OE Price Adjustment

[jmccall]

Macola Progression.
What is the best way to handle a price adjustment issue at order entry? Example an order is shipped and invoiced 10 items at $10 Total $100, Then it is discovered that the item price should have been $12 so an adjustment needs to be processed for the difference. What is the best way to handle this so that it is inventory neutral and credits the sales of that item correctly? If a credit memo is created for the total amount and then the order is re-entered at the correct amount and reinvoiced won't that cause a new pick ticket to be printed and risk the order being reshipped?
The same situation may come up in reverse where the item was overcharged and a credit memo needs to be issued for the overcharge but again we want the item sales and sales amounts to be correctly stated.

 

[ChrisP520]

The way to handle this really depends a great deal on where you are in the order process. Here are some solutions that can be used prior to posting the invoice.

1. If the order has not been billed, you can simply go into order entry change mode and change it there.

2. It can also be changed when you bill the order.

3. If the order has been billed, you can unselect it and change the price when you reselect.

4. If an invoice has been posted, you can do the following:
a. Go to OE->Trx->Invoices/Cash and double-click Print Invoices.
b. When the screen comes up, enter the order number and check the "Print duplicate invoices?" checkbox.
c. Click OK.
d. When you are asked if the "Invoices printed correctly?" answer No. You will now be able to unselect the order, reselect it, change the price and print a new invoice.

IMPORTANT!! If the order has been invoiced, make sure you collect the already printed invoice because it will no longer be valid.

I hope this has been helpful.

 

[ultrav]

I believe you can credit the entire invoice and enter an "I" type order for the correct amount - I don't believe pick tickets run for an invoice type order- it is also automatically selected for billing.

Celeste

P.S. I believe ChrisP520 meant on number 4: If an invoice has not been posted.

 

[ChrisP520]

Celeste is correct. Number 4 should have read if the invoice has NOT been posted. Thank you, Celeste.

 

[AKPolarBear]

The less than elegant way is to use a non stock item set up for this purpose, zero cost and create a new order. Change the description to match, add a note explaining the reason for the pricier adjustment. Make sure to reference the original invoice number so the customer knows what you are talking about.

But, the methods mention by ChrisP520 above would be the best.

 

[MacolaHelp]

You can create a service invoice in AR for the charge or credit difference you need to make & put it into the correct GL accounts, print the paper, & have it on your customers' account for collection. Then go into sales history load (OE processes) to change the posted sales history numbers to reflect actual. Then, when you run sales history reports they will tie to the GL.

If you credit & re-invoice, you can print the pick ticket to file right away so a pick ticket can only be generated as a duplicate. If you are just doing this to correct a problem, as long as you create the invoice and post right after the credit is entered, you shouldn't have a pick ticket printing unless someone is printing pick tickets every couple of minutes.

 

[jmccall]

Thank you all for your thoughts on this. I think what ChrisP520 and ultrav suggest will be most helpful depending on the situation.