Inventory Wizard changing prices by Profit Margin

Hi All

I would like to know if it is possible to change prices by Supplier and by % of the Profit Margin. I know that I can select the first option of selecting by supplier and I have various options in terms of the Pricing changes such as Mark up from Cost etc, but, is it possible to change prices as a Mark Up from or Discount from Profit Margin.

Thanks Sid

Reply to
Sid
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If I am reading your message correctly, I think you are wanting to set your retail based on a profit margin. If so, these are the steps you would take:

Inventory Wizard>

Task 110: Change Item Prices>

Next>

Select Items from Filter>

Set supplier(s) on filter>

OK>

Next>

Price Change Method: Set Profit Margin>

Percentage: (%age Price is marked up from Cost) Price to be changed: Regular Next>

Decide if you want to utilize price rounding> Next>

Verify>

Commit if correct

Reply to
jocelynp

Hi Jocelynp

Thanks for your quick response and yes it did answer my question, however, it does raise another one.

Is it possible anywhere in RMS to change cost prices line by line that would impact immediately on the properties of each Item?

For example: It would be nice if when I am changing prices within the Inventory Wizard that I could also change all of the Cost Price columns too. It would be better if after Commiting a PO the cost Price could be edited in there also rather than going in and out of the properties for each item to do this.

H> If I am reading your message correctly, I think you are wanting to set your

Reply to
Sid

There are a couple of ways of looking at what you are shooting for here.

I would say starting with the PO: you should update cost upon receiving the PO, before committing it. Then using the option under SO Manager> File> Config> Inventory tab> Cost update = Weighted Average.

But - this method works only if you are really relying on POs to move new inv into your system, where the cost varies. This is a great option, and works very well. If you are changing cost after the PO has been committed, then that really negates the idea of the PO itself.

With the Inventory Wizard - you can change your cost line item by Task 130: Change item costs. You can either go at this by Dept, Cat, Supplier, or a filter. This will present your line items matching your criteria above. You will see your New Cost, New Last Cost and Replacement Cost.

Let's say for example, you would like your new cost to be $0.50 higher than your current cost. To achieve this, you would right click on New Cost> formula> Set New cost to: Cost + .5> rounding optional> verify the example is correct> select to apply to only that one cell, or all rows in the column.

The way I have looked at this in he past is: if a majority of my items will be $0.50 higher in cost, I would apply to the entire column and modify only the few that are not a part of my majority rule, cutting the time down.

I would say the third way of doing this would be a little more manual by way of a report and drilling down. Ron the Reports> Items> Value List> set criteria if applicable> Remove the 'filler' - but not the Item Lookup Code (unnecessary info so it is more easily read)> On the items you wish to change, mouse over the Item Lookup Code, until you get the magnifying glass> double click> brings to the item card for change> OK to save changes.

There are tons of options here - but I would get your costs in order 1st with the Wizard, then move forward with the PO process of changing costs before committing - but remember to set your File> Config> Inventory tab to use the weighted average - this will also play in with transfers.

I hope this is not too convoluted here.

Reply to
jocelynp

Jocelyn

Thanks once again for your invaluable help, you have certainly given me some different ways of looking at things and I shall get stuck into trying them out.

However, what I was driving at with the PO or Inventory Wizard Cost Pricing was a way of changing my Cost prices after I have committed the PO. The reason for this is that when the PO is delivered it goes immediately into stock and onto the shelves at some point during the next couple of days, so, in effect, I receive the goods and commit them also to On Hand Stock. Very often though, when I receive the invoice from the supplier my cost prices have changed, sometimes up and sometimes down in price. so it can be very time consuming to change Cost prices one by one.

Yes, I can do it by using the Inventory Wizard, but, I cannot also adjust my Profit Margins on each price level at the same time, I then have to use Inventory Wizard again to do all of the other prices --- or do I? Am I missing something?

What would be ideal is that it could all be done in the one screen and would save time.

Thanks once again and look forward to further correspondence in this matter.

Sid

"jocelynp" wrote:

Reply to
Sid

Sid, Maybe you could get your supplier to fax you the invoice so you have it when you commit stock. I have one supplier that doesn't send invoices with the shipment, they mail them up to a week later (I'm working on getting them to change this practice because you really should know your cost before committing inventory). So I call and get them to fax it to me. Craig

Reply to
Craig

I see what you are saying, and they are bundled separately. You would have to run the inventory wizard against cost, and then the inventory wizard against price and base it off of profit margin.

I think what would be most ideal for you would be something in the configuration menu that would be a Price tab. It would have an option available to check that reads something like "calculate Price based on Profit margin". It would then have a field that would present where you would set down your profit margin, and all prices would be update from that.

I would imagine that your partner could customize something like this for you. But, I think your partner would have to think long and hard before doing something like this because of the reproductions that it would carry with it.

I think we do not have this kind of an option available, and likely never will, because of the following reasons:

- Ticketing. Stores would have to constantly have to re-ticket items when the price changes. If you are using the weighted average cost (which is a good thing when cost varies), then it would constantly change the price of the item(s). Stores would not know when an item price changes unless they are constantly comparing, and then printing new tickets. A lot of states have requirements for having the accurate price displayed on the front of the packaging, etc. Dually, if you are ever audited, a majority of the times they will go into the stores and do price testing and verification. Not to mention the man hours involved in all of this.

- Updating the costs/prices to stores. If you are in a HQ environment, Cost and Price are updated on separate worksheets. This information does not trickle down to the stores via a 401: Data Upload or a 250: Update Items.

But - if you do the following steps, I think you will be set:

  1. Inventory Wizard to do Costs (with criteria set)
  2. Inventory Wizard to do Price (based on profit margin) (with criteria set)
  3. Label Wizard (with criteria set) (only items that were a part of the change will present) a. Filter to matching criteria (i.e. supplier, dept, cat, etc) b. Select Qty OH
  4. Re-ticket

Does this help any?

Reply to
jocelynp

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