Supply Chain Management

  • With Microsoft Dynamics NAV, you can make smart decisions and automate key business processes across the board—from buying and inventory management to customer credit and payment terms—to drive down costs and turn margins into cash flow.
  • Tailor approval workflow processes
  • Manage inventory
  • Improve your responsiveness
  • Pursue new market opportunities
  • Work more efficiently with partners


Supply Chain ManagementFunctionalities

Sales & Receivables | Sales Tax | Purchase & Payables | Inventory | Warehouse Management


S A L E S   A N D   R E C E I V A B L E S

  • Basic Receivables - Set up and maintain the customer table. Post sales transactions in journals and manage receivables; register customers and manage receivables using general journals. Together with Multiple Currencies, this granule can post sales transactions and manage receivables in multiple currencies for each customer. Basic Receivables is integrated with Basic General Ledger and Inventory and is required for the configuration of all other Sales and Receivables granules. Sales Invoicing is also frequently used with this granule. Always use this granule when your solution requires a customer table.
  • Sales Order Management

    Manage sales quotes, blanket sales orders, and sales order processes. Setting up an invoice directly differs from setting up a sales order in which the quantity available is adjusted as soon as an amount is entered on a sales order line. Quantity available is not affected by an invoice until the invoice is posted. Use the Sales Order Management granule to:

    • Manage partial shipments.

    • Ship and invoice separately.

    • Create prepayment invoices for the sales order.

    • Use quotes and blanket orders in the sales phase. (Quotes and blanket orders do not affect inventory figures.)

  • Sales Invoicing - Set up, post, and print customer invoices and sales credit memos. This granule is fully integrated with General Ledger and Inventory.

  • Sales Invoice Discounts - Calculate invoice discounts automatically. Set up any number of invoice discount terms, including a certain minimum amount, discount percentage, and/or a service charge. The discount is calculated on the individual item lines and becomes part of the net sum of the invoice. Calculations can be done in both local and foreign currencies.

  • Sales Line Discounting - Work with customer discounts that are either customer-specific or customer-group-specific so you can share a discount among several customers. Negotiate the discount percentage for each customer or customer discount group.

  • Sales Line Pricing - Work with sales prices that are either customer-specific or customer-group-specific so that you can share a price among several customers. Negotiate the actual prices with the customer or customer price group.

  • Campaign Pricing - Work with sales prices and sales line discounts connected with specific campaigns. After you have activated the prices/discounts, any customer or contact related to a company currently in a segment associated with a given campaign can access the price/discount associated with that campaign. Prices are valid for the life of the campaign or until you decide to deactivate them. When you create a sales document or service order, the campaign price/discount is included among the pricing reductions available when Microsoft Dynamics NAV chooses the price to retrieve on the line.

  • Order Promising - Calculate availability and delivery dates. Find out if it is possible to deliver on a particular date, or calculate a possible delivery date based on lead time or production time if you have no inventory available.

  • Alternative Ship -Tos - Set up ship-to addresses for a specific customer when the customer has multiple invoicing and ship-to addresses.

  • Calendars - Set up calendars with working and non-working days. Assign a base calendar to customers, vendors, locations, companies, shipping agent services, and the service management setup—and make changes to each as necessary. Calendar entries will be used in date calculations on sales orders, purchase orders, transfer orders, production orders, service orders, and requisition and planning worksheets.

  • Shipping Agents - Set up multiple shipping agents (for example, UPS, DHL, external carriers, or your own carrier) and relate their services (express, overnight, standard) with shipping time. Use this granule with sales orders and transfer orders.

S A L E S   A N D   T A X

  • Sales Tax - Calculate U.S. Sales Tax and set up individual tax areas for each customer and vendor. Also enables you to calculate use tax on the tax. Sales tax can also be calculated from the general journal lines.

P U R C H A S E   A N D   PA Y A B L E S

  • Alternative Order Addresses - Manage addresses for vendors who have more than one order address. The number of possible order addresses is unlimited.
  • Basic Payables - Set up and maintain a vendor table, post purchase transactions in journals, and manage payables. Includes the vendor table and enables you to generate vendor ledger entries using general journals. Use this together with the Multiple Currencies granule to post purchase transactions and manage payables in multiple currencies for each vendor. This granule is always used if your solution requires a vendor table. It is integrated with General Ledger and Inventory and required for the configuration of all other Purchase and Payables granules. Purchase Invoicing is also frequently used with this granule.
  • Drop Shipments - Link sales and purchase orders, and when items are shipped directly from the vendor, link them to the customer. Handle items shipped direct from vendor to customer without manually entering inventory. The invoicing process is not affected by drop shipments. This granule is useful for businesses that sell items that are shipped directly from the vendor to the customer without ever being placed in inventory.
  • Purchase Invoicing - Set up, post, and print purchase invoices and purchase credit memos. This granule is integrated with General Ledger and Inventory.
  • Purchase Invoice Discounts - Calculate invoice discounts automatically. The discount can differ from vendor to vendor with different minimum amounts (also in different currencies) and different rates, depending on the size of the invoice. The discount is calculated on the individual item lines and becomes part of the net sum of the invoice.
  • Purchase Line Discounting - Work with vendor-specific purchase discounts (the percentage that the vendor will give as a discount). With a line discount, you negotiate the percentage discount that the vendor will give.
  • Purchase Line Pricing - Work with purchase prices that are vendor-specific (the prices negotiated with the vendor). With a purchase price, you negotiate the actual prices with the vendor.
  • Purchase Order Management - Manage purchase quotes, blanket orders, and purchase order processes. Creating a purchase order differs from creating a purchase invoice directly. The quantity available is adjusted as soon as an amount is entered on a purchase order line, but it is not affected by a purchase invoice until the invoice is posted. Use this granule to:
    • Manage partial receipts.
    • Receive and invoice separately and create prepayment invoices for the purchase order.
    • Use quotes and blanket orders in the purchase phase. (Quotes and blanket orders do not affect inventory figures.)
  • Requisition Management - Automate the requisition process. Generate suggested purchases based on a variety of data, such as minimum and maximum quantities and reorder quantities.


  • Analysis Reports - Provide company decision-makers, especially those with overall responsibility for sales, purchases, and product portfolio management, with an efficient and flexible way to get meaningful information out of the system to inform day-to-day decisions. Built on item entries, this granule provides a customizable, analytic view that enables people to add and combine analysis bjects—customers, items, and vendors—according to their needs. You can:
    • Present figures in both amounts and quantities and compare by periods as well as against budget. When the figures are put in a formula, they can become an indicator of the company’s performance.
    • Drill down to locate the cause of problems.
    • View sales dynamics; analyze inventory turnover; evaluate customers’ buying behavior; spot trends; reconsider product offerings, prices, and vendors; and make informed business decisions.
  • Alternative Vendors - Manage purchase of the same items from several different vendors. Create alternative vendors and price information for inventory items. Useful for when a company has several possible vendors for the same items.
  • Basic Inventory - Keep track of items and prices. Set up each item and post item transactions in journals. This granule includes the Microsoft Dynamics NAV item tables, item entries, and item journals. Integrated with General Ledger and with the posting processes in Sales and Receivables and Purchase and Payables, this granule is required for the configuration of all other Inventory granules.
  • Bills of Materials - Create bills of materials (BOMs). Break down finished goods into BOMs, which describe constructions, packaging details, and other products always sold together. Set up BOMs in the item table with a BOM description specifying items, resources, quantities, and so on. You can batch jobs for calculating the direct unit cost of the BOM. This granule also supports the building of kits, individual items that are grouped or packaged together to create a special, single item. BOMs for kits can be defined and assigned to items. Kits can be built and disassembled using the BOM Journal.
  • Bin - Organize your warehouse by assigning items to bins, the smallest unit in the warehouse logical structure. Bin assignment is done as the item journals or directly on the document lines (does not apply to order lines).
  • Cycle Counting - Manage cycle counting, a basic method of verifying inventory record data used to maintain and increase inventory accuracy. Set up cycle counting on the item or SKU level.
  • Item Budgets - Make sales and purchase budgets on the customer, vendor, and item levels, and in both amounts and quantities. Prepare and record a sales budget that can serve as input to decision-makers in other operational areas, such as purchasing and logistics. Decision-makers gain information about future expected demand they can use for business discussions with the customers. After budgets are made, track the actual sales performance by means of calculating the variance. The ability to move budgeted figures between the system and Excel provides additional flexibility to the budgeting process.
  • Item Charges - Manage item charges. Include the value of additional cost components such as freight or insurance into the unit cost or unit price of an item.
  • Item Cross References - Quickly and precisely identify the items a customer is ordering on the basis of item numbers other than your own. Cross-reference information from customers, vendors, and manufacturers, as well as generic numbers, universal product codes (UPCs), and European article numbers (EANs) that can be stored and easily accessed.
  • Item Substitutions - Link items with the same or similar characteristics so that if a customer orders an item that is unavailable, you can offer substitute items and avoid losing the sale. Or, provide an extra service to your customer by offering lower-cost alternatives.
  • Item Tracking - Manage and track serial and lot numbers. Assign serial or lot numbers manually or automatically, and receive and ship multiple quantities with serial/lot numbers from a single order line entry.
  • Kitting - In addition to the kitting features included in the Bills of Materials granule, kits can be added to sales orders, managed using item tracking, reserved, and created using instant production. Orders, pick tickets, packing slips, and invoices can display kit details. Additional reporting is also provided for kit margins and availability calculations.
  • Location Transfers - Track inventory as it is moved from one location to another and account for the value of inventory in transit and at various locations.
  • Multiple Locations - Manage inventory in multiple locations. This granule includes locations in plants or production facilities as well as distribution centers, warehouses, and service cars.
  • Nonstock Items - Offer items that are not part of your inventory but that you can order from the vendor or manufacturer. Such items are registered as nonstock items but otherwise are treated like any other item.
  • Pick - Enable warehouse workers to create a pick from the released order. Pick is managed from a separate user interface when shipping items in an order-by-order environment.
  • Put Away - Enable warehouse workers to create a put away from the released order. Put Away is managed from a separate user interface when receiving items in an order-by-order environment.
  • Standard Cost Worksheet - Efficiently review and update standard costs with this worksheet. The standard cost worksheet provides a company’s controllers with a reliable and efficient way to maintain accurate and up-to-date inventory costs. Work with standard cost updates the same way you work with an Excel spreadsheet but within the framework of Microsoft Dynamics NAV. Because it provides an overview of the current standard costs, the worksheet is a convenient place to prepare for a cost update without the changes having an immediate effect in the system. Using the worksheet, you can:
    • Carry out cost updates for both the purchased components and capacity by using different sorting criteria in several worksheets simultaneously, and then later consolidate them into one.
    • Get information that can help you identify and avoid potential errors by simulating the cost of the manufactured item due to changes in components and/or capacity use cost and then viewing the effect.
    • Help ensure that you execute the changes at a given date and that any revaluation resulting from cost changes is dealt with in the system.
  • Stock-Keeping Units - Manage stock-keeping units (SKUs). Identical items with the same item number can be stored in different locations and managed individually at each location. Add cost prices, replenishment, manufacturing information, and so on, based on the location.
  • Warehouse Receipt - Enable warehouse workers to create a put-away from the receipt. Warehouse Receipt is managed from a separate user interface when receiving items in a multi-order environment.
  • Warehouse Shipment - Enable warehouse workers to create a pick from the shipment. Warehouse Shipment is managed from a separate user interface when shipping items in a multi-order environment.

W A R E H O U S E   M A N A G E M E N T

  • Automated Data Capture System - Capture data automatically. Keep data accurate, even in a hectic environment. Uses Application Server and supports some of the workflows in Warehouse Management Systems that enables warehouse automation.
  • Bin Setup - Easily set up and maintain your bins by defining both the layout of your warehouse and dimensions of your racks, columns, and shelves; set up and maintain your planning parameters by defining the limitations and characteristics of each bin.
  • Internal Picks and Put –Aways - Create pick and put-away orders for internal purposes, without using a source document (such as a purchase order or a sales order). For example, pick items for testing or put away production output.
  • Ware house Management Systems - Manage items on a bin level. Receive and put away items in a bin; pick items from a bin according to a put-away template; and pick items based on the zone and bin ranking. Move items between bins using a report for optimizing the space usage and the picking process or move items manually. Warehouse instruction documents are created for the pick and put-away process, which can be carried out for sales, purchase, transfers, returns, and production orders. Service Orders is not included. To effectively use this granule, it is recommended that you also purchase the Put Away, Warehouse Receipt, Pick, and Warehouse Shipment granules.