Work with Shipments process provides a filter which can be used to select existing shipments based on a single or combination of various shipment information, such as status, shipping method, shipment name, Ship ID, ETA, PEMB, etc. Shipments can also be filtered based on the invoice status, invoice type and invoice number linked to the shipment, shipment reference and container numbers. If all the selection fields are left blank meaning no selection criteria have been entered, then all shipments are displayed. You are also able to add landing charges to an existing shipment and sundry charges to an invoice, post invoices to A/P and release shipments. New shipment records are also created using this process.
Purchase Orders are grouped together for costing purposes, including expenses. This grouping also provides one step receipting and facilitates variance analysis and reconciliation.
A supplier invoice is entered as a shipping invoice and is the link between purchase ordering and goods receipting. The invoice indicates what’s on board and the estimated arrival date at a port, import depot and warehouse. The entered supplier/shipping invoice can be posted to Accounts Payable (AP) for payment purposes as part of the Work with Shipments process.
The Generate Shipping Journals program which is accessed within Work with Shipments checks whether Purchase Accounting is switched on in TMSPU/ACTIVE. This switch affects both the Generate Shipping Journals program and the Interface Shipping Invoice to AP in terms of generating General Ledger records and writing AP transactions.
If the Purchase Accounting flag is set to Not active all shipping invoices must be entered as Document type = Pro forma. A rule governing shipping invoice entry is that an invoice must be posted to AP prior to releasing the shipment to allow receipt. A pro forma invoice on the other hand can be released for receiving purposes prior to posting to AP. Therefore if the Purchase Accounting is not active and you create an invoice instead of a pro forma then you cannot post to AP or release the shipment for receipting. When not active the invoice entries are performed in the AP module.
If the Purchase Accounting flag is set to Active this posts AP invoices directly from the shipping invoice. This requires a conversion of products on the shipping invoice into the GL accounts for the AP invoice. The exchange rate flows from the shipping (inventory) invoice to AP. The AP invoice then falls into the normal AP payment process according to terms after being reviewed and released from Held status. This function is normally performed during the End of Day (EOD) process.
Note: The invoice type (G) for consignment shipping cannot be posted to A/P and hence it will allow shipment to close.
When notified of delivery of a purchase, a shipping note or invoice is received detailing information about the purchase shipment. The Work with Shipment routines records all of this information for display and maintenance. Each shipment may consist of several shipping notes or invoices and each shipping note or invoice may relate to several purchase orders. These contain details of invoice quantity, discount and price.
The Post Invoice option automatically generates an AP invoice for the FOB (Invoice Value) or CIF component of a shipping invoice. Once an AP invoice has been generated, the shipping invoice details are protected and changes are not allowed. This ensures the shipping invoice and the AP invoice match.
GL journals are automatically generated from different stages of processing the shipping invoice, receipting the stock and paying of the various creditors relating to the landing charges. The products on the shipping invoice are converted to the corresponding GL dissection codes on the AP invoice using the GL Definition file. This database is maintained using the Shipping Invoice GL Item Definition program. The GL definition file also includes GL accounts used in the automatic generation of the various shipping journals such as Goods in transit (GIT), accruals, inventory and variances. The sequence in which the GL codes are stored on the file is defined in TMSPU/GL-ACDEF.
To activate The Purchase GIT account, define the GL account in the GL expense accounts for the Purchasing system which is done via Shipping Account Allocation Set Entry. Also the system code for Purchasing PU must be set up in TMSGL/SUBLINQ for the allocations inquiry program.
GIT is allocated to the relevant Business unit GL account by both inventory hierarchy and logical warehouse (Shipping Invoice GL Title Definition Maintenance).
Create a new shipment
- In the menu, expand Base Modules > Distribution > Inventory Management > Purchasing > Invoices and double-click PO Work with Shipment. PUW005 Work with Shipments selection panel appears.
- Click OK.
- Click Add. PUW005 Work with Shipments panel is displayed in Add mode.
| Field | Description |
| Shipment reference number | A Shipment Reference or Shipment ID is mandatory when creating a Shipment or Invoice Entry. Whether or not to automatically generate the ship reference number when adding a new shipment is controlled by TMSDS/PO-GNSID. The range of valid Shipment ID numbers is established in Control number maintenance in the Cross Applications module.
If the number is not automatically generated, usually the number is supplied by the stock controller and used to trace the shipment. |
| Shipment status | Shipment status will default to ‘E’ = Entered when adding a new shipment.
Active shipments are classed as E=Entered, R=Released and P=Purchase Orders. Closed shipments are classed as C=Closed, Z=Old Records from conversion, D which is similar to Z but with maintenance. |
| Ship name | The shipment name defaults to the Dummy Shipment name if left blank and can be changed when required. This feature can be used for advanced shipping notices. |
| Ship method | Prompt and select a valid shipping method as defined in control file TMSDS/POH-SMTH. Shipping method on the purchase order must be the same as the shipping method on the shipment. |
| Origin | If left blank the Origin defaults to N/A=Not applicable. |
| Port of embarkation | This field can default to N/A, and be overridden, by setting up a blank as a code in TMSDS/IM-PEMB. |
| Port of destination | This is the destination of the shipment being an airport or shipping port. |
| Reference | A reference relating to the shipment is optional. |
| Container/type | Up to ten containers can be listed per Shipment. |
| Special instructions | Any special instructions for the warehouse etc. |
| ETD Port | This is the Estimated time of departure from departing port of origin, |
| ETA Port | This is the Estimated time of arrival at receiving port of destination. |
| ETA Deport | This is the Estimated Time of Arrival at the receiving depot. This date is displayed in the General Inquiries under the heading of Outstanding Purchase Orders section. |
| ETA Warehouse | The Estimated Time of Arrival at the warehouse is mandatory. This date is displayed in the General Inquiries under the heading of Outstanding Purchase Orders. |
| Total | This is the calculated total of the entire shipment. This is a display field only. The Base currency is displayed alongside the value. The calculation is as follows: the trade currency ÷ by the current exchange rate = the Base currency. The exchange rates are established in the Distribution Database. |
- Enter the above information, as necessary.
- Click OK. PUW010 Work with Shipping Invoice panel is displayed in add mode to add and maintain invoices or pro forma invoices to the Shipment.
