Dıscover

Import management and landed cost tracking

Manage containers and estimated arrival dates while simultaneously tracking landed costs.

Manage all elements of product cost more efficiently

What are landed costs?

Landed costs are those costs that are typically in addition to purchase price and freight. Particularly for companies that import products from overseas, managing and tracking landed costs at a detailed level is important to obtain a more accurate view of product costs and sales margins.

Building landed costs within E21 ERP

With the E21 ERP system’s landed cost software functionality, manufacturers and distributors can define their own landed cost elements. These landed costs can be based on a fixed amount per unit or as a percentage of the item’s value and are tied to default GL accounts. The costs are then linked to specific products. In the event that a given item can be purchased from two different suppliers (possibly with different countries of origin), landed costs can be further defined at the vendor-product level or even at the level of departure port, arrival port, and container size, allowing for exceptionally granular landed cost tracking.

Import and container management

Building containers with E21 ERP

Edit Content

E21 ERP provides flexible, easy-to-use tools to consolidate items across multiple purchase orders into a single container. Estimated shipment, on-board, required, and actual received dates, along with slip sheet cost, container ID, and vessel ID can be maintained at the container level rather than on an individual purchase order basis. E21’s integrated ERP MRP software engine, then, leverages estimated ship and delivery dates at the container level when analyzing the future material planning needs of the organization.

Automatically spread landed costs to items on a container

Edit Content

Landed costs are automatically brought into vendor purchase orders at the time of purchase order entry. These costs can be updated and overridden until PO receiving. Using E21’s flexible ERP configuration manager, business rules can be defined for how landed costs on a purchase order get spread to the costs of the actual items on the purchase order (such as volume, weight, and quantity).

At the end of the procure-to-pay process, landed costs in E21 ERP carry through to the time of AP matching. If separate invoices are received for freight and other landed cost elements, these invoices can be tied back to the original purchase order. Then, the system will subsequently update item inventory costs and automatically make any necessary cost variance entries.