DBD: Inventory Bundled Pricing

DBD: Inventory - Bundled Pricing

🔵 Overview Bundled pricing allows the distributor to value various Items Management Reports using a value that is based on the entire invoice amount including sales tax, special charges, and freight from the plant to the distributor's warehouse.

⚠️ CRITICAL UPDATE NOTE: To use the Bundled Price feature, sales orders should be entered with only one custom item per SALES ORDER.

How to Use

There is an Order Processing parameter question on Tab 4 that needs to be answered Y to use the bundled pricing feature: "Track Bundled Pricing for Custom Jobs?" (options: All, IMS, None)
Since this feature may be desired for some customers and not for others, there is a parameter question in the customer's default setting: "Standard Inventory Valuation Method?" Select Bundled Sell from the drop-down selection.

Path (item 1): Order Processing, Setup, System, System Setup, Parameters, Tab 4

Path (item 2): Accounts Receivable, Setup, Customer, Customer Default, Next, Reporting and Reorder

Example

For example, a customer buys 5000 AR Invoices at a stated price of $89.50 per M/1000. There is an art charge to the customer of $50.00, which is entered on the order as a special charge.

When the order is received in warehouse 9001, there is an overrun of 10%, so the quantity billed is 5500. The invoice for the goods is as follows:

5,500 Invoice Forms @ $89.50 per M/1000    $492.25
ART CHARGE                                   50.00
Freight from Factory                         24.66
Sales Tax                                    27.11
                                          ---------
Invoice total:                             $594.02

Although the forms cost was $89.50 per M, the Bundled price for this invoice is $108.00 per M (the invoice total divided by the qty billed). When the warehouse release report values release from the warehouse, the higher rate of $108.00 will be used.

⚠️ CRITICAL UPDATE NOTE: To use the Bundled Price feature, sales orders should be entered with only one custom item per SALES ORDER.

Reports Affected

Path: Print Management, Report, Items Management

The following reports use the Bundled Price:

Print Management Warehouse Release Report — Method of Valuation will be 'Bundled Sell'
Print Management Monthly Activity by Warehouse report — Method of Valuation will be 'Bundled Sell'
Print Management Detailed Inventory Valuation Report — Method of Valuation will be 'Bundled Sell'
Print Management Warehouse Release Report 3.8 — Method of Valuation will be 'Bundled Sell'
Print Management Lot Inventory Status Report 3.8 (Standard Inventory Valuation must be set to 'Bundled Sell' located in customer defaults under Reporting and Reorder Panel)

Additional Notes — Bundled Price Data Utility

Bundled Pricing order information is saved in the AS7 File.

This utility allows a company to access specific orders and modify data if needed to adjust the unit cost that will be used for reporting purposes. This allows direct access to the AS7 file. These records are created by the Sales Journal Update invoicing the client for these items.

Path: Print Management, Setup, Utilities, Items Management Utility, Bundled Price Data Utility

Item/Order Bundled Price - FMGCAB

Enter the Customer Number, Item Code, and Order Number to bring up the desired information.

This utility allows the user to modify the available fields.

Changes to values in the Billed-to-Date column will result is a change to the Selling Valuation.

💡 Note: It is possible to create records here for Inventory that is brought into the system by other means if the Inventory Lot record Originating order matches the P/O Number in this file.

Frequently Asked Questions

Q: What does Bundled Pricing actually do?

A: It values Items Management Reports based on the entire invoice amount — including sales tax, special charges, and freight from the plant to the distributor's warehouse — rather than just the base item cost.

Q: What's required to use this feature?

A: Sales orders must be entered with only one custom item per sales order. You also need to answer Y to "Track Bundled Pricing for Custom Jobs?" on Order Processing Parameters Tab 4, and set the customer's Standard Inventory Valuation Method to Bundled Sell.

Q: How does the example in this article arrive at $108.00 per M?

A: The invoice total ($594.02, including the art charge, freight, and sales tax) is divided by the quantity billed (5,500) — giving a bundled rate higher than the original $89.50 per M cost.

Q: Which reports actually use the Bundled Price?

A: Print Management's Warehouse Release Report, Monthly Activity by Warehouse, Detailed Inventory Valuation Report, Warehouse Release Report 3.8, and Lot Inventory Status Report 3.8 (the last one also requires Standard Inventory Valuation set to Bundled Sell).

Q: Where is Bundled Pricing order data stored, and can I edit it?

A: It's saved in the AS7 file, and the Bundled Price Data Utility (Print Management, Setup, Utilities, Items Management Utility) lets you look up and modify records by Customer Number, Item Code, and Order Number — useful for adjusting the unit cost used for reporting.

Q: What happens if I change the Billed-to-Date values in the utility?

A: It changes the Selling Valuation used for reporting purposes.

Tags: inventory, bundled-pricing, items-management, warehouse-release, ims, DB-distributor