Transportation management in Dynamics 365 Finance and Operations (D365FO)

mallesh varma

190

Like ( 0 )

Report

Transportation management in Dynamics 365 Finance and Operations (D365FO) involves a set of processes and features designed to manage and optimize the transportation of goods. It includes functionalities for planning, executing, and monitoring transportation activities, as well as handling freight invoice reconciliation. Here’s an overview of how D365FO handles transportation management and freight invoice reconciliation:
Transportation Management Overview
Key Features:

Transportation Planning: Helps in planning and optimizing transportation routes, consolidating shipments, and scheduling deliveries.
Carrier Management: Manages relationships with carriers, including contract management, performance tracking, and rate agreements.
Load Planning: Optimizes the loading of goods into transportation vehicles to maximize efficiency and reduce costs.
Execution: Facilitates the execution of transportation activities, including shipment tracking and management.
Cost Management: Tracks transportation costs, including freight, handling, and other related expenses.

Freight Invoice Reconciliation
Overview: Freight invoice reconciliation ensures that the charges billed by carriers match the agreed-upon rates and the actual transportation services provided. This process helps in verifying and validating freight invoices before making payments.
Transportation management in Dynamics 365 Finance and Operations (D365FO) involves configuring various setups to manage and optimize the movement of goods. Below is a comprehensive list of the essential setups in D365FO for transportation management.
Define global settings that control various aspects of transportation management, such as integration, default settings, and system behavior.

TMS > Setup > Freight Reconciliation > Billing group
the Billing Group setup under the Freight Reconciliation section of the Transportation Management System (TMS) is used to group similar billing lines together for the purpose of freight reconciliation and invoicing. This setup helps in organizing and categorizing billing information, making it easier to manage and reconcile freight costs.

TMS > Setup > Freight Reconciliation > Freight Bill type
The Freight Bill Type setup under the Freight Reconciliation section of the Transportation Management System (TMS) is used to categorize and define different types of freight bills. This setup helps in managing and processing various freight-related invoices received from carriers, facilitating accurate tracking, reconciliation, and payment of transportation costs.

TMS > Setup > Freight Reconciliation > Freight Bill assignments
the Freight Bill Assignments setup within the Freight Reconciliation module of the Transportation Management System (TMS) is used to link specific criteria to freight bill types for accurate categorization and management. This setup helps ensure that incoming freight bills are assigned to the correct freight bill types based on predefined conditions, facilitating efficient reconciliation and accounting processes.

TMS > Setup > Freight Reconciliation > Reconciliation reasons
The Reconciliation Reasons setup under the Freight Reconciliation section of the Transportation Management System (TMS) is used to define and manage the reasons for discrepancies that may arise during the freight reconciliation process. These reasons help categorize and explain differences between the expected freight costs and the actual charges billed by carriers. This setup is crucial for audit trails, financial accuracy, and process improvement.

TMS > Setup > Freight Reconciliation >Audit masters
The Audit Masters setup under the Freight Reconciliation section of the Transportation Management System (TMS) is used to define the audit parameters and criteria for auditing freight transactions. This setup helps organizations maintain an audit trail for freight-related activities, ensuring compliance, accuracy, and accountability in the freight reconciliation process.

TMS > Setup >Carriers > Shipping carriers
Specify the types of services offered by carriers (e.g., standard shipping, express delivery), Define the type of service provided by each carrier

Creating a sales order and releasing it to the warehouse in Dynamics 365 Finance and Operations (D365FO) involves several steps. Here's a high-level overview of the process:
Go to Modules > Sales and marketing > Sales orders > All sales orders.
With the sales order still open, navigate to the Warehouse tab in the action pane.
Click Release to warehouse.
In the Release sales order to warehouse dialog box:
Click OK to release the order to the warehouse.

Work Creation: A work order is created for the warehouse workers to pick, pack, and ship the items.
Picking: Warehouse workers will pick the items from the specified locations.
Packing and Shipping: Items are packed and shipped according to the specified shipping method.

To view the load details associated with a sales order in Dynamics 365 Finance and Operations (D365FO)

Loads>Transportation > Rate route Workbench
In Dynamics 365 Finance and Operations (D365FO), the Rate Route Workbench is a feature within the Transportation Management System (TMS) used to determine the best routing and shipping rates for loads. This tool helps logistics and transportation managers optimize shipping decisions based on cost, transit time, carrier preferences, and other criteria.

To assign a carrier and rate to a load using the Rate Route Workbench in Dynamics 365 Finance and Operations (D365FO)

Following form opens.

Completing work in the warehouse in Dynamics 365 Finance and Operations (D365FO) involves finalizing various warehouse processes such as picking, packing, and shipping items associated with a sales order or load.

Complete the outbound shipment in Dynamics 365 Finance and Operations (D365FO), and update the load status from "Loaded" to "Shipped,"

Now, sales order has automatically freight charges

Freight charges codes setup:

Managing the freight bill involves creating and processing freight invoices associated with loads. This process ensures that the costs incurred for transportation are accurately recorded and billed. Here’s how you can handle freight bills via loads

Reconciliation process:
In Dynamics 365 Finance and Operations (D365FO), you have two main methods for handling carrier invoices that you receive:

Importing Carrier Invoices via Data Entities
Manual Entry into the System

You can handle carrier invoices in D365FO either by importing them through data entities, which is efficient for bulk processing, or by manually entering the details into the system for individual invoices. Both methods ensure that freight costs are accurately recorded and managed in the system.