Note: This method should be chosen when you want to delay the payment of import duty until you sell the cleared goods.
Bonded goods must first be cleared from a bonded (logical) warehouse to a non-bonded (logical) warehouse to be able to sell to a domestic customer. The system will automatically perform the clearance process.
The entire procedure is done by creating a normal sales order for the bonded item from a non-bonded (logical) warehouse for your domestic customer.
When the sales order line is created, the system will check if the quantity is NOT available in the non-bonded (logical) warehouse but instead available in the bonded (logical) warehouse. If it is not available in the non-bonded (logical) warehouse, the system will create the following manual reservations thereby protecting the order line quantity from being used for any other sales order:
- On the Bonded (logical) warehouse, as outgoing quantity required on the sales order line.
- On the Non-bonded (logical) warehouse, as incoming quantity required on the sales order line.
- These reservations will be created with additional details, e.g., Dispatch date, Expiry date, Stock unit, Sales order, and Sales order line number for which this reservation is done.
- Any update or deletion of this sales order line will also trigger the update/deletion of the respective manual reservations.
When you confirm the pick list, the IRO’s (IR purchase order and IR sales order) will automatically be created, processed, and auto confirmed – thus transferring (i.e., clearing) the required quantity of goods and calculating the estimated import duty by applying the Landed cost to the IR purchase order.
During this automatic creation/processing/confirmation, the following will automatically take place:
(Note that Pick cancel, or re-confirmation is not allowed for the sales order which is connected to the “clearance” IROs.)
- All manual reservations will be removed against the specific sales order line.
- Based on the pick confirmed quantity and the quantity balances in the Custom reference file, one or more IM7 references (that were entered on the purchase order when receiving bonded stock) will be used (in FIFO sequence) to create IR sales order/lines. Hence, the purchase order is also updated, and the quantity on the purchase order is reduced in FIFO sequence.
- The IR sales order will then create an IR purchase order.
- The IR purchase order will be updated with the Landed cost type that is set up for the country of origin and non-bonded (logical) warehouse.
The automatically generated IRO information (i.e., IR sales order and IR purchase order) will be available to view in the Sales order enquiry for the original sales order on the Order line, Additional information 6 panel.
For this example, it is assumed that the non-bonded (logical) warehouse does not have any stock of the cleared bonded item.
Do as follows:
- Select the Work with sales orders menu item.
- You access Work with sales orders, Header view. Click Add.
- You access Work with sales orders, Create new. Complete the following mandatory fields:
- Handler
- Customer number
- Enter the customer number for your domestic customer.
- Order type
- Enter the sales order type for a normal sales order.
- You access Order lines. (See Manually enter a sales order for the different alternatives when adding the items for the order lines, and the fields that are defaulted but can be changed).
Note: If the SO type you have connected to the order has the Av check, pick list field set to YES, you need to first change this setting on the Order header. Access the Order header, and set the Avail chk pp field to NO.
- Whs
- Enter the warehouse code for the non-bonded (logical) warehouse from which the cleared bonded item will be sold.
- Item/Assortment
- Enter an item code for the bonded item from the Item file.
- Quantity
- Enter the quantity to sell, per selling unit.
- Unit
- Optional entry. If you leave the field blank, the system retrieves the default sales unit from the Item file/Inventory information panel.
- Nat
- If the EU reporting function is activated, enter the Nature of transaction code.
- The Reserved quantity and On order quantity in the Warehouse balance enquiry for the non-bonded and bonded (logical) warehouses will be increased with the quantity for the sales order line, and the Available quantity will be decreased.
- Confirm the order. From the Header view panel, right-click the order and select the Order confirmation option.
- Print the pick list. From the Header view panel, right-click the order and select the Pick list option.
- Confirm the pick list. From the Header view panel, right-click the order and select the Pick conf flow option.
- On the first Pick list confirmation panel click OK.
- On the Work with pickings, Detail lines panel, enter the Zone and Location and click the Full dispatch function key. Then click OK.
- You access the Work with pickings, Lines panel. When you click the Confirm function key, you will receive a message that the confirmed quantity is greater than the stock on hand quantity. Click the Confirm function key again. The IR0’s (IR purchase order and IR sales order) will automatically be created, processed, and auto confirmed.
- The IR purchase order and IR sales order will be set to status 60. You can view the IRO numbers via the Sales order enquiry, on the Order line, Additional information 6 panel. These numbers are denoted under the Bonded IRO’s section.
(Note: If the IR purchase order is set to status 50, it means that the receipts need to be booked. Access the Work with purchase orders menu item. Click the Item view function key. Right-click the IR purchase order that was created and select the Book receipts option for that IR purchase order to close that order.)
- For the bonded (logical) warehouse, the Reserved quantity is removed and the On hand quantity is reduced.
- For the non-bonded (logical) warehouse, the Reserved quantity is removed, and the On order quantity is reduced.
- The Available quantity for the IM7 reference on the purchase order of the bonded item has been reduced.
- The Warehouse for the sales order.
- The Available quantity for the IM7 reference on the purchase order of the bonded item has been reduced.
- The Log details, e.g., Access type, Access date, Access time and Access user.
- Quantity on the sales order (denoted as a negative value).
- Sales order number and line number selling the quantity to the customer.
- IRO numbers (and the line numbers) that were automatically generated to clear the goods.
- Transaction date and time.
- Print the Transport note for the sales order. From the Header view panel, right-click the order and select the Print TN option.
- Print the invoice. From the Header view panel, right-click the order and select the Invoicing option.
Click OK.
For this example, complete the following fields:
Click Ok to update the sales order line.
The following will take place:
Note: If there are any errors with the new order line, the system prompts the Order line, main info panel, highlights the errors and displays a message.
Click the Close order function key, and then the Back function key to access the Header view panel.
The following will take place:
The system updates the following files:
| File | Updates / Tracking |
|---|---|
| Warehouse balance enquiry |
|
| Customs reference file |
A new entry is automatically created for the IM7 reference on the purchase order of the bonded item. The following is updated: |
| Customs reference log file |
A new entry is automatically created for the IM7 reference on the purchase order of the bonded item. The following is updated: |
| Customs reporting file |
A new entry is automatically created for the IM7 reference on the purchase order of the bonded item denoting the following: |
| Customs reporting log file |
The same updates, as described in the Customs reporting file, occur as well as updates to the Log details (i.e., Access type, Access date, Access time and Access user). |