central calculates the necessary dates using the following formulas:

• Planned Shipment Date:
  Requested Delivery Date - Shipping Time

• Shipment Date:
  Planned Shipment Date - Outbound Warehouse Handling Time

If the items are available to pick on the calculated shipment date, the sales process continues as planned. However, if the items are not available, Business Central will display a stock-out warning, indicating potential issues in meeting the requested delivery date.

Example Scenario:

Let's consider a customer who requests a delivery date of April 20th, 2024. The shipping time to the customer's location is 3 days, and the outbound warehouse handling time is 2 days. Here's how the dates will be calculated:

• Requested Delivery Date: April 20th, 2024
• Shipping Time: 3 days
  Planned Shipment Date: April 20th, 2024 - 3 days = April 17th, 2024
• Outbound Warehouse Handling Time: 2 days
  Shipment Date: April 17th, 2024 - 2 days = April 15th, 2024

To meet the customer's requested delivery date of April 20th, the items must be available for picking in the warehouse by April 15th.

Note: If you use a backward calculation method (starting from the requested delivery date to find the shipment date), it's recommended to use date formulas with fixed durations, like "5D" for five days or "1W" for one week. Avoid using formulas like "CW" (current week) or "CM" (current month), as they can lead to incorrect date calculations.

Calculating the Earliest Possible Delivery Date

If a customer does not request a specific delivery date or if the requested delivery date cannot be met due to stock or other constraints, Business Central calculates the earliest possible delivery date based on item availability.

The process begins by determining when the items will be available for picking and proceeds with the following calculations:

1. Shipment Date: The date when the items are available for picking.
2. Outbound Warehouse Handling Time: The time required to prepare and pick the items for shipment.
3. Shipping Time: The time needed to ship the items to the customer's location.

Using these components, Business Central calculates the dates as follows:

• Planned Shipment Date:
  Shipment Date + Outbound Warehouse Handling Time

• Planned Delivery Date:
  Planned Shipment Date + Shipping Time

Example Scenario:

Suppose there is no requested delivery date, and the items will be available for picking on April 12th, 2024. The outbound warehouse handling time is 2 days, and the shipping time to the customer is 3 days. Here’s how the system calculates the delivery dates:

• Shipment Date: April 12th, 2024
• Outbound Warehouse Handling Time: 2 days
  Planned Shipment Date: April 12th, 2024 + 2 days = April 14th, 2024
• Shipping Time: 3 days
  Planned Delivery Date: April 14th, 2024 + 3 days = April 17th, 2024

Therefore, the earliest possible delivery date to the customer would be April 17th, 2024.

Conclusion

By utilizing the delivery date calculations in Business Central, businesses can better manage customer expectations, reduce the risk of stockouts, and optimize their shipping and handling processes. Whether customers request specific delivery dates or leave the scheduling up to you, Business Central provides the tools to ensure your items reach their destination on time.

These automated calculations enhance supply chain reliability and help maintain high levels of customer satisfaction, making Business Central a powerful tool for managing sales and delivery processes effectively.