80693AE - AX2012R3CU8 - ENUS - TMS - Reference Companion Guide

Reference Companion Guide
80693AE: Transportation Management in

Microsoft Dynamics AX 2012 R3 CU8
The Reference Companion Guide is a Students guide and take away for this course. Please download,
email or upload this guide for future use and take notes or provide additional information on any
given topic.
The Reference Companion Guide should be used in conjunction with an E-Learning or trainer led
instruction course.
NOTE: that module practices are best executed when a trial and/or test environment is available.
CONTENTS
Module 1: Overview..............................................................................................................................................6
Lesson 1: Introduction to Advanced Transportation Management..........................................................................6
Lesson 2: Concepts and Terminology...........................................................................................................................7
Lesson 3: Transportation Management Process.........................................................................................................9
MODULE 1 KEY TAKE AWAY ..................................................................................................................................9
TEST YOUR KNOWLEDGE MODULE 1...................................................................................................................11
Module 2: Transportation Management Setup...............................................................................................13
Lesson 1: Introduction to Set Up.................................................................................................................................13
Lesson 2: Carriers.........................................................................................................................................................14
Show Me:....................................................................................................................................................................... 14
Lesson 3: Carrier Services............................................................................................................................................15
Show Me:....................................................................................................................................................................... 15
Lesson 4: Accessorial Assignments............................................................................................................................15
Show Me:....................................................................................................................................................................... 16
Lesson 5: Carrier Fuel Indexes....................................................................................................................................18
Show Me:....................................................................................................................................................................... 18
Lesson 6: Transportation Status.................................................................................................................................19
Show Me:....................................................................................................................................................................... 19
Lesson 7: Charges Setup.............................................................................................................................................20
Show Me:....................................................................................................................................................................... 20
Lesson 8: Transportation Modes and Methods........................................................................................................22
Show Me:....................................................................................................................................................................... 22
Lesson 9: Number Sequences......................................................................................................................................23
Show Me:....................................................................................................................................................................... 23
Lesson 10: LTL Classes..................................................................................................................................................23
Show Me:....................................................................................................................................................................... 24
Lesson 11: NMFC Codes...............................................................................................................................................24
Show Me:....................................................................................................................................................................... 25
Lesson 12: STCC Codes.................................................................................................................................................25
Show Me:....................................................................................................................................................................... 25
Lesson 13: Equipment Setup.......................................................................................................................................26
Show Me:....................................................................................................................................................................... 26
Lesson 14: Load Templates..........................................................................................................................................26
Show Me:....................................................................................................................................................................... 26
Lesson 15: Transportation Templates........................................................................................................................27
Show Me:....................................................................................................................................................................... 27
Show Me:....................................................................................................................................................................... 27
Lesson 16: Transportation Tender...............................................................................................................................28
Show Me:....................................................................................................................................................................... 28
Lesson 17: Transportation Management Parameters...............................................................................................28
Show Me:....................................................................................................................................................................... 29
MODULE 2 KEY TAKE AWAY ................................................................................................................................30
MODULE PRACTICE...............................................................................................................................................33
Practice 2.1: Define Carriers and Carrier Groups.............................................................................................33
Practice 2.2: Accessorial Charges......................................................................................................................34
Practice 2.3: Create Load and Transportation Templates..............................................................................35
Lesson 1: About Rating................................................................................................................................................39
Lesson 2: Rate Master Setup......................................................................................................................................40
Show Me:....................................................................................................................................................................... 40
Lesson 3: Engines Overview........................................................................................................................................42
Lesson 4: Engines Setup..............................................................................................................................................42
Lesson 5: Create Rate Engines....................................................................................................................................44
Show Me:....................................................................................................................................................................... 44
Lesson 6: Transit Time Engines...................................................................................................................................44
Show Me:....................................................................................................................................................................... 45
Lesson 7: Mileage Engines..........................................................................................................................................46
Show Me:....................................................................................................................................................................... 46
Lesson 8: Zone Engines...............................................................................................................................................46
Show Me:....................................................................................................................................................................... 47
Lesson 9: Generic Engines............................................................................................................................................47
Show Me:....................................................................................................................................................................... 47
Lesson 10: Freight Bill Engines....................................................................................................................................48
Show Me:....................................................................................................................................................................... 48
Lesson 11: Initialize Base Engines...............................................................................................................................48
Show Me:....................................................................................................................................................................... 48
Lesson 12: Rating Profiles............................................................................................................................................49
Show Me:....................................................................................................................................................................... 49
MODULE 3 KEY TAKE AWAY ................................................................................................................................49
MODULE PRACTICE...............................................................................................................................................51
Practice 3.1: Configure a Rate Master...............................................................................................................51
Module 4: Routing...............................................................................................................................................57
Lesson 1: Routing Overview.........................................................................................................................................57
Show Me:....................................................................................................................................................................... 57
Lesson 2: Routing Setup for Carriers.........................................................................................................................57
Show Me:....................................................................................................................................................................... 58
Lesson 3: Transportation Constraints........................................................................................................................58
Show Me:....................................................................................................................................................................... 59
Lesson 4: Routing Plan...............................................................................................................................................61
Show Me:....................................................................................................................................................................... 61
Lesson 5: Routing Guide............................................................................................................................................62
Show Me:....................................................................................................................................................................... 62
Lesson 6: Hub Masters...............................................................................................................................................63
Show Me:....................................................................................................................................................................... 63
MODULE 4 KEY TAKE AWAY................................................................................................................................64
MODULE PRACTICE...............................................................................................................................................65
Practice 4.1: Create a Routing Plan...................................................................................................................65
Practice 4.2: Create a Routing Guide...............................................................................................................66
Module 5: Transportation Planning..................................................................................................................69
Lesson 1: About Transportation Planning..................................................................................................................69
Lesson 2: Create or Modify an Inbound Load..........................................................................................................70
Show Me:....................................................................................................................................................................... 70
Lesson 3: Split a Purchase order into Multiple loads...............................................................................................72
Show Me:....................................................................................................................................................................... 72
Lesson 4: Create or Modify an Outbound Load......................................................................................................73
Show Me:....................................................................................................................................................................... 73
Lesson 5: Assign a Rate and Route to a Load..........................................................................................................75
Show Me:....................................................................................................................................................................... 76
Lesson 6: Consolidate Multiple Shipments into a Load..........................................................................................77
Show Me:....................................................................................................................................................................... 78
Lesson 7: Confirm a Load for Shipping....................................................................................................................78
Show Me:....................................................................................................................................................................... 78
Lesson 8: Set Up for Appointments..........................................................................................................................79
Show Me:....................................................................................................................................................................... 80
Lesson 9: Plan Appointments.....................................................................................................................................81
Show Me:....................................................................................................................................................................... 81
Lesson 10: Register Driver Check-In and Check-Out...............................................................................................83
Show Me:....................................................................................................................................................................... 83
Lesson 11: Automating Load Building.......................................................................................................................84
Show Me:....................................................................................................................................................................... 85
Lesson 12: Build and Work with Proposed Loads....................................................................................................85
Show Me:....................................................................................................................................................................... 85
Lesson 13: Cleanup Proposed Loads.........................................................................................................................86
Show Me:....................................................................................................................................................................... 86
MODULE 5 KEY TAKE AWAY................................................................................................................................87
MODULE PRACTICE...............................................................................................................................................89
Practice 5.1: Load Planning Walkthrough........................................................................................................89
Practice 5.2: Assign Rates and Routes..............................................................................................................90
Practice 5.3: Working with Appointment Scheduling.....................................................................................91
Practice 5.4: Driver Check-in and Check-Out..................................................................................................92
Module 6:..............................................................................................................................................................96
Lesson 1: Freight Reconciliation Setup.......................................................................................................................96
Lesson 2: Freight Bill Types.........................................................................................................................................96
Show Me:....................................................................................................................................................................... 96
Lesson 3: Freight Bill Assignments.............................................................................................................................97
Show Me:....................................................................................................................................................................... 97
Lesson 4: Reason Codes..............................................................................................................................................97
Show Me:....................................................................................................................................................................... 98
Lesson 5: Audit Masters..............................................................................................................................................98
Show Me:....................................................................................................................................................................... 98
Lesson 6: Freight Reconciliation Process...................................................................................................................99
Lesson 7: Generate Freight Invoices..........................................................................................................................99
Show Me:....................................................................................................................................................................... 99
Lesson 8: Match Freight Invoices..............................................................................................................................101
Show Me:..................................................................................................................................................................... 101
Lesson 9: Reconcile Freight Invoices.........................................................................................................................102
Show Me:..................................................................................................................................................................... 102
MODULE 6 KEY TAKE AWAY ..............................................................................................................................103
MODULE PRACTICE.............................................................................................................................................104
Practice 6.1: Freight Reconciliation.................................................................................................................104
TEST YOUR KNOWLEDGE MODULE 6.................................................................................................................105
TEST YOUR KNOWLEDGE ANSWERS..................................................................................................................107
Module 1...................................................................................................................................................................... 107
Module 2...................................................................................................................................................................... 107
Module 3...................................................................................................................................................................... 108
Module 4...................................................................................................................................................................... 109
Module 5...................................................................................................................................................................... 109
Module 6...................................................................................................................................................................... 110
Module 1: Overview
Transportation management in AX is designed to help you manage your company's transportation and identify
vendor and routing solutions for inbound and outbound orders. For example, you can identify the fastest
route or the least expensive rate for a shipment. In addition, the transportation management module in AX
includes a freight reconciliation feature that allows you to track additional cost such as freight and duties
throughout the order lifecycle and then reconcile them against the final bill from the vendor. The feature
supports the recording of landed costs on the original receipt as well. In this module, I'll describe the features
that are included with the new transportation management module included with AX. Then I'll introduce some
concepts and terminology that are used with transportation management systems that you may or may not be
familiar with. Finally, we'll review the overall transportation management process.
Lesson 1: Introduction to Advanced Transportation Management

Transportation management in AX provides a global enterprise transportation system by embedding planning
and execution capabilities seamlessly into AX. Let's take a look at some of the benefits of using transportation
management inside of AX. AX supports centralized freight planning across your business or separate planning
at the site or warehouse level. AX also aggregates and consolidates your transportation data so there's no
need for access to outside databases. And finally, through the use of various features that we will discuss in
more detail later on, transportation management helps you meet your customers' requirements.
To handle the flows of inventory items into and out of your warehouse to a customer or intermediate location
such as a hub, you can create loads. The load planning workbench, which is shown in the picture, is a tool that
the transportation manager can use to view, create, and update shipments including consolidating multiple
shipments together. You can plan rates and routes for the loads by using the rate route workbench shown
below. The workbench can be launched from any sales, purchase, or transfer order in the system.
You can also launch it from the load planning workbench or manually from the main menu. There are also
alternative forms which can be used to just find a route or for a load or if rating is not being used. The
workbench allows the transportation workers to view all the rate and route options to make a decision on the
best option to meet your customer needs. There are also options to automatically rate and route an order.
The appointment scheduling features allows for users to plan and schedule loads and shipments. Appointment
scheduling acts as a dock door management tool by allowing the tracking of driver check-in and check-out
times. Once an appointment is created, it can then be firmed. The driver check-in and -out processes can be
completed from the rich client or from a mobile device by using the advanced warehouse management
functionality. Freight reconciliation is a feature of transportation management in AX that allows you to match
up your system-generated freight bills with invoices that you receive from your carriers. This process can be
automated based on a set configured tolerances that can be defined, or it can be performed manually, which is
useful in the case of exceptions.
Lesson 2: Concepts and Terminology

Let's take a look at the three transportation management concepts that are used in AX including the planning,
execution, and freight rating concepts. Let's start with transportation planning. This is how all transportation
scenarios will start. We're able to define our loads, origin, destination, and any hubs between the two points.
Along with these, we can define what type of equipment we might be using and the type of load. All
transportation planning is based on demand either from a sales order, purchase order, or transfer order.
We began our planning from the transportation from either the order itself or from the load planning
workbench. The load planning workbench is designed to hold all of the order lines for the loads that need to
be planned or rated and routed. The form includes special features and functions to help you easily manage all
your inbound and outbound loads. We'll take a closer look at this form later on. The process of executing our
transportation plan consists of three basic steps after the creation of the load from our planning phase. Rating
the load, which determines the cost and methods or modes of delivery for the load, is next. Then we can route
the load which determines the sequence and path, if you will, that the load will take to reach its final
destination. And finally you'll confirm the order. You can optionally use appointment scheduling and freight
reconciliation features which involve additional steps in the ship confirmation steps. We'll look at these in
more detail later on.
Now let's talk about freight rating. In AX carriers are set up and enabled. This allows them to be used for
rating of a specific order or a load. When rating, the system will evaluate the rating profile first in order to
determine if the carrier's rate is applicable for the items or load that is being rated. Each carrier can be linked
to one or more rating profiles. Additionally, a transit time engine is used to determine how long a carrier will
take to deliver an item from one point to another. For example, you might use one ZIP code to another or
from one shipping zone to another.
Next is the rate master. The rate master includes one or more rate-based assignments which include attributes
that are determined by the rate base type that is linked to the rate master. For example, the attributes might
be a destination ZIP code and an origin ZIP code or a warehouse, for example. The rate base is then linked to
the rate master which holds the actual rates for a particular combination defined in the rate master through the
use of rate base types and assignments. In a simple scenario that we'll look at in our demo data later on, the
rate master is based on a mileage rate base. The rate base type includes a rate base type attribute, such as the
from and to ZIP codes, which are used to by the system to determine how many miles the shipment will travel.
Then the rate base includes tiers or breaks for certain mileage ranges. For example, from zero to 100 miles is
one amount, while 101 miles to 200 miles is another rate.
You can configure the system for any combination of attributes to calculate freight. However, the engines that
are provided out of the box do have certain limitations and the engines provided with AX are designed to be
extended to support any scenario your business might require. You can learn more about extending and
developing new engines in the Microsoft Virtual Academy. AX has the ability to rate strictly for the lowest rate
every time. Alternatively, you can rate shop. Rate shopping allows for the transportation manager to see all of
the carrier options that are available for use so they can choose the optimal carrier for the situation. AX also
allows for rating and routing at the same time. To determine which code will be used when writing the
apportioned charges back to the line, all the records in the charge table will be evaluated, choosing the most
specific one first and then moving down to the most general or least specific.
Next, discounts, if applicable, will determine the overall rate for the customer or shipper as charged. The
criteria can be set up so that you can use specific discounts to apply to specific transactions. The result of the
discount can either be a percentage of the overall original total or just a flat amount. Discounts can either be a
positive or negative amount. Finally, we have accessorial charges which are then added as additional charges
when rating the freight which will be assigned according to the configurations that are defined in AX. One
example of accessorial charges are fuel surcharges which are typically made up of three parts -- a fuel index
determined by the Department of Energy, carrier fuel indexes, and the accessorial assignment. Let's review
some terminology that's common in the transportation industry.
First let's talk about the NMFC code, which stands for National Motor Freight Classification code. And it's what
determines how the item is rated for search carriers. It's also important that this code is specified for the bill of
lading. Next is the LTL class. The LTL class refers to the NMFC code and its category of your LTL freight. The
freight class determines the carrier shipping charges by identifying size, value, and difficulty of transporting
your LTL freight. LTL stands for less than load. Then we have the Harmonized code which is an internationally
standardized system of names and numbers that's used for classifying traded products developed by the World
Customs Organization. Next is the STCC, which stands for the Standard Transportation Commodity Code. You
can think of this as an item group for the real world because it will classify what an item is. For example, there's
a rail engine which uses STCC for rating rail shipments. TL refers to a truckload which indicates a full trailer is
being shipped to one or more locations in a given route. A load is a combination of one or more shipments.
Depending on your type of business, a load may be multiple shipments or just one shipment. Typically in large
B2B distributions, a load will contain multiple shipments for multiple orders. Lastly is a shipment. A shipment
is one or more items from a specific order. A single order may have one shipment or multiple shipments. For
example, a small retailer is more likely to only have one shipment per order. Exceptions to this rule may apply
when items are backordered and have to be shipped at different types. A large distributor, however, may have
multiple shipments on one order because the volume related to a particular order prevents the order from
being included in one load.
Lesson 3: Transportation Management Process

Now let's take a look at the inbound and outbound processes for load management in AX. Let's start with the
inbound load process. When you order items from a vendor for delivery to your warehouse, you might want to
arrange the transport of the items yourself. The first step is to create or modify an inbound load for shipping.
Then we can assign a rate and route to the inbound load. Next you can optionally consolidate multiple
shipments into one load. Then you'll go through a process to confirm the load for shipping. Once it's been
confirmed, you can begin planning appointments for the load. And then, finally, when the driver arrives, you
can register driver check-in and check-outs for the appointments that you scheduled.
Next let's discuss the outbound process. You can plan and process an outbound load to ship specific items
from a company's warehouse to a customer or another warehouse. The first step is to create a load. You can
do this with a sales order or a transfer order either manually or automatically. You can also modify an existing
outbound load. Next, you'll need to assign a rate and route and a shipping carrier. Then you'll create and
process a wave manually or automatically, depending on your configuration, which will specify the pick and put
locations. Next, you'll pick a load from the storage location and put it in a staging area for packing or put it
onto the outbound dock for shipping. This again will be dependent upon your configuration. This step is done
by using warehouse management on the mobile device. Then you can optionally consolidate multiple
shipments that are shipped to one or more destinations in the same route. Then you can optionally decide if
you want to plan appointments. This step allows you to plan when to ship the packed load from the outbound
dock to a destination. Once the driver arrives, you can register driver check-in and check-out to complete the
appointment. And, finally, you'll confirm the load.
MODULE 1 KEY TAKE AWAY

o Introduction to Advanced Transportation Management
 Benefits
 Centralized or separated freight planning across your business
 Aggregates and consolidates your data
 Designed to help you meet your customer’s requirements
 Features
 Inbound and outbound planning
 Rating and routing
 Appointment scheduling
 Freight reconciliation
o Concepts and Terminology
 Define > Demand > Plan process
 Transportation Execution
 Create
 Rate
 Route
 Confirm
 Freight Rating
 Carrier
 Rating profile
 Transit time engine
 Rate master
 Rate base assignment
 Rate base type
 Rate base
 Rating Configuration
 Technique
 Lowest Rate
 Rate shop
 Rate and route together
 Charges
 Specific (Table)
 General (Group or All)
 Discounts
 Specific or General
 Percentage or Flat amount
 Positive or negative
 Accessorial Charges
 Fuel surcharges
 Duties
 Broker fees
 Terminology
 NMFC Code – National Motor Freight Classification
 LTL Class – Less than load class
 STCC – Standard Transportation Commodity Code
 Harmonized code
 TL – Truck load
 Load – one or more shipments
 Shipment – one or more items from an order
o Transportation Management Process
 Inbound Load Process
 Create load
 Rate and route
 Consolidate
 Confirm load
 Plan appointments
 Register driver check-in/out
 Outbound Load Process
 Create load
 Rate and route
 Process the wave
 Pick, Put, and Pack the wave
 Consolidate
 Plan appointments
 Register driver check-in/out
 Confirm load
TEST YOUR KNOWLEDGE MODULE 1
1. Which three types of orders can have loads planned in Transportation management?
a. Transfer orders
b. Sales orders
c. Production orders
d. Purchase orders
2. Which of the following is NOT a function of Transportation management?
a. Rating
b. Routing
c. Picking
d. Shipping
3. The rate base assignment is made up of the rate base and the rate master.
a. True
b. False
4. Microsoft Dynamics AX 2012 R3 CU8 always finds the cheapest rate when rate shopping.
a. True
b. False
5. Which two codes are linked to each other and then linked to a product or product master?
a. NMFC
b. STCC
c. LTL
d. Harmonized code
6. A shipment is a grouping of one or more loads that are grouped together for distribution.
a. True
b. False
7. What is the final step in an outbound shipment/load?
a. Consolidate the load
b. Confirm the load
c. Plan appointments for the load
d. Register driver check-in and check-out for the load
MODULE 1: YOUR NOTES
Module 2: Transportation Management Setup
There are many components that must be configured before you can start using the transportation
management module in AX. In this module, I will review and demonstrate the set up and parameters that are
required as well as optional setups that can be used with the transportation management module. Let's get
started by reviewing the objectives. We'll start out by creating shipping carriers and carrier groups. Then we'll
define and configure accessorial charges. We'll set up transportation statuses, modes, methods, codes, and
tenders. Then I'll show you how to configure equipment and work with carrier fuel indexes. We'll create a load
and transportation templates. And I'll show you how to configure transportation management parameters.
Lesson 1: Introduction to Set Up

Before you begin setting up the transportation management module in AX, you'll want to consider your
business requirements which will help you identify the information you must gather to complete the various
setups. This will also help you to identify any optional setups that will need to be completed. Let's get started
by analyzing some of the requirements you will want to gather.
The first question you'll want to ask is what type of trucks and equipment will be used. For example, are you
using your own fleet or third party? Are there capacity requirements for the equipment? Are there special
requirements like frozen or refrigerated goods for certain items? Also you'll want to consider if there are
special requirements for specific customers.
Next, you'll need to consider if you need to schedule inbound and outbound shipments. For example, how
many dock doors do you have. Are they dedicated to inbound or outbound? Do you require carriers to call
ahead? Do carriers have standing dock door times; for example, they come at three o'clock every day? Do you
typically have open dock doors at any time and staff to unload or load the trucks? Next, what carriers do you
use and do they have any special requirements; for example, no hazardous materials or no PO boxes are
allowed. Are certain carriers limited to certain regions? And are certain carriers more expensive?
Last you'll want to ask how will shipping charges be added to orders. Things you'll want to consider is will
charges be passed on to customer orders, should charges add to the landed cost of an inbound order, are
charges billed back to you by a third-party freight company, and do estimated charges need to be reconciled
against the final invoice.
The answers to these questions and many more will help you determine the results of what needs to be
configured in AX; for example, whether or not equipment will need to be configured. The information will help
you determine which load templates will be required and if capacity requirements will need to be configured.
You'll also be able to determine how many carriers and the types of services that will need to be set up and if
appointment types and reason codes will be required. You'll also know what charges, fuel surcharges, and so
on should be configured and whether or not special codes such as LTL, NMFC, or STCC codes will need to be
configured. Let's get started with the most basic setup of carriers.
Lesson 2: Carriers
The shipping carrier is one of the fundamental setups required for transportation management. The carrier is a
key input for the orders and loads that are created. Before you get started creating a carrier, there are some
prerequisites that you'll need to consider. We'll create a basic carrier using some setup that already exists in
our demo data and later I will walk through additional steps for all the prerequisites. Things to consider are
transportation modes; a vendor, which is optional; a programmer sequence, which is also optional; a carrier
service; a load template, which is optional; transportation methods; modes of delivery; billing groups, which are
optional; and rating profiles, which are optional.
Show Me:
Let's switch over to AX and I'll show you how to create a basic carrier. Let's get started by switching over to the
transportation management module. Then underneath the setup area, we'll expand general and then open up
the shipping carrier form. Here you can see a full list of all of the shipping carriers that I have configured in my
particular company. On the left-hand side you see the full list. I've got flower moving, parcel carrier, and so
on. On the right-hand side you can see the details. At the top on the overview FastTab you can see the
general information about the carrier. The service FastTab includes each of the carrier services, which we'll
discuss in more detail later on. Then there's the address tab and the rating profile tab. Let's go ahead and
create a new shipping carrier by clicking on the new icon. For my example, I'm going to create UPS. It's
important that you'll need to mark the use carrier checkbox. This is what enables the carrier to be used.
Next we'll select a mode of delivery for this particular carrier. For this example, it will be LTL or perhaps I could
select an option like Ground. Then in the name field I can type out a more detailed name. If required, I can
also put in the Web site URL and tracking number URL that will be used for tracking and opening the Web site
for this particular carrier. If I've created a vendor account for my carrier, you'll want to use the drop-down box
on the right to select the vendor. This is important if you plan on using freight reconciliation features that will
bill back to a particular vendor.
Next, in the transportation tenders field, you can select what the mode will be, whether it's none, manual, or
EDI. For my example I'm going to select manual. We'll discuss more about transportation tenders later on.
Next you can enter in the standard carrier alpha code, or SCAC code, into this field. You can also select a PRO
number sequence. If you've already created one, you can use the drop-down box to select one. Otherwise,
you'll need to precreate one. We'll discuss this later on as well. Next is the activate carrier rating checkbox.
When you select this checkbox, you'll be activating the rating functionality. For now I'm going to leave this
unchecked and we'll use this later on to activate the rating functionality. For now I'm going to leave off
services for my carrier and go to the address tab. I'll click the new icon to create a new address for my carrier.
On the new address dialogue, I'll type in the name, and then I'll enter a ZIP code. When you're finished, you'll
click OK to add the address. It's important that you include an address for certain shipping documents on the
shipping carrier. When you're finished, you can close the form. We'll come back to this carrier that we started
later on in our demonstrations to complete the setup for the services and the rating profile.
Lesson 3: Carrier Services

One or more carrier services must be configured for a carrier. The carrier service defines the services that are
offered by the carrier. For example, Next Day Air, 2nd Day Air, and Ground would be examples of a carrier
service. Let's switch over to AX and I'll show you how to configure a carrier service.
Show Me:
All right. So let's go back into the shipping carrier form. It's found in transportation management module
underneath the setup area and then in general and then shipping carrier. We'll select the UPS carrier that we
created earlier. Then in the service FastTab I'll click the new icon to create a new carrier service. So, for
example, I'll create one for Next Day Air. Optionally, I can select a load template ID -- I'll choose the standard
load template -- and a transportation method. For this example, I'll choose Ground. You can enter in a name
for the carrier service as well and then optionally select a mode of delivery. If required, you can enter in an
external code and a billing group ID. We'll talk more about billing group IDs later on when we discuss freight
reconciliation. If I also use another service from the same carrier, such as Ground, you'll want to create a
second service. So I'll go ahead and click the new icon and create a second service. When you're finished, you
can close the form.
Lesson 4: Accessorial Assignments

You can associate a shipping carrier with one or more accessorial assignments for surcharges such as a fuel
surcharge. When you rate a shipment, you can calculate accessorial charges and assign those charges to
freight transportation services. These charges can be set up with special requirements such as specific
warehouses or date ranges.

Let's get started by taking a look at the steps for configuring an accessorial assignment. The accessorial master
is used to categorize the carrier accessorial and hub accessorial charges. You must set up an accessorial master
before you can set up a carrier accessorial charge. Carrier accessorial charges are for additional services
provided by the carrier. Examples would be the driver shrink wrapping the pallets; deadhead charges, which
are empty miles for preferred use of equipment; or after-hours delivery. The last step in the setup is the
assignment for surcharges such as a fuel surcharge. You can set up an accessorial assignment with an optional
detail level. For example, you can set filtering options that limit the accessorial assignment to apply for a
specific warehouse during a specific period.
Now let's take a look at the types of charges that can be assigned. When you create an accessorial
assignment, you'll need to select an assignment type. There are several options available. The first option is
flat. This indicates that a flat rate without any additional calculations will be used. When you select this option,
you'll need to enter the amount into the accessorial fee field. Next is the per unit option. This type of charge
indicates that the accessorial charge is calculated per unit of measure for the fuel charge. If you select this
field, then you'll also need to select an accessorial unit, which is the unit of measure; a unit devisor; and you can
enter a maximum and minimum charge amount.
You'll also need to optionally enter the currency. When you enter the currency, this will change the currency
that is derived from the shipping carrier. The next option is a percentage. This accessorial fee is a percentage
of the base shipping rate. When you select this particular field, you'll need to enter in a percentage into the
percentage field. Lastly is the fuel surcharge. With this option, the surcharge rate or percentage based on -- is
based on the carrier's fuel index. The carrier fuel index requires some additional setup, which we'll discuss later
on. In addition, you'll need to optionally select a region that's derived from the shipping carrier. This will be
the region where the fuel index is being applied at. You can also optionally select an offset. In this field you'll
enter the number of days for which the fuel index will apply.
Show Me:
So I'm here in the transportation management module and underneath the setup area we'll expand the rating
area and then start in the accessorial master screen. I'll create a new accessorial master here for UPS, which is
the carrier that I created earlier. If the accessorial master that you're creating is going to be related to a hub,
you'll want to make sure that you select hub in the accessorial type field and then give it a name. When you're
finished, you can close the window. Next we're going to open the carrier accessorial charges screen. If I was
creating hub accessorial charges, I would use the hub accessorial charges screen. Here I'll create a new carrier
accessorial ID, and I'll call it UPS for my example and link it to the UPS carrier that we created earlier.
You can optionally link your accessorial charges to a specific carrier service. For example, if I was going to ship
something Next Day Air and I always wanted a specific fee to apply, I would link it to the Next Day Air carrier
service. Next I'll link it to the accessorial master that I just created. You can optionally enter a unique identifier,
or external code, and a billing group ID. This information is used for freight reconciliation, and we'll talk about
that more later on. Now I can either use the accessorial assignments button at the top of this form or I can
open the accessorial assignments form from the main menu. For this example, I'll go ahead and open the form
by clicking on the button at the top of the carrier accessorial charges form. This will open up a new window
which is empty. When I click the new icon, you can see that the system has automatically populated the
accessorial master, shipping carrier, and accessorial ID for me. All I need to do is type in the name. So for my
first example, I'll create a new record for cash on delivery.
Next, on the accessory assignment level, I'll need to select what level of shipment, load, package, or hub this
particular fee will apply to. This is per shipment. I want to charge a flat amount. If required, I could enter in
specific delivery terms or a specific customer site and warehouses, for example. Then on the calculation
FastTab at the bottom of the form, I'll need to select how the fee will be accessed. For cash on delivery, we
charge a percentage. So I'll choose the percentage option, and then in the accessorial unit I'll choose value
because the percentage is charged based on the value of the particular order. So I'll type 100 into the unit
devisor, and then in the percentage I'll type in 6. I also have a minimum charge of $55 and no maximum. So
I'll leave the maximum charge field blank. You can optionally select to allow discounts on this particular
accessorial charge. I'll go ahead and create another example. For this one I'll do a flat fee for hazardous
materials. Again, the accessorial master carrier and carrier accessorial ID are automatically populated. The
hazardous materials fee is per package. So I'll select the package option in the accessorial assignment level
field. Next, on the bottom half of the form, I'll select the accessorial fee type of flat, and then I'll type in a flat
amount of $25.
For my last example, I'm going to create a Canadian border processing fee. This again is based on per
shipment. However, I want to filter this so that it just applies to Canadian orders. Then on the bottom half of
the form I'll select flat again and then enter the fee for Canadian border processing. You can continue to make
additional accessorial assignments for each carrier. If we close this window and close the carrier accessorial
charges form, I want to point out that if I go directly into the accessorial assignments form, you'll still see your
particular accessorial assignments. If I were to create another accessorial assignment for a different carrier,
you'll be able to see that information in the grid on the left or on the right-hand side of the form in the details
FastTab. We'll use these accessorial assignments later when we start to rate and route our shipments.
Lesson 5: Carrier Fuel Indexes
Fuel indexes are set by the Department of Energy, or DoE, for the various regions of the United States. You can
set up fuel indexes for different fuel prices so that you can specify a time frame in which the carrier's fuel
charge is based on a specified price. The carrier fuel index can be associated with one or more fuel indexes.
Let's look at the process. You must set up a fuel index region before you can create an actual fuel index. The
fuel index region determines where the freight will be delivered. The region is associated with a shipping
carrier through the carrier's accessorial assignment. Next you'll create fuel indexes which are associated to that
fuel index region. To reflect the change in fuel prices over time, you can associate a region with multiple fuel
indexes. Typically the price information for a fuel index can be downloaded from the Internet. Next you'll
create a carrier fuel index. The carrier fuel index is part of the carrier's rating profile. You must set up a fuel
index for carriers that will deliver freight in a specific region. And then in the carrier fuel index you'll specify the
per-gallon fuel charge limits for the carrier. Lastly, you'll link the carrier to a region. In order to calculate fuel
surcharges for a shipping carrier, you must specify a fuel index region with the carrier's accessorial assignment.
Show Me:
So let's get started by creating a carrier fuel index region. These are found in the transportation management
module underneath the setup area and then general and then fuel index regions. Here you can see I've created
a variety of fuel index regions. I'll go ahead and create a new one by clicking the new icon and then typing in a
name, such as RM, and then a detailed name for it such as Rocky Mountain. When you're finished, you can
close the window. The next step is to create a fuel index. These are found in the periodic area of the
transportation management module by opening the fuel indexes form. Here you can see I've got several
different regions and prices that have been set up based on different date ranges. I'll go ahead and create a
few new ones for my new Rocky Mountain. So effective 3/9/2015 the rate is $2.80. I'll create a second record
for the same Rocky Mountain region effective 3/16. And then I'll create a third record for the same region
effective on the 23rd of March. When you're finished, you can close the form.
The next step is to create a carrier fuel index. You can do this by opening the shipping carrier form found
underneath the setup area and then general and then clicking the carrier fuel index button. Alternatively, you
can open the carrier fuel index form directly from the main menu underneath transportation management,
setup, general, and then carrier fuel index. Here I've created a diesel fuel index with various rates and tiers.
Here you can see the time, the range of price per gallon from one to two, and a percentage. It's important to
specify a currency when you're creating these. There's no limit to the number of carrier fuel indexes that you
can create or tiers that might exist in your carrier fuel index. When you're finished, you can close the form.
The last step is to associate a carrier with the fuel index region. So back in the shipping carrier form, if you
select a particular carrier, you'll need to make sure that you specify the region. This is done from the
accessorial assignments. So for a particular carrier -- I'll choose the UPS carrier -- I'll click the carrier accessorial
-- or, sorry, I'll click the accessorial assignments button, which will open up a new window. Here you can see
the shipping carrier and carrier accessorial ID. And then, if required, I would enter a region. This is done on the
calculation tab. I'll need to create a new one that's based on a fuel surcharge. So I'll click the new icon and
give it a name. I'll select the carrier accessorial ID and decide how I want the accessorial assignment to be
processed. For this example, I'll leave it as shipment. Then on the calculation tab, I'll need to select the
accessorial fee type. For this example, I'll choose the fuel surcharge option. Here you'll notice that the region
field is now enabled. So I can select the region. For my example, I'll choose Rocky Mountain that we created.
You can also type in a number of days into the offset field, which is the number of days that the temporary fuel
surcharge is effective. So, for example, if you enter your rates weekly, you would want to type an offset of 7
into this field. When you're finished, you can close the window. It's important to remember that you'll need to
specify the accessorial unit. For my example, I'll use the rate. And then I'll close the window.
Lesson 6: Transportation Status

You can set up master codes for transportation statuses to interpret codes provided by your shipping carriers.
The transportation status that you provide for a transportation master status code can help you track the status
of a load, shipment, or container. Let's switch over to AX, and I'll show you how to create transportation
statuses and then map them to your carrier statuses.
Show Me:
I'll start by showing you how to create transportation status master codes. These are found in the
transportation management module in the setup area and then general and then transportation status master.
When you open this form, you'll see a list of each of the different transportation statuses. These are the
statuses that will appear on your shipments and loads. I'll go ahead and create a new one called delivered.
This particular transportation status relates to a shipping carrier. Then, for the transportation status, I'll give it a
unique ID and a name. For this particular example, I'm going to keep them consistent. Now I can go ahead
and create some carrier transportation statuses that will link up to these.
So I'll close this window down and then I'll open up the carrier transportation status form found in the general
area of the setup folder. Here you can see I've precreated several different examples. The truck carrier has the
exception transportation status that maps to the carrier status called return to sender and shipment voided.
For UPS, you can see that the exception status maps to UPS's status called exception, final attempt made, and
mechanical failure. Let's go ahead and create a new one by clicking on the new icon. For my example, I'll use
UPS and select the delivered transportation status master code that I just created. Then the external code will
represent the code from UPS. So the first code is delivered. I'll create a second one for UPS with the same
transportation status master code, and this time it will be delivered by Post Office. And for the last status, I'll
again choose UPS, the delivered master code, and picked up. When you're finished, you can close the window.
Lesson 7: Charges Setup

If you're going to rate a load of shipment, you can optionally configure the charges to be added back to the
original order. You can configure the charges to pass through the calculated amount from the rating engine or
to add or remove amounts to the charges. We'll discuss this in more detail later on in the rating module. But
for now, let's look at the basic setup for charges. First you'll need to configure charges codes in accounts
receivable and accounts payable. These will determine how the charges should post to the ledger and
subledgers.
Next you'll configure miscellaneous charges in the transportation management module. This serves as a
hierarchy of which charge codes to use for charges to be passed to the customer or vendor when rating the
order. The system will use the most specific setup first and progress to the most general setup that you define
in this form. In addition, you'll need to configure delivery terms to decide if charges should be passed to the
customer or vendor, and those delivery terms are then linked to customers and vendors as defaults or they can
be overridden on specific sales orders and purchase orders. Additionally, you can optionally create override
charges to define a different charge for a specific set of criteria. Let's switch over to AX, and I'll demonstrate
how to create a charge code, miscellaneous charge code, and complete the configuration.
Show Me:
Let's get started by switching over to accounts receivable module and configuring a charges code to be used
with my customers. They're found underneath the setup area and then charges and then charges codes. Here
I can see several different charges codes that already exist. For example, the freight charges code debits the
customer account and credits a larger account. We'll click the new icon to create a new record, and I'll create
one for duties. For the debit side of the entry, again I'll choose to debit the customer account. And then for
the credit side of the entry, we'll post to a ledger account. And the posting type will be order fee or order
freight.
Next in the account number I'll need to enter the general ledger account number where I want these duties to
be posted. For this example, I'm choosing the freight outbound account. When you're done creating the
charges code, you'll want to close down the window. Next I'm going to show you how to configure the terms
of delivery. These are found in the sales and marketing module. Then, underneath the setup area, we'll expand
distribution and open up the terms of delivery. It's important that you configure a terms of delivery and
optionally link a default to each customer or specify the terms of delivery on each order. Here you can see I've
got multiple different delivery terms configured. You can see cost and freight is configured. And on the
transportation management FastTab, the checkbox to add transportation charges to orders is selected. This is
important if you want the charge to be added back to the sales order. Or in the case of a purchase order, the
delivery terms that are linked in accounts payable will need to be linked and have the particular checkbox for
add transportation charges to orders selected.
You'll also notice another checkbox for add transportation charges to retail sales orders. If you want sales
orders that are created from retail channels, such as the point of sale or an online store, to have the charge
codes added automatically, you'll want to make sure that you mark the checkbox for add transportation
charges to retail sales orders. Also, if you use cash on delivery for any of your shipments, you'll want to make
sure that you create a new terms of delivery and mark the COD checkbox.
Let's go ahead and create one of those since we don't have one created. I'll click the new icon, and then in the
delivery terms I'll type COD. And then for the description, I'll type cash on delivery. Next I'll mark the COD
checkbox and the add transportation charges to order checkbox on the transportation management tab. Now
let's go ahead and link a term of delivery to a customer. I'll close this window down, and here in the sales and
marketing module, underneath the common area, I'll open up all customers. I'll select a customer -- for my
example I'm going to use Grebe Wholesales -- and then click edit in the maintain group of the action pane. On
the customer details form, we'll want to go down to the invoice and delivery FastTab. Here on the invoice and
delivery FastTab, you'll notice a delivery terms field. Here is where you can specify the default terms of delivery.
I'll go ahead and change this particular customer to cash on delivery, the one that we just created. Now when I
create new sales orders for this customer, the delivery terms will default. This setting can always be overridden
on a sales order by sales order basis.
The next step in the process is to go back to the transportation management module and configure
miscellaneous charges. So we'll switch over to transportation management. Then, underneath the setup area
in the general folder, we'll open up the miscellaneous charges form. Here you can see I've got two records
created -- one for customers and one for vendors. The customer record has the freight charges code, a
miscellaneous charge type that's configured to none. This is important. When it's set to customer, these
charges will be passed on to the customer. If it's set to shipper, these charges would be passed on to the
vendor. You can optionally specify a specific site, warehouse, shipping carrier, carrier service, link it to an
accessorial master, specific delivery terms, transportation methods, transportation modes, and a specific invoice
account for either a customer or vendor. You can also enter effective start and end dates. I'll go ahead and
create a new record for customer using the duties code. For the miscellaneous charge type, I'll select customer.
I can optionally select a site, warehouse, and so on. For the shipping carrier, I'll go ahead and choose the UPS
shipping carrier. If I had an accessorial master that was specific to COD or duties or international shipments, I
would want to select that. For this particular example, I'll choose the delivery term for delivery duty paid. I'll
leave all the other fields blank and enter an effective date of 3/1/2015.
The last step in configuring charges is to optionally configure an override charge. Override charges are also
found in the transportation management module underneath the setup and general area. When you create an
override charge, you have the ability to tell the system to ignore the other charges, and you can override the
values to the values that you select here. On this particular example, you can see that for Customer No. US008,
the manual checkbox has been selected and the charges have been manually entered. When UPS Ground is
used, a charge of 4.99 will be added. When UPS Next Day Air is used, a charge of 9.99 is added. You can also
use this to override and select specific carriers or carrier services and routes for a particular customer without
overriding the charges. To do this, you'd create -- click the new icon, select either customer or vendor, and
then choose the appropriate customer or vendor account. Next you can select the appropriate shipping carrier
and carrier service. Now that I've selected a specific shipping carrier and carrier service, this option will always
be used with this particular customer account. When you're finished, you can close the form.
Lesson 8: Transportation Modes and Methods

The transportation mode represents the form of transport that the carrier uses for freight delivery -- such as
less than truckload, LTL; or truckload, TL; or parcel -- while the transportation method represents the form of
transport that the carrier uses for freight delivery such as air, ground, ocean, or rail. Let's switch over to AX and
I'll demonstrate how to create these.
Show Me:
Let's start by creating some transportation modes. They're found in the transportation management module
underneath setup, general, and then the modes form. Here you can see I have four different modes created.
I'll create a new one for parcel. These modes can be linked to carriers and various other setups throughout the
system. For example, they can be linked to the miscellaneous charges. Let's close this window down and
create some transportation methods. They're found in the same area in the transportation method form. Here
you can see I have one transportation method created. So I'll go ahead and create some new ones -- one for
air and one for rail and for ocean. When you're finished, you can close the window. We'll use these setups
later on as we continue configuring various areas of the system.
Lesson 9: Number Sequences

The number sequences form in the transportation management module provides the ability to set up various
PRO numbers to be used by the LTL and TL carriers. Let's switch over and I'll show you how to create one.
Show Me:
So I'm here in the transportation management module. And underneath the setup area and then general,
we're going to open up the number sequence form. Here I'll go ahead and click the new icon to create a new
number sequence. Typically different carriers will have different requirements for their PRO numbers. So you'll
need to check with your carrier to decide how you'll need to configure this.
For my example, I'm going to create one for UPS PRO numbers. Then in the name I'll give it a more
descriptive name. Optionally, you can calculate a check digit. In order to calculate a check digit, you'll need to
configure a generic engine of the type check digit. You may be required to configure a different engine for
each carrier that calculates the check digit in a different way. I've preconfigured a generic engine with the
check digit already.
Next, in the sequence FastTab, you can decide if you want to prefix or suffix the number with a particular
number or characters. You can also enter in the starting sequence number and an ending sequence number, if
required. You can also enter in what the next sequence number is, a threshold, and the length. Most typically
PRO numbers are either 7- or 10-digit characters or numbers, so you'll want to check with your carrier to
determine what the appropriate information is to enter here. After you've created your number sequence,
you'll want to link it to your shipping carrier. So we'll open up the shipping carrier form and then we'll select
our UPS carrier that we created earlier and then choose the PRO number sequence that we created. When
you're finished, you can close the window.
Lesson 10: LTL Classes

In the United States, each commodity or type of product is assigned a National Motor Freight Classification, or
NMFC, code and a corresponding class for less than truckload, or LTL, freight shipments. Freight classes are
designed to help you get common standardized freight pricing for your shipment when you're working with
different carriers, warehouses, and brokers.
There are several factors that play into how freight is classified using the LTL classes. The first is the density
and value of the product. This includes the weight, the length, and the height. For example, density guidelines
assign classification 50 to freight that weighs 50 pounds per cubic foot. Next is the stowability. For example,
most freight stows well in trucks, trains, and boats, but some articles are regulated by the government or
carrier policies. Some items cannot be loaded together. Hazardous materials are transported in specific
manners. And excessive weight, length, or protrusions can make freight impossible to load with other freight.
Next is the handling. For example, most freight is loaded with mechanical equipment and poses no handling
difficulties. But some freight -- due to weight, shape, fragile, or hazardous properties -- requires special
attention.
And lastly is the liability. For example, liability is the probability of freight theft of damage or damage to
adjacent freight. Perishable cargo or cargo prone to spontaneous combustion or explosion is classified based
on liability and assigned a value per pound which is a fraction of the carrier's liability. Here you can see a list of
the LTL freight classes with some examples of each and a weight range per cubic foot that's generally assigned
to this particular class. So, for example, at the top is class 50, which some examples would include bricks,
cement, mortar, hardwood flooring, car accessories, and car parts. The range per cubic foot on these items is
30 to 50 pounds.
Show Me:
So let's create a new LTL class. They're found in the transportation management module underneath setup,
general, and then LTL class. Here you can see I've already precreated two LTL classes -- one for 50, which is the
standard 4-by-4 shrink wrap pallet, and one for class 100, which is boat covers, car covers, canvas, wine cases,
and caskets. All you'll need to do is click the new icon, enter in the LTL class -- for my example I'll do class 55
-- and then type in a name. So, for example, class 55 is for bricks, cement, mortar, and hardwood flooring.
Then in the class field I'll type in 55. After you've created all the LTL classes that apply to the types of products
that you purchase and distribute, you'll want to close the window down.
Lesson 11: NMFC Codes

The NMFC code is a standard National Motor Freight Classification code that determines how an item is rated
for certain carriers. The NMFC code also controls how product details are grouped on the bill of lading. After
you've created the LTL codes, you can create the NMFC codes in AX. In most cases, the class will be the same
for the NMFC and the LTL class. However, in some circumstances, an LTL shipment may cause the same
product to be in a different class. After you create the NMFC code, you can link them to the products. Let's
switch over to AX, and I'll demonstrate this for you.
Show Me:
Now that we've created LTL codes, we can create NMFC codes and link the LTL codes appropriately. The
NMFC codes are found in the setup area underneath general in the transportation management module. Here
you can see I've got one created for standard goods. I'll go ahead and create a new one for NMFC code 350,
which is the standard 4-by-4 pallet. The LTL class will link to Class No. 50, and in the BOL handling type, you'll
want to enter in the handling unit. This is typically a three-digit code; however, you can enter in any
information you would like here. So for this particular example, since it is a pallet, I will select the option or
enter the details for a pallet. You'd need to continue creating additional NMFC codes for each particular NMFC
code that's related to products that you buy and sell. When you're finished, you can close this window and
now you can begin linking this NMFC code to your particular products.
So we'll switch over to the product information management module and underneath the common area, we'll
open up the all products and product masters. It's important to note that you can only link an NMFC code to a
product or product master. Although the information is visible from the released products form, it is not
editable. So I'll select the item and then click edit. Then, on the warehouse management FastTab, you can see
the NMFC code. Here I can select the code that's appropriate for this particular item. When you're finished,
you can click close.
Lesson 12: STCC Codes

The Standard Transportation Commodity Code, or STCC, is a publication containing specific product
information used on waybills and other shipping documents. And STCC code is a seven-digit numeric code
representing 38 commodity groupings. Assignment of an STCC code is associated by a commodity description
developed to conform to exact descriptions in freight transportation classifications of rail and motor carriers.
Accompanying an STCC code are two corresponding codes -- the Harmonized Commodity Description Coding
System and Standard Classifica- -- Standard Classification of Transported Goods category.
Show Me:
Next let's create an STCC code. These are found in the transportation management module underneath setup,
general, and then STCC codes. You can see here that I've created a few different STCC codes. To create a new
one, you'll click the new icon and enter the two- to seven-digit STCC code. For my examples, I'll create Code
No. 39030, which is for lamps, lighting, and illuminated signs. For another example I'll create Code 30400,
which is for footwear. And in my last example, I'll create Code 07120, which is for cheese and cheese curds.
When you're finished creating the STC codes that apply to your products, you'll want to close the window, and
then you can start linking them to your products in the product information management module. You'll want
to do this from the all products and product masters form. You'll want to search and select the product. Here
it got a pair of shoes that I'll add to the footwear code that I just created. On the warehouse management
FastTab, I'll click the STC codes drop-down, and I can select the STC code that I just created. When you're
finished, you can close the window.
Lesson 13: Equipment Setup

Equipment setup determines any restrictions that must be considered during loading and planning. When you
configure routing guides, which we will discuss more in a later module, you'll be able to configure limits for the
equipment as well as configure equipment to be a result or output of a routing guide. You'll also be able to
link equipment to a load template. So let's switch over to AX, and I'll show you how to create equipment.
Show Me:
I'm here in the transportation management module, and underneath the setup area and then general we'll
open up the equipment form. This is where you'll set up and create each of the different pieces of equipment
that you use. It's not necessary if you have five trucks that have the exact same specifications to create five
records. Instead, you'll want to just create one that represents those five trucks. I'll create one called 40K truck.
Then in the name I'll type out a more descriptive name for this, such as 40,000 pound truck. You can enter in
the tare weight of the truck, the maximum allowed load weight, the maximum allowed load volume, the width,
length, and height. You can also specify a duration which is the default time for appointments that are made
with this particular type of equipment. This is typically the amount of time it takes to fill this particular type of
truck. I'll enter 15. When you're done creating the equipment, you can close the window.
Lesson 14: Load Templates

Load templates are used in the load planning workbench to allow for the defaults for weight restrictions and/or
equipment restrictions for a specific load. For example, if the load is frozen goods, then the load template
would be set up that identifies a refrigerated truck and the weight that the selected equipment is restricted to.
Show Me:
So I'm here in the transportation management module, and underneath the setup area and then general we'll
go ahead and create a new load template. They're found at the bottom of the general folder in the load
template form. Here you can see I've got a standard load template that's created. In this particular case,
there's no information specified other than the maximum volume, weight, and gross weight. I'll go ahead and
create a new one, and I'll call this one freezer loads. For this particular example, it would probably make sense
to create a new piece of equipment that's specific for freezer-particular trucks. I don't have a freezer truck, so
I'll leave it blank for now. Then I'll specify the load height, width, and depth.
You can also enter in the maximum allowed volume, weight, and gross weight. Alternatively, you could enter in
the maximum number of freight pieces that are allowed in this particular type of truck and indicate whether or
not items are loaded onto the floor in this particular truck. All of these settings will be used as the defaults
when you're creating new loads. If you attempt to add orders to a particular load that exceed the
specifications that you've entered here, then an error message will be received.
Lesson 15: Transportation Templates

You can use transportation templates to override the general rating setup that is returned when you rate a
shipping carrier. Let's take a closer look at the configuration. Templates enable you to identify specific charges
that apply to the shipping carrier. If a transportation template is selected for a shipping carrier, the template
charges will override the charges from the general rating setup that applies to the shipping carrier. The
template also overrides any charges that are set up for the shipping carrier in the override charges form. When
you use a transportation template, you can specify that charges from a shipping carrier should correspond to
charges for a customer or to a specific charge that will be applied in the rating of the shipment carrier. Let's
switch over to AX and I'll show you how to create one.
Show Me:
Now let's create a transportation template. They're found in the transportation management module
underneath setup, general, and then transportation template. I've already precreated one for UPS Ground
shipments. I'll go ahead and create a second one for UPS Next Day. Then in the shipping tab you can either
select a shipping carrier and service or you can choose a carrier group or a route plan. For my example, I'll go
ahead and choose UPS and Next Day Air. I'll do the same on the customer FastTab. Optionally, you can use
the new icon to add additional charges linking them to an accessorial master and override the prices. Then on
the bottom in the additional information tab, you can optionally link to a load template to be used with this
particular transportation template. Now that you've created transportation templates, you'll be able to use
them when we begin rating and routing in the rate route workbench. We'll take a closer look at that later on.
Show Me:
Lesson 16: Transportation Tender
A transportation tender is a shipping document that has an assignment for a load, a route, or part of a route.
You can use this transportation tender to keep track of the dates and rates that are applied between the
customer and a shipping carrier. You can create a transportation tender from a route, a route segment, or from
a load on a route segment. You can also create and update these documents in the transportation tenders
form manually. The first step after you're finished creating the transportation tender is to submit it. This
updates the workflow status from pending to submitted. Once the confirmation from the carrier is received,
you confirm it and enter the confirm details such as the rate and pickup date. Finally, when the load is at the
final destination, it will be accepted or denied. Let's switch over to AX, and I'll show you how to create one and
process it.
Show Me:
For this example, I'm going to create a new transportation tender directly from the transportation tenders
form. It's found in the transportation management module under inquiries and then transportation tenders.
I've precreated a new transportation order with some basic information for a load that exists in my system. I've
entered in the shipping carrier, Ground, date, and requested rates information. I use the update button to click
the submit option, and you can see on the history tab that the system stamped this with the information at the
time that I submitted the order.
What I'll do next is I'll go ahead and update and put in a confirmed delivery date. Now we'll go ahead and
enter in a time. For the confirmed rate, I'll enter in the confirmed rate. And then I'll use the update button to
resubmit it. And then I'll confirm it. When you click the confirm button, you'll notice that an additional field is
updated. I can enter in the confirmed rate and the pickup date and time. When I'm ready, I click OK. Now you
can see that the status is confirmed. The final step in the process is either to deny or accept the transportation
tender. I'll go ahead and accept this. Once it's accepted, you'll notice that it is now hidden. If I clear the
checkbox called hide accepted and denied tenders, it will reappear. Here you can see the status is updated to
accepted, and on the history tab you can see the full details. If required, I can print the load tender at any point
in the process. When you're finished, you can click close.
Lesson 17: Transportation Management Parameters

Before you can start using transportation management, you can set up default values to reduce the data that
must be entered when you perform transportation tasks. For example, you can create text for the default
freight bill transaction that always appears on the journal line that is generated for freight bills. Let's switch
over to AX, and I'll review the transportation management parameters with you.
Show Me:
Let's review the transportation management parameters. They're found in the transportation management
module underneath setup and then transportation management parameters. This will open up a new screen
where you can see all of the various parameters. They're split up into various tabs along the left-hand side.
Let's start on the general tab. Here you can see the default duration for appointment scheduling. So if most
appointments are 15 minutes, I would enter 15 minutes. The driver check-in and check-out alert interval is
used to specify the number of minutes that you want to be alerted for for an upcoming appointment. So let's
say I want to be notified five minutes before an upcoming appointment. These are default values and can be
overwritten on an appointment-by-appointment basis.
The next tab is for vendor invoices. This is related to freight reconciliation which we'll discuss in more detail
later on. The first checkbox here is write in vendor invoice journal. When this checkbox is selected, invoice
journals are created for freight vendors. If the post checkbox is also selected, then the journal will be
automatically posted after it's been created. You can optionally type in some generic or default transaction
text to be used on freight bills. In the vendor journal name, you'll need to select the journal name that will be
used when the right vendor invoice journal is selected. This should be an AP invoice type-journal. These are
configured in the general ledger. You can also select a default note type for document handling notes and
then type in a default note name. You can optionally enable the system to automatically match and pay the
freight invoice. When this option is enabled, the system will attempt to automatically match invoices. If exact
matches are found, no manual reconciliation will be required. If this checkbox is disabled, you'll be required to
reconcile every freight invoice. The match interval is the frequency in which the system will attempt to make a
match to a particular order. This is specified in seconds. I'll set mine to 30. The last field is the user that will be
used for executing the workflow. This is used when you're automatically matching freight invoices and a
workflow has been configured for the AP invoices. This is important as this is the user that will be executed to
automatically perform the workflow steps if required.
Next is the hub type. Here you can select a default port hub type. This will be used by default when you're
creating new hubs. The next checkbox is used to enable and plan loads by shipment. When this checkbox is
enabled, then you have the ability to plan loads in the load planning workbench by shipment. The next
checkbox is used for intransit planning. When you enable this checkbox, then in-transit planning is enabled in
the load planning workbench. On the loads FastTab, several checkboxes exist that allow you to control how
you want loads to automatically be created. When these checkboxes are enabled, it reduces the amount of
time and effort that's required to create loads. For example, if I do not check the automatically create a sales
order entry checkbox, then a user would need to click the transportation management tab on the sales order
form to release the load and create the load in transportation management. The option exists for sales orders,
purchase orders, and transfer orders.
Additionally, there's another checkbox that allows you to override the outbound ship confirm date. When this
checkbox is selected, you have the ability to override the ship confirm date from the load planning workbench.
If your company uses direct delivery, you can select whether or not you want customer charges to be added to
the order for a direct delivery-type order. If this checkbox is selected, then the charges will be added
automatically. If it's not selected, charges will not be passed on to the customer for direct delivery-type orders.
On the engines FastTab, you'll notice a button here called initialize base engine data. We'll talk more about
this button and what it does later on when we discuss engines in the rating and routing modules.
On the next tab, reports, there are two parameters that control how the load report and the bill of lading will
function. The first one is the default note type to be used for the load report. Then on the bill of lading, you
can type in a default carrier purpose. This will be printed on the bill of lading. If the value is not specified, you
can manually specify it on every single shipment. Next, on the print management tab, you can click the print
management button to launch the print management form. Print management is a generic feature that's
available throughout AX that allows you to decide what the printer settings will be for specific documents. For
example, if commercial invoices are to be printed on a specific printer in the warehouse, I can right click on
commercial invoice and then select new. Then on the right-hand side I can use the destination button to the
right to configure the printer setup. Here I can choose that I want this to print to a specific printer and choose
the printer from the drop-down box. You could also choose to print these to a file, the print archive, or to
email them. Different settings can be configured for each document.
The last tab is the number sequences tab. If you use the number sequences wizard in the organization
administration module, number sequences can be created automatically. Alternatively, you can manually
create number sequences in the organization administration module and then assign them here. It's important
that a number sequence is configured for each of the different references. These are the unique identifications
that are assigned to the different types of records throughout the transportation management module. When
you're finished configuring the parameters, you can close the form.

o Introduction to Setup
 Requirements gathering
 What type of trucks and equipment will be used?
 Do you need to schedule inbound and outbound shipments?
 What carriers do you use and do they have any special requirements?
 How will shipping charges be added to orders?
 Results
 Equipment will need to be configured
 Load templates for capacity requirements
 How many carriers and the types of services
 If appointment types and reason will be required
 What charges, fuel surcharges, and so on should be configured
 If special codes such as LTL, NMFC, or STCC codes will need to be configured
o Carriers
 Key input for loads
 Prerequisites
 Transportation mode
 Vendor (optional)
 Pro number sequence (optional)
 Carrier service
 Load template (optional)
 Transportation method
 Mode of delivery
 Billing group (optional)
 Rating profile (optional)
o Carrier Services
 One or more carrier services for each carrier
 Examples: Ground, Next day, Second day
 Carrier groups allows you to group similar services together
o Accessorial Assignments
 For surcharges
 Setup
 Accessorial Master
 Carrier accessorial charges
 Accessorial Assignment
 Assignment types
 Flat
 Flat amount
 No additional fees
 Enter in the Accessorial fee field
 Per Unit
 Based on the UOM of the fuel surcharge
 Accessorial unit
 Accessorial unit divisor
 Min/Max charge
 Currency
 Percentage
 Percentage of base shipping rate
 Enter in the Percentage field
 Fuel Surcharge
 Based on carrier index
 Region
 Offset
o Carrier Fuel Index
 Defined by the Department of Energy (DOE)
 Setup Process
 Fuel Index Regions
 Fuel Indexes
 Carrier Fuel Indexes
 Link a Carrier to a Region
o Transportation Status
 Master codes
 Link carrier statuses to your statuses
o Charges Setup
 Used to add charges back to the original order
 Setup Process
 Charges Codes
 Accounts receivable
 Account payable
 Miscellaneous Charges
 Most specific first
 Most general last
 Override Charges
o Transportation Modes and Methods
 Modes
 LTL
 TL
 Parcel
 Methods
 Ground
 Air
 Ocean
 Rail
o Number Sequences
 Use for pro-numbers
o LTL Classes
 Less than load
 Freight classes help you get common standardized pricing for shipments
 LTL Factors
 Density and Value (Weight, Length, Height)
 Stow-ability
 Handling
 Liability
o NMFC Codes
 National Motor Freight Classification Code
 Groups product on the BOL
 Link LTL class to NMFC code
 Link NMFC code to products and product masters
o STCC Codes
 Standard Transportation Commodity Code
 Publication containing specific product information
 Used for waybills and other shipping documents
 Seven digit code for 38 commodity groupings
o Equipment Setup
 Define restrictions during load planning
 Can be an output of a routing guide
 Can link to load templates
o Load Templates
 Defaults for weight and equipment restrictions
o Transportation Template
 Override general rating setup
 Setup
 Carrier
 Template
 Customer
 Carrier
 Charges
 General Rating Setup
 Override Charge
o Transportation Tender
 Shipping document
 Keep track of dates and rates approved between the customer and the carrier
 Process
 Create
 Route
 Route Segment
 Load
 Manually
 Update
 Submit
 Confirm
 Deny
 Accept
o Transportation Management Parameters
 Configure defaults
 Define parameters
 Setup number sequences
MODULE PRACTICE
Practice 2.1: Define Carriers and Carrier Groups

As a member of the Microsoft Dynamics AX 2012 R3 project team for Adventure Works Cycles, you
must configure a new carrier and carrier service for BH Carrier, add a carrier service to the carrier for
Standard ground service. Next you need to create a carrier group to group together all ground
carriers and services.
High Level Steps
1. Create a carrier in the Shipping carrier form in Transportation management.
2. Add a carrier service to the new carrier called Standard for ground shipping.
3. Create a carrier group in the Carrier groups form in Transportation management.
4. Add the standard ground service for the BH carrier and the Parcel Carrier.
Detailed Steps
1. Create a carrier in the Shipping carrier form in Transportation management.
a. Open Transportation management > Setup > General > Shipping
carrier.
b. Click New.
c. Type BHCarrier in the Shipping carrier field.
d. Select the Use carrier check box.
e. Select Ground in the Mode field.
f. Type BH Carrier in the Name field.
g. Select the Activate carrier rating check box.
2. Add a carrier service to the new carrier called Standard for ground shipping.
a. Click the Service FastTab.
b. In the Service FastTab, click New.
c. In the Carrier service field, type STD.
d. In the Transportation method select Ground.
e. In the Billing group ID drop-down box, select Freight.
f. Close the Shipping carrier form.
3. Create a carrier group in the Carrier groups form in Transportation management.
a. Open Transportation management > Setup > General > Carrier
group.
b. Click New.
c. In the Carrier group field, type Ground.
d. In the Name field, type Ground Shipping.
4. Add the standard ground service for the BH carrier and the Parcel Carrier.
a. Expand the Details FastTab, and then click New.
b. Select BHCarrier from the Shipping carrier drop-down box.
c. Select STD in the Carrier service drop-down box.
d. Click New on the Details FastTab.
e. Select ParcelCarrier from the Shipping carrier drop-down box.
f. Select STD in the Carrier service drop-down box.
Practice 2.2: Accessorial Charges

have to configure carrier accessorial charges and a new accessorial assignment. BH Carrier charges a
flat fee of 10.00 United States Dollars (USD) for storage.
Lab Setup
Before doing this lab you must have completed Practice: Define Carrier and Carrier Groups in module
2.
High Level Steps
1. Create a carrier accessorial charge.
2. Create a new accessorial assignment.
Detailed Steps
1. Create a carrier accessorial charge.
a. Open Transportation Management > Setup > Rating > Carrier
accessorial charges.
b. Click New on the Carrier accessorial charges form.
c. Enter Storage in the Carrier accessorial ID field.
d. In the Shipping carrier drop-down box, select BHCarrier.
e. In the Carrier service drop-down box, select STD.
f. In the Billing group ID drop-down box, select Freight.
2. Create a new accessorial assignment.
a. Click the Accessorial assignments button on the Carrier accessorial
charges form.
b. Click New on the Accessorial assignments form.
c. Enter Storage in the Name field.
d. In the Accessorial fee type drop-down box, select Flat.
e. Enter 10 In the Accessorial fee field.
f. Click Close on the Accessorial assignments form.
g. Click Close on the Carrier accessorial charges form.
Practice 2.3: Create Load and Transportation Templates

have to create a new load template. The load template will be used for standard loads weighing
40,000 pounds. Then you need to create a transportation template for the BH Carrier Ground service
and link the load template that you created.
Lab Setup
Before doing this lab you must have completed Practice: Accessorial Assignments in module 2.
High Level Steps
1. Create a load template.
2. Create a transportation template.
Detailed Steps
1. Create a load template.
a. Open Transportation management > Setup > General > Load
template.
b. In the Load template ID field, enter 40K Pound Load.
c. In the Load height field enter 15.
d. In the Load width field enter 10
e. In the Load depth field enter 30.
f. Type 40,000 in the Maximum allowed gross weight field.
g. Click Close.
2. Create a transportation template.
a. Open Transportation management > Setup > General >
Transportation template.
b. Click New to create a new transportation template.
c. Type BHGround in the Transportation template ID field.
d. Type BH Carrier – Ground Shipping in the Name field.
e. On the Shipper FastTab, select BHCarrier in the Shipping carrier field.
f. On the Shipper FastTab, select STD in the Carrier service field.
g. On the Customer FastTab, select BHCarrier in the Shipping carrier field.
h. On the Customer FastTab, select STD in the Carrier service field.
i. Expand the Additional information FastTab, and select 40K Pound Load
in the Load template ID field.
j. Click Close.
1. A carrier must be activated for rating in order to be considered for rating.

a. True
b. False
2. The mode of delivery will be automatically created for you, based on the carrier and carrier
service created.
a. True
b. False
3. The default receiving dock can be license plate tracked or non-license plate tracked.
a. True
b. False
4. Which three configurations are mandatory prerequisites for creating a carrier?
a. Transportation mode
b. Transportation method
c. Load template
d. Transportation template
e. Mode of delivery
f. Vendor
5. Accessorial charges are made up of all of the below, except for which?
a. Accessorial master
b. Accessorial assignment
c. Accessorial profile
d. Carrier accessorial
6. Which two of the following options are valid assignment types for an accessorial charge?
a. Hub fee
b. Flat
c. Per unit
d. Min/max
7. You need to complete the configuration for carrier fuel indexes. Which setup should you
complete before you create the fuel index?
a. Create fuel index regions
b. Create carrier fuel indexes
c. Link a carrier to a region
d. Link the fuel index to an accessorial charge
8. Which three configurations must be complete in order to pass charges calculated by the
system on to a customer order?
a. Create a charge code in Accounts receivable.
b. Link the mode of delivery to a customer.
c. Link the delivery terms to a customer.
d. Configure miscellaneous charges in Transportation management.
e. Configure miscellaneous charges in Warehouse management.
9. At a minimum, transportation mode and method must be configured for Transportation
management.
a. True
b. False
10. Which type of code is used to associate a commodity description to an exact commodity
description?
a. Harmonized code
b. NMFC
c. LTL
d. STCC
11. Which type of template is used to define weight and equipment restrictions for a load?
a. Transportation template
b. Load template
c. Wave template
d. Work template
Module 3: Rating
Rate masters are a key part of the rating setup for a shipping carrier. You can use rate masters to determine
the available rates for the shipping carrier and determine whether the rates justify considering the shipping
carrier for an assignment. The rate master is associated with a shipping carrier in the carrier's rating profile.
For each rating master, you must define a rate base type and a rate base. In this module, we will discuss the
setup and processes required to rate a load in AX. Let's get started by reviewing the objectives. In this module,
I'll describe the components of rating. Then I'll show you how to create a rate master, and we'll discuss each
type of rating engine that's available out of the box with AX. Then I'll create a rating profile.
Lesson 1: About Rating

AX provides several rating engines out of the box. These rating engines allow you to calculate the amount of
freight or other charges to be added to a load. To use the rating engine, you'll need to complete some
configuration in AX. Let's take a look at the overall process. Before you set up a rate master, you must set up
at least one rate base type. The rate base type can be applied to any rate master. It defines the lookup criteria
that's used to determine the rates for a shipping carrier. Setting up a rate base type requires several additional
steps to be completed.
Next, you'll associate a rate master with the rate base type. And on the rate master you'll provide values for
criteria such as the postal code and carrier service. One or more rate masters are associated with the shipping
carrier in the rating profile FastTab. You can use the rate master to determine the available rates for the
shipping carrier and to determine whether the rates justify considering the shipping carrier for an assignment.
Next you'll create a break master. The break master defines the break values, or tiers, that you must associate
with the rate base. For example, distances are structured into breakpoints of 50, 100, and 150 miles. A
distance of up to 50 miles is charged $10 per assignment; between 50 and 100 miles is charged 18; and from
100 to 150 miles, you're charged $20. If you want to set up a tariff schedule for the rate master, you can create
a rate base. The rate base structures the rates into the breakpoints.
Then, to calculate the rates, you must manually create one or more engines, or you can automatically initialize
the base engine data that's available out of the box. You can search for available shipment rates based on
information such as travel distance or zones in a given region. The search criteria is then interpreted by
transportation management engines that calculate the available rates. Finally, you will link the rating
information to a carrier by creating a rating profile and then selecting one or more rating profiles on the rating
profiles FastTab of the shipping carriers form. We will discuss more about the engines later on, but for now
let's take a look at the rate master setup in AX.
Lesson 2: Rate Master Setup

Now that we have looked at the basic process for setting up rating, let's get started with the rate base type
inside of AX.
Show Me:
Let's get started by creating a rate base. You'll find the rate bases in the transportation management module
underneath setup, general, and then rate base type. Remember that the rate base type is engine specific and
you'll need to create at least one of these before you can set up the rate engine. If we take a look at the LTL
rate base type as an example, you can see that it includes a class and a number of miles. You can think of
these rate bases as the output for your particular rate base type. If we use the field type in the center of the
form and switch this to assignment, you can see the inputs for this particular rate base type. It includes the
origin postal code, a destination state, starting and ending postal code, and the country.
You'll notice that the mandatory field is checked on everything except for the state. Let's go ahead and create
our own mileage-based rate base type. I'll click the new icon and then in the rate base type I'll give it a unique
name and a description in the name field. Then on the bottom half of the form we'll start by entering the rate
base fields. Again, think of these as the outputs. I'll click the new icon, and then we'll create a new line for an
add-on charge. This field is not mandatory. The second field will be the miles. This will be an integer and it is
mandatory. If required, when you're creating the rate base, you can link the fields to a specific lookup type.
These are various tables that exist already in the system. So, for example, on the LTL engine where we selected
the LTL class, that would be linked to LTL class.
Next we'll switch the field type to assignment and then use the new icon to create the list of fields. So we'll
need the origin ZIP code, which is a string, and the lookup type will be linked to the zip/postal code, and this is
mandatory. The second field will be the destination starting ZIP code. This is also a string and linked to the
zip/postal code, and it's mandatory. And the destination ending ZIP code, which is mandatory. I'll also include
the destination country and destination state which will be optional. So I'll click the new icon and create a line
for the destination country and link this field to the country region. And then for my last field, I'll select the
state which will link to the state table. When you're finished creating the rate base type, the next step is to
create the rate master. So we'll close this window down.
And then, underneath the setup area, we'll go to the rating folder and open up the rate master. Here you can
see several different examples of rate masters. If we use the flower moving master as an example, you can see
it's linked to the LTL rate base type. Here on the rate base assignment, you can see columns for each of the
different fields that were configured in the assignment of the rate base type. If you click the rate base type
button at the top of the form, it will open up the rate base that's assigned to this particular rate master. If you
use the rate base button, you'll be able to see the actual rate base that's configured for this.
Before we can create our own rate base, we'll need to create the rate master, then we'll create a break master,
then we'll come back and configure the rate base for our rate master. So we'll click the new icon and create a
new one. I'm going to call this one generic mileage. We'll link this to the mileage engine that we just created.
We can't create the rate base assignment yet, but you'll notice, as you scroll across the form, you can see the
various different columns which we've created. So the name, the rate base, the service come with the rate base
assignment automatically. The rest of the fields are determined based on the rate base type. So we can
created the origin ZIP code, destination starting zip, ending zip, destination country, and destination state. You
also always get an effective start date and end date with your rate base assignment.
So before we can create the rate base, we'll need to create a break master. So we'll close this window down
and then we'll go to the break master form in the rating folder underneath the setup. Here you can see a
couple different examples. The mileage engine that's configured here already includes different mileage
breaks. If you look at the weight one, these are weight based. It's based on pounds which is specified in the
break unit. Let's go ahead and create our own for mileage that's based on short distance. I'll call it short
mileage. Then in the name field I'll give it a more descriptive name such as short distance mileage. The data
type for this will be an integer because I want the users to enter a whole number. The comparison will be less
than and the break unit will be miles. Then on the details FastTab, I'll need to create each of the tiers or breaks.
I'll create them in tiers of ten. So I've created five tiers for 10, 20, 30, 40, and 50 miles. Now that I've created
the break master, I can close this window down and we'll go back to rate master that we created.
I'll select the generic mileage engine, and then at the top of the form we'll click the rate base button. Here you
can see the rate base form is opened. We'll click the new icon to create a new rate base. I'll call it again
generic mileage. Then in the break master field we'll select the short mileage break master that we just
created. Optionally, I can enter a minimum and maximum charge. On the bottom half of the form is where
we'll create our actual amounts. So I'll click the new icon and enter in an add-on charge of 4.99. Then for less
than 10 miles we'll enter in the amounts that should be added. I can optionally enter a minimum charge for
each add-on charge as well. I can also enter the effective start and end dates. When you're finished creating
the rates base, you can close this window down.
And then you'll be able to create rate base assignments. So I'll click the new icon and enter a line here, for
example. In the rate base drop-down box, I'll select the rate base that I created. Then in the service drop-
down box, I'll select which carrier service this applies to. I'll use Ground for my example. And then in my origin
ZIP code, I'll specify the ZIP code where we're starting from, and then in the destination ZIP code I'll enter a
range of ZIP codes for the destination start from and ending points. Optionally, I can enter in the destination
country and destination state. However, you'll notice these fields are not required. I can continue adding
additional lines into my rate base assignment for each combination of origin ZIP codes and destination starting
and ending ZIP codes. When you're finished creating the rate base assignment, you can close the form.
Lesson 3: Engines Overview

Transportation management engines define the logic that is used to generate and process the rates in the
transportation management module. The engine calculates tasks such as the carriers, transportation rate, and
the engine system lets you change calculation strategies at runtime. A transportation management engine
resembles a plug-in that is related to a particular carrier contract. To rate a shipment by using a specific carrier,
you must configure multiple transportation management engines.
The rate engine is required but other transportation management engines may be required in order to support
the rate engine. For example, the rate engine can be used to retrieve data from the mileage engine to
calculate the rate based on mileage between the source and destination. The first type of engine that's
available in AX is the generic engine.
This engine is a simple auxiliary engine that's used by other engines and does not require data from AX; for
example, an apportionment engine. Apportionment engines are used to reduce the final cost of transportation
to specific orders and lines based on dimensions such as volume and weight. The next type of engine is the
mileage engine. This engine is designed to calculate the transportation distance. Next is a transit time engine.
This engine calculates the amount of time that is required to travel from the start to the end destination. Next
is a zone engine. This type of engine calculates the zone based on the current address and calculates the
number of zones that must be crossed in order to travel from point A to point B. The last type of engine that's
provided out of the box is the freight bill type. This type of engine standardizes the freight invoice and freight
bill lines and is used for automatic freight bill matching.
Lesson 4: Engines Setup

A transportation management engine requires that you set up initialization data in order for it to function in a
specific way. The setup can include the following types of data: references to other transportation
management engines, references to .NET types that are used by the transportation management engine, and
simple configuration data. In most cases you can click the parameters button in the engine setup form to
configure the initialization data. Lastly, the file name extension should always be included in the assembly
name of an engine. For all the transportation management engines listed in this module, you must always
include the file name extension, such as microsoft.dynamics.ax.tms.dll, where .dll is the file name extension.
Transportation management engines that rely on data that's defined in AX may use different data schemes.
The transportation management system enables different transportation management engines to use the same
generic physical database tables. To make sure that runtime interpretation of engine data is correct, you can
define metadata for the database tables. This reduces the cost of building new transportation management
engines because additional table and form structures are not required with AX. The data that you use when
you calculate rates in AX is controlled by the metadata configuration. For example, if you want to search for
rates based on postal codes, you must set up metadata based on the lookup type of postal code.
Transportation management engines that are used to retrieve the data that is required for rate calculation from
external systems do not need metadata.
The rate data for these engines can be retrieved from external transportation carrier systems, usually through a
Web service. For example, in AX, you can use a mileage engine that retrieves data directly from Bing Maps so
that you don't need a metadata engine. The transportation management engines that are delivered with AX
rely on data that is retrieved from the application. Engines that connect to external systems are not included
out of the box with AX. However, the engine-based extensibility model lets you build extensions using AX
Visual Studio tools. For more information about building new engines, you can refer to the Microsoft Virtual
Academy for more information. The transportation management engine requires identification of the origin
address, the destination state and country or region, and the start and endpoint of a particular shipment.
When using these requirements, the metadata would look like the example you can see on the screen. The
table includes information about what type of input data is also required. In this particular example, you can
see that five additional fields are created -- origin postal code, destination state, destination start postal code,
destination end postal code, and destination country. All of the fields are of the type string and they have a
lookup type. The origin postal code, destination start postal code, and destination end postal code all link to
the postal code field or table in the system, the state would relate to the state table, and the destination
country relates to the country/region field and table in the system. By linking the data types to a lookup, this
provides a drop-down box that's linked to another area of the system. In this particular example, you can see
that only the postal codes are required. You can achieve the desired rating information by leaving out the
state and country/region.
Lesson 5: Create Rate Engines
Before you set up a rate engine to calculate rates, there's a few tasks you'll need to complete. You'll need to
set up a rate base type to control metadata that you use to search for rates. The structure of the rate base type
will be defined by the type of rate engine and the type of rate base assigner that is associated with the engine.
The rate base type of a rate engine must correspond to the rate base type of a shipping carrier's rate master.
You'll also need to configure metadata for the engine. Let's switch over to AX, and I'll show you some
examples.
Show Me:
So let's get started by creating a rate engine. They're found in the transportation management module
underneath setup, engines, and then rate engine. Here you can see I've got several different rate engines
already configured. I'll go ahead and click the new icon, and we'll create a new mileage engine. And you'll
need to link it to the rate base type. We'll use to new mileage rate base type that we created. I'll give it a
name, and then in the engine assembly, we'll need to type in the name of the assembly. For this example I'm
using the engine assembly that's provided out of the box. So I'll actually just copy the text from the other
mileage engine and paste it in here. It's important that if you've created a custom engine that you enter in the
correct information for the DLL and the engine type that you configured for your particular scenario. When
you're finished, you can close the window.
It's important that depending on your engine you may be required to enter parameters. If parameters are
required, you'll need to use the parameters button at the top of the form to configure those parameters by
typing in a parameter name and a parameter value. If we take a look at one of the other engines, like the
mileage engine, for example, and then click parameters, you can see that there are several parameters that are
entered. We would need to create these on our mileage engine as well. So here you can see that there's a rate
base assigner parameter which is pointing to a specific DLL and the rate -- mileage rate base assigner. There's
also a mileage engine code, which they're passing in P2P, and the apportionment engine which is pointing to
the apportionment weight. I would need to configure these on my new engine by clicking on my engine and
then clicking the parameters form and using the new button to create those. When you're finished, you'll close
down the windows.
Lesson 6: Transit Time Engines

Now let's take a closer look at transit time engines. You can set up a transit time engine to calculate the time
that it takes to transport goods from point A to point B. The setup includes the following tasks. First you'll
need to create a transit time engine, then you'll need to configure the metadata, and then you can define the
actual data. Let's switch over to AX and I'll demonstrate this for you.
Show Me:
So let's take a look at a transit time engine. They're found in the transportation management module
underneath setup, engines, and then transit time engine. Here you can see a transit time engine is configured
that's called point to point. You can see the engine assembly points to the correct DLL and the engine type is
pointing to the point to point transit time engine. This is an engine that's available out of the box. You'll also
notice that some data has already been configured for this particular engine.
Before you can create the data for a particular engine, you'll need to create the metadata. This is done by
using the transit time field button at the top of the form. This opens up a new window where you can define
all of the metadata. If you needed to create a new field for your metadata, you'd click the new icon, enter in
the sequence, give it a name, so for my example I'm adding the origin country, specify what type of field it is
and the lookup type, if required. I'll point this to country/region. We can also specify which fields are going to
be mandatory. You will notice that an error message is received here because there's a maximum of nine fields
that can be defined. I don't actually need this field, so I'll go ahead and delete it. When you're finished, you
can close the window.
After you've added new fields into your engine, you'll receive columns for each of the different metadata fields
that you've defined. At the top of the form you'll also notice a parameters button. This particular engine does
not have any parameters. If you customize this engine or build your own transit time engine, you'll need to
add any parameters that are valid based on the code and business logic that you define. After you've created
the transit time fields and the parameters, you can begin entering the data for your transit time engine. You
can see that there are many different examples. So if we take a look at these first series of lines, they're all
related to the truck service. When we pick up from this particular ZIP code and drop off to this ZIP code, it
takes three days. Let's go ahead and add a new record for our new Next Day Air carrier service that we created.
In this case I'll leave all of the fields blank except for the country and specify that the number of days is one
because when I'm using the Next Day Air function it doesn't matter which ZIP code I'm picking up or dropping
off to, it will always be one. If I wanted to add rows for my new Ground service, I would need to configure the
information for that particular service for each ZIP code pickup point and drop-off point. When you're finished
configuring the transit time engine, you can close the window.
Lesson 7: Mileage Engines
Now let's look at mileage engines. You can set up a mileage engine to calculate the transport distance.
Setting up a milage engine includes the same tasks that were used with the transit engine. You'll start by
creating a mileage engine, configure the metadata, and then you'll define the actual data. Let's go ahead and
switch over to AX and I'll demonstrate this type of engine for you.
Show Me:
Now let's take a look at the mileage engine. They're found in transportation management underneath setup,
engines, and then mileage engine. The process of configuring a mileage engine is very similar to that of a
transit engine. The primary difference is that in the transit time engine you can see that there is a mileage field
instead of the number of days. So we're not calculating the time that it calculates to get from one ZIP code to
another, instead we're calculating the number of miles. You can see that the mileage engine in this case is
called P2P, or point to point. It's linked to the correct DLL and engine type. Additionally, you'll notice that
there is a default checkbox that's included with this engine to indicate that this is the default mileage engine.
On the details FastTab, you can see the details of each ZIP code, pickup and drop-off point, and the number of
miles it takes to get from one point to another. Just like with the transit time engine, you'll need to use the
define mileage engine button at the top to configure the metadata for this. With this particular engine, by
default, the ZIP postal code for the pickup and drop-off are mandatory. If we click the parameters button,
you'll notice again that there are no parameters for this particular engine.
However, if you customize the mileage engine or create your own mileage engine, parameters may be
required. This will be determined by the business logic that you program into your engine. When you're
finished configuring the engine, then you can start to use the new icon on the details FastTab to enter in the
details. I'll go ahead and create a new record and indicate the number of miles it takes to get from ZIP code
80104 to 80137. Then in the miles I'll enter 23. When you're finished, you can close the form.
Lesson 8: Zone Engines

Next let's take a look at zone engines. You can set up a zone engine to identify the zone for an address or to
calculate the number of zones that must be crossed during the transport of goods from address A to address
B. Setting up a zone engine includes starting by creating a zone engine and then creating a zone master. After
you create the zone master, you'll need to configure the metadata for the zone master and then define the
data for the zone master's metadata. Let's switch over to AX and I'll demonstrate this for you.
Show Me:
Now we're going to take a look at zone engines. They're found in transportation management underneath
setup, engines, and then zone engine. Zone engines differ from the mileage and transit time engines that
we've already taken a look at. The zone engine is a very simple configuration. You'll give the engine a unique
ID, a name, and then enter in the engine assembly and engine type. You'll also notice that there's a parameters
button at the top of the form. In this case the zone engine that's provided out of the box doesn't include any
parameters. However, if you create a custom zone engine, or modify the existing zone engine, parameters may
be required.
We'll close this window down and the next step in this process is to create a zone master. This is done from a
separate form. It's found underneath the general area underneath setup and then zone master. This will open
up a new form. Here on the zone master form you can see that there's already a zone master configured for
postal. If you use various different countries, you may consider making a different zone master for each
country. However, if you ship from multiple different countries, you might want to combine them all together
into one. This one is referring to a postal zone, and the zone type is linked to either rating or routing. In this
particular example, we've selected rating. Before you can enter the data for your zone master, you would need
to configure the zone master fields or metadata. So if we click on the zone master field, you can see that there
are five columns -- one for service, origin postal code, destination postal code from and to, and the country.
You'll notice that only the service postal code for the origin and destination are mandatory. The output for this
is the number of zones that have to be crossed to get from this origin to that destination. When you finish,
you can close down the window.
Lesson 9: Generic Engines

There are several types of generic engines available out of the box. In general, a generic engine calculates
distribution of costs for a load. This is also referred to as apportioned transportation charges. By using a
generic engine, you can also provide additional auxiliary functions such as calculations of control numbers for
bar codes.
Show Me:
Now let's take a look at generic engines. They're found in transportation management underneath setup,
engines, and then generic engine. I've created three different engines here in my demonstration data. It's
important to note that when you create a new engine, you enter in the unique name, a description in the name
field, and point it to the correct engine assembly and pass in the engine parameter. It's also important that you
select the correct engine type. There are a variety of engine types available out of the box. If your business
requirements dictate other requirements beyond these, you'll need to perform some customization to the
engines. After you've created a new engine, you may be required to enter in the parameters. You'll do this by
highlighting the engine and then clicking the parameters button. You can see that the apportionment engine
includes a level, unit, apportionment to level, and apportionment details. The values that are being passed in
are entered on the right-hand side. When you're finished configuring the parameters for the engine, you can
move on and create another engine. Or, when you're finished, you can close the window.
Lesson 10: Freight Bill Engines

Let's take a look at freight bill engines now. You can use a freight bill-type engine to standardize a freight
invoice and freight bill lines and to automatically match a freight bill. Let's switch over to AX and I'll show you
how to configure a freight bill engine.
Show Me:
Now let's talk about the freight bill engines. They're found in transportation management underneath setup,
freight reconciliation, and then freight bill type. Here you can see that one freight bill type has been created.
It's pointing to the generic normalizer engine and the TMS DLL assembly. On the bottom half of the form in
the details FastTab, you can see that this particular engine includes a billing group ID and an external code. For
the engine that's provided out of the box, you can see that a match is required for the billing group ID but not
for the external code. If additional fields are required for matching, you'll need to add additional fields in here.
Note that adding additional fields may require some additional logic or programming in the assembly for the
generic normalizer or a completely new engine to be created.
Lesson 11: Initialize Base Engines

You can automatically initialize base engine data to create engine setup data for all the engines that are
included out of the box with AX. If you initialize the base engine data in this manner, data is initialized per
company and existing data that is set up in individual companies may be disregarded.
Show Me:
If you plan to use the base engines that are provided out of the box with AX, you can use an automated
process to initialize that data. This is done by going into the transportation management parameters form
found underneath the setup area in the transportation management module. Then, on the general tab on the
left at the very bottom of the engines FastTab, you'll see a button here called initialize base engine data. When
you click on this button, a dialogue will open. If you've already initialized engine data or configured additional
data, clicking this button will override the information that you've already configured and set up. By clicking
yes, the system will go ahead and initialize the data. By clicking no, the system will cancel the operation. It's
important to note that this operation does take several minutes to complete. When you're finished, you can
close the window.
Lesson 12: Rating Profiles

After you've configured your engines, the final step is to create a rating profile. A rating profile is used to
determine whether the shipping carrier's rate matches the customer's requirements. The rating profile links the
shipping carrier with a rate master. The rate master defines the rate base assignment and the rate base. The
rate base determines the actual rate of the carrier. You can also link the rating profile to a specific site or
warehouse and select the carrier fuel index to be used with the rating profile. All of the information is date
effective as well so you can configure charges or changes to be within a given time frame.
Show Me:
Once you're finished configuring all of your engine data, then you can go ahead and create a rating profile.
The rating profiles are found in transportation management underneath setup, rating, and then rating profile.
Here you can see various different rating profiles that have been set up in my demonstration data. Each rating
profile is linked to a specific shipping carrier, and you can optionally link a rating profile to a specific site and
warehouse. It's important that each rating profile is also linked to the appropriate rate engine, rate master, and
a transit time engine. You can also optionally link in a carrier fuel index and enter effective start and end dates.
So let's go ahead and create a new one. Created a new record called generic mileage rating. I'll give it a more
descriptive name. And then, in the shipping carrier, I'll choose UPS that we created earlier. For the rate engine,
I'll choose the new milage one that we created, and for the rate master I'll choose the generic mileage engine
that we created. For the transit time engine, I'll use the point to point engine that was already configured in
our environment. When you're finished, you can close the window.

o About Rating
 Several out-of-the-box engines
 Rating Process
 Rate Base Type
 Rate Master
 Break Master
 Rate Base
 Rate Engine
 Carrier
 Rating profile
o Rate Master Setup
 Create a rate base type
 Set up a rate master
 Create a break master
 Create a rate base
o Transportation Management Engines Overview
 Defines the logic to generate a rate
 Rate Engine
 Generic
 Mileage
 Transit time
 Zone
 Freight bill
o Engine Setup
 References to other transportation management engines.
 References to .NET types that are used by the transportation management engine.
 Simple configuration data - Parameters button
 File name extensions should always be included in the assemble name of an engine.
o Engine Metadata
 Multiple data schemas in single set of database tables.
 Define metadata for the database tables.
 The engine uses the metadata’s configuration.
 External engines do not require metadata.
 No external engines out of the box.
o Create Rate Engines
 Create the rate engine
 Link the rate base type
 Link to the assembly
o Transit Time Engines
 Calculate the time that it takes to transport goods from point A to point B
 Create a transit time engine.
 Configure metadata.
 Define data.
o Mileage Engines
 Calculate the transport distance
 Create a mileage engine.
 Configure metadata.
 Define data.
o Zone Engines
 Identify the zone for an address or to calculate the number of zones that must be crossed
during the transport of goods from address A to address B
 Create a zone engine.
 Create a zone master.
 Configure metadata for the zone master.
 Define data for the zone master’s metadata.
o Generic Engines
 Calculates distribution of costs for a load
 Also referred to as apportion transportation charges
o Freight Bill Engines
 Standardize a freight invoice and freight bill lines
 Automatically match the freight bill
o Initialize Base Engines
 Automatically initialize base engine data
 Data is initialized per company
 Existing engine data that is setup is disregarded
o Rating Profiles
 Determine whether the shipping carrier’s rate matches the customer’s requirements
 Links the shipping carrier with a rate master
 Setup
 Shipping carrier
 Site and warehouse
 Rate engine
 Rate master
 Transit time engine
 Carrier fuel index
 Effective dates
MODULE PRACTICE
Practice 3.1: Configure a Rate Master

have need to configure a new rate master for mileage to be used with the BH Carrier.
Lab Setup
Before doing this lab you must have completed Practice: Create Load and Transportation Templates in
module 2.
High Level Steps
1. Create a new rate master.
2. Create a rate base type for Mileage.
3. Add rate base inputs on the rate base type for Miles and Add on charges.
4. Add rate base outputs on the rate base type for Origin postal code, Destination
starting postal code, Destination ending postal code, Destination country, and
Destination state.
5. Link the Rate base type to the Rate master.
6. Create a Break master for mileage.
7. Add breaks to the break master for 200, 400, 600, 800, 1000, 5000, and 10000 miles.
8. Add rates to the rate base.
9. Assign a Rate Base Assignment to the rate master.
10. Add mileage to the Mileage engine.
Detailed Steps
1. Create a new rate master.
a. Open Transportation Management > Setup > Rating > Rate Master.
b. Click New in the Rate master form.
c. Enter BHMaster in the Rate master field.
d. In the Overview FastTab, type Rate Master Parcel in the Name field.
2. Create a rate base type for Mileage.
a. Right-click the Rate base type field and then click View details.
b. Click New in the top section of the Rate base type form.
c. Enter Mileage in the Rate base type field.
d. Enter Mileage in the Name field.
3. Add rate base inputs on the rate base type for Miles and Add on charges.
a. In the Field type drop-down box, select Rate base.
b. Click New in the bottom section of the Rate base type form.
c. Enter Miles in the Name field.
d. In the Data type drop-down box, select Integer.
e. Select the Mandatory check box.
f. Click New in the bottom section of the Rate base type form.
g. Enter Add on charge in the Name field.
h. In the Data type drop-down box, select Integer.
4. Add rate base outputs on the rate base type for Origin postal code, Destination
starting postal code, Destination ending postal code, Destination country, and
Destination state.
a. In the Field type drop-down box, select Assignment.
b. Click New in the lower section of the Rate base type form.
c. Enter Origin PC in the Name field.
d. In the Data type drop-down box, select String.
e. In the Lookup type drop-down box, select Zip/postal code.
f. Select the Mandatory check box.
g. Click New.
h. Enter DestState in the Click New field.
i. In the Data type drop-down box, select String.
j. In the Lookup type drop-down box, select State.
k. Click New.
l. Enter DestStartPC in the Name field.
m. In the Data type drop-down box, select String.
n. In the Lookup type drop-down box, select Zip/postal code.
o. Select the Mandatory check box.
p. Click New
q. In the Name field, type DestEndPC.
r. In the Data type drop-down box, select String.
s. In the Lookup type drop-down box, select Zip/postal code.
t. Select the Mandatory check box.
u. Click New
v. Enter DestCountry in the Name field.
w. In the Data type drop-down box, select String.
x. In the Lookup type drop-down box, select Country/region.
y. Click Close on the Rate base type form.
5. Link the Rate base type to the Rate master.
a. In the Rate master form, select Mileage in the Rate base type drop-
down box.
b. Click Close on the Rate master form.
6. Create a Break master for mileage.
a. Open Transportation Management > Setup > Rating > Break master.
b. In the Break master form, click the New button at the top of the form to
create a new break master.
c. Enter Mileage in the Break master field.
d. Enter Mileage in the Name field.
e. Enter < in the Comparison field.
f. Enter Miles in the Break unit field.
g. In the Data type drop-down box, select Integer.
7. Add breaks to the break master for 200, 400, 600, 800, 1000, 5000, and 10000 miles.
a. Under the Details FastTab, click New.
b. Enter 200 in the Value field.
c. Under the Details FastTab, click New.
d. Enter 400 in the Value field.
e. Under the Details FastTab, click New.
f. Enter 600 in the Value field.
g. Under the Details FastTab, click New.
h. Enter 800 in the Value field.
i. Under the Details FastTab, click New.
j. Enter 1000 in the Value field.
k. Under the Details FastTab, click New.
l. Enter 5000 in the Value field.
m. Under the Details FastTab, click New.
n. Enter 10000 in the Value field.
o. Click Close on the Break master form.
8. Assign a rate base and break master to the rate master.
a. Open Transportation Management > Setup > Rating > Rate master.
b. Select the rate master BHMaster that you created earlier.
c. Click the Rate base button at the top of the Rate master form.
d. Click New in the Rate base form.
e. Enter BH Mileage in the Rate master field.
f. Enter BH Mileage Rate Base in the Name field.
g. In the Break master drop-down box, select Mileage.
9. Add rates to the rate base.
a. Click the Detail tab.
b. Click New in the Details tab.
c. Enter 0 in the Miles field.
d. Enter 7 in the <200 Miles field.
e. Enter 6 in the <400 Miles field.
f. Enter 5 in the <600 Miles field.
g. Enter 4 in the <800 Miles field.
h. Enter 3 in the <1000 Miles field.
i. Enter 2 in the <5000 Miles field.
j. Enter 1 in the <10000 Miles field.
k. Click Close on the Rate base form.
10. Create a rate base assignment on the rate master.
a. From the Rate master form, click the New button under the Rate base
assignment FastTab.
b. Enter MileageDefault in the Name field.
c. In the Rate base drop-down box, select BH Mileage.
d. In the Service drop-down box, select STD.
e. Enter 98401 in the Origin PC field.
f. Enter 60001 in the DestStartPC field.
g. Enter 60005 in the DestEndPC field.
h. Enter USA in the DestCountry field.
i. Click Close on the Rate master form.
11. Add mileage to the Mileage engine.
a. Open Transportation management > Setup > Engines > Mileage
engine.
b. Click the New button in the Details section of the Mileage engine form.
c. In the Pick-up Postal Code drop-down box, select 98401.
d. In the Drop-off Postal Code drop-down box, select 60004.
e. Enter 1500 in the Miles field.
f. Click Close on the Mileage engine form.
1. What does a rating profile do?

a. Determines which rating engine and rate master combination will be used
b. Determines how rates are broken out
c. Determines the rate base with the breakdowns on how the final rates are determined
d. Determines the carrier and carrier service
2. To view all available rates which option should be used on the rate route workbench?
a. Rate
b. All Rates
c. Rate Shopping
d. Available Rates
3. The rating engines find specific rates for the loads which have been planned.
a. True
b. False
4. A break master is used to define which of the following?
a. The tiers or breakpoints to be associated with a rate base.
b. Provides values for user defined criteria.
c. Defines the lookup criteria to determine the rate for a shipping carrier.
d. Link the rate master and rate base together.
5. Which engine is used to calculate the time it takes to travel from one point to another?
a. Generic
b. Mileage
c. Transit time
d. Zone
e. Freight bill
6. Which engine is used to reduce the final costs of transportation?
a. Generic
b. Mileage
c. Transit time
d. Zone
e. Freight bill
7. Which of the following components are NOT linked to a rating profile?
a. Site and warehouse
b. Rate and Transit time engines
c. Break master
d. Shipping carrier
e. Effective dates
Module 4: Routing
Route is a plan or course taken to get from one point to another. In AX routes are used to guide a load or
shipment from the shipping point to the destination; for example, from a warehouse to the customer's address.
In this module, we'll take a look at how to configure the system with routing information. Let's get started by
reviewing the objectives. We'll get started by describing how routing is used in the transportation
management flow. Then I'll show you how to set up the requirements in order to use the routing functionality
in AX. I'll describe the transportation constraints, and I'll show you how to create route plans and route guides.
Lesson 1: Routing Overview

Before you can begin routing a load, you'll need to configure some basic setups in AX. Let's take a look at the
basic process and the terminology. First is the transportation mode. This represents the form of transport that
the carrier uses for freight delivery such as less than truckload, truckload, or parcel, as an example. A carrier
can be associated with one or more transportation modes. We looked at how to configure a mode earlier in
the transportation management setup module. Next are transportation methods. These represent the form of
transport that the carrier uses for freight delivery such as air, ground, ocean, or rail, for example. A carrier can
be associated with an unlimited number of transportation methods as well. We also looked at how to
configure these earlier in the transportation management setup module.
Next are transportation constraints. This is a limitation to ship an item based on conditions that you configure
in AX. The constraints can be configured for items, shipments, or carriers, and each constraint can be set to
have a warning or a hard restriction. Next are route plans. Route plans contain route segments that provide
information about the shipping carrier, carrier service, carrier group, origin, and destination hubs, modes of
transport, and other details pertaining to the freight delivery. They define the starting and stopping points for
each variation of starting and stopping points that you'll travel across on a given route. Lastly is the routing
guide. A routing guide combines one or more segments together to create the definition of which equipment,
customers, hubs, and limitations such as weight or volume with will apply within a given time frame for a
specific route.
Show Me:
Lesson 2: Routing Setup for Carriers

As we discussed earlier, you must create transportation modes and methods and link them to carriers. Let's
switch over to AX and do a quick review.

Show Me:
So to review, the transportation modes are found in transportation management underneath setup, general,
and then mode. Here are the modes that we created. The methods are found just below this in the
transportation method form. Here you can see our examples of air, ground, ocean, and rail that we configured.
After you've created the modes and methods, you can start to link them into your shipping carriers. Let's close
this window down and open up the shipping carrier form down underneath the general area. Here you can see
various different shipping carriers. We created a new shipping carrier and specified a mode on the top portion
of the form. On the bottom portion of the form where you create each of the different services, you can
specify a different mode and method of delivery.
Lesson 3: Transportation Constraints

Now let's take a look at how transportation constraints work. The first type of constraint is an item constraint.
When you configure an item constraint, you can select a specific site and/or warehouse, an item number, and
filter codes. The filter codes will need to be preconfigured before you can link them to your specific items.
Next are shipment constraints. With shipment constraints, you can specify a specific site or warehouse, a
specific customer or vendor, and the minimum and maximum weight allowed with a particular shipment. This
information can then be linked to a specific carrier, carrier service, a specific mode or method of delivery, a hub,
it can be configured to warn or restrict, and each constraint also includes a start and end date. By setting up
filter codes on an item group, you can make the codes required for products within that item group. You can
specify filter codes for released products. For example, you can use filter codes to group products that must be
located in a storage zone with a specific temperature such as frozen or refrigerated.
You can also make specific inventory items available for only customers or vendors or for both customers and
vendors. For any item that you set up as generally available, customer filters and vendor filters do not apply.
You can also specify items that should be available for a customer in addition to the items that are made
available via the filter setup in the generally available items form. You can set up multiple filters for a single
customer; for example, a private label product that is only available to a specific customer. You can specify
items that should be available for a vendor as well in the same way that you do for customers. For example, a
special order product or products that require freezer or refrigeration by the vendor might be good examples.
Before you can add filter codes to item groups, released products, customers, or vendors, you must create a
filter code that you can optionally create a filter group which will create a unique combination of filter code
values. Let's switch over to AX and I'll demonstrate all of this functionality for you.
Show Me:
Let's start by creating filter codes with values. They're found in the warehouse management module,
underneath setup, and then filters and then filters. A filter is always associated with a filter code. This code is
defined in the filter title field at the top of the form. AX provides four codes out of the box. You may decide to
relabel these to be more appropriate to the type of information that is set up on the particular code. Code 2
you can see is not currently being used. So I'll use this to specify values such as freeze, and I'll create another
value for refrigerated. You can enter in an unlimited amount of filter codes for each filter code title. Code 3
you can see is not being used, so if I wanted to use this filter code for private labels, I could create a list of each
of the different brands. When you're finished, you can close the window.
The next step is to optionally create filter groups. They're also found in warehouse management underneath
setup, filters, and then filter groups. A filter group allows you to combine the codes from several different
things. So I'll create a new one called light freezer. Lightweight freezer products. Then in the details section,
I'll create a new record, select an item group. And then in code 1 I'll select light pick and in code 2 I'll choose
freezer. If you scroll to the right, you'll also notice there's an additional field called the number of days
required for mixing of batches. This is another parameter that controls how batches can be mixed for a
particular item group and the number of days that's required. When you're finished making your filter groups,
you can close the window down.
The next step is to set up filter codes on an item group. This is an optional step. So these are found in the
inventory management module. Underneath the setup area, we'll go down to inventory and then open the
item groups form. Here on the item groups form, you can see several different fields and information. For
each item group, the sales order, purchase order, inventory and production tabs along with the setup tab
contain information that controls how the item group will post. We're not going to discuss these. For more
information you can refer to the TechNet help. What we're going to look at is the warehouse management
FastTab. Here you can see that there is a filter required checkbox for each of the four filter codes. You'll also
notice the item group filter is available for each filter code as well. If these are marked, then the filter codes
that are configured in the filter groups form will be assigned to an item that's assigned to this item group
automatically. So, for example, if I want to require filter code 1 for all items in the audio group, I would mark
the checkbox. Then if I want to automatically populate them with values based on the filter groups that we
configured, I would also mark the filter code 1 for item group checkbox. When you're finished configuring the
item groups, you can close the window. If neither checkbox is selected for an item group, you can still enter a
filter code on a released product.

Let's close this down and take a look at how to link a filter code to a released product. We'll do this by
switching over to the product information management module. Then we'll open up the released products
form. Here we'll select an item and then click on edit in the maintain group of the action pane. Then on the
released product details form, if we collapse the general FastTab and go down to the warehouse management
FastTab, you'll see the fields for the four filter codes 1, 2, 3, and 4. It's important to note that with this
particular item the fields are disabled. The reason for this is this particular item is not assigned to a storage
dimension group that has advanced warehouse management enabled. In order to use the warehouse
management FastTab and configure additional data, you'll need to select an item that has a dimension group
that's been linked to the appropriate storage dimension group with the warehouse management process
enabled. If transactions already exist for an item, you will not be allowed to change this. So you can see that I
receive an error message on this particular item.
Once you've used the drop-down boxes to select the filter code values, the next step in the process is to go
ahead and configure generally available items. So let's go back to the main menu. Generally available items
are found over in the warehouse management module. So we'll switch back over to warehouse management
and then underneath the setup area and then filters we'll open up the generally available items form. When
you add a new item into this list or an item group, for example, and specify specific codes, this allows that
particular item to be used generally, basically, without restrictions. At the top of the form, you can choose if
the generally available item is for both customers and vendors, customer specific, or vendor specific. So if I link
this to, say, vendor specific, for example, I can put in a start date of 3/1, select an item group, and then choose
code 1. Values, I'll choose light pick, and code 2 of freezer. The most applicable way that this would be used
for a vendor or a customer is for a private label or special order product. So, for example, if I was going to set
one up for a customer, I would create a new record for the customer, and then in the appropriate code select
the brand that's restricted.
The next step in the process would be to go find the customer account and link the customer to the same
brand or same private label. The system will then match up the filter code with the item group that you've
specified and the items that match the same filter code values. So let's switch over to accounts receivable, and
I'll show you how to configure a customer filter code. I'll go into the all customers form found underneath
common and then customers. I'll select a specific customer -- for this example I'll use Cave Wholesales -- and
then click edit in the maintain group of the action pane. Next, on this customer account, over in the setup
group of the action pane, you can see there's a filters button. Here I can click the filters button which will open
up a new screen, which is the same filter code screen; however, this time it's specific to this one particular
customer. So now I can select that this particular customer is only able to purchase items in the car audio with
the additional filter codes that I specify. If I had configured some private label brands in code 3, I would be
able to select the private label brand that's associated with this particular customer as an example. I'll just
select freezer for this particular customer and then close the window. Similar steps can be followed on the
vendor account to link in a filter to a specific vendor account. When you're finished, you can close down the
windows.
Lesson 4: Routing Plan

Route plans contain route segments that provide information about the shipping carrier, service, group, origin,
destination hubs, mode of transportation, and other details pertaining to the freight delivery. They're primarily
used to define the starting and stopping points for each variation of stopping and starting points that your
business will travel. Let's switch over to AX and I'll show you how to create one.
Show Me:
So I'm back here in the transportation management module. Underneath the setup area and then in the
routing folder, we're going to open up the route plan folder. Here I can create various different route plans
with each of the segments that will be stops along the way. When we create the routing plan, we can enter all
the information about the origin, destination, shipping carrier, carrier service, and so on. If we scroll over to the
right, you can see that I can link in specific vendors or customers, for example. In the particular route plan,
there are only two segments. It starts in our own warehouse and ends up in a destination hub in San Francisco.
In this case, the shipping carrier is a rail carrier and the service is the rail. You can see here that we can specify
who's in charge for the payment for the item and the invoice account type.
If we select a particular vendor, then we would be able to specify a specific vendor and invoice account that
would be used depending on what option is selected in the invoice account type field. For each one of these
that's created, you can use the create spot rates button at the top of the form to create spot rates for each
different segment. So for this particular segment, you can see that a rate of $100 has been applied.
If you go to the accessorial tab, you can also add in additional accessorial charges for each stop. At the top of
the form, you'll notice a button called create route schedule. You can also optionally schedule a route. So if I
regularly travel this route every single Monday or maybe I run this route daily, you can configure the route to
be on a recurrence. To do this you'll use the new icon and enter a name. Then you'll mark the activate route
recurrence, select a time zone, the range or the start date of the recurrence, and then enter in the recurring
pattern. Depending on which option you select in the recurrence type, you'll receive different options. So, for
example, when days is selected, you can choose to repeat after a specified interval or every weekday. If you
choose weeks, then you'll notice different fields become available. Likewise with months. This functionality is
similar to the way a batch recurrence is scheduled. Let's go ahead and set this to days. Actually, I'm going to
use weeks for this example, and then I'm just going to mark the Monday checkbox so that this will repeat every
Monday. When I'm finished, I can close the window. When you're done creating the route plan, you can close
down the window.
Lesson 5: Routing Guide

A routing guide combines one or more route plans or segments together to create the definition of which
equipment, customers, hubs, and limitations such as weight or volume will apply within a given time frame for
a specific route. Let's switch over to AX and I'll show you how to create a routing guide.
Show Me:
Now let's create a routing guide. The routing guides are found in transportation management underneath
setup, routing, and then routing guide. Here you can see that I've got two routing guides configured that map
to the routes that I created earlier -- or demonstrated earlier. On the right-hand side you can see the
information. A route guide can be defined as being inbound or outbound. If the direction is set to none, then
it can be either. If this routing guide was specific to a site or warehouse, I could specify that information as well
as equipment. We can also indicate if this routing guide is residential.
On the accounts tab, I can select a specific customer. So if I wanted to make a routing guide for each customer
account, I would make one record for each customer. Then in the customer account field I would select the
customer. By leaving the fields blank, it indicates that it's valid for any customer. Next on the origin tab I can
specify origin information; so, for example, if the origin is coming from a ZIP code of 98401. This is useful, for
example, if I have multiple sites or warehouses in that particular ZIP code that all will use the same routing
guide.
You can also specify a specific hub that we're starting from, country or region, or you can choose a zone
master. Keep in mind that zone masters must be configured separately in the general area of the setup folder.
Then we can add filters for the destination. So in this case we're saying if we're anywhere between ZIP code
31001 and 31100. Alternatively you can specify hub, country/region, and zone masters for the destination as
well. So if I'm going, for example, from zone 1 to zone 2, we can use this route. Next you can specify limits. By
putting a limit on the zone, you can specify the maximum volume, weight, and so on. In some cases, when a
shipment becomes larger, you may be required to use a different route. For example, if the load is less than a
weight that can be loaded into a truck, I might use one route; however, if the load must be transported via a
rail because of the volume or weight restrictions, that might include a different route that stops at a hub where
the load is transferred from the railcar into multiple different trucks.
The last tab is the result tab. So when all of this information is matching -- so the site, warehouse, equipment,
accounts, origin, destination, and limits are met -- the result tab allows us to specify which route plan to use.
You can think of all of the other FastTabs as inputs and the last tab for results is the output. When you rate
and route a shipment, AX will look at the various ZIP code information that you've entered and then figure out
which route plan should be used based on the criteria for the orders that are included in your particular load.
When you're finished, you can close down the window.
Lesson 6: Hub Masters

A hub is a centralized location for shipments that is typically used for staging before the shipment moves to
the end location or another hub. Hubs are typically used in multimodal transportation models. Multimodal
transportation, which is sometimes referred to as combined transport, is the transportation of goods under a
single contract but performs with at least two different modes of transfer. The carrier is liable in a legal sense
for the entire shipment even though it is performed by several different modes of transport -- for example, rail,
sea, and road. Let's take a look at the setup for a hub in AX.
Show Me:
Now let's take a look at how to configure hubs. Keep in mind that hubs are optional. If you're going to use
hubs, you'll need to start by creating a hub master. They're found in transportation management underneath
setup, routing, and then hub master. Here you can see several different hubs that have been precreated in my
environment. Each hub has additional information that you can specify about the hub. So, for example, this
Georgia hub has been configured as a hub type of regional. You might create multiple different hub types for
rail yards and boatyards for example. In the rates field you can select a rate master to be used specifically with
this particular hub.
If you're working with a special carrier that has a hub, you might select a customized rate master or rate
engine to be used with that particular hub. On the effective dates tab, you can specify a start and end date
when this hub is available. Then on the address tab you'll use the new button to enter the address details for
this hub. On the additional vendor contact information, you can optionally enter in additional information such
as a contact name, the vendor, invoice account, phone number, and so on. It's important that if you link this to
a vendor, that you precreate the vendor. This might be useful in scenarios where freight reconciliation needs to
get charged back to the vendor that's specified in this particular field. When you're finished creating the hub,
the next step is to optionally configure hub accessorial charges. The hub accessorial charges are found
underneath the rating folder and then hub accessorial charges.
We took a look at carrier accessorial charges in one of our earlier modules. Hub accessorial charges work the
same way. However, when you create a hub accessorial charge, you'll need to link it to a specific hub by
selecting the correct hub in the drop-down box. In the hub position field, you can specify if this is a pickup
charge or a drop-off charge. We'll say this is a drop-off charge. You can optionally link in an external code and
a billing group ID which are used for the freight reconciliation. Then in the accessorial category code, you'll
need to select an accessorial master. If you have not created an accessorial master that has the type of hub,
you will not be able to select it. I'll create a new accessorial master here and link it to the hub accessorial type
and call this the roadway hub charges. Now I'll be able to select this new accessorial master in my hub
accessorial charge. It's important to remember that additional setup is required to create the actual accessorial
assignments and the accessorial master for the accessorial master that we created. When you're finished, you
can close down the window.

 Routing Overview
o Prerequisites and basic terminology
 Transportation Modes
 Transportation Methods
 Transportation Constraints
 Route Plan
 Route Guide
 Routing Setup for Carriers
o Review transportation mode setup
o Review transportation method setup
o Link modes and methods to a shipping carrier
 Transportation Constraints
o Item
 Site/Warehouse
 Item number
 Filter codes
o Shipment
 Site/Warehouse
 Customer/Vendor
 Min/Max weight
o Link to:
 Carrier/Carrier service
 Mode/Method
 Hub
 Warn/Restrict
 Start/End Dates
o Filter Codes
 Filter code on item groups
 Filter codes on released products
 Generally available items
 Customer filter codes
 Vendor filter codes
o Process
 Create a filter code
 Add a filter code to an item group
 Add a filter code to a released product
 Add a filter code to a customer
 Create an item constraint by using a filter code
 Create a shipment constraint
 Routing Plan
o Contain route segments
o Provide information about the:
 Shipping carrier
 Carrier service
 Carrier group
 Origin and destination hub
 Mode of transport
 Other details
 Routing Guide
o Combines one or more route plans or segments together
o Definition of which equipment, customers, hubs, and limitations such as weight or volume apply
within a given time frame for a specific route
 Hub Masters
o A hub is a centralized location for shipments
o Typically used for staging
o Hubs are typically used in a multimodal transportation model
o Multimodal transportation
 Sometimes referred to as combined transport
 Transportation of goods under a single contract
 With at least two different modes of transport
 The carrier is liable (in a legal sense) for the entire shipment
MODULE PRACTICE
Practice 4.1: Create a Routing Plan

Scenario
have to configure a new route plan for Washington to Illinois. You will need to create a new hub for
the warehouses at Washington and Illinois.
High Level Steps
1. Create a new route plan named “WA to IL”.
2. Create a new hub for Washington and one for Illinois.
3. Add details to the route plan for the BH Carrier ground service that you created.
Detailed Steps
1. Create a new route plan named “WA to IL”.
a. Open Transportation management > Setup > Routing > Routing
plan.
b. Click New on the Route plan form.
c. In the Route plan field, type WA to IL.
d. In the Name field, type Washington to Illinois.
e. Click New under the Details section of the Route plan form.
f. In the Name field, type WIRoute.
2. Create a new hub for Washington and one for Illinois.
a. Right-click the Origin hub field and then click View details.
b. In the Hub master form, click the New button.
c. In the Hubs field, type WA WHS.
d. In the Name field, type Washington.
e. In the Hub type drop-down box, select Hub warehouse.
f. In the Hub master form, click the New button.
g. In the Hubs field, type Illinois.
h. In the Name field, type Illinois.
i. In the Hub type drop-down box, select Hub warehouse.
j. Click Close.
3. Add details to the route plan so that the origin is WA and the destination is IL.
a. In the Origin hub drop-down box, select WA WHS.
b. In the Destination hub drop-down box, select Illinois.
c. Select TL in the Mode drop-down box.
d. In the Shipping carrier drop-down box, select BHCarrier.
e. In the Carrier service drop-down box, select STD.
f. Click Close.
Practice 4.2: Create a Routing Guide

Scenario
As a member of the Microsoft Dynamics AX 2012 R3 project team for Adventure Works cycles, you
have to configure a new routing guide for Washington to Illinois. The routing guide should ultimately
lead to the result being a particular shipping carrier, BHCarrier, with the carrier service, STD.
High Level Steps
1. Create a new routing guide named “WA to IL”.
2. Add Information, Origin, Destination, and Result entities to the routing guide.
Detailed Steps
1. Create a new routing guide named “WA to IL”.
a. Open Transportation management > Setup > Routing > Routing
Guide.
b. Click the New button in the Routing guide form.
c. Enter WA to IL in the Routing guide field.
d. Enter Washington to Illinois in the Name field.
e. In the Information FastTab, select the Active check box.
2. Add Information, Origin, Destination, and Result entities to the routing guide.
a. In the Origin FastTab, type 98401 in the Postal code field.
b. In the Destination FastTab, type 60005 in the Postal code to field.
c. In the Result FastTab, select BHCarrier in the Shipping carrier drop-
down box.
d. In the Carrier service drop-down box, select STD.
e. Click Close.
1. The route plan is a pre-defined set of criteria that will determine how a shipment or load is
routed during the planning.
a. True
b. False
2. Which of the following is not a result of a routing guide?
a. Shipping carrier
b. Route plan
c. Transportation template
3. Which is not one of the five main groupings of criteria on the routing guide?
a. Information
b. Accounts
c. Origin
d. Destination
e. Exceptions
4. Multi-modal or intermodal routes are supported in Transportation Management in AX.
a. True
b. False
5. A route plan can only contain one segment.
a. True
b. False
Module 5: Transportation Planning
When you order items from a vendor for delivery to your warehouse, you might want to arrange the transport
of the items yourself. Likewise, when you ship items to your customers, you may want to consolidate
shipments into loads and then plan the delivery of those shipments. When you have multiple warehouses and
transfer goods between them, you may need to plan inbound and outbound loads to move items from one
warehouse to another. In this module, I will provide an overview of how to use AX to plan the transportation
and the receipt of an inbound load and the outbound load. Let's get started by reviewing the objectives. In
this module, we'll create and modify new loads. Then I'll show you how to assign a rate and a route to a load,
either together or separately. We'll consolidate multiple shipments together into a single load, and I'll show
you how to confirm a load for shipping. Then we'll take a look at how to plan appointments for a load and
we'll register driver check-in and check-out by using both the rich client and the mobile device.
Lesson 1: About Transportation Planning

Let's get started by taking a look at the basic process flow for an inbound and outbound load. We'll use a
purchase order or you can use a transfer order to create an inbound load. You can also modify an existing
inbound load. After you've created the order, you can assign a rate, a route, and a shipping carrier. Optionally,
if required, you can consolidate multiple shipments that are shipped to one or more destinations in the same
route together into a single load. Then we'll confirm the inbound load to prepare to receive the shipment from
the vendor. When we receive the load from the vendor at the inbound dock, we'll plan some appointments to
schedule when they are expected. Once the driver arrives, we can register a driver check-in and check-out to
complete the delivery appointment.
The outbound process flow is used to ship specific items from your warehouse to a customer or from one
warehouse to another warehouse. You'll start by creating a load. This is done through either a sales order or a
transfer order to manually create an outbound load. You can also modify an existing outbound load. The next
step in the process is to assign a rate, a route, and a shipping carrier. Then you'll create and process a wave
either manually or automatically to specify the pick and put location. This is dependent upon your
configuration in warehouse management. Next you'll pick a load from the storage location and put it in a
staging area for packing or put it onto the outbound dock for shipping. Optionally, at this point, you can
consolidate multiple shipments that shipped to one or more destinations within the same route. Then you can
plan when to ship the packed loads from the outbound dock to a specific destination. When you're using the
appointment scheduling, the next step in the process is to register a driver check-in and check-out to complete
the appointment, and then finally you'll confirm the outbound load for shipping.
Lesson 2: Create or Modify an Inbound Load
You can use a purchase order to create an inbound load automatically or manually. You can also modify the
existing inbound loads by adding new purchase order lines. Similar functionality is available for transfer order
lines as well. Load planning is one of the transportation functions performed by transportation coordinators.
The inbound load process starts when there is a demand for specific items that have to be shipped from a
vendor location to one of your warehouse locations, or, in the event of a transfer, for an item to be shipped
from one warehouse to another warehouse. Let's switch over to AX and I'll demonstrate how to create and
modify inbound loads.
Show Me:
So let's get started by taking a look at the parameters that control the automatic inbound load creation. They
can be found in the warehouse management module underneath setup and warehouse management
parameters or in the transportation management module underneath setup and then transportation
management parameters. I'll demonstrate this from transportation management. Here on the general tab, if
we go down to the loads FastTab, you can see that there are several checkboxes here for automatically create,
add sales order entry, purchase order entry, and transfer order entry. If you want to automate the creation of
inbound loads for purchase orders, you'll want to mark the automatically create a purchase order entry
checkbox. For my demonstration I'm going to leave this checkbox off because I'm going to show you how to
manually create one.
We'll close this window down, and I'll switch over to the procurement and sourcing module and show you how
to manually create a purchase order and then create a load for it. So in the procurement and sourcing module,
underneath common, purchase orders, and then all purchase orders, I'll create a new purchase order. I'll do
this by clicking on the purchase order button in the new group of the action pane. This will open up a new
dialogue. I'll select the vendor, and for this example I'm going to use site No. 5 with warehouse 51. When I'm
finished, I'll click OK to create the new purchase order. This will launch the purchase order details form and
insert the first line ready for me to add some items. For this example, I'm going to use Item No. M9200. You
can see that the site and warehouse have defaulted into my order and the quantity is set to 100. For this
example, I'm going to use 200. It's important to remember that you'll need to confirm your purchase orders.
So I'll go to the purchase tab in the action pane and then click confirm in the generate group. This will update
the status of the purchase order to confirmed. Now I'm ready to release this to the warehouse and create a
load. So what I'll do is I'll go to the warehouse management tab on the action pane and then click the load
planning workbench button in the actions group.
This launches the load planning workbench. When you use the button on the purchase order form to open up
the load planning workbench, it will automatically filter the supply and demand FastTab and put you on the
correct tab with that specific purchase order. This makes it quick and easy to create the load because you
don't need to search. I'll show you another example later on where we'll manually create it directly from the
main menu. Here I can see the purchase order that I just created, and on the bottom portion of the form I can
see some other loads that currently exist in the system. If I want to create a new load, you'll mark the checkbox
next to each purchase order line that you want to include and then click to new load in the add group. This will
create a brand-new load. What happens is the load template assignment form will open. Here I can select
which load template I want to use. I can see the updated information. I'll be able to enter in a different
quantity. So, for example, if I didn't want to load the entire order onto this, I can change the quantity here to a
different quantity which would allow me to slit this into separate loads. I'll click the OK button, and I'm
receiving a warning that my weight or volume exceeds the capacity. If you click cancel, it will return you to the
screen and allow you to pick a different template or reduce the quantity. You can see in this case the volume is
the issue. The reason for this is my load template ID is set with a volume of 0 as the allowed volume. I'm
going to click OK again and then just accept this warning message.
Now a new load has been created. On the lower portion of the form, you can see the details of this new load
that was just created. The status of the load is open, and you can see all the details that were entered in. I can
now start to use the buttons on the loads tab to release the load, release errors, ship and receive, rate and
route, and so on. So what I want to do is go ahead and go to the rate route workbench by clicking on rating
and routing and then selecting rate route workbench. This will open up the rate route workbench for the
particular order that I have selected. You can see that all of the from and to address information is passed in
automatically for me. If you click the accounts tab, you can see the detail of which vendor and invoice account
is being used.
The buttons on the top of the form will allow me to update and find a rate or route for this order. If I use the
rate button, this will find a single -- or the best rate for this particular criteria from this purchase order. So you
can see that the system has found the flower moving with a rate of 500 and the customer rate is 500. You can
see the number of miles and transit days that were calculated by the engines that have been configured. When
you use the rate button, it's important to remember that the system will automatically find the lowest rate. If
you instead use the rate shop button, the system will find all of the rates that are available for all of the carriers.
Here you can see that many different rates have been returned. There you can see that the flower moving is
the lowest rate. If I instead wanted to use the truck carrier, which is a higher rate, I can select this rate from the
list and then use the assign button. Another option is to search for a route. If you click the route button, the
system will simply find a route. Here you can see I've configured a route to automatically be used for the ZIP
code information that I've entered here.
Alternatively, you can use the route with rate button. When this button is used, the system will find a route
and a rate. So now you can see that the route plan is still Minnesota to Washington and the rate information
has been pulled in as well. No matter which button you use at the top of the form, you can use the various
tabs on the bottom half of the form to view additional information. For example, if you click the override
charges, you would see any overridden charges that have been configured for this combination of information.
If you go to the segments tab, you'll see each of the segments. If your route has multiple segments in it, you'll
be able to see the details for each different stop or segment. By clicking the details tab, you'll see each of the
additional lines and rates of how the rate was calculated for this particular segment. In some cases each
segment line may have additional information as well. So, for this particular segment, these are the item
numbers that are to be shipped -- the weight, volume, class, and so on. I'm going to go ahead and click the
rate shop button again so that we can find some exceptions and demonstrate what an exception looks like.
You may have noticed when I originally rate shopped that some of the lines have a total rate of zero.
If you scroll across to the right, you'll notice a symbol in the exceptions column for these lines. This indicates
that there is an error. You can use the checkbox at the bottom of the form to hide the exceptions so those
rows won't be valid. When the exceptions are not hidden, you can use the exceptions tab on the far right of
the bottom portion of the form to see what the error is. In some cases there may be multiple errors. In this
case the error is against rate 0008 and there was no rate base assignment could be found. This indicates that
for the ZIP codes, zones, and address information that's been provided, no rate base could be found. I could
correct this by going to the rate base assignment form, finding the correct record for this particular carrier and
carrier service, and adding an additional line for this particular combination. If I were to return to this form and
re-rate shop by clicking the rate shop button again, new information would be populated here and the
exception would disappear.
Lesson 3: Split a Purchase order into Multiple loads

Next, let's show you how to create an inbound load where we split the purchase order into multiple loads.
Show Me:
So I'm back here in the purchase order form. I'm going to go ahead and create a new purchase order. I'll use
the same vendor and specify the site and warehouse as 5 and 51. Then I'll click OK. For this example, I'm
going to add two different items to the order. I'll use the steel pressed frame for a quantity of 100, and then I'll
add a second line for the cone and coil assembly with a default quantity of 100 as well. I'll go ahead and go
over to the purchase tab and then click confirm.
Once the purchase order is confirmed, I'll go to the warehouse management tab and click on the load planning
workbench. This will again open up the load planning workbench. If I want line 1 to be on one load and line 2
to be on a different load, I can mark the individual lines that I want to include and then click to new load. Here
I'll select the load template for standard load and then click OK. Then I'll click OK again. Now a new load has
been created. Now, if I want to put the second item on a different load, I can use the checkbox to select this. I
can either create a new load or I can select to move this to an existing load. I'll choose the to existing load for
this example. Here I can see a purchase order for the same order and choose which load template I want and
then click OK and click OK again. Now these items are added to the same load.
For the last part of the this demonstration, I'm going to close the window down and access the load planning
workbench directly from the main menu. So I'll switch over to transportation management, and then
underneath inquiries I'll go to the load planning workbench form. This will launch the same form. Here you
can see various different tabs. You can use the filters at the top to filter for specific information. So, for
example, if I'm just working on site 5 with warehouse 51, I can enter that information which will filter down the
records that I see. The tabs across the top will show orders separated by the type. If I go to the purchase order
lines tab, you can see that I have some additional purchase orders here for site 5 and warehouse 51. I created
these before the demo using the same information that I used in the demonstration. If I want to create a load
including all of these, I can mark the checkboxes and click to new load or choose the existing load. When
you're finished, you can select the load template that you want to use and then click OK. Once the loads are
created, the screen will update again. You can use the rate route workbench as well to then go assign a rate
and route to your load.
Lesson 4: Create or Modify an Outbound Load

An outbound load is a single shipment or group of shipments that are shipped from a warehouse location to a
customer or intermediate location such as a hub. You can create an outbound load from a sales order or
transfer order automatically or manually. You can also use the load building workbench to create proposed
loads based on load building strategies. We'll discuss this more in a later lesson. For now, let's take a look at
the steps to create and modify inbound modes manually.
Show Me:
Now let's take a look at the process for creating an outbound load. For my example, I'm going to use sales
orders. Remember that before you start creating sales orders, you may want to automate the creation of loads
for outbound orders by going into either warehouse or transportation management parameters, then on the
general tab you can mark the checkbox to automatically create loads at sales order entry. Similar functionality
is available for transfer orders as well. I'm going to leave these off because I'm going to demonstrate how to
manually create a load.
Let's start by going to the sales and marketing module. And then underneath common, sales orders, I'll open
the all sales orders list page. I'll click the new sales order icon and then select a customer. For my example, I'm
using Forest Wholesales. Then on the general tab I'll update this to use site 5 with warehouse 51. It's
important for this demonstration that you use a site and warehouse that is enabled for the advanced
warehouse management process. Next I'll select the item and enter in the quantity. For this example, I'm
going to create an order for a quantity of 10 steel pressed frames.
The next step in the process is to reserve the inventory. So I'll click the inventory button and then choose
reservation. If the line has not been saved, the button may be grayed out. So you may need to move off of the
line or press Ctrl S on your keyboard before you can select inventory reservation. This will open up the
reservation screen and I'll use the reserve lot button at the top of the form to post the reservation. Then I'll
close the window down and go to the warehouse management tab on the action pane. Now I'll click on load
planning workbench to launch the load planning workbench for this particular sales order. This functions much
like the -- clicking the button from the purchase order form by filtering for the exact sales order that you are
selected on. I want to go ahead and create a new load, so I'll go ahead and click the to new load button. This
opens up the load template assignment form where I can select a specific load and then click OK.
The lower portion of the screen will update with the new load that has been created. Here you can see the
status of my load is open. By using the release button at the bottom of the form on the loads FastTab, I can
validate the load to make sure that there are no errors or warnings. This may be important if you're building a
load by putting multiple different shipments or sales orders into it. Here you can see that my load is valid. So
I'll need to release it to the warehouse. So by using the release button on the bottom portion of the form, I'll
click on release to warehouse. Now you can see a new load has been posted, a wave is created, work is
created, and a wave is posted. Depending on your configuration in the warehouse management module for
the advanced warehouse management and the mobile device, your wave may not be created automatically or
posted. In my system it's configured to happen automatically. So I receive an infolog letting me know that the
wave has been created and posted. You can also see that the status of the load has been updated to waved.
Now I can use the mobile device to begin picking this particular order. Let's close this window down and take
a look at another example.
I'm back here in the sales order form, and I'll create another new sales order. I'll choose a customer account
and add multiple lines to this order after selecting the correct site and warehouse. Then I'll click OK. Next I'll
add the item number to the order and the quantity that I want to purchase. I'll add a second line for another
item, and I'll choose the dust cap for this example with a quantity of 10. I'll need to perform the inventory
reservations for these as well. So I'll click on inventory reservation and then select to reserve the lot. I'll repeat
this for each line by clicking inventory, reservation, and then reserve lot.
The next step in the process is to open up the load planning workbench. You do this by clicking on warehouse
management in the action pane and then clicking on the load planning workbench button. Now I have
multiple lines for this order. If I want to split these up into different loads, I can do so by selecting individual
lines and then clicking to new load, selecting the appropriate load template, and then clicking OK. Now, if I
want to add this to another load or split this particular line into multiple loads, I can do that by using the to
new load button again to create another new load. If I want to update the quantity, I can type in the quantity
that I want to put on this load, choose the load template and then click OK. Now you can see that the quantity
left to load is five. If I want to create a third load for the remaining five, I'll select the line and select to new
load or I can choose to add it to an existing load. When you're finished, you can close the form. But remember
you'll need to validate and release your loads to the warehouse by using the release button so that the status
of those loads will be updated to waved. This creates the work so that they can be picked by using the
advanced warehouse management functionality on the mobile device. When you're finished, you can close
down the form.
It's important to remember that you can also access these loads from the transportation management module.
So I'm here in the transportation management module, and if we open up the loads form or other versions of
the loads form, we can see open loads. This particular version of the form will filter to loads that just have a
status of open. You can see whether this is an inbound or an outbound load. Here are the loads that I just
created and did not release to the warehouse. I can use this form to manage my loads and update them. If we
go to the ship and receive tab, you can see there are buttons that allow me to confirm the shipments, print
documents, and the transportation tab has buttons that allow me to open the rate route workbench and other
buttons. We'll talk about more of these later on.

Lesson 5: Assign a Rate and Route to a Load
In this lesson, I'll describe how to assign a rate and route to an inbound load and outbound load so that the
rate can relate to other tasks in the transportation planning for those loads. The task of assigning a rate and
route to an inbound and outbound load are similar. The only difference is the origin of the load. An inbound
load is generated by a purchase order or transfer order and an outbound load is generated by a sales order or
a transfer order. In the load planning workbench form, you'll select the sales order line, transfer order line, or
purchase order line. Let's switch over to AX and I'll show you the basics of using routing and rating.
Show Me:
For this demonstration, I'll show you how to assign a rate and a route by using the route rate workbench. And
I'll also show you how to manually assign. Let's get started by going into the all loads form. It's found
underneath transportation management in the common area. Here you can see the list of all of the loads that
I've created in my system. I can select a load by highlighting that load and see the details on the load. In order
to assign a rate and a route to this load, I'll need to have a shipping carrier assigned.
There are several different techniques that we can use. Let's start by going to the transportation tab and then
clicking the rate route workbench. This will open up a new form, populate it with all of the address information
from my particular order. Now I can use the buttons across the top to decide how I want to assign the rate.
For this example, I'll click rate shop. Now you can see multiple lines are created. In this case all eight lines have
exceptions. If we scroll over to the right, you'll notice the exception icon is displayed in every single line. If we
go to the exceptions tab, then we can see why each line does not -- is not able to calculate a rate. Here you
can see the mileage detail could not be found. This is because for my particular combination of carrier,
address, ZIP codes, and so on, no mileage is entered into the system. So for ZIP code 98027 to ZIP code 90024,
there's no mileage information configured on my mileage engine. So I would need to go back to the mileage
engine and configure some data on that engine so that it's able to calculate a rate correctly.
Let's close this window down and I'll show you an alternative way that we can calculate or add a rate and route
to our order. I'll do this by clicking manual rating. You'll notice, though, that an error is received because a
carrier must be assigned prior to creating a manual route. So we'll go back to the loads tab on the action pane
and open up the load planning workbench. This will open up the load planning workbench that's filtered
directly for our particular order. I'll collapse down the supply and demand FastTab so we can take a look at the
loads tab. If you scroll over to the far right, you'll see a shipping carrier field. I'll select truck carrier, and then
carrier service will be truck for this particular example. Now I will be able to manually rate this. I can do this
directly from this form by clicking on rating and routing and then selecting manual rating, or I can close this
form and go back to the all loads form.
Now a new screen is opened, and here I can see any system-generated details and I can add any user-
generated details. For my example, I'll click the new icon and then I'll select the accessorial level, if this is
related to the route, the segment, the load, the shipment, or the container. Let's say this a shipment charge,
and on the rate type field I can select if this is just a flat rate, a hub charge, an accessorial fee, based on an
error, or a constraint. Let's just say this a rate. And then in the rate ID, I can choose the accessorial master and
then type in the rate. For the accessorial assignment level, I can select whether this will be assigned to the
shipment, package, load, or hub. For my example, I'm going to leave this a shipment and then close the form.
When I come back to the routes form, if I press F5 to refresh it, you can now see the rate that has been
calculated. If I use the route rate detail button at the top of the form or at the bottom, it will open up that
detail form where I can add additional rates. Let's close this down and take a look at another example.
For this example, I'll choose an inbound load. This is one of the inbound loads here that we created earlier.
You can see it already has a shipping carrier assigned. Let's choose the one just below it that does not have a
shipping carrier assigned. I'll go ahead and go to the transportation tab and then click on rate route
workbench to open up the rate route workbench. Then I'll use the rate shop button to shop for a rate. Here
you can see several rates were found. I'll go ahead and use the truck carrier again for this by clicking on the
assign button. This creates a new route for this particular load and assigns the rate. You can see the mileage
information, transit days, and the rate. If we click on the route rate detail button, you'll see that the top half of
the form is populated with the system-generated amount. Let's say I need to add another amount to this
particular shipment or load. I can go ahead and add a user-generated manual rate on the bottom half of the
form. Let's say this is related to the shipment and it's based on an error. I can choose the accessorial master
and add in a fee. You might do this, for example, if you needed to add insurance or other fees to a particular
shipment based on the specific scenario of this particular shipment or load. You'll assign the accessorial
assignment level and then click close.
When you return to the routes form, if you press F5, you'll see that the amount is now updated. So you can see
that the total rate is 2,025, the shipper's rate is 1,980, which is also what we're charging the customer. If you
scroll across to the right, you can see the default appointment information that's been created for this
particular shipment. We'll talk a little bit more about appointments later on. When you're finished, you can
close down the windows.
Lesson 6: Consolidate Multiple Shipments into a Load
In this lesson I'll describe how to consolidate multiple shipments into one load. First let's take a look at a few
scenarios where consolidation is supported. You can consolidate multiple shipments for sales orders, purchase
orders, or transfer orders based on one of the following scenarios. The first is shipments to different
destinations in the same route that use the same hub or hubs. The next scenario is a shipment that originates
from the same warehouse and uses the same route. And you can consolidate shipments that are going to the
same destination. Let's switch over to AX and I'll show you how to consolidate shipments.
Show Me:
Let's start by taking a look at how we can consolidate shipments that are going to use a common hub. We'll
start by going into the all loads form found in transportation management underneath common. Here you can
see a list of all of the various loads. I can now highlight a load and go to the transportation tab and then use
the hub consolidation button to assign a particular hub or warehouse location. When you use hub, then the
hub drop-down box will show a list of the various different hubs, and then you'll click OK to perform the
consolidation. Another alternative is to consolidate multiple shipments that have the same destination. I'll go
over to transportation management and open up the all shipments form.
Here you can see that there are multiple shipments. If we take a look at the shipments, you'll be able to tell
that these shipments are for the same particular account, US104, and they all have the same address as well.
Let's say I want to consolidate these together. I highlight the line that I want to consolidate and then click
consolidate shipments. This will show me a list of other shipments that are available for the same address, and
now I can select the shipment I want to consolidate them into. Then I click OK. Once you click OK, you'll notice
that the shipments are now consolidated together and you can see each of the different order numbers. If I
wanted to continue and consolidate the last shipment together with the previous shipment, I can highlight the
shipment, click consolidate shipment, and then consolidate them all together into shipment 08. Now only one
shipment remains with the total of all of the different items and orders together in one shipment.
Lesson 7: Confirm a Load for Shipping

In this lesson I'll explain how to confirm a load for shipping. When an outbound load is confirmed, you can
generate shipping documents such as a packing slip or bill of lading to be shipped with the load. When an
inbound load is confirmed, you can define a packing structure that specifies how the load should be packed.
After the packing structure is defined, you can confirm the inbound load.
Show Me:
There are several different ways that you can confirm a load for shipping. Let's start by using the all loads
form. It's found underneath common, loads, and then all loads. Here you can see that there are multiple
different loads in my system. I can highlight a given load and then go to the ship and receive tab, and
depending on the type of load, whether it's an inbound or outbound load, the inbound shipment or outbound
shipment in the confirmed group of the action pane will be enabled. For this particular load, it has a status of
waved. When I click the confirm outbound shipment button, an error message is received because the work
has not be completed in the mobile device for this particular load. So I would need to do that before I'm able
to confirm the load. You'll also notice a print button on the ship and receive tab which has options to print the
bill of lading, packing slip, and send an ASN, or Advanced Shipping Notice.
Now let's go to the load planning workbench and I'll show you how you can use the load planning workbench
to confirm a load for shipping. It's found underneath inquiries in the transportation management module. If
you collapse the supply and demand tab, you'll see a list of all of the various loads. These are the same loads
that you can see from the all loads screen. If you select a given load and use the ship and receive button, you
can see that there are two different options to confirm the inbound shipment and outbound shipment. There's
also an option to post the product receipt. This option is only available for an outbound shipment -- sorry, an
inbound shipment that's been processed. This will open up the standard purchase order product receipt form
for you to process the product receipt. There's also buttons here to update the packing structure and to create
a cross-docking packing structure. These are discussed in more detail in the warehouse management course.
Again, if you click the outbound shipment button before the shipment has been processed in the mobile
device, you'll receive an error message.
For outbound shipments, you can also use the all shipments form or any other version of this. For example,
you might use the shipment -- or the -- the version of this form called shipments ready to ship form to confirm
shipments. When you open up this form, you'll only see outbound and inbound orders. If you highlight a
particular order that's ready to be shipped, you can click the confirm shipment. Again, if the order has not
been processed in the mobile device to pick, pack, and put, then you'll receive an error message when you click
the confirm. You'll also notice the print button here which has an additional list of reports that are available.
So in addition to the bill of lading and packing slip, you can see that you can print a load list, a pick list, a
packing list, a packing slip, send the ASN, send the NAFTA certificate of origin, a certificate of origin, or print
the commercial invoice. So depending on the version or form that you're using to process the shipment,
different buttons will be available in different areas of the form, but the same basic functionality is available.
Lesson 8: Set Up for Appointments
Warehouse appointments represent events that occur at a dock door for receiving purchase orders, shipping a
sales order, or processing inbound and outbound loads at a specific date and time. Appointments are created
to reduce the manual work for warehouse personnel. This helps to make sure that there is availability of docks
for the loading and unloading of goods and avoids a situation in which multiple carriers arrive at a location at
the same time. Before you can plan appointments, you must complete the setup and configuration. Let's
review the required and optional setups.
Show Me:
Let's get started by taking a look at the transportation management parameters found underneath the setup
of the transportation management module. Here we can set the default duration and the alert interval for our
appointments. The default duration is found in the appointment scheduling FastTab, and here you can see
mine is set to 15 minutes. You can also set the alert interval, which is the number of minutes before an
appointment you'll receive an alert. Mine is set to five minutes.
Next we'll need to configure some appointment types. So underneath the transportation management
module, under setup, we're going to go to the appointment scheduling folder and then open up appointment
types. This will show you a list of all the various different appointment types. You can see in my environment
we've got appointment types for each dock which are set to outbound, an inbound dock for dock 51 and 61,
which is -- one is set to both and one is set to inbound. To create a new appointment type, you'll need to click
the new icon. Since some appointments might be longer or shorter, you might create multiple appointment
types based on the type of dock door and the type of appointment or length of appointment.
You'll also need to create appointment types that are specific for each site and warehouse that make sense for
your business process. So I'll go ahead and create one for dock 4 underscore long. Or maybe I'll call this
underscore 120 because this will be for an appointment that's 120 minutes long. I'll select the site and
warehouse that I want to link this to and enter the duration. I can also define the number of calendar slots.
This is the maximum number of calendar slots that will be reserved for this particular appointment type. I want
to reserve four calendar spots. I also want to require a driver check-in for this particular type of appointment.
You may want to configure different appointment types for special types of receiving. So, for example, for milk
receiving, you might have a special appointment type that requires a driver check-in where you'll enter in the
seal numbers, temperatures, and so on. In the item movement direction, you'll select whether this
appointment type can be used for inbound, outbound, or both. You can also optionally select a location
profile ID for your appointment type. Once you're finished creating the appointment types, you can close the
window. And then you'll also want to configure some appointment change reasons. They're found in the same
appointment scheduling folder. Here you can see a list of appointment change reasons that have been
configured. I'll go ahead and create a new one called weather. There's no limit to the number of appointment
change reasons that you can create.
Next let's configure appointment notifications. This is found in the transportation management module
underneath periodic and then appointment notifications. This is a batch job that we can schedule to run on a
specified interval. You'll want to make sure that the interval that you run this job is less frequent than the
frequency of the appointment notification interval that you specified in the transportation management
parameters form. To configure this, you'll mark the batch processing, optionally select a batch group, and then
use the recurrence button to decide the frequency at which you want to run this job. Let's say I want to run
this every five minutes. I'll click OK and then click OK again. This will open up an infolog to let me know that
it's been inserted into the batch queue. Now the system will automatically process the appointment
notifications every five minutes.
Lesson 9: Plan Appointments

You can use the appointment scheduling form to schedule, track, and cancel appointments for a specific load.
The appointment type determines the type of location for which the appointments are created. For example,
you can specify whether a particular appointment is created for an inbound or an outbound dock. When you
cancel an existing appointment, you must select a reason code to specify the reason for cancellation.
Show Me:
Let's create an appointment together in AX. There are several ways that you can create appointments. For our
first example, we'll create an appointment directly from the load planning workbench. So I'm here in
transportation management, and then we'll go to the load planning workbench underneath inquiries. I'll
collapse the supply and demand FastTab and go down to the loads tab. Here I can see the various different
loads that have been set up and configured in my environment. I'll go ahead and select a particular load that's
already been waved, and then I'll use the transportation button and then select appointment scheduling to
open up the appointment scheduling form.
When I click the new icon, it will create a new appointment, and you can see that it's automatically populated
this with the information for the order that I had highlighted. I can update this information or change it. I'll
need to select an appointment type and the direction. We can also see what the status of the appointment is.
You can define it as being tentative, firmed, checked in, overtime, completed, blind canceled, or other. I can
put in the carrier information, shipping broker ID, tractor number, trailer number, and so on. Some of this
information will not be populated until the driver arrives. The date and time is where you'll actually see the
date and time that this particular appointment is scheduled. You can see that the system has automatically
assigned a time for the start and end date based on the appointment type that I selected. Then down on the
reference tab you can see that the reference is automatically linked to the load that I created it for. When
you're finished entering the details, you can close the form.
Another alternative to creating appointments is to do it directly from the appointment scheduling form, which
is found underneath inquiries. Here you can see the appointment that I just created for a specific load. If I
want to manually create a new appointment, I can do that by clicking on the new button and then typing in the
information. I'll select a particular appointment type, a calendar, the direction, enter the shipping details, and
on the bottom I'll need to select a reference. So if I want to link this to a specific load, sales order, or purchase
order, I'll need to choose the information from the drop-down box. I can also type in some notes. If I use the
origin button at the top, we can specify whether the appointment -- or see whether the amount was made for
a particular load, sales order, or purchase order. In this case it's a load. So the system will automatically open
the load that this particular appointment was created for. If we go down to -- back to the appointment
scheduling form, we can also use the appointment history form to see the details and history of this particular
appointment. In this case there's no history because no changes have been made to it.
If I use the appointment status button, I confirm the appointment and cancel the appointment quickly. You
can also use the appointment status drop-down box to update the status. But by using the appointment status
and firm the appointment option, you can see that the status is automatically updated to firmed. If I cancel the
appointment, you can see that I'm prompted to enter a reason code. I'll say this was a misbooking. I can type
in a note and then click OK. The appointment is now canceled and disappears from the screen. To get it back,
I need to click the display completed and canceled appointments. There you can see the canceled
appointment. If I use the appointment history button on this particular form, I can see the status of when the
appointment was firmed and each update to that appointment.
The last way to create appointments is to create instant appointments. Instant appointments are useful when a
driver shows up to a dock door where you didn't have an appointment scheduled and you need to be able to
register the driver check-in and check-out. You can do this directly from the driver check-in and check-out
form. It's found underneath the common area of the transportation management module. Here you can see
any appointments that have been created out there. If you want to schedule a new appointment, you can do
that by clicking the new button for schedule an appointment. If you want to create an instant appointment,
you can use the instant appointment. You'll select the type of appointment and click OK. The system will use
all of the defaults to create a quick new appointment for you. You'll be able to see that the status of this is set
to blind. This is because the appointment was created as an instant appointment. We would now be able to
perform the driver check-in and check-out.
Lesson 10: Register Driver Check-In and Check-Out

After you schedule an appointment, you can register the check-in and check-out times of drivers for an
appointment. Driver check-in and check-out is used to start and complete an appointment for a load at a
warehouse location. I'll explain how to register a driver check-in and check-out using AX in the rich client or on
a mobile device.
Show Me:
Let's register driver check-in and check-out using the rich client first. I'll do this by using the driver check-in
and check-out form found in the common area of the transportation management module. This will open up a
new screen where you can see the various driver check-in and check-outs that are open and pending. If you
want to see the completed and canceled appointments, you'll need to mark the checkbox at the top. I'm going
to go ahead and schedule a new instant appointment and then click OK. Here you can see a new instant
appointment has been created, and the status is currently set to blind. I'll go ahead and perform the
appointment check-in by using the appointment check-in button at the top of the form.
Now I can choose the shipping carrier, enter in trailer and tractor number information, enter in the driver name
and his license. I can optionally type in some notes as well. Then I'll click OK. Now I can see the status is
updated to check-in, and you can see the time that's remaining on this particular check-in. Once the driver is
completed and is ready to leave, you'll use the appointment check-out button at the top of the form to
perform the check-out. This will open up a dialogue where you can see the additional information and enter in
the actual end time. When you're ready, you'll click OK. If you refresh the form, you'll notice that the
appointment has disappeared.
Let's go ahead and do another example; however, this time we'll use the mobile device. I'll start by scheduling
an appointment. I'll select the appointment type and then on the reference tab I'll select a load that I created
earlier. I'll use the inbound load that we created as an example. It's important that you firm the appointment.
If you do not firm the appointment, then the appointment be will not be available in the mobile device. I'm
going to copy this appointment ID because I'll need that in order to register the driver check-in and check-out
on the mobile device. I'll close this window down. And before we can use the mobile device, we'll need to
complete some configuration. So I'll switch over to warehouse management, and then we're going to go down
into the setup area, mobile device, and mobile device menu items. Here you can see that I have created a
driver check-in and driver check-out menu item. When you create your driver check-in and check-out menu
items, you'll use the new icon, type in a name and title. Then in the mode you'll select indirect and then choose
the activity code for driver check-in and for driver check-out respectively.
Once you've created the menu items, you'll need to make sure that you add them to a mobile device menu.
This is done in the mobile device menu form. Here you can see on the main menu I've already added the
driver check-in and check-out menu items to the main menu. When you log into the mobile device, it's
important to note that the worker that you plan to log in as will need to be linked to the correct menu item.
The workers are set up underneath work users and then worker. I'm going to be using Ted. If required, you
may need to reset the password in order to log in as Ted. Here you can see the Ted user ID is T-e-d, his name,
Ted. And the menu he is linked to is the main one, which is the menu that I added the new driver check-in and
check-out menu items to.
Let's switch over to the mobile device now. I'm already logged in as Ted. If we want to log on again, you'll
need to go to the logoff screen or the login screen and type in the information. I'm going to log in as Ted
using password number 123 and then click log in. Here you can see the driver check-in and check-out options
that we added to the menu. I'm going to check in, so I'll click driver check-in. Next I'll need to enter in the
appointment ID. I copied that to my clipboard so I can paste that in quickly and easily and then click OK. Here
I can see the details of the check-in appointment. If this is the correct appointment, then I can click OK.
Next I'll need to select the carrier information and continue through this process clicking OK along each step to
enter in the appropriate information for my carrier. When you're finished, it will return you to the driver check-
in screen ready to complete the next driver check-in. If we go back to AX in the rich client and go back to
transportation management and open up the driver check-in and check-out form underneath the common
area, you'll see the appointment that we just created and the status is checked in. Later I can use the rich client
to perform the check-out or in the mobile device, if I go back to the main menu, I can use the driver check-out
button to perform the check-out.
Lesson 11: Automating Load Building

In Microsoft Dynamics AX 2012 R3 CU8, a new framework has been added to make it easier to apply
predefined strategies to the process of building loads. Load building strategies let you specify rules that
control how loads are built. For example, this is useful if you want to maximize efficiency by avoiding half-full
loads or if you frequently use the same shipping carrier and all the considerations for the load such as size or
weight restrictions are known. A load building strategy named volume-based load building strategy is
provided out of the box with Microsoft Dynamics AX 2012 R3 CU8. This strategy lets you use the maximum
values specified for height and weight in the load template or override the settings by entering new values. In
addition, you can add your own load building strategies by creating a new class in the Application Object Tree,
or AOT, and then defining custom parameters.
Show Me:
Let's take a look at how to create a load building strategy in AX. After you've added in a class in the AOT for a
load building strategy, you'll need to apply that class and configure it in the AX rich client. There's also an out-
of-the-box volume-based strategy that needs to be configured. So we'll go ahead and walk through the steps
required for this. It's found in transportation management underneath setup, general, and then load building
strategies. When you open up this form, the form will originally be empty, and you'll need to click on the
generate class list. I've already done this for this demonstration because this is a time-consuming process and
may take as much as five to ten minutes.
After you've created the load building strategies -- you can see the generic one has been created here for
volume -- you'll click the new icon. And then, in the drop-down box for the load building strategy class, the list
of available classes will be updated based on the classes that you've created in the AOT. Then you'll need to
use the parameters button to configure the parameters. The out-of-the-box volume-based strategy includes
two parameters -- one for volume and one for weight. You'll need to type in the values for this particular load
building strategy. You can create multiple load building strategies with different volume and weight capacities
by creating multiple records in here with different names and linking them to the same load building strategy
class. Once you're done, you can close down the window.
Lesson 12: Build and Work with Proposed Loads

After you have configured at least one load building strategy, you can begin using the load building
workbench. Let's take a look at that process.
Show Me:
Now we can start to build some proposed loads. This is done by using the load building workbench. It's found
underneath the inquiries area of the transportation management module. This will open up a new screen.
Here you can select a load building template or fill in all of the information. Because this is the first time we've
done this, there are no templates created. So we'll go ahead and fill in the information. I'll select a load
building strategy that I want to use, and then I'll put in a site and warehouse for this particular strategy. I can
also enter in some filter codes. So, for example, if I wanted to just include specific items -- for example, if I was
going to make a freezer load, I could select a filter code for freezer which would only select items and
customers that match this particular filter code.
On the bottom half of the form in the load templates FastTab, I'll select the load templates that I want the
system to use. I'll select the standard load template as my first priority and my freezer load template as a
second priority. If I was doing a freezer-specific template, I would just select the freezer load template so that
it only selects a freezer truck or a piece of equipment that's valid to be used. Once you're done entering all of
the information, you can click the save template as button at the top and select a name for this -- I'm going to
call this general warehouse 51 -- and then enter in a more detailed description. Then I'll click OK. Next time I
use this form, I can click on the load building template drop-down box and select this option which will
automatically populate all of the information that I've set up in my screen. I can also use the edit query button
at the top to enter additional filter criteria that may be necessary. You can add any additional filters that you
want and join to other tables as necessary.
When you're ready, you can go ahead and click proposed loads. The system will now loop through all of the
open orders in the system that have not been added to a load and propose new loads. You can see that one
new load is proposed. Many different loads may be proposed if there are many different orders. On each load
you can use the proposed load lines to see each of the lines that will be included along with their weight and
volume. If some lines are not included, then the not included FastTab at the bottom of the form will show you
any information about lines that are not included. If you want to go ahead and confirm this and convert this
into an actual load, you'll mark the checkbox next to each load that you want to create and click create loads.
Now you can see that loads have been created for my proposed loads. If we close the windows down and we
go to either the load planning workbench or the all loads, you be able to see the new load that was just
created. Here you can see Load No. 105 which was generated by the proposed load.
Lesson 13: Cleanup Proposed Loads

When you create proposed loads, a session is created to store the temporary proposals. When you create the
loads, the information about the proposed load is cleared. However, if you create proposed loads but do not
convert them into actual loads, the data is not cleared out of the system. If you frequently create proposed
loads, the data can start to pile up. By default, the batch job that's available out of the box will delete records
that were created at least one day before the current date. Let's switch over to AX and I'll show you how to run
this job.
Show Me:
Because the load building workbench will create many different proposed loads and you may have a large
volume of data in your environment, you'll want to make sure that you regularly run the clear load building
session information job. It's found underneath the periodic area in transportation management and then clear
load building session information. This will open up a new dialog. You can see that the system is
preconfigured to use today's date minus 1 as the criteria. So it will delete any proposed loads that were
created yesterday or earlier. Then on the batch tab, you'll want to configure this as a batch job with a
recurrence. Depending on the frequency that you use the load building workbench and the volume of
transactions, you may want to consider running this daily. When you're done, you'll click OK, and click OK
again, and the job will be inserted into the batch queue. When the job runs, it will automatically go through all
of the proposed loads and delete the unused data.

 About Transportation Planning
o Inbound Process Flow
 Create load
 Rate and route
 Consolidate
 Confirm load
 Plan appointments
 Driver Check-In and Check-Out
o Outbound Process Flow
 Create load
 Rate and Route
 Process Wave
 Pick, Put, and Pack
 Consolidate
 Plan Appointments
 Driver Check-in and Check-Out
 Confirm Load
 Create or Modify an Inbound Load
o Create manually or automatically
o Typically performed by the transportation coordinator
o Split orders into multiple loads
o Multiple orders in one load
 Create or Modify an Outbound Load
o Single shipment or group of shipments shipped from a warehouse location to a customer or
intermediate location
o Create manually or automatically
o Typically performed by the transportation coordinator
o Split orders into multiple loads
o Multiple orders in one load
 Assign a Rate and Route to a Load
o Rate route workbench
o Load planning workbench
o Options
 Rate: View the least expensive rate only.
 Rate shop: View all the rates and routes that are available.
 Route: View routes only.
 Route with rate: View available routes, including the rate for each route.
o Manually rate
 Consolidate Multiple Shipments
o Shipments to different destinations in the same route that use the same hub or hubs.
o Shipments that originate from the same warehouse and use the same route.
o Shipments to the same destination.
o Load planning workbench > Hub consolidation
o Shipments > Consolidate shipments
 Confirm a Load for Shipping
o Outbound loads
 Generate shipping documents
 Packing slip
 Bill of lading
o Inbound loads
 Define a packing structure
 Confirm the load
 Set Up for Appointments
o Warehouse appointments represent events at the dock door
o Reduce the manual work
o Ensure availability of docks for the loading and unloading of goods
o Avoids a situation in which multiple carriers arrive at a location at the same time
o Process
 Configure the Transportation management parameters for alert intervals
 Create appointment types and durations
 Set up appointment notifications
 Create appointment change reasons
 Plan Appointments
o You can use the Appointment scheduling form
o The appointment type determines the type of location
o When you cancel an existing appointment, you must select a reason code
o Instant appointments
 Register Driver Check-In and Check-Out
o Used to start and complete an appointment
o Process in rich client or mobile device
 Automate Load Building
o New framework to build loads automatically
o Benefits
 Maximize efficiency by avoiding half full loads
 Serves as a template to reduce human effort
 Framework supports extensions
 OOB Volume-based load building strategy
o Process
 Initialize the load building strategies
 Create a new load building strategy
 Configure parameters for the load building strategy
 Build and Work with Proposed Loads
o Create the load building strategy
o Use the Load building workbench
o Process
 Build a proposed load
 Make changes to a proposed load
 Create loads based on proposed loads
 Cleanup Proposed Loads
o Session is created to store the temporary proposals
o When you convert to a load the proposed load is cleared
o Unconverted loads are not deleted
o Data can pile up
o Transportation management > Periodic > Clear load building session information
MODULE PRACTICE
Practice 5.1: Load Planning Walkthrough

want to be able to plan a load. You must configure both a load template and load filters. From here,
you will sort your sales order lines on to a load with a given load template. The load can then be
validated.
High Level Steps
1. Create two new sales orders.
2. Filter the sales order lines
3. Add one sales order to a new load
4. Assign a second sales order to the existing load
5. Review the load that you created.
Detailed Steps
1. Create two new sales orders.
a. Open Sales and marketing > Common > Sales orders > All sales orders.
b. Click Sales order in the New group of the Action Pane.
c. Select US-004: Cave Wholesales for the Customer account.
d. Expand the General FastTab.
e. Select Site 5.
f. Select Warehouse 51.
g. Click OK to create the order.
h. Select Item number M9200 for the item number.
i. Save the line. (Ctrl+S)
j. Click Inventory > Reservation.
k. Click Reserve lot.
l. Close the Reservation form.
m. Repeat steps b-l to create a second sales order.
2. Create a load planning filter for the sales order lines.
a. Open Transportation management > Inquiries > Load planning
workbench.
b. Right-click the load planning filter box and then click View details.
c. In the Load planning filters form, click New.
d. Type “Outbound” for the Load planning filter code.
e. Select Sales order for the Load planning filter type.
f. Click Close.
g. From the Load planning workbench, select the “Outbound” load planning
filter in the drop-down.
3. Add one sales order to a new load
a. Click the Sales lines tab on the Supply and demand FastTab.
b. Select the first line for the sales order that you created earlier.
c. Click To new load.
d. Select the Stnd Load Template in the Load template ID field.
e. Click OK on the Load template assignment form.
4. Assign a second sales order to the existing load
a. From the Load planning workbench, select the second sales order line from
the Sales line tab of the Supply and demand FastTab.
b. Click To existing load.
c. Select the Stnd Load Template in the Load template ID field.
d. Close the Load planning workbench.
5. Review the load that you created.
a. Open Transportation management > Common > Loads > Open loads.
b. Select the open load that was created.
c. Click Print > Load details.
d. Verify the two sales orders that you created are in the load.
e. Close the windows.
Practice 5.2: Assign Rates and Routes

As a company that uses the Microsoft Dynamics AX 2012 R3 solution, you want to be able to rate and
route loads starting from the load planning workbench. You have two loads, one that you want to
manually route, and the second that you want to rate and route through the rate route workbench.
High Level Steps
1. Select manual rating for the first load
2. Select rate route workbench for the second load
Detailed Steps
1. Select manual rating for the first load
a. Click Transportation management > Inquiries > Load planning
workbench.
b. Select the first load you created.
c. In the Shipping carrier field enter BHCarrier
d. In the Carrier service field enter STD.
e. Click Rating and routing.
f. Click Manual rating.
2. Select rate route workbench for the second load
a. From the Load planning workbench, select the second load.
b. In the Shipping carrier field enter BHCarrier
c. In the Carrier service field enter STD.
d. Click Rating and routing.
e. Click Rate route workbench.
f. Click Rate, and then review the rates.
g. Close the forms.
Practice 5.3: Working with Appointment Scheduling

As a member of the Microsoft Dynamics AX 2012 R3 CU8 project team for Contoso Entertainment
System USA (USMF), you want to be able to schedule an appointment. You will first have to configure
an appointment type Outbound docks 61 using Site 6 and Warehouse 61. Then an appointment using
Outbound docks 61 can be scheduled and firmed.
High Level Steps
1. Create an appointment type, Outbound 61.
2. Create an appointment for Outbound 61.
3. Firm the appointment.
Detailed Steps
1. Create an appointment type, Outbound 61.
a. Open USMF > Transportation management > Setup > Appointment
scheduling > Appointment types.
b. Click New on the Appointment types form.
c. Type “Outbound docks 61” for the Appointment type.
d. Select 6 in the Site field.
e. Select 61 in the Warehouse field.
f. Type a Duration of “30” for the appointment.
g. Type “1” for Number of calendar slots.
h. Mark Driver check in required as true.
i. Select “Outbound” for Item movement direction.
j. Select BAYDOOR in the Location profile ID field.
k. Click Close.
2. Create an appointment for Outbound 61.
a. Open USMF > Transportation management > Inquiries >
Appointment scheduling.
b. Click New within the Appointment scheduling form.
c. Select Outbound docks 61 in the Apartment type field.
d. Type OB61 in the Calendar name field.
e. Select “Outbound” for the Item movement direction field.
f. Select 6 in the Appointment site field.
g. Select 61 in the Warehouse field.
h. Press Control + S to save the record.
3. Firm the appointment.
a. Select your appointment from the Appointment
scheduling form.
b. Click Appointment status.
c. Click Firm the Appointment.
d. If the appoint was firmed proerly, the appointment will no longer be
visible in the left pane.
Practice 5.4: Driver Check-in and Check-Out

want to be able to check a driver in and out of the building. You will perform the check-in and check-
out process from the appointment scheduling form. However, you can also perform this function on
the mobile device.
Lab Setup
Before doing this practice you must complete Practice: Working with Appointment Scheduling in
module 5.
High Level Steps
1. Check the driver-in.
2. Check the driver-out.
Detailed Steps
1. Check the driver-in
a. Open Transportation management > Inquiries > Appointment
scheduling.
b. Click Driver check-in and check-out details.
c. Click Appointment check-in.
d. Select BHCarrier in the Shipping carrier field.
e. Click OK.
f. Validate that the Appointment status on the Driver check-in and
check-out details form is now “Checked in”.
2. Check the driver-out
a. From the Driver check-in and check-out details click Appointment
check-out.
b. Click OK.
c. Click Close the Driver check-in and check-out details form.
d. Click Appointment scheduling.
e. Select the Display completed and cancelled appointments checkbox.
f. Validate that the Appointment status on the Appointment scheduling
form is “Completed”.
1. Demand lines in the load planning workbench include all of the following, except what?
a. Sales order lines
b. Production lines
c. Purchase order lines
d. Shipments
e. Transfer order lines
2. The load planning filter will only filter loads that are already created.
a. True
b. False
3. You can ship confirm a load from the load planning workbench.
a. True
b. False
4. The load template contains information about all of following data, except what?
a. Equipment
b. Load height
c. Load volume
d. Number of pallets allowed
5. Where is the automatic load creation setup at?

a. Parameters
b. Loads place
c. Load planning workbench
d. Warehouse
6. An appointment must be in what status before driver check-in can occur?
a. Approved
b. Firmed
c. Accepted
d. Cancelled
7. Appointment scheduling can be found all but where?

a. Load planning workbench
b. Rate route workbench
c. Driver check-in and check-out form
d. Appointment scheduling form
e. Loads place
8. An appointment type is either inbound or outbound.

a. True
b. False
9. The duration of an appointment can be found in the appointment type.

a. True
b. False
10. You can navigate to the driver check-in and check-out process all but where?
a. Mobile Device
b. Driver check-in and check-out form
c. Appointment scheduling form
d. Loads place
e. Shipments place
11. The driver check-in and check-out effectively begins and ends the appointment.
a. True
b. False
12. Which three scenarios are supported for consolidating multiple shipments?
a. Shipments to different destinations in the same route that use the same hub or hubs.
b. Shipments to different destinations coming from two different warehouses.
c. Shipments that originate from the same warehouse and use the same route.
d. Shipments that originate from different warehouses but have the same destinations.
e. Shipments to the same destination.

Module 6:
You can generate a freight invoice from freight bills and update the generated freight invoice with the details
from the carrier invoice that is received from a freight vendor. Many companies expend a large amount of time
recording and tracing freight charges back to the original invoices and lose visibility to the true overall cost of
an order. This feature helps you automate the process and provide visibility into the charges that are added to
your orders. In the module, I will describe the setup and process for using freight reconciliation in AX. Let's get
started by reviewing the objectives. We'll get started by configuring freight bill types, assignments, and reason
codes. Then I'll describe and show you how to create an audit master. We'll generate a freight invoice, match
it, and reconcile it.
Lesson 1: Freight Reconciliation Setup

Before you can begin using freight reconciliation, you must complete the setup for the system. Let's take a
look at the setup that's required. First is the freight bill type. The freight bill type is used to link the
transportation management engine and to define the parameters that control which fields are mandatory to
find a match. Next is the freight bill assignment. A freight bill assignment is used to link the freight bill type to
one or more modes and carriers. Then we have reconciliation reasons which are used when an exact match to
a freight bill cannot be made. They allow you to track why the match cannot be made as well as how the
difference should be posted to the general ledger. The audit master serves as a template for the allowed
tolerances, results, and exceptions to be allowed for configuring the automatic freight reconciliation. These are
optional if you plan on reconciling all invoices manually. Lastly is a billing group, which is a way to group one
or more carrier services together for billing purposes. You could apply the billing group to a freight bill type as
a way of matching multiple services to a single freight bill type.
Lesson 2: Freight Bill Types

You'll use the freight bill type form to configure the engine assembly and the engine type during the automatic
reconciliation process. You can also configure freight bill type descriptions which determine the data fields
that are used for matching. For example, in the description field, you can select shipping carrier and then use
the match required field to specify whether matching is required for a particular outbound load with the status
of shipped. Let's switch over to AX and I'll show you how to create one.
Show Me:
The freight bill types are found in the transportation management module, then underneath the setup area,
underneath freight reconciliation, and then freight bill type. We took a look at these freight bill types in an
earlier module when we looked at how to configure the various different types of engines. It's important to
remember that you'll need to create at least one freight bill type. This particular freight bill type is for
truckloads, and you can see that a billing group ID is required and an external code is optional.
Lesson 3: Freight Bill Assignments

You can use the freight bill type assignments form to set up the criteria for assigning a particular freight bill
type to freight bill details and invoice lines on a specific freight bill. Let's switch over to AX and I'll configure
one for you.
Show Me:
After you've created the freight bill type, you can go into the freight bill type assignments form found
underneath transportation management, setup, and then freight reconciliation. Here you'll link in your freight
bill type to each of the shipping carriers and modes. Here you can see that all of my various different shipping
carriers and modes are linked to the freight bill type called TL. I'll create a new record and select the Ground
mode and the shipping carrier for UPS and link it to the same one as well. When you're finished, you can close
down the window.
Lesson 4: Reason Codes

You can use the reconciliation reasons form to set up reason codes for unmatched freight bills. If an invoice
amount does not match the related freight bill, you can use these reason codes to reconcile the different
amounts. Let's start by looking at the accounting that you must configure in a reconciliation reason code.
Depending on the settings you choose on your reconciliation reason will determine how the reconciliation
reason code and the differences or fees related to it will post to the general ledger.
The first example is when you select the pay the vendor checkbox and leave the override accounts checkbox
cleared. In this particular example, the accounts payable trade account would be used for the credit side of the
entry and the debit account that's specified on the charges code that's linked to the freight code would be
used for the debit side of the entry. Next, if you mark both the pay the vendor and the override accounts
checkboxes, the posting will credit the accounts payable trade account and debit the reason code account that
you specify in the debit field on that particular reason code. If you don't mark either checkbox for pay the
vendor or override accounts, then the system will use the credit account that's specified on the reason code
and the debit account that's specified on the charges code.
The last scenario is when you mark the override accounts checkbox but not the pay the vendor checkbox. In
this scenario the system will credit the reason code account that's specified on the selected reason code and
debit the reason code debit account. Let's switch over to AX and I'll show you how to configure some of these.
Show Me:
Now we 'going to set up some freight reconciliation reason codes. They're found in transportation
management underneath the setup, freight reconciliation, and then reconciliation reasons. You can see that
several different reason codes have been created. One is approved where the debit account is set to 211650
and the credit account is left blank. The reason for this is that the pay the freight vendor checkbox is selected.
This indicates that the credit account should come from the accounts payable trade. To create a new one,
you'll click the new icon and enter in a reason code ID. These need to be unique. I'll create a new one for
insurance claim and enter in a description. The debit account will be the same, 211650, and for this example
we want to pay the amount to the freight vendor. When you're finished creating the reason code, you can
close down the window.
Lesson 5: Audit Masters

You can use the audit master form to set up the tolerance level for automatic freight bill matching. When you
reconcile freight, you can match freight bills with invoices that have a specified audit tolerance level. If the
values that are used for the matching process are in the specified tolerance level, the reconciliation is approved
and processed for automatic payment of the invoice. You can create different audit masters for different
freight bill types or for different carriers.
Show Me:
Next we'll create an audit master. They're found in the transportation management module underneath
freight reconciliation and then audit master. Currently I have no audit masters created, so I'll click the new icon
to create a new one. You'll typically have one for each freight vendor invoice that you receive for each different
type of freight vendor invoice. You'll need to link this to the appropriate freight bill type and shipping carrier.
You can also optionally link it to a specific site and warehouse. If you receive invoices from different sites and
warehouses from the same carrier, you may want to set up different rules or exceptions. For my example, we're
going to enter in a tolerance of 5 percent over and under. You can also change this to be an amount-based
tolerance and then type in an amount into the maximum tolerance level.
Then in the result tab you'll select an over reason code and an under reason code to be used. I'm going to use
a generic one for approved for the overage and underage. You can optionally add exceptions where you want
to create rules where certain accessorials, hub IDs, or billing group IDs will result in a different tolerance. You
do this by clicking on the new icon and creating a new record, selecting the carrier accessorial ID, hub
accessorial ID, billing group ID, and then choosing the minimum audit type and tolerance level and the
maximum audit type and tolerance level. The amounts that you enter here will override the tolerances that you
enter in the tolerance FastTab. Once you're finished, you can close the window.
Lesson 6: Freight Reconciliation Process

In this lesson I'll explain how to match freight bills with freight invoices and how to perform reconciliation if
there are difference between these documents. You can generate a freight invoice from a freight bill and the
update and generated freight invoice with the details from the carrier invoice that's received from a freight
vendor. You can also discard unmatched freight bills or freight bills that do not have a carrier invoice. These
freight bills are discarded with the reconciliation reason code. Let's take a closer look at the process. The first
step in the process is to generate an invoice and update the carrier information. After you've updated the
carrier information, you'll begin to match the lines. If the lines match, then you'll go straight to submitting and
then posting. The alternative path is to go through a reconciliation process and then submit and post the
invoice.
Lesson 7: Generate Freight Invoices

You'll use the freight bill details form to generate a freight invoice from a freight bill. After you receive a carrier
invoice from a freight vendor, you'll update and generate the freight invoice with details from that carrier's
invoice. Alternatively, you can create a freight invoice in the freight invoice details form that's based on the
details from the carrier invoice that is received from the freight vendor. Let's switch over to AX and I'll show
you how to do this.
Show Me:
Before we can generate freight invoices, we'll need to complete some shipments. So I'm going to start out by
going into the all shipments form found underneath transportation management. Here you'll be able to see all
the different shipments that we have started. This particular shipment has been waved but it has not yet been
processed in the mobile device. So I'm going to look at the work details for this particular shipment. I'll do this
by clicking on work details in the workgroup of the action pane. This will open up a new window where I can
see the work ID. I'll need this number when I go into the mobile device to be able to process it. The other
thing I'll need to know is an active license plate for this particular item. If a reservation had been made against
a specific license plate, I would need to note that.
However, since a license plate has not been reserved, I'll need to go and look and see where some inventory is
available. So I'll right click on the item number and select view details, and then I'll go take a look at the on-
hand inventory by clicking manage inventory and then on-hand inventory. Here we can see that license plate
LP92001 and 002 have some inventory available. I'm going to use this license plate for my demonstration.
We'll close these windows down, and we're going to switch over to the mobile device. I'll open up the mobile
device Web site in Internet Explorer and then log in to the mobile device. I've reset the password for User No.
51 to 123 so that we can log in because these transactions are created for warehouse 51.
Next I'll go to the outbound menu and process the sales order picking by clicking on sales picking. Here the
system asks me for a work ID. I can paste that work ID in or type it in and then click OK. Next the system asks
me for the license plate number. So I'll type in the license plate that we noted earlier and click OK. Next I'll
need to type in what the target license plate is because I'm splitting up this license plate. So I've typed in a
new license plate number and I'll click OK. Then I need to put this in the bay door for that particular item. And
I'll click OK to confirm this. Now the work has been completed. If we go back into AX and refresh the screen,
you can see that the shipment status is now loaded.
The last step in the process is to confirm the shipment. You can do this directly from the shipment form by
clicking on confirm shipment and then entering in the date that the shipment was confirmed and click OK.
You'll receive an infolog letting you know that the shipment has now been confirmed. Now that we've
completed a shipment, a freight bill has been generated for that particular shipment. So we're going to go into
the load planning workbench, and we'll find that shipment so that we can generate the invoice. At the top we'll
need to clear the checkbox to hide the shipped orders. Then I'll collapse the supply and demand FastTab so we
can see the loads. Here you can see the load that we just processed. You can see that 100 percent of the work
has been completed.
Now we can use the related information button to open up the freight bill details. This will bring us to a new
screen where we can see the freight bill. I'll select this shipment which has freight bill details. Here you can see
the details for this particular freight bill. You can see the dimensions, the dates, the rate information, and so on
that was assigned for this particular shipment. At the top of the form there's a button called generate freight
bill invoice. By clicking this button, the system will automatically generate a new freight bill for us. You'll
receive a dialogue where you can type in the invoice number that you received from the particular freight bill
vendor and then click OK. As an alternative to this solution, you can go directly into the freight invoice details
form, which was opened automatically after generating the freight bill invoice.
Let me show you how to do that now. We'll close all these windows down, and on the main menu underneath
inquiries, we'll click on freight invoice details. Here you can see the freight invoice that I just created. If you
want to manually create a new freight invoice, you can do it from this screen by clicking on the new icon and
then entering all of the details in the overview tab. Here you'll select the shipping carrier, the carrier service,
and so on. You'll enter in the invoice number and the invoice date. Then in the shipment ID and load ID fields,
you can link this to the shipment, load, route, and so on that it is related to. In the amount column, after
you've selected a shipment load and route, the amount will automatically update based on the amount from
that particular load, shipment, or route that you selected. You can also link in a related account, order number,
specify a due date, and the amount remaining will show you how much is remaining on this particular invoice.
You can also see to the far right how much has been matched and reconciled. After we begin working with
these freight invoices in more detail, these fields will be updated.
Lesson 8: Match Freight Invoices

After the generated freight invoice is updated with carrier invoice details received from the freight vendor, the
freight invoice is matched with the freight bill. After the matching process, if the amount in the freight bill and
the freight invoice is the same, the freight invoice is matched and submitted for payment approval. If there's
an unmatched amount, this is reconciled before submitting the payment for approval. Let's match a freight
invoice in AX.
Show Me:
Next I'll show you how we can automatically or manually match freight invoices. You can do this from the
inquiries area underneath freight invoice details or directly from the match freight bills and invoices screen. I'm
going to use the freight invoice details because I want to update the invoice. I'll use the internal invoice that
we created earlier, No. 1564864. On the lower portion of the form, I'm going to update the amount of this
particular invoice so that it will cause a reconciliation difference.
Next, if I wanted to automatically match these, I can use the invoice is ready for automatic matching checkbox
and then submit it for approval. For my example, I'm going to use the match freight bills with carrier invoices
button, which will open up the freight bill and invoice matching form. Here you can see the invoice on the top
half of the form, and then on the bottom half of the form you can see the unmatched freight bills. I'm going to
go ahead and use the match button here to match this. It will disappear from the unmatched freight bills tab
and then appear on the matched freight bills tab.
When I'm ready, I can go ahead and submit this for approval which will launch the reconciliation process. If the
invoice matches within the tolerances defined in the audit master, then it would be approved automatically.
Otherwise, I'll need to go through the reconciliation process. We'll talk about this more in our next lesson.
Lesson 9: Reconcile Freight Invoices

As we discussed earlier, during the matching process, if all or part of the freight invoice does not match with
the freight bill details, you must reconcile the freight invoice line with a reconciliation reason code, such as
approve or reject, and then submit it for payment approval. The freight invoice is submitted for payment
approval only when all the freight invoice lines are assigned a reconciliation reason code. Let's walk through
the reconciliation process in AX now.
Show Me:
So I'm back here in AX on the freight bill and invoice matching screen where we left off with our last
demonstration for matching. I'm going to go ahead and click the submit for approval button now which will
launch the reconcile invoice screen because there's a difference and it exceeds the allowable amount of
difference for my particular audit master. So I'll need to select a reconciliation reason. For this example, we'll
say that this is a result of a damage claim. Optionally, I can select whether we want to pay the freight vendor
or not, and I can select different reason codes for each line and type in comments. I can also split the invoice
amount. So if I didn't want the entire amount to be paid, I can split this into multiple different lines and select
different reconciliation reasons for each amount and decide which portions to pay to the vendor and which
portions to not pay. When you're ready, you'll click OK.
The system will then process the invoice and create a vendor invoice detail record. Depending on the
parameters, the invoice may be posted automatically. In this case, you can see it's been submitted successfully.
If we close this window down and go back and refresh our freight invoice details form, you'll notice that it no
longer shows up in this particular screen. If we unmark the hide approved checkbox at the top of the form, you
can now see that this invoice is approved and the vendor invoice journals button is enabled. If we click on this,
it will open up and show us the journal number and I can use the journal details button to launch the actual
accounts payable invoice journal.
Here you can see the invoice journal that was generated automatically behind the scenes. You'll notice this
journal is not posted. If I open up the lines, I'll be able to see the details of this particular invoice. Here you
can see the entire entry, including the amount that's being posted to the vendor's account. Once you're happy
with this, you can post the journal. If you're using workflow, with your accounts payable invoices, you'll need to
submit this to workflow for approval as well. Once the invoice is posted, then you can continue the accounts
payable process and generate a payment to the vendor. I'll go ahead and click post and then select post to
finalize this invoice.

 Freight Reconciliation Setup
o Freight bill types
o Freight bill assignments
o Reconciliation reasons
o Audit master
o Billing group
 Freight Bill Types
o Links to the transportation management engine and define the parameters
o Controls which fields are mandatory to find a match
 Freight Bill Assignments
o Links the freight bill type to one or more modes and carriers
 Reason Codes
o Used when an exact match to a freight bill cannot be made
o Track why the match cannot be made
o Define how the difference should be posted to the general ledger
o Pay the vendor – Credit the accounts payable trade account
o Override accounts – Reason code debit account
 Audit Masters
o Template for the allowed tolerances, results, and exceptions
o Optional setup
 Freight Reconciliation Process
o Generate Invoice
o Update Carrier Info
o Match Lines
 Successful match
 Submit
 Post
 Unsuccessful match
 Reconcile
 Submit
 Post
 Generate Freight Invoices
o Freight bill details form
o Freight invoice details form
 Match Freight Invoices
o Freight bill and invoice matching form
o Unmatched freight bill details form
 Reconcile Freight Invoices
o Required when match is not made
o Submit for approval
o Enter a reason code
MODULE PRACTICE
Practice 6.1: Freight Reconciliation

need to set up the system for freight reconciliation.
High Level Steps
1. Create a freight reconciliation reason code for Overtime.
2. Verify the Freight bill type is configured.
3. Create a freight bill type assignment the BH Carrier standard ground service.
4. Create a billing group for Duties.
Detailed Steps
1. Create a freight reconciliation reason code for Overtime.
a. Open Transportation management > Setup > Freight reconciliation
> Reconciliation reasons.
b. Click New.
c. Type OT in the Reconciliation reason code field.
d. Type Overtime in the Description field.
e. Type 211650 in the Debit account field.
f. Select the Pay the freight vendor check box.
g. Click Close.
2. Verify the Freight bill type is configured.
> Freight bill type.
b. Select the TL Freight bill type.
c. Verify the Engine assembly field is populated.
d. Expand the Details FastTab.
e. Verify that two records exist; one for Billing group ID and one for External
code.
f. Click Close.
3. Create a freight bill type assignment the BH Carrier standard ground service.
a. Open Transportation management > Setup > Freight reconciliation >
Freight bill type assignments.
b. Click New.
c. Select None in the Direction field.
d. Select Ground in the Mode field.
e. Select BHCarrier in the Shipping carrier field.
f. Select TL in the Freight bill type field.
4. Create a billing group for Duties.
> Billing Group.
b. Click New.
c. Type Duties in the Billing group field.
d. Type Duties in the Name field.
a. Click Close
1. Freight reconciliation is a feature that allows you to match up your system generated freight
bills with invoices received from carriers.
a. True
b. False
2. Which component is used to link the transportation management engine to define parameters
for matching freight bills?
a. Freight bill types
b. Freight bill assignments
c. Audit masters
d. Billing group
3. Which component is used as a template for the automatic matching of freight invoices?
a. Freight bill types
c. Audit masters
d. Billing group
4. Which component is used to match multiple services to a freight bill type?
a. Reconciliation reasons
c. Audit masters
d. Billing group
5. You create a new reconciliation reason code, and select the Pay the vendor check box. Which
account is used for posting the vendors balance on the freight invoice?
a. The customer posting profile summary account.
b. The credit account on the charges code.
c. The debit account on the reason code.
d. The credit account on the reason code.
TEST YOUR KNOWLEDGE ANSWERS
Module 1
Question 1 (Answer: a, b, and d )

Transfer orders
Sales orders
Purchase orders
Question 2 (Answer: c)
Picking
Question 3 (Answer: b)
False
Question 4 (Answer: b )
False
Question 5 (Answer: a, and c )

NMFC
LTL
False
Confirm the load
Module 2
Question 1 (Answer: a )
True
Question 2 (Answer: a)
True
False
Question 4 (Answer: a, b, and e)

Transportation mode
Transportation method
Mode of delivery
Question 5 (Answer: c )
Accessorial profile
Question 6 (Answer: b, and c)

Flat
Per unit
Create fuel index regions
Question 8 (Answer: a, c, and d)

Create a charge code in Accounts receivable.
Link the delivery terms to a customer.
Configure miscellaneous charges in Transportation management.
True
Question 10 (Answer: d)
STCC
Load template
Module 3
Determines which rating engine and rate master combination will be used
Rate Shopping
True
The tiers or breakpoints to be associated with a rate base.
Transit time
Generic
Break master
Module 4
False
Transportation template
Question 3 (Answer: e)
Exceptions
True
False
Module 5
Production lines
False
True
Number of pallets allowed
Parameters
Firmed
Rate route workbench
False
True
Question 10 (Answer: e)
Shipments place
True
Question 12 (Answer: a, c, and e )

Shipments to different destinations in the same route that use the same hub or hubs.
Shipments that originate from the same warehouse and use the same route.
Shipments to the same destination.
Module 6
True
Freight bill types
Audit masters
Billing group
The customer posting profile summary account.

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Reference Companion Guide

80693AE: Transportation Management in

Lesson 1: Introduction to Advanced Transportation Management

Lesson 2: Concepts and Terminology

one amount, while 101 miles to 200 miles is another rate.

being included in one load.

Lesson 3: Transportation Management Process

MODULE 1 KEY TAKE AWAY

TEST YOUR KNOWLEDGE MODULE 1

Lesson 1: Introduction to Set Up

by analyzing some of the requirements you will want to gather.

special requirements for specific customers.

against the final invoice.

optional; and rating profiles, which are optional.

bill back to a particular vendor.

Lesson 3: Carrier Services

Lesson 4: Accessorial Assignments

warehouses or date ranges.

enter a maximum and minimum charge amount.

Lesson 6: Transportation Status

statuses and then map them to your carrier statuses.

Lesson 7: Charges Setup

add transportation charges to orders selected.

on a sales order by sales order basis.

Lesson 8: Transportation Modes and Methods

I'll demonstrate how to create these.

later on as we continue configuring various areas of the system.

Lesson 9: Number Sequences

Lesson 10: LTL Classes

Lesson 11: NMFC Codes

Lesson 12: STCC Codes

System and Standard Classifica- -- Standard Classification of Transported Goods category.

Lesson 13: Equipment Setup

Lesson 14: Load Templates

Lesson 15: Transportation Templates

switch over to AX and I'll show you how to create one.

time that I submitted the order.

Lesson 17: Transportation Management Parameters

overwritten on an appointment-by-appointment basis.

MODULE 2 KEY TAKE AWAY

Practice 2.1: Define Carriers and Carrier Groups

Practice 2.2: Accessorial Charges

Practice 2.3: Create Load and Transportation Templates

TEST YOUR KNOWLEDGE MODULE 2

1. A carrier must be activated for rating in order to be considered for rating.

Lesson 1: About Rating

Lesson 2: Rate Master Setup

Lesson 3: Engines Overview

bill lines and is used for automatic freight bill matching.

Lesson 4: Engines Setup

you're finished, you can close the window.

down the windows.

Lesson 6: Transit Time Engines

Lesson 8: Zone Engines

Lesson 9: Generic Engines

Lesson 10: Freight Bill Engines

Lesson 11: Initialize Base Engines

Lesson 12: Rating Profiles

MODULE 3 KEY TAKE AWAY

Practice 3.1: Configure a Rate Master

TEST YOUR KNOWLEDGE MODULE 3

1. What does a rating profile do?