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How To Guide

Ship Mode/Service and Carrier Setup

OVERVIEW ..................................................................................................................... 2
SETUP ............................................................................................................................ 2
SHIPPING MODE/SERVICE LEVEL GESTMD...........................................................................................................2
CARRIER SETUP - GESBPT .......................................................................................................................................4
FUNCTIONAL ................................................................................................................. 5
SALES ORDER PROCESSING - GESSOH .....................................................................................................................5
Service Assignment Logic ................................................................................................................... 5
Carrier Assignment Logic .................................................................................................................... 5
SALES ORDER QUOTES (GESQH) .............................................................................................................................5

January 2010 Sage Page 1 of 5


Ship Mode/Service and Carrier Setup

Overview
The freight add-on of Sage ERP provides several options for the management of the shipping service and
carrier. The majority of this functionality is based on the definition of the shipping mode/service. This
functionality has been extended significantly from the Sage standard functionality. The setup for this is
simple but the impact is significant.
When using the freight functionality specifically for parcel carriers, the shipping mode is used to denote
the carriers service. This definition replaces the traditional air, sea, land, etc. usage. When representing
a service it is important to link the service with the carrier. This linkage is part of the add-on. This
document provides examples of the setup, but it will vary based on the services that are used within your
business.

Setup
Shipping Mode/Service Level GESTMD
The shipping mode has been extended significantly to accommodate rate shopping/carrier selection. The
mode is referred to as the service. There are two types of service. The first is a generic service which
groups similar services for rate shopping or manual comparison. This is not a real carrier service and is
replaced by a specific service on the order. A specific service is a service provided by a carrier for which
you have real rates and charges (ex: UPS Ground).

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Ship Mode/Service and Carrier Setup

The table below highlights sensitive settings within the service.

Field Description Comments


Freight Terms Validated Typically left blank as the freight terms usually are
associated with the customer, order or default from the
add-on parameters.
Service Type Local Menu Indicates if this is an actual carrier service (specific) or a
grouping/generic service (used to rate shop). Additional
information regarding generic services can be found in the
HTG Setup for Parcel Rate Shopping
Air/Expedite Checkbox Flag that is used to highlight expedite services provided by
the carriers. This flag is used by the multi-channel picking
functionality to select shipments. These often have to be
processed and picked earlier in the day than standard
services.
Carrier Validated This field should be populated for parcel specific services.
It also may be populated if you have defined services for
delivery with your truck or for a customer pickup. When
populated, it is placed on the quote/order automatically and
does not allow the user to override.
Freight Amount Local Menu Field that defines the source of freight charges. This can
Derivation be freight revenue (applied at time of sales order entry) or
from freight shopping. When freight charges are derived
from shopping, you may specify a percent surcharge that
will be added to the shopped rate.
Rate Shopping Radio Choice indicating the type of rate shopping that should be
performed for the service. Parcel shopping is performed
via rate tables defined within X3. LTL shopping requires
integration to SMC.
Dim Minimum Used in the parcel rate calculation for domestic shipments.
If the cubic size of the package exceeds this number, the
dimensional weight of the package is used.
Divisor Divisor used to calculate the dimensional weight of the
domestic ground shipment when it exceeds the dim
minimum. For domestic air shipments, the divisor is always
used to calculate the dimensional weight.

You should define a code to represent all of the services you use. Motor freight is typically the only
outbound service that is not associated with a carrier (excluding generic services). The shipping
mode/service is also used for suppliers and purchasing. The extensions and functionality outlined in this
document do not apply to purchasing. You may define some general services/modes for use with
purchasing.
Note: The rate shopping tools provides an estimate of the freight charges. It is advised that you
validate the results of your setup. Periodically, you should compare the results to the actual
freight charges. The service providers often charge many additional assessorial charges that
cannot be included within the rate-shopping tool.

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Ship Mode/Service and Carrier Setup

Carrier Setup - GESBPT


Additional fields have been added to the carrier to support the integration of rate shopping and some
additional required validations.

The following table outlines the new fields and their purpose.
Field Description Comments
Type Radio Type of carrier. Valid choices are parcel, motor freight, or
customer. This is used by the rate shopping.
Ship To PO Box Checkbox Indicates if the carrier delivers to a post office box. This
typically is not allowed. It allows for an extra validation
within order entry when assigning a service/carrier.
Unassigned Checkbox Denotes the carrier that is placed on the order when a valid
one is not returned via the rate shopping logic.
SMC3 Integration The remaining fields are used for SMC LTL carrier
selection and rate shopping.

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Ship Mode/Service and Carrier Setup

Functional
Sales Order Processing - GESSOH
The sales order entry function has different rules when the freight add-on is active. The default logic
associated with the Freight Terms, Shipping Mode/Service and Carrier has been modified to simplify the
setup and provide additional flexibility and functionality. Details on the freight terms can be located in the
HTG Setup of Freight Revenue

Service Assignment Logic


The logic for assigning the service type/shipping mode is as follows:
Level 1 Customer ship-to
Level 2 Add-on parameter
Level 3* Rate Shopping
With the exception of the rate shopping, the logic works in a drop down manner. As soon as a default is
located, the search is discontinued. Level 3 is applicable only when rate shopping is in use and is
activated when the service is a generic one.
The presence of a generic service and the rate shopping setup will trigger the rate shop at time of order
creation/update. If rate shopping is triggered, a change in the service to a specific carrier may occur.

Carrier Assignment Logic


The carrier assigned to an order works in a similar manner. The sequence for assigning a carrier is as
follows:
Level 1 Customer Ship-to
Level 2 Default based on entry of a specific service/shipping mode
Level 3 Rate shopping
Carriers are often linked to specific service type/Shipping modes. When activities occur that result in a
change in the mode, the carrier is automatically updated on the sales order. For example, a change in
the Ship-To on an order will result in the assignment of the carrier associated with the Ship-Tos shipping
mode.
A direct edit of the Shipping Mode on a sales order may result in an update of the carrier if it differs from
the old shipping modes carrier. Since freight is associated to the mode and a specific carrier, this link
has been added and its integrity is maintained.
To preserve the integrity of the mode/carrier relationship, controls have been added to prevent the user
from editing the carrier and creating a mismatch with the service. When the service on the order is
associated with a specific carrier, the user is not able to edit the carrier. If the service is not linked to a
specific carrier (ex: motor freight) an edit is allowed.

Sales Order Quotes (GESQH)


The default logic and service/carrier controls function as described in the sales order section of this
document apply to the entry of Sales Quotes within X3 as well.

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