Issuing inventory to project with price from AR sales price worksheet
We undertake periodic air-condition units’ maintenance for clients and the norm is the service and spares prices are agreed on annually. These negotiated prices differ from client to client and the AR sales worksheet handles that nicely.
Expectation: All inventory hitting a client’s project either from inventory issue or project drop-ship should pick it prices from the agreed figures in the AR sales worksheet. These pricing will feed into the project billing
Question: Can 2024 R1 handle that or this should be treated as an idea??
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@kofi14 how are you billing for this in your current setup? are you billing through the project or through AR?
We are currently using the SO invoice in billing. We first push the inventory from project to excel before evaluating using the prices in AP worksheet. The final figure goes through SO invoice to hit the client’s account in AR.
@kofi14 a few more questions for you :)
for the billing to the customer, is this inventory item specific? so whatever items were issued to the project, that’s what the client would be billed for? you mentioned the price varies from client to client, how is pricing determined? is it a percent markup or specific amounts?
i am not sure what version you are on but in 24R1, on the sales price worksheet, you are able to specify a customer specific price at the inventory item level so I would think when you create an SO with the certain items, those prices should pull in if the sales price is set up
I could see this becoming clunky quickly depending on how many inventory items you sell and how often these are updated.
do you have the project accounting module? have you thought about billing through the project using the T&M billing rule (the stock items would show up on the project after it’s been issued). Rate tables could be another option as well
iqraharrison I really appreciate your suggestions and thanks a million for that but still have the below concerns if you can assist
Inventory specific: yes and the client is billed for the inventory used
Prices: the price per inventory per client is negotiated and has no bearance on inventory cost
We use the SO just to push the final figure into the client’s account.
With your suggestion:
1. When we create SO introducing same items which have already been issued to project, it will seriously mess up our inventory balances
2. When we ignore the project module and use SO for billing, the treatment of non-stock expenses (both cost and price) will also pose challenges
I have the project accounting module
Your suggestion: the billing rule and rate table will work excellently
1. if we have a %age markup for all the project inventories
2. if all project inventories are issued from one warehouse. If from different warehouses the prices per inventory will differ by virtue of their landed cost
Will welcome your comment, possibly I’m using the wrong lens in viewing this hurdle
