Purchasing#

The following features expand standard Microsoft Dynamics 365 Business Central¹ functionality to provide additional options to those working in your organization’s procurement department.

Create hierarchies#

Hierarchies are used to link (any number of) vendors, customers, or contacts to each other. Hierarchical relationships can be shown progressing from top to bottom or bottom to top.

Type Setup#

When you’re trying to add a vendor to a hierarchy, you might see the following:

“Specify at least one hierarchy type.”

This means that no hierarchy has been set up yet. To create a hierarchy:

1. Choose the Search icon, enter Hierarchy Types, and then choose the related link.
2. On the ribbon, choose New.
3. Fill in the fields as described in the following table.

Assign vendors#

To specify hierarchical relationships between vendors:

1. Choose the Search icon, enter Vendors, and then choose the related link.
2. Open a vendor card.
   To create a top-down structure
   a. On the ribbon, choose Related > Vendors > Hierarchy – Related Vendors
   To create a bottom-up structure
   b. On the ribbon, choose Related > Vendors > Hierarchy – Relates to Vendor
3. Check if the correct type filter is set.
4. Enter a vendor number in the Value field.
5. Choose another line and repeat the steps.

View a hierarchy#

To see a hierarchy:

1. Open a vendor card.
2. On the ribbon, choose Related > Vendor > Hierarchy – Where-Used.
3. Select a method for display:
   • Related records (top-down approach)
   • Relates to record (bottom-up approach)
4. Choose Calculate.

Purchase order types#

Keeping track of large numbers of unposted documents in the system can be a difficult task: some might have been created to fulfill standard orders, some might have been set up for rush jobs, and some might be the basis for repairs or consignment. A quick solution to this problem is to organize documents by type so that they can be filtered later.

Setup#

To set up an order category:

1. Choose the search icon, enter Purchase Order Types, and then choose the related link.
2. On the ribbon, choose New.
3. Fill in the fields as described in the following table.

Assign dimensions#

You can then assign dimensions to an order type for analytical purposes. To assign a dimension:

1. Choose the Search icon, enter Purchase Order Types, and then choose the related link.
2. Choose Related > Purchase Order Type > Dimensions > Dimensions-Single to assign the current record or choose Dimensions-Multiple to assign more than one data record.
3. Choose OK to open the Dimensions page.
4. Fill in the fields as described in the following table.

Select reports by type#

You can also use order types to specify what purchase reports to print.

1. Choose the Search icon, enter Report Selection – Purchase, and then choose the related link.
2. In the Usage field, specify the type of document that you want printed.
3. Fill in the Report ID field on a line or choose Order Types on the ribbon to store a report based on a specific type.

Like on the standard report selection page, you can specify a sequence if you want to enter more than one report here.

Assign an order type#

To assign a type to an order:

• Create or open a purchase order.
• On the General FastTab, in the Purchase Order Type field, select a type.

Distribute worksheet lines#

In large and midsize organizations, requisition and planning worksheets might be maintained by more than one person.

For this reason, you can distribute the results of requisition and planning onto worksheets assigned to individual employees.

More specifically, when you’ve completed a worksheet, the lines that you filled in on the document can be copied to various worksheet names, which you can then assign to any number of IDs. To be able to use the feature, you must first assign an item to an ID:

• Open an item card.
• On the Planning FastTab, fill in the Assigned User ID field.

On requisition or planning worksheets, the Assigned User ID field is then filled in on the lines where you enter the number of the item.

Additionally, you must set up a link between the assigned ID and a worksheet name:

1. Choose the Search icon, enter Wksh. Line Distribution Filter, and then choose the related link.
2. Fill in the fields as necessary.

Split requisition worksheets by location#

When a requisition worksheet created in Microsoft Dynamics 365 Business Central¹ contains multiple worksheet lines assigned to the same vendor, the system will combine all of them into one purchase order even if the location assigned to each line is different (that is, the items that were entered on the lines will be received at different sites).

As a result, the purchase header shows that the order will be sent to address A, whereas the lines also show locations B, C and D—and all items ultimately end up at A despite different sites specified on the lines. To prevent this from happening:

1. Choose the Search icon, enter Purchases & Payables Setup, and then choose the related link.
2. On the KUMAVISION FastTab, choose Yes in the Copy from Req. Wksh. by Location field.

Quote requests and price overview#

You can use the new Price Overview page to see all price quotes requested for purchasing products individually or in bulk, the prices themselves, and the lead times for procuring the items from vendors and contacts.

The information shown on the page can be copied to a vendor-item catalog or stored with the relevant unit cost entries.

Quote requests are typically created from a requisition or planning worksheet for multiple vendors or contacts at once. Alternatively, you can enter vendors from a vendor-item catalog. To create a quotation request from a worksheet:

1. Open a worksheet.
2. Select the For Quote Requests field on the worksheet line that you want to create a request for.
3. On the ribbon, choose Related > Quote Request > Request Selection > Dimensions-Single or Dimensions-Multiple to select the vendors or contacts whom you want to ask for prices.
4. Choose Create Quote Requests on the ribbon to generate requests per vendor or contact number.
5. On the dialog, choose whether—besides the vendors or contacts listed on the request selection—you also want to use vendors from the item-vendor catalog.
6. Turn on the Print Quote Requests toggle if you want to print the quote requests immediately after running the function.
7. Choose OK.

The conditions that must be met for achieving certain prices are then entered on a price list. To see the list:

• Open a requisition or planning worksheet.
• Choose Related > Quote Request > Item Price Overview.

Besides unit costs grouped by vendor, the list includes information from other fields, such as the Lead Time field.

At the end of a line, you can see the field Direct Unit Cost Excl. VAT (Base / LCY). This field shows you the result of dividing the line amount without VAT by the unit quantity. If you specify a currency code, the value in the field will also be converted to the entered currency.

The actions that you can run from the overview are described in the following tables.

Action > Functions

Related > Purchase Prices

Validity period on quotes#

To limit the period in which an offer should be valid, you can fill in the Quote Expiration Date field on the General FastTab of a quote document.

When you run the Save Prices/Discounts function from the Lines FastTab and this field is filled in, the validity date will be suggested as the ending date for the entire quote. However, you can still change the date manually if necessary.

Purchase order and supplier confirmation#

You can now enter confirmation documents you received from vendors directly on purchase orders.

1. Open a purchase order.
2. Select one or more lines, and then choose Line > Functions > Create Purch. Order Cnfrmn.
3. Fill in the fields as described in the following table.

Afterward, choose OK to close the page so that the system can create a purchase order confirmation entry to store the confirmation document that you received.

You can track on a purchase confirmation document both the confirmation status and the history of delivery dates. To view a document:

1. Open a purchase order.
2. Choose Related > Documents > Purch. Order Cnfrmn. on the ribbon.

Order confirmation reminders#

You can also remind suppliers to confirm the orders you placed with them.

Setup#

Purchases & Payables Setup#

To set up confirmation reminders:

1. Choose the Search icon, enter Purchases & Payables Setup, and then choose the related link.
2. On the General FastTab, in the Default PO Cnfrm. Rmdr. Date field, select a reference date for confirmation reminders.
3. On the Number Series FastTab, specify a number series for new and issued confirmation reminders.

Confirmation reminder codes#

To set up conditions for a reminder:

1. Choose the Search icon, enter Purch. Order Cnfrmn. Rmdr. Terms, and then choose the related link.
2. On the ribbon, choose New.
3. Fill in the fields as described in the following table.

To specify the number of reminder levels and assign text to them:

1. Choose the Search icon, enter Purch. Order Cnfrmn. Rmdr. Terms, and then choose the related link.
2. Select a reminder.
3. On the ribbon, choose Level.
4. Fill in the number of levels and the formula that you want to use on each level.

To enter introductory and closing texts for a stage, choose Related > Level > Beginning or Ending Text on the ribbon.

Assign terms to vendors#

To assign reminder terms to a vendor:

1. Choose the Search icon, enter Vendors, and then choose the related link.
2. Open a vendor card.
3. On the Receiving Tab, select a reminder in the Cnfrmn. Rmdr. Terms Code field.

Extended Report Selection#

As a last step, you need to make the reminder report available in the system.

1. Choose the Search icon, enter Report Selection – Extended, and then choose the related link.
2. In the Usage field, select the PO Cnfrmn. Rmdr. Test option.
3. On the lines, fill in the Sequence and Report ID fields.

Issue a reminder#

To remind a supplier of a delivery and ask the supplier to confirm the order:

1. Choose the Search icon, enter Purch. Order Cnfrmn. Rmdr. List, and then choose the related link.
2. Exit the No. field to have the system fill in a number from the series set up for this purpose.
3. On the ribbon, choose Create Confirmation Reminder.
4. You can then fill in the filter fields, for example, to limit the creation of a reminder to a certain vendor or item. Leave these fields blank if you want the system to search for all overdue confirmation receipts.
5. Choose OK.

The reminder must then be registered in the system so that you can set up reminder levels and print reminder documents. To register a reminder:

• On the ribbon, choose Issue.
• When you run the action, the corresponding receipt will be printed on the device set up as the default printer.
• Alternatively, you can print the reminder from the Issued Purch. Order Cnfrmn. Rmdr. List.

Process IDs#

Shared document IDs can be helpful, for example, for tracking purchases from quote entry to (potential) return shipment.

This is especially true if the documents used for a transaction must be linked across departments—such as when you want to tie a customer’s return order to an order returned to a vendor.

Setup#

Before you can use document tracking, you need to set up a number series for process IDs.

1. Choose the Search icon, enter Purchases & Payables Setup, and then choose the related link.
2. On the Number Series FastTab, in the Document Process ID Nos. field, select the number series that you want to use for this purpose.

Workflow#

A process ID is always copied from the header of the initial document to the headers and lines on quotes, orders, receipts, invoices, return orders (if the return order lines were created by using the Get Posted Document Lines to Reverse action), and archived documents created from the document.

For example, a process ID entered on a purchase order is transferred to an invoice or receipt created from it when you post the order.

On the order, on the Line FastTab, you can then choose Line > Navigate Doc. Process ID on the ribbon to see the documents linked to the ID. You can also view individual documents by selecting the value in the No. of Entries field or use the standard Navigate action to look for them.

When you copy a document or run the Get Posted Document Lines to Reverse function to create lines from a return order, the system copies the process ID from the source document to the new lines. Afterward, you can only find them by searching for the source document ID.

If you don’t want this to occur, you must turn off the Copy Document Process ID toggle in Purchases & Payables Setup before you fill in document lines with the Copy Document function. As for return order lines, the ID is always copied from the order.

Add transaction data#

You can use the Add Transaction Data function to correct posting information on orders that have been received but not invoiced.

You make the corrections before choosing this action on the ribbon. When you run the function, the contents of the following fields are copied from lines that have been received but not invoiced yet to a posted receipt and the associated item, material, and value entries:

• Gen. Business Posting Group
• VAT Business Posting Group
• Gen. Product Posting Group
• VAT Product Posting Group
• Dimension Set ID
• Global Dimension Code 1
• Global Dimension Code 2

Send quotes to contacts#

You can use a vendor template to send quotes to potential suppliers, that is, to contacts to whom no vendor has been assigned.

Vendor templates are set up in Finance. You can then run the Create Purchase Quote action from the ribbon of a vendor card to fill in the purchase quote with the required contact details and choose in the Vendor Template Code field the template that you want to use.

You can also create a quote without having to create a vendor. In this case, a vendor must be set up only when you convert the quote to an order.

Print released documents#

The system performs multiple checks when a purchase document is released. This includes checking if mandatory fields are filled in and whether prices and costs have been calculated.

For this reason, KUMAVISION base (BOOSTER) limits printouts to documents that have been released, the only exception being quotes (print previews will not be restricted either).

Blanket order extension#

When you want to purchase items in large quantities, you often set up blanket orders in the system so that you can receive products from suppliers at lower prices but in multiple smaller shipments over a specified period.

However, when using standard functionality, you might not see that creating a purchase order from a blanket agreement is even possible until that order has been posted. Moreover, because you cannot see or select blanket agreements on requisition and planning worksheets, you run the risk—especially when you need to order many items at once—that products might be bought at standard conditions and prices.

To solve these issues, the Rem. Blanket Order Qty. field has been added to the lines of purchase orders and the Blanket Order No. field to those of requisition and planning worksheets. This way, you can assign a line of a worksheet to a line of a purchase order provided a large enough part of the originally agreed-on quantity remains, with vendor data and price terms being retrieved from the blanket agreement.

Alternatively, you can have the blanket order lines that are still available for the selected vendor assigned by the system, with price conditions copied too. You can also create separate purchase orders for every blanket order line.

The Rem. Blanket Order Qty. (Base) is a FlowField that totals the Rem. Blanket Order Qty. (Base) values on purchase lines created from a blanket order. From the value in this and in the Qty. Per field, the system then calculates the Rem. Blanket Order Qty. value when you create standard purchase orders. Other fields that have been added to worksheet lines are:

• No. of Blanket Order Lines
• Blanket Order No.
• Blanket Order Line No.

The first is a FlowField that indicates the number of blanket purchase lines on which the type, number, and location match and the value in the Rem. Blanket Order Qty. (Base) field is greater than 0.

You can use the lookup in the other fields to assign a blanket order or blanket order line to the worksheet. Filling in either copies the vendor and, if available, the vendor item number and price terms and conditions (cost, discount, price unit, and currency) from the assigned blanket purchase line.

The system then checks if subtracting the value in the Outstanding Qty. (Base) from the Rem. Blanket Order Qty. (Base) and worksheet line quantity results in a value greater than 0 in the Quantity (Base) field.

Should you clear the Blanket Order No. and Blanket Order Line No. fields later, the system will recheck the assigned vendor number and update the purchase prices if necessary.

Auto assign a blanket order#

To have blanket order lines assigned automatically:

1. Open a purchase order.
2. On the ribbon, choose Assign Blanket Order. Other options are Delete or Reassign (a combination of Assign and Delete).
3. Alternatively, choose Carry Out Action Message on the ribbon when you create a purchase order and select Auto Assign Blanket Order.

When you run the assignment function, the system checks all worksheet lines for which the carry out action message was set to New.

If you haven’t linked lines manually, the search will extend to all blanket orders that have been assigned to this vendor, item, item variant, and location and for which the outstanding quantity is not 0, starting with the lowest document and document line number.

When a blanket order line with enough remaining quantity is found, the line will be assigned to the worksheet line or split off prior to assignment for a quantity that is greater.

Besides assigning the blanket order line, the system will copy the contents of cost and price fields (Unit Cost, Price Unit, and Line Discount, for example) to the worksheet line.

You can remove a line by selecting it and choosing Delete on the ribbon. The vendor is then revalidated, and the line will be repriced.

Additionally, a new toggle is now included with the Carry Out Action Message function. Turning on this toggle—called One Order per Blanket Order—will sort worksheet lines based on blanket order and blanket order line numbers before a new order is created for each line where these numbers are filled in.

Assign an order manually#

You can also use the Assign function to transfer the terms and conditions of a blanket agreement to a manually created purchase line by filling in the Blanket Order No. field on that line.

You are then asked whether you want to copy the value in the Direct Unit Cost Excl. VAT or the Line Discount % field from the line on the blanket agreement.

Location-independent orders#

Additionally, you can now use a blanket order for items that must be delivered to multiple locations, with the focus being on the quantity that you want to buy and the agreed-on prices.

To be able to use this feature, the relevant blanket order lines must not contain location codes. As in the standard app, you can then have the system copy the needed quantities from a requisition worksheet to the lines. Afterward, you can run the Carry Out Action Message function to create a purchase order for each location that was specified on the worksheet.

Copy item function#

The following options have been added to the Copy Item action:

Running the function then creates not only an item but also a production BOM or a routing filled in with the number of the item in the No. field and linked to it on the item card. The following item header information is also copied:

Item tracking#

In Microsoft Dynamics 365 Business Central¹, you can specify that items must be posted with serial or lot number tracking. Often, however, this specification changes during the lifecycle of a product, which makes the item more difficult to track and complicates repairs.

In KUMAVISION base (BOOSTER), you can change both numbers under certain conditions:

• The item cannot have open item entries.
• The relevant item entries cannot be fully invoiced.
• The unit cost on the item card must have been adjusted.
• Reservations for the item cannot be made with a serial or lot number.

These conditions also apply to items for which you set the costing method to Specific.

Supporting documents#

This feature is used to maintain item-related documents, such as drawings and certificates, in the system.

Store a document#

To store a document for an item:

1. Choose the Search icon, enter Items, and then choose the related link.
2. Open an item card.
3. On the ribbon, choose Related > Item > Supporting Documents.
4. Fill in the fields as described in the following table.

The actions found on the ribbon are described in the following table.

Undo posted receipts#

Sometimes, you might want to cancel only a partial quantity from a receipt. To activate this feature:

1. Choose the Search icon, enter Purchases & Payables Setup, and then choose the related link.
2. On the KUMAVISION FastTab, set the Warehouse Undo Type field from Default to Extended Undo.

To reverse a partial quantity on a document:

1. Choose the Search icon, enter Purchase Receipts, and then choose the related link.
2. Open the relevant receipt and select the line you want to cancel.
3. On the ribbon, choose Change Cancellation Qty.
4. Fill in a quantity.
5. Choose Post to post the reversal document.

Prices#

Price source#

The Price Source field indicates where the Direct Unit Cost Excl. VAT or Direct Unit Cost (Price Unit) Excl. VAT value on a document line comes from:

For line discounts, the equivalent to this field is the Line Discount Source field.

Extended pricing#

You can now also assign purchase prices and line discounts to different responsibility centers.

Moreover, you can use the prices and discounts stored at a higher level of a vendor hierarchy (see Create Hierarchies) to determine the lowest price with the highest discount for an item that you want to purchase from a vendor. However, before you can use this feature, you must set it up first:

1. Choose the Search icon, enter Purchases & Payables, and then choose the related link.
2. In the Hierarchy Type Code Pricing field, select the type of hierarchy that you want to use for extended pricing.

Vendors linked to this hierarchy are then included in calculating the best price and discount on a document line based on multiple price-related factors, such as the validity period, minimum quantity, unit of measure, currency, and responsibility center.

At which level of a vendor hierarchy a value is determined isn’t relevant in this situation, as prices or discounts might be calculated, for example, for vendors and item price groups at multiple levels at the same time.

Purchase conditions#

Purchase conditions provide another way for you to enter line discounts. For this purpose, a condition is linked to calculation lines on which you can enter your various discounting methods for use on purchase documents.

A condition can already be created and transferred to one or more purchase discount records when you create base data in the app.

Create a condition#

To create a purchase condition:

1. Choose the Search icon, enter Purchase Condition List, and then choose the related link.
2. On the ribbon, choose New.
3. Fill in the fields as described in the following table.

General#

Lines#

On the lines, you can specify how a reduction in price will be calculated when the condition applies.

As an example, a condition might have been specified as follows:

In this example, a 5% discount needs to be deducted from the direct unit cost of a certain item before another 3% discount applied to the original amount is subtracted from the result because the product is on offer.

You now want to buy the item from vendor 3000 on 04/15/2023 as part of a new purchase order. The line discount that has been assigned to the item is valid within the following period:

When you fill in the document, the condition specified for the discount is then used by the standard pricing function to calculate the total line discount (8%).

Additionally, you can choose Translations on the Lines FastTab to have steps in the calculation translated and copied automatically to documents on which the specified language code is used.

Link a condition to a line discount#

You must fill in the Purchase Condition No. field if you want to link a condition to a line discount. The currency that you’ve specified for the condition must match the currency entered for the discount.

For discounts linked to conditions, the Discount % field will always be blank in the item master. The value in this field will be determined only when you enter a condition-based discount on a document line.

Use a condition to find the best discount#

When trying to determine the best reductions in item prices, the system uses condition-based line discounts in the same way as standard line discounts; a condition isn’t a factor in deciding whether a certain discount can be entered on a purchase document. The only difference to standard functionality is that discounts linked to conditions are calculated in real time.

Copy a condition to a calculation line#

When you specify a discount on a purchase line, the condition lines that might be linked to the discount will be copied to a purchase line subpage. To see the subpage:

• Open a purchase order.
• Go to the Lines FastTab and select a line.
• On the ribbon, choose Line > Price/Discount Calculation > Price or Line Discount.

You can change, delete, or insert lines here if necessary. Alternatively, you can set up a blank calculation sheet and use a ribbon function to copy values from condition lines.

Edits are made on this buffer page so that you can simulate their impact first and discard them if necessary; only changes that are accepted by you will be copied to the relevant purchase line (and saved for when you want to reopen the page to make revisions).

When you exit the page, the Discount Calculation field will be selected on the associated purchase line.

Copy calculation lines#

When you post or archive a purchase order, all calculation lines that have been filled in for a condition-based discount on the order are copied alongside other data to the posted or archived document. However, you can still open the lines from there (albeit in read-only format).

Additionally, the lines are copied from one document to another when you use the Copy Document action or when you create a purchase order from a blanket order. Only if you run the Recalculate Lines function will they be updated instead.

The Discount Calculation checkbox can also be unhidden there.

Price units#

The following formula is used in the standard app to determine the price on a document line:

Line Amount Excl. VAT = Quantity * Direct Unit Cost * [(100 – Line Discount %) / 100]

But there are other formulas. One of them provides a method for calculating a multiple of an amount by using a price unit.

Example 1:
You enter Piece as the base unit on an item card and a document line. You can then state prices on the line in multiples of 1000, that is, the price unit (or price per unit) equals the purchase price for 1000 pieces.

Example 2:
You enter Piece as the base unit of measure on an item card and Package on a purchase line. A package equals 50 pieces, as specified on the Item Units of Measure page.

You can then state a purchase price on the line in multiples of 50, that is, the price unit (or price per unit) represents the price for 50 packages.

You can already specify price units that you and your vendors agreed on when you set up basic app data.

Workflow#

You use the following fields to specify price units on purchase lines:

• Price Unit
• Direct Unit Cost (Price Unit) Excl. VAT

These fields can also be found on archived and posted documents.

Alternatively, you can assign a unit to a single document or store the unit for use by the pricing functionality.

When you assign direct unit costs to items, you need to ensure that price units are set up as well.

For example, you might want to use the unit Piece and enter an item on a document line in pieces. However, the price for the line is determined based on weight (weight-dependent document pricing). To calculate this price, you will need another method that requires a separate explanation (outside the scope of this article).

Item price groups#

For items of the same type, you can assign purchase prices per category. For example, a group of paperbacks might cost the same because of the size and material used (regardless of who authored each book).

You can set up prices for item groups in the same way as for individual items. The feature supports entering agreements:

• In vendor hierarchies
• For purchase conditions
• According to quantity, delivery date, and currency
• Based on units of measure, in the following way:

You can store the price (for a group) in a certain unit of measure on a document line provided the unit has been assigned to the relevant group beforehand.

When you enter the number of an item on a purchase line, the following will happen:

• Besides the price stored specifically for the item, the system will also use the prices entered for the relevant item price group.
• The best price will be determined among all prices found in the system, with neither item-specific nor group prices boasting an advantage here.

You can use the FactBoxes on purchase (invoice) lines to look up item prices, including those specified for a group. You can also select a price there (which corresponds to running the Get Purchase Price action).

To set up a price group for an item:

1. Choose the Search icon, enter Item Price Groups, and then choose the related link.
2. On the ribbon, choose New.
3. Fill in the fields as described in the following table.

After creating a group, you can choose Related > Item Price Group > Purchase Prices on the ribbon to enter prices for the group. This process is the same as for prices maintained per vendor or vendor group in the standard app.

Block prices#

What values are shown in the Direct Unit Cost and Line Discount % fields on document lines depends on the agreements you have in place with vendors.

You can specify a wide variety of purchase price and discount agreements in the system, including agreements made with an individual vendor, a group of vendors, or all vendors, as well as agreements covering single products or an entire group of items.

When you add an item to a document, the system will compare the value that you enter in the Quantity field on a line against the minimum quantities set for the associated vendor in the item master to calculate the best purchase price and discount available.

In short, the standard app calculates prices and discounts separately on each line of a document. Sometimes, however, you might need to enter one and the same item on multiple lines, for example, because products must be delivered in batches on different dates.

For this reason, standard functionality has been extended so that prices and discounts can now be determined based on the total quantity entered for an item on all lines of a document. For a line to be included in the total, however, the values in the following fields must also match those on the other lines:

• Type and No.
• Variant Code
• Unit of Measure Code and Qty. per Unit
• Allow Line Disc. and Allow Invoice Disc.

Lines on which the following fields aren’t blank will not be included either:

• Receipt No. or Return Shipment No. (concerns invoice or credit memo lines created from a blanket purchase order)
• Blanket Order No. (concerns order lines that refer to a blanket order line)
• Alternate

To calculate block prices:

1. Open a purchase document.
2. On the ribbon, choose Update Block Pricing. Block prices are then calculated when you release the document.

If you manually change the Direct Unit Cost or Line Discount % field on the line of a document, the system will update neither value when you run the function, and the line will not become part of the quantity for calculation.

The same is true for document lines related to blanket order or alternate lines and when you invoice posted receipts or returns.

Save prices or discounts#

Often, the sheer number of item variations sold in the retail sector means that prices aren’t maintained in advance but depend on quotes or orders.

The Save Price/Discount feature provides a convenient way for you to save for reuse the item prices that you agreed to on quotes or orders the next time that the items are needed. To save prices from a quote or an order:

1. Create a purchase quote or order that contains the requested items.
2. Change the values in the Direct Unit Cost and Line Discount % line fields to what has been agreed on.
3. Select a line that you want to save a price or discount for.
4. On the Lines FastTab, on the ribbon, choose Line > Price and Discount Calculation > Save Price/Discount.
5. Fill in the fields as described in the following tables.

For purchase prices:

For line discounts:

Afterward, choose OK to exit the page.

Close prices or discounts#

The system retrieves direct unit costs and line discounts based on the starting and ending dates entered for them.

KUMAVISION base (BOOSTER) always uses the most recent direct unit cost or discount for an item or item group provided all other factors with an impact on purchases remain the same.

However, you can also have an ending date assigned automatically when you create another price or discount for which you enter a later starting date. This might make it easier for users to understand changes in prices and discounts. To have a date assigned automatically:

1. Choose the Search icon, enter Purchases & Payables Setup, and then choose the related link.
2. On the KUMAVISION FastTab, turn on the Close Prices and Discounts toggle.

If you then enter a cost or discount for the same item-price or item-discount combination but enter a later starting date, the system will fill in the Ending Date field for the previously valid entry with a date set to one day before the new starting date.

Prices (Version 20.0 or higher)#

New pricing experience#

The new pricing features must first be turned on.

1. Choose the Search icon, enter Feature Management, and then choose the related link.
2. Go to the line that says Feature Update: New Sales Pricing Experience and set the Enabled For field to All Users.

Price source#

The Price Source field indicates where the Direct Unit Cost Excl. VAT or Direct Unit Cost (Price Unit) Excl. VAT value on a document line comes from:

For line discounts, the equivalent to this field is the Line Discount Source field.

Save prices or discounts#

Often, the sheer number of item variations sold in the retail sector means that prices aren’t maintained in advance but depend on quotes or orders. The Save Price/Discount feature provides a convenient way for you to save for reuse the item prices that you agreed to on quotes or orders the next time that the items are needed. To save prices from a quote or an order:

1. Create a purchase quote or order that contains the requested items.
2. Change the values in the Direct Unit Cost and Line Discount % line fields to what has been agreed on.
3. Select a line that you want to save a price or discount for.
4. On the Lines FastTab, on the ribbon, choose Line > Price and Discount Calculation > Save Price/Discount.
5. Fill in the fields as described in the following tables.

For purchase prices:

For line discounts:

Afterward, choose OK to exit the page.

Purchase conditions#

Purchase conditions provide another way for you to enter line discounts. For this purpose, a condition is linked to calculation lines on which you can enter your various discounting methods for use on purchase documents.

A condition can already be created and transferred to one or more purchase discount records when you create base data in the app.

Create a condition#

To create a purchase condition:

1. Choose the Search icon, enter Purchase Condition List, and then choose the related link.
2. On the ribbon, choose New.
3. Fill in the fields as described in the following table.

General#

Lines#

On the lines, you can specify how a reduction in price will be calculated when the condition applies.

As an example, a condition might have been specified as follows:

In this example, a 5% discount needs to be deducted from the direct unit cost of a certain item before another 3% discount applied to the original amount is subtracted from the result because the product is on offer.

You now want to buy the item from vendor 3000 on 04/15/2023 as part of a new purchase order. The line discount that has been assigned to the item is valid within the following period:

When you fill in the document, the condition specified for the discount is then used by the standard pricing function to calculate the total line discount (8%).

Additionally, you can choose Translations on the Lines FastTab to have steps in the calculation translated and copied automatically to documents on which the specified language code is used.

Link a condition to a price or line discount#

You must fill in the Price Condition No. field if you want to link a condition to a price or line discount. The currency that you’ve specified for the condition must match the currency entered for the price or discount.

For price lists linked to conditions, the Discount % field will always be blank in the item master. The value in this field will be determined only when you enter a condition-based price or discount on a document line.

Use a condition to find the best price or discount#

When trying to determine the best reductions in item prices, the system uses condition-based purchase prices in the same way as standard prices; a condition isn’t a factor in deciding whether a certain price can be entered on a purchase document. The only difference to standard functionality is that prices linked to conditions are calculated in real time.

No assignment unit of measure code#

In Microsoft Dynamics 365 Business Central¹ Standard, the unit of measure code assigned with the purchasing unit when maintaining a new purchase price list line.

However, if you usually maintain your prices in the base unit, you would have to manually remove the unit when maintaining the prices in order to activate the automatic conversion of prices into different units. This procedure is very error-prone.

This functional enhancement allows you to switch off this pre-assignment in the "Accounts payable and purchasing setup" via the "No assignment unit of measure code" switch. To do this, activate the switch.

Price units#

The following formula is used in the standard app to determine the price on a document line:

Line Amount Excl. VAT = Quantity * Direct Unit Cost * [(100 – Line Discount %) / 100]

But there are other formulas. One of them provides a method for calculating a multiple of an amount by using a price unit.

Example 1
You enter Piece as the base unit on an item card and a document line.

You can then state prices on the line in multiples of 1000, that is, the price unit (or price per unit) equals the purchase price for 1000 pieces.

Example 2
You enter Piece as the base unit of measure on an item card and Package on a purchase line. A package equals 50 pieces, as specified on the Item Units of Measure page.

You can then state a purchase price on the line in multiples of 50, that is, the price unit (or price per unit) represents the price for 50 packages.

Workflow#

You use the following fields to specify price units on purchase lines:

• Price Unit
• Direct Unit Cost (Price Unit) Excl. VAT

These fields can later also be found on archived and posted documents.

Alternatively, you can assign a unit to a single document or store the unit for use by the pricing functionality. When you specify direct unit costs for items, you need to ensure that price units have been specified as well.

For example, you might want to use the unit Piece and enter an item on a document line in pieces. However, the price for the line is determined based on weight (weight-dependent document pricing). To calculate this price, you will need another method that requires a separate explanation.

Print a unit on documents#

Price units and the direct unit costs specified in these units can be printed on each purchase document in the system.

You can already specify price units that you and your vendors agreed on when you set up basic app data.

Item price groups#

For items of the same type, you can assign purchase prices per category. For example, a group of paperbacks might cost the same because of the size and material used (regardless of who authored each book).

You can set up prices for item groups in the same way as for individual items. The feature supports entering agreements:

• In vendor hierarchies
• For purchase conditions
• According to quantity, delivery date, and currency
• Based on units of measure, in the following way:

You can store the price (for a group) in a certain unit of measure on a document line provided the unit has been assigned to the relevant group beforehand.

When you enter the number of an item on a purchase line, the following will happen:

• Besides the price stored specifically for the item, the system will also use the prices entered for the relevant item price group.
• The best price will be determined among all prices found in the system, with neither item-specific nor group prices boasting an advantage here.

You can use the FactBoxes on purchase (invoice) lines to look up item prices, including those specified for a group. You can also select a price there (which corresponds to running the Get Purchase Price action).

To set up a price group for an item:

1. Choose the Search icon, enter Item Price Groups, and then choose the related link.
2. On the ribbon, choose New.
3. Fill in the fields as described in the following table.

After creating a group, you can choose Related > Item Price Group > Purchase Prices on the ribbon to enter prices for the group. This process is the same as for prices maintained in the standard app.

Block prices#

What values are shown in the Direct Unit Cost and Line Discount % fields on document lines depends on the agreements you have in place with vendors.

You can specify a wide variety of purchase price and discount agreements in the system, including agreements made with an individual vendor, a group of vendors, or all vendors, as well as agreements covering single products or an entire group of items.

When you add an item to a document, the system will compare the value that you enter in the Quantity field on a line against the minimum quantities set for the associated vendor in the relevant price lists to calculate the best purchase price and discount available.

In short, the standard app calculates prices and discounts separately on each line of a document. Sometimes, however, you might need to enter one and the same item on multiple lines, for example, because products must be delivered in batches on different dates.

For this reason, standard functionality has been extended so that prices and discounts can now be determined based on the total quantity entered for an item on all lines of a document. For a line to be included in the total, however, the values in the following fields must also match those on the other lines:

• Type and No.
• Variant Code (depending on whether you turned on the relevant toggle in Purchases & Payables Setup or on the item card)
• Unit of Measure Code and Qty. per Unit
• A blank alternative line
• Allow Line Disc. and Allow Invoice Disc.

You can also have the system calculate unit costs independent of variants (that is, a quantity is calculated without considering any variant).

1. Choose the Search icon, enter Purchases & Payables Setup, and then choose the related link.
2. Turn on the No Variant Block Prices toggle.
3. To change the global setting for individual items, open an item card and in the No Variant Block Prices (Purchases) field, choose one of the options described in the following table.

Lines on which the following fields aren’t blank will not be included under any circumstances:

• Receipt No. or Return Shipment No. (concerns invoice or credit memo lines created from a blanket purchase order)
• Blanket Order No. (concerns order lines that refer to a blanket order line)
• Alternate

To calculate block prices:

1. Open a purchase document.
2. On the ribbon, choose Update Block Pricing. Block prices are then calculated when you release the document.

If you manually change the Direct Unit Cost or Line Discount % field on the line of a document, the system will update neither value when you run the function, and the line will not become part of the quantity for calculation.

The same is true for document lines related to blanket order or alternate lines and when you invoice posted receipts or returns.

Close prices or discounts#

The system retrieves direct unit costs and line discounts from price lists based on the starting and ending dates entered for them.

KUMAVISION base (BOOSTER) always uses the most recent direct unit cost or discount for an item or item group provided all other factors with an impact on purchases remain the same.

However, you can also have an ending date assigned automatically when you create another price or discount for which you enter a later starting date. This might make it easier for users to understand changes in prices and discounts. To have a date assigned automatically:

1. Choose the Search icon, enter Purchases & Payables Setup, and then choose the related link.
2. On the Prices FastTab, turn on the Close Prices and Discounts toggle.

If you then enter a cost or discount for the same item-price or item-discount combination but enter a later starting date, the system will fill in the Ending Date field for the previously valid entry with a date set to one day before the new starting date.

Best price calculations#

Microsoft Dynamics 365 Business Central¹ will always calculate the best price on purchase documents. In this context, the best price is the lowest unit price with the highest line discount allowed on a given date.

Purchase prices and discounts are entered on price lists independently from each other. This means that a purchase line might contain the lowest price of one price list line and the highest discount of another.

Certain suppliers, however, are typically charged prices slightly above those calculated by the system. For this reason, you can now turn off the best price option for everyone or only certain suppliers.

Turning off the feature corresponds to hierarchical pricing.

General setup#

To change the pricing rules:

1. Choose the Search icon, enter Purchases & Payables Setup, and then choose the related link.
2. On the Prices FastTab, in the Price Calculation Method field, select if and to what extent the best price option should be used.

Vendor-specific setup#

You can also specify a price calculation method for a vendor by filling in the Price Calculation Method field on the relevant vendor card. The option you select then replaces the setting you made in Purchases & Payables Setup.

With the No Best Price toggle for a vendor turned on, the system will always use a price that is specific to the vendor, even if that price is higher than the standard price. The pricing method is also copied automatically to the Invoice Details FastTab on each document created for this vendor.

The correct calculation method is determined in the following order of priority:

1. Manual setting on the purchase document
2. Vendor card
3. Vendor price group
4. Purchases & Payables Setup

Pricing behavior#

To account for a variety of item quantities, vendors, and vendor groups, you can enter different (but equally valid) prices for an item. If the best price calculation is used, the system then retrieves these price records to find the lowest possible price at which the item can be sold.

Pricing date#

The date used to calculate prices on quotes, orders, and return orders is the order date. On credit memos and invoices, it’s the posting date.

Price sequences#

With the Best Price toggle turned off, the system will retrieve a price based on the following field values, each listed in order of priority:

1. Hierarchy Level
   The lowest hierarchical level of a creditor has priority over the next higher level. This only comes into play when working with creditor hierarchies, e.g. within the framework of association structures.

2. Purchase Type
   Campaign, Vendor, Vendor Price Group, All Vendors

3. Purchase Order Type
   [filled in], [not filled in]

4. Type
   Item, Item Price Group

5. Variant Code
   [code specified], [no variant]. The value in this field, however, is only relevant if you’re working with variant codes in the system.

6. Unit of Measure Code
   [filled in], [not filled in]

7. Currency Code
   [code], [no code]. The value in this field, however, is only relevant if the vendor uses a foreign currency.

8. Responsibility Center Code
   [filled in], [not filled in]

9. Minimum Quantity

10. Starting Date
    [newest], [older], [not filled in]

When you enter a campaign created for a vendor on a purchase document, the vendor's other (active) campaigns will be disregarded. The prices specified for this campaign have a higher priority than all other types of prices.

If no campaign is specified, every campaign linked to the vendor or contact will be included in the price calculation (when a hierarchy is available: if it was created for the main vendor in a hierarchy).

Initially, the best price is determined only for the vendor whom you entered on the document. If the vendor is linked to another vendor in a hierarchy, the latter will be ignored by the system for the time being.

However, if no valid price is found for the vendor, the system will search the next level of the hierarchy. You’ll see an error message if the vendor has been linked to multiple other vendors on the same level.

The number of hierarchy levels can be unlimited. If no valid price can be found for the vendor on any level, the system will go through the available vendor price groups based on the same logic. Within a group, a price for an item variant has a higher priority than a general price for an item—provided the purchase and item type match.

The same check is later repeated for currencies. In this context, a price with a currency is prioritized over prices for which no currency has been set up.

As for the minimum quantity, the highest quantity threshold within the validity period will be used to retrieve the price.

Lastly, the system will check the starting date, with a more recent price given a higher priority than older entries. Essentially, only prices available on the order date can be retrieved.

Discount calculations#

Discounts are determined in the exact same way as prices.

Pricing by responsibility center#

In addition to standard functionality, you can now also assign prices and line discounts to different responsibility centers.

To be able to use this feature, you only need to fill in the Responsibility Center field for a unit price or line discount record.

Move prices to another price list#

You can now move purchase price lines from one price list to another, for example, to a list that you’ve set up for the sole purpose of storing historic prices.

1. Open a purchase price list.
2. Go to the Lines FastTab and select the prices that you want to transfer.
3. On the ribbon, choose Move Lines.
4. This opens the Select Price List window, where you can set filters to limit the number of lists that are displayed on the page.
5. Choose a list, and then choose OK.

Afterward, the selected price lines are both copied to the new list and deleted from the old one.

Pricing by responsibility center#

In addition to standard functionality, you can now also assign purchase prices and line discounts to different responsibility centers.

To be able to use this feature, you only need to fill in the Responsibility Center field for a unit cost or line discount field on a price list.

Document pricing by buy-from (not pay-to) vendor#

Standard functionality calculates prices on a purchase document by using the pay-to vendor entered on it.

This might cause difficulties when invoices are sent to your association, as you might have agreed on a different set of prices with your supplier (=buy-from vendor).

With the new feature, you can now decide which vendor you want to run the pricing functionality for.

1. Choose the Search icon, enter Purchases & Payables Setup, and then choose the related link.
2. In the Pricing Vendor field, choose one of the options described in the following table.

If you choose the second or third option, you can change the setting again on the relevant vendor card.

Keep worksheet prices#

When data is copied from a requisition or planning worksheet to a purchase order, the standard app rechecks the order date on the document, which will also refresh the prices stored on it. To prevent this from happening:

1. Choose the Search icon, enter Purchases & Payables Setup, and then choose the related link.
2. On the KUMAVISION FastTab, in the Update Price when Copied from Req. Wksh., select No Repricing.