Landed Cost – a New Module to Track Landed Costs in Dynamics 365 Finance & Operations - FTS

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Landed Cost – a New Module to Track Landed Costs in Dynamics 365 Finance & Operations

by FTS Bulgaria, July 6, 2021

The new module in Dynamics 365 Finance & Operations – Landed cost allows us to track shipments coming from further distances and orders with long journey times, as well as to estimate landed costs.

Among the main advantages of the module is that it helps businesses streamline inbound shipping operations by providing complete financial and logistical control over imported freight, from the manufacturer to the warehouse. Landed cost provides increased financial and logistical visibility into the extended supply chain, and it also helps reduce the administration of costing and costing errors. Read more about earlier solutions for landed cost below.

Chronological Overview

What has Dynamics 365 provided us so far in terms of Landed Cost and in terms of tracking item costs?

At first, we used the additional costs feature, which is quite limited – on the one hand, the cost settings are not that flexible either to the stages in which costs occur, or to the way costs are allocated, and on the other hand – no connection was available with invoices for supply services.

Then the transportation management module was introduced which facilitated the work with regard to inbound transport. Additional capabilities were made available, for example to receive offers from different suppliers, as well as limited capabilities to track the movement of goods that we expect from a supplier. One of the biggest disadvantages is that the module requires activation of the WHS module.

Landed cost gives us a lot more capabilities in terms of defining all estimated costs and comparing them with actual costs. We can also break down costs into several levels, into several areas, including by containers. Another interesting feature of the new module is Goods in transit – the supplier issues an invoice long before the goods arrive at our site – practically until now we could not record in the system the acquisition of goods before their physical receipt, but this option is now available.

More about the main features of the module, read below:

Main Features

Voyages – the central part of the new module is the Voyages window which shows the long journey of the goods from the moment they are ordered to their arrival in the warehouse.

Tracking control center – allows us to make a preliminary trip plan and perform a complete traceability of all containers, items, suppliers, orders by points of movement of goods and by dates. As well as to check if the containers with our goods are in delay and plan the supply chain according to the expected date of arrival.

Landed costs – allows you to set up landed costs and the way they affect the cost of ordered goods. There are different areas where we can set up costs and account for costs: costs can be linked to the whole voyage, can be container-specific, can be for customs declaration or inventory, can be of importance for customs purposes, can be linked to a purchase order or to a specific item. The feature allows you to set the planned costs, record invoices for actual logistics costs and take into account the differences between the planned and the actual cost.

Goods in transit – a feature most suitable and convenient for companies that would like to record the acquisition of goods upon receipt of the invoice.

To get more information on how Dynamics 365 can optimize the business processes in your company and make your operations more efficient, please contact our team of professionals at 02/818 36 63 or

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