Dynamics 365 Supply Chain Management

When performing a full license plate movement using the Warehouse Management App or the FO emulator with “Full LP movement policy” set to “Automatically move full LP,” the inventory status does not update as expected. After the put operation, the inventory status remains unchanged instead of switching

Description

Currently, when using moving average costing in Dynamics 365 Supply Chain Management, applying markup percentage for intercompany (IC) pricing only works if the on-hand value is added to the receiving warehouse.

However, this behavior does not comply with accounting requirements, as the full cost must land in the external COGS on the original sales order. This creates a gap between operational setup and financial compliance.

Problem Statement

• Using markup percentage for IC pricing under moving average can lead to incorrect cost allocation.
• The full cost is not reflected in external COGS, violating accounting standards.
• Additionally, item sales tax group for charges does not follow the item’s tax group, making the solution less feasible.

Suggested Improvement

Introduce a system enhancement that:

1. Ensures markup percentage for IC pricing under moving average complies with accounting requirements by correctly posting full cost to external COGS.
2. Aligns item sales tax group for charges with the item’s tax group for consistency.
3. Provides clear warnings or validation messages when users configure markup percentage with moving average costing.

Reference

Current documentation suggests using charges for IC profit calculation:

“You can also use charges to add a profit to an intercompany sales order by defining the charge as an intercompany percentage…”

Recommendation: Add a caution note in documentation and system prompts when moving average is used with markup percentage.

Business Impact

• Prevents compliance issues with external COGS.
• Reduces manual adjustments and audit risks.
• Improves reliability of intercompany pricing and tax handling.

Scenario 1:

A sales order was initially created with Direct Delivery = Yes. When the Direct Delivery is changed to NO at the Header level:

The purchase orders don't get removed. You have to manually change each line delivery type to Stock which is time consuming.

Scenario 2:

A sales order with lines setup to Inventory delivery type is to be fully switched to Direct Delivery. When Direct Delivery = Yes is set at the Header level, the following error appears:

So we can't change it to Stock directly. We must save it as direct delivery which will make a purchase order we didn't intend, then after that we can change the delivery type manually to "Stock"

Currently, planning optimization uses the inventory unit quantity to calculate demand, on-hand inventory and item coverage whenever a CW item is being used in master planning.

This is causing strange calculations and pegging/marking accross inventory and/or orders. To solve this, planning optimization should take into account the CW quantity instead for these calculations.

When updating sales order lines from header changes in Dynamics 365 Supply Chain Management, canceled lines are being updated in addition to open lines.

No error message is displayed, as this behavior is currently considered standard functionality. When a user updates the Confirmed ship date at the sales order header, the standard splash pane appears, allowing the user to choose to apply those changes to lines. When this executes, the system also updates the Confirmed ship date and Last modified date on canceled sales order lines.

This behavior introduces data integrity and reporting issues for organizations that rely on accurate line-level timestamps for historical tracking and performance reporting. Once a line is canceled, it should be considered inactive and excluded from updates triggered by header-level changes.

To address this, only open, active sales order lines should inherit new header field values when updates are pushed via the splash pane. Canceled lines should remain unchanged to preserve accurate audit history and business reporting.

Items can be set up with pictures, but when you are in the following screens the pictures cannot be seen. Assembly BOM screen, Assembly Orders and Purchase Orders. You can see the item from the line in the factbox and click into, but the picture is not shown on the front of the factbox. Please can this be available to assist users with knowing they have selected the correct item, or are picking the correct item on an assembly order.

In many companies the Manufacturing worker performs the Quality testing during production. But when using Production floor execution interface there are no interaction between this interface and the Quality order. It should be possible that an infolog appears to the Worker when a Quality order is performed and that the worker can access the Quality order and type in the test results immediately to proceed the production.

Many companies require that the Production BOM can be viewed from the Production Floor execution interface, so they can control that they have received the correct raw materials from Warehouse going paperless.

Currently, there are no standard data entities available for the Hazardous Materials configuration tables HMIMCompatibilityGroup and HMIMCompatClass in Dynamics 365 Supply Chain Management.

These tables are used to define compatibility groups and hazard classes, which are essential for managing and transporting hazardous materials safely and in compliance with regulations.

The lack of standard data entities for these tables makes it difficult to migrate HazMat configurations between environments (for example, from test to production) using the Data Management Framework. As a result, customers must rely on manual setup or build custom entities, which adds time and effort to implementation and migration processes.

Adding standard data entities for these tables would streamline environment migrations, improve data consistency, and align HazMat functionality with other configurable areas of Supply Chain Management.