Case study 3B Transportation management

Objectives

  • Implement transportation management

Exercise #1 Configure carriers

Objective: Set up a new carrier and add a carrier service.

USMF in the United States has a new customer located in Europe.

The Transportation coordinator at Contoso Entertainment, has determined that a new company will be used for transporting the products to this customer.

You will need to do the following:

  • Set up a new ocean carrier.

  • Add a carrier service to the carrier.

Set up a new carrier

  1. In USMF, Open Transportation management > Setup > Carriers > Shipping carriers.  

  2. In the action pane, select New to create a new shipping carrier.  

  3. In the Shipping carrier field, enter Ocean Carrier 2.

  4. In the Name field, enter Secondary ocean carrier.

  5. In the Mode field, select Ocean.  

  6. Expand the Overview FastTab.

  7. Set the Activate shipping carrier slider to Yes.

  8. Select vendor account 1002 from the Vendor drop-down menu.  

  9. In the SCAC field, enter 2005.

  10. Set the Activate carrier rating slider to Yes.

  11. On the Addresses FastTab, select New.

  12. In the New address form, enter Ocean carrier location in the Name field.

  13. Select Business from the Purpose drop-down list.

  14. Select USA in the Country/region drop-down list.

  15. In the ZIP/postal code field, enter 11251.

  16. In the Street field, enter 1577 Madison Blvd.

  17. Set the Primary slider to Yes.

  18. Select OK.

  19. Close the Shipping carriers form.

Add a carrier service to the carrier

  1. Open Transportation management > Setup > Carriers > Shipping carriers.

  2. Select Ocean Carrier 2 in the left-hand pane.

  3. Expand the Services FastTab.

  4. Select New.

  5. In the Carrier service field, enter Ocean.  

  6. In the Name field, enter Ocean.

  7. In the Transportation method field, select Ocean.

  8. Select Freight from the Billing group ID drop-down menu.

  9. Close the form.

Exercise #2 Configure rate masters

Objective: Configure a rate master and base.

To support the logistics & transportation manager for USMF, you were asked to record the rates for an air carrier.

This is done by setting up the rate masters according to the contracts signed with the carriers

You will need to do the following:

  • Setup the rate master.

  • Set up the rate base.

  • Assign the rate base.

Set up rate master

  1. Go to Transportation management > Setup > Rating > Rate master.

  2. Select New.

  3. In the Rate master field, enter AtlantaMaster.

  4. In the Name field, enter Atlanta rate master.

  5. In the Rating metadata ID field, select the drop-down button to open the lookup.

    • The rating metadata ID will determine the data needed for the rate master, as it defines the metadata expected by the TMS engine using this rate master.

  6. For this example, select the P2P option.

  7. Select Save.

Set up rate base

  1. Select Rate base.

    • The rate base determines the rate of the carrier and can be used to set up a tariff structure as it structures the rates in the breakpoints defined in the break master.

  2. Select New.

  3. In the Rate base field, enter AtlantaBase.

  4. In the Name field, enter Atlanta rate base.

  5. In the Break master field, select the drop-down button to open the lookup.

    • Break masters are used to define the pricing structure and its breakpoints. The pricing structure uses tiered pricing that is based on physical dimensions.

For this example, use weight.

  1. Toggle the expansion of the Details section.

  2. Select New.

  3. In the Drop-off Postal Code From field, enter 30301.

  4. In the Drop-off Postal Code To field, enter 30318.

  5. In the Drop-off Country Region field, enter USA.

  6. In the <1.00 Lbs field, enter 100.

    • Insert the rate per lbs if the total weight of the load is less than 1 pound.

  7. In the <5.00 Lbs field, enter 300.

    • Insert the rate per lbs if the total weight of the load is less than 5 pounds.

  8. In the <20.00 Lbs field, enter 500.

    • Insert the rate per lbs if the total weight of the load is less than 20 pounds.

  9. In the <100.00 Lbs field, enter 1000.

    • Insert the rate per lbs if the total weight of the load is less than 100 pounds.

  10. In the <1,000.00 Lbs field, enter 3000.

    • Insert the rate per lbs if the total weight of the load is less than 1000 pounds.

  11. Select Save.

  12. Close the page.

Assign rate base

  1. Toggle the expansion of the Rate base assignments section.

  2. Select New.

    • You can have several rate base assignments for each rate master. This makes it possible to create several different price points for each carrier depending on destinations, services, or different rate bases. In this procedure you will only create one rate base assignment.

  3. In the Name field, enter AtlantaRateAssignment.

  4. In the Rate base field, select the drop-down button to open the lookup.

  5. In the list, select AtlantaBase.

  6. In the Service field, select the drop-down button to open the lookup.

  7. In the list, find and select Truck.

  8. In the Pick-up Postal Code field, enter 98052.

    • Specify which postal code this rate base assignment should be valid from.

  9. In the Pick-up Country Region field, enter USA.

  10. Select Save.

Exercise #3 Setup route plans and route guides (Bonus)

Objective: Configure a route pan, hub, and route guide.

You were asked to help the logistics manager at USMF to setup route plans and route guides.

You will need to do the following:

  • Configure a new route plan for Georgia to Los Angeles.

  • Create a new hub for the warehouses at Georgia and Los Angeles.

  • Add details to the route plan.

  • Create a route guide for Georgia to Los Angeles.

Create a new route plan named “GA to LA”

  1. Open USMF > Transportation management > Setup > Routing > Route plans.  

  2. Select New.

  3. In the Route plan field, enter GA to LA.

  4. In the Name field, enter Georgia to Los Angeles.

  5. Close the form.

Create a new hub for Georgia and one for Los Angeles

  1. Open Transportation management > Setup > Routing > Hub masters.  

  2. Select New.  

  3. In the Hub field, enter Georgia 3.

  4. In the Name field, enter Savannah GA.

  5. Expand the Codes FastTab.

  6. In the Hub type field, select Hub.

  7. In the Rate master field, select TruckRateMaster.  

  8. Expand the Effective dates FastTab.

  9. In the Effective start date and time field, select Today.

  10. In the Effective end date and time field, select 12/31/2025.

  11. Expand the Address FastTab.

  12. Select Add.

  13. In the Name or description field, enter Georgia 3.

  14. In the Zip/postal code field, enter 31302.

  15. In the Street field, enter 123 ABC Street.

  16. Select OK.

  17. Select New.  

  18. In the Hub field, enter Los Angeles 2.

  19. In the Name field, enter Los Angeles CA 2.

  20. Expand the Codes FastTab.

  21. In the Hub type field, select Hub.

  22. In the Rate master field, select TruckRateMaster.  

  23. Expand the Effective dates FastTab.

  24. In the Effective start date and time field, select Today.

  25. In the Effective end date and time field, select 12/31/2025.

  26. Expand the Address FastTab.

  27. Select Add.

  28. In the Name or description field, enter Los Angeles 2.

  29. In the Zip/postal code field, enter 90001.

  30. In the Street field, enter 987 XYZ Avenue.

  31. Select OK.

  32. Close the form.

Add details to the route plan

  1. Open Transportation management > Setup > Routing > Route plans.  

  2. Select the GA to LA route plan.

  3. On the Details FastTab, select New.  

  4. In the Origin hub field, select Georgia 3.

  5. In the Destination hub field, select Los Angeles 2.

  6. In the Shipping carrier field, select TruckCarrier.

  7. In the Carrier service field, select Truck.

  8. Close the form.

Create a route guide

You must configure a new routing guide for Georgia to Los Angeles. The routing guide should use a particular shipping carrier, TruckCarrier, with the carrier service Truck.  

Create a new routing guide named “GA to LA”

  1. In USMF, go to Transportation management > Setup > Routing > Route guides.  

  2. Select New.

  3. In the Routing guide field, enter GA to LA.

  4. In the Name field, enter Georgia to Los Angeles.  

Add Information, Origin, Destination, and Result entities to the routing guide

  1. Expand the Information FastTab.

  2. In the Direction field, select Outbound.  

  3. Set the Active slider to the Yes position.

  4. In the Effective start date and time field, select Today.

  5. In the Effect end date and time field, enter 12/31/2025.

  6. Expand the Origin FastTab.

  7. In the Zip/postal code field, enter 31302.

  8. In the Hub field, select Los Angeles 2.

  9. In the Country/region field, enter USA.

  10. Expand the Destination FastTab.

  11. In the Zip/postal code from field, enter 31302.

  12. In the Zip/postal code to field, enter 90001.

  13. In the Hub field, select Georgia 3.

  14. In the Country/region field, enter USA.

  15. Expand the Result FastTab.

  16. In the Shipping carrier field, select TruckCarrier.

  17. In the Carrier service field, select Truck.

  18. Select Save.

Exercise #4 Process inbound shipments (Bonus)

Objective: Configure a route and manage inbound shipments.

You were asked to help the logistics manager at USMF, to manage the inbound shipments from Ade Supply Company.

You will need to do the following:

  • Complete the prerequisite steps.

  • Create a hub, route plan, and route guide.

  • Initiate an inbound shipment.

  • Process an inbound shipment.

  • Confirm an inbound shipment.

Add a vendor address for the Ade Supply Company

  1. Open Accounts payable > Vendors > All vendors.

  2. Select vendor 1003 from the list of vendors.

  3. In the action pane, select Edit.

  4. In the Addresses FastTab, select Add.

  5. In the Name or description field, enter Ade Supply Main Location.

  6. In the Zip/postal code field, enter 00210.

  7. In the Street field, enter 123 Main Street.

  8. Set the Primary slider to Yes.

  9. Select OK.

  10. In the Invoice and delivery FastTab, in the Mode of delivery field, select Parce-STD.

  11. Close the forms.

Modify the CFR terms of delivery

  1. Open Accounts payable > Setup > Terms of delivery.

  2. Select CFR from the left-hand panel.

  3. Select Edit in the action pane.

  4. In the Transportation FastTab, set the Add transportation charges to retail sales orders slider to Yes.

  5. Close the form.

Create a Hub, Route Plan, and Route Guide

You have been asked to set up a hub for the Ade Supply Company and create a route plan and guide between the Ade Supply Company and USMF’s Warehouse 61.

Create a hub for the Ade Supply Company

  1. Open Transportation management > Setup > Routing > Hub masters.

  2. Select New in the action pane.

  3. In the Hub field, enter Ade Supply.

  4. In the Name field, enter Ade Supply NH.

  5. In the Codes FastTab, in the Hub type field, select Hub.

  6. In the Rate master field, select ParcelRateMaster.

  7. In the Address FastTab, select Add.

  8. In the New address form, in the Name or description field, enter Ade Supply NH.

  9. In the ZIP/postal code field, enter 00210.

  10. In the Street field, enter 123 Main Street.

  11. Select OK.

  12. Close the form.

Create a route plan from New Hampshire to Washington

  1. Open Transportation management > Setup > routing > Route plans.

  2. Select New in the action pane.

  3. In the Route plan field, enter NH to WA.

  4. In the Name field, enter New Hampshire to Washington.

  5. In the Details FastTab, select New.

  6. In the Origin hub field, select Ade Supply.

  7. In the Destination hub field, select Own WHS.

  8. In the Shipping carrier field, select ParcelCarrier.

  9. In the Carrier service field, select STD.

  10. In the Vendor field, select 1003.

  11. Close the form.

Create a route guide from New Hampshire to Washington

  1. Open Transportation management > Setup > Routing > Route guides.

  2. Select New in the action pane.

  3. In the Routing guide field, enter NH to WA.

  4. In the Name field, enter New Hampshire to Washington.

  5. In the Origin FastTab, in the ZIP/postal code field, enter 00210.

  6. In the Destination FastTab, in the ZIP/postal code field, enter 98052.

  7. In the Result FastTab, in the Route plan field, select NH to WA.

  8. Close the form.

Initiate an Inbound Shipment

You have been asked to create a new purchase order for 10 mini-speakers from the Ade Supply Company. After creating the purchase order, you will need to create an inbound shipment and then rate shop for the inbound load to find the cheapest transportation rate.

Create a new purchase order

  1. Open Accounts payable > Purchase orders > All purchase orders.

  2. Select New in the action pane.

  3. On the Create purchase order form, in the Vendor account field, select 1003.

  4. In the General FastTab, in the Site field, select 6.

  5. In the Warehouse field, select 61.

  6. Select OK.

  7. In the Purchase order lines FastTab, in the Item number field, enter L0101.

  8. In the Quantity field, enter 10.

  9. In the Unit price field, enter 50.

  10. In the Purchase tab on the action pane, select Confirm.

Create an inbound shipment

  1. In the Warehouse tab on the action pane, select Load planning workbench.

  2. Select the check mark column for the purchase order line.

  3. In the Supply and demand tab on the action pane, select To new load.

  4. In the Load template assignment form, in the Load template ID field, select Stnd Load template.

  5. Select OK.

Rate shop for the inbound load

  1. In the Loads tab of the Load planning workbench, select Rate route workbench from the Rating and routing drop-down menu.

  2. In the action pane of the Rate route workbench, select Rate shop.

  3. In the Route results FastTab, clear the Hide exceptions check box.

  4. Select the Route result line for the route guide.

  5. Select Assign.

Process an Inbound Shipment

Now that the inbound shipment has been created and rated, you need to schedule an appointment for the mini-speaker shipment. You’ve also been asked to schedule driver Tim Smith in and out of the appointment.

Schedule an appointment

  1. Open Transportation management > Planning > Load planning workbench.

  2. In the Loads tab, select the load ID for the purchase order created in the earlier practice.

  3. Select Appointment scheduling from the Transportation drop-down menu.

  4. In the Appointment scheduling form, select New in the action pane.

  5. In the Appointment details FastTab, in the Appointment rule field, select Inbound docks 61.

  6. Select Save.

  7. In the action pane, select the Update status drop-down arrow and select Firm.

Check the driver in

  1. In the action pane, select the Update status drop-down arrow and select Driver check-in.

  2. In the Driver check-in details form, in the Driver name field, enter Tim Smith.

  3. In the Driver license field, enter 123.

  4. Select OK.

  5. Close the Appointment scheduling form.

Check the driver out

  1. Select Appointment scheduling in the Transportation drop-down menu.

  2. In the Appointment scheduling form, in the action pane, select the Update status drop-down arrow and select Driver check-out.

  3. In the The driver’s information form, select OK to accept the default information.

  4. Close the form.

Confirm an Inbound Shipment

You now need to confirm the inbound load.

Confirm the inbound load

  1. Open Transportation management > Planning > Load planning workbench.

  2. In the Loads tab, clear the Hide shipped and received check box.

  3. Select the load ID.

  4. In the Load details form, select the Ship and receive tab in the action pane, and then select Inbound shipment in the Confirm area.

  5. Close the form.

Exercise #5 Process outbound shipments

Objective: Manage an outbound shipment and a consolidated shipment

The logistics manager at USMF, would like to process an outbound shipment for Desert Wholesales.

This involves receiving and confirming the sales order, reserving stock for the order, and creating an outbound transportation load.

In addition, Desert Wholesales wants to add another line to their sales order.

They requested that both sales order lines arrive in one consolidated load.

You have been asked to help creating the consolidated load and confirming it.

You need do the following:

  • Initiate an outbound shipment.

  • Create a consolidated shipment.

    NOTE There’s an exclusion on sales orders lesser than $10,000 for all customers. The sales order may provide an informational message that the order amount may be less than or equal to the sales order exclusion amount in the sales order rule and will not be sent to credit management. Before the execution of this task, view blocking rules and exclusion rules on the Credit and collections > Setup > Credit management setup > Blocking rules page.

Initiating an Outbound Shipment

You have been asked to confirm a sales order for Desert Wholesales, reserve stock for the order, and create an outbound transportation load.

Receive and confirm the sales order

  1. Open Sales and marketing > Customers > All customers.  

  2. In the list of customers, select the line for account US-007.

  3. In the action pane, select the Sell tab.

  4. In the New group, select Sales order.

  5. In the Sales order form, expand the Sales order lines FastTab, if not expanded already.

  6. In the existing sales order line, in the Item number field, enter A0001.

  7. In the Quantity field, enter 5.

  8. In the Site field, enter 6.

  9. In the Warehouse field, enter 62.

  10. In the Unit price field, enter 15.  

  11. In the action pane, select Save.

  12. In the action pane, select the Sell tab.

  13. In the Generate area, select Confirm sales order.

  14. Confirm the information on the Confirm sales order form and select OK.

  15. Select OK to post without printing.

Reserve stock for the order

  1. In the Sales order details form, select the order line in the Sales order lines FastTab.

  2. Select the Inventory drop-down arrow and select Reservation.

  3. In the Reservation form, in the Reservation field, enter 5.

  4. In the action pane, select Reserve lot.

  5. Close the form.

Create an outbound transportation load

  1. In the Sales order details form, select the Warehouse tab in the action pane.

  2. In the Loads area, select Load planning workbench.

  3. In the Sales lines tab, select the line for your current sales order.

  4. In the action pane, select Supply and demand.

  5. In the Add area, select To new load.

  6. In the Load template assignment form, select Stnd Load Template from the Load template ID drop-down menu.

  7. Select OK.

  8. Select OK to confirm exceeding capacity.

Creating a Consolidated Shipment

Desert Wholesales wants to add another line to their sales order. They request that both sales order lines arrive in one consolidated load. You have been tasked with creating the consolidated load and confirming it.

Set up parameters for consolidated shipments

  1. Open Transportation management > Setup > Transportation management parameters.

  2. Select the General tab.

  3. In the In transit planning FastTab, set the In transit planning slider to Yes.

  4. Close the form.

Add a new line to a sales order

  1. Open Accounts receivable > Orders > All sales orders.

  2. Select the current sales order for Desert Wholesales.

  3. In the Sales order details form, in the Sales order lines FastTab, select Add line.

  4. In the Item number field, enter A0002.

  5. In the Quantity field, enter 5.

  6. For Site, select 5.

  7. In the action pane, select the Sell tab.

  8. In the Generate area, select Confirm sales order.

  9. Confirm the information on the Confirm sales order form and select OK.

  10. Select OK to post without printing.

Reserve stock for the order

  1. In the Sales order details form, select one of the order lines in the Sales order lines FastTab.

  2. Select the Inventory drop-down arrow and select Reservation.

  3. In the Reservation form, in the Reservation field, enter 5.

  4. In the action pane, select Reserve lot.

  5. Close the form.

Create and confirm a new outbound load

  1. In the Sales order details form, select the Warehouse tab in the action pane.

  2. In the Loads area, select Load planning workbench.

  3. In the Sales lines tab, select a line for your current sales order.

  4. In the action pane, select Supply and demand.

  5. In the Add area, select To new load.

  6. In the Load template assignment form, select Stnd Load Template from the Load template ID drop-down menu.

  7. Select OK.

  8. Select OK to confirm exceeding capacity.

Add hub consolidation and rate both loads

  1. In the Load planning workbench, select the first load you created in the Loads tab.

  2. Select Hub consolidation in the Transportation drop-down menu.

  3. In the Override location form, select the Hub drop-down arrow and select Los Angeles.

  4. Select OK.

  5. Select the load line in the Loads tab.

  6. Select Rate route workbench from the Rating and routing drop-down menu.

  7. In the Rate route workbench, select Route with rate in the action pane.

  8. In the Route Results FastTab, select route guide Wh 61 to Cust 003 004 019.

  9. Select Assign.

  10. Close the Routes form and the Rate route workbench.

  11. Repeat steps 1–10 for the second load.

Create the consolidated load

  1. In the Transportation request lines tab, select both lines.

  2. In the action pane, select the Supply and demand tab.

  3. In the Add area, select To new load.

  4. In the Load template assignment form, select Stnd Load Template from the Load template ID drop-down menu.

  5. Select OK.

  6. Select OK to confirm exceeding capacity.

Note: The consolidated load may take several minutes to appear in the Loads tab.

Rate the consolidated load

  1. In the Loads tab, select the consolidated load line.

  2. Select Rate route workbench from the Rating and routing drop-down menu.

  3. In the Rate route workbench, select Route with rate in the action pane.

  4. In the Route Results FastTab, select route guide Wh 61 to Cust 003 004 019.

  5. Select Assign.

  6. Close the Routes form and the Rate route workbench.

Confirm the consolidated load shipment

  1. On the Load planning workbench, in the Loads tab, select the consolidated load line.

  2. Select Outbound load in the Ship and receive drop-down menu.

Exercise #6 Configure freight reconciliation (Bonus)

Objective: Configure and manage freight reconciliation.

You were asked to help the logistics manager at USMF, to setup the system for Desert Wholesales for freight reconciliation.

You will need to do the following:

  • Create the freight reconciliation reason code for overtime.

  • Verify that the fright bill type is configured.

  • Create a freight bill type assignment for the truck carrier service.

  • Create a billing group named Duties.

  • Create an audit master for overtime.

Create a freight reconciliation reason code for Overtime

  1. Open Transportation management > Setup > Freight reconciliation > Reconciliation reasons.

  2. Select New.

  3. Type OT in the Reconciliation reason code field.

  4. Type Overtime in the Description field.

  5. Type 211650 in the Debit account field.

  6. Select the Pay the freight vendor check box.

  7. Close the form.

Verify the Freight bill type is configured

  1. Open Transportation management > Setup > Freight reconciliation > Freight bill type.

  2. Select the TL Freight bill type.

  3. Verify the Engine assembly field is populated.

  4. Verify that two records exist, one for Billing group ID and one for External code.

  5. Close the form.

Create a freight bill type assignment for the Truck Carrier service

  1. Open Transportation management > Setup > Freight reconciliation > Freight bill type assignments.

  2. Select New.

  3. Select None in the Direction field.

  4. Select Ground in the Mode field.

  5. Select TruckCarrier in the Shipping carrier field.

  6. Select TL in the Freight bill type field.

  7. Close the form.

Create a billing group named Duties

  1. Open Transportation management > Setup > Freight reconciliation > Billing Group.

  2. Select New.

  3. Type Duties in the Billing group field.

  4. Type Duties in the Name field.

  5. Close the form.

Create an audit master for overtime

  1. Open Transportation management > Setup > Freight reconciliation > Audit master.

  2. Select New.

  3. Enter Overtime in the Audit master ID field.

  4. Select TruckCarrier in the Shipping carrier field.

  5. Select TL in the Freight bill type field.

  6. In the Result FastTab, select OT in the Overpayment reason code field.

  7. Select Damage claim in the Underpayment reason code field.

  8. Close the form.