Configuration for currencies without decimals (Zero decimal Currencies) in Dynamics AX

Most of the currencies across the globe have decimals (for ex: USD 100.99 where 100 is the dollars and 99 are cents).

 
There are a few currencies that are exception however, below is a list of some such currencies where the smallest currency unit is 1 :

CLP  - Chilean Peso
JPY   - Japanese Yen
KRW - South Korean Won
VND - Vietnamese Dong

The currencies in AX (Dynamics 365 for Operations) can be configured to restrict decimals as below.

Open the Currencies form ( General ledger > Currencies > Currencies). In the rounding rules fast tab setup the following values:

General rounding rule = 1.00
Sales order rounding rule = 1.00
Purchase order rounding rule = 1.00
Fixed asset rounding rule = 1.00

As shown in the screenshot below:

 

Stop Purchase / Sale or Inventory adjustments for a Product (Item) in Microsoft Dynamics AX

Companies using ERPs often have one big complaint, they cannot delete a Product (Item) having transactions. For a corporation having few thousand products, it is a key requirement that they stop a product after few years on shelves (take for example the Nokia’s 1100 model was highly successful mobile phone. Alas! The company has to stop this product as part of their market strategy)

In Microsoft Dynamics AX (Microsoft Dynamics 365 for operations), a Product can be created globally and can be released to a legal entity as per requirement. Only upon successful release, the legal entity can transact on that product (termed as “Released Product”)

A released product cannot be deleted if transactions (Purchases, sales and Inventory) exist. However, a released product can be stopped from making new purchase, sales and/ or Inventory transactions. 

It is a good idea to ensure the On-hand inventory for this released product is zeroed out before a Released product is stopped

Note that each of this needs to be done separately as explained in the below:

1. Go to Released products and select the released product to be stopped. Click on default order settings under MANAGER INVENTORY tab (as highlighted in the below screen capture) 

   

  

2. The Default order settings for the selected released product is opened as below:

3. Stop new purchases: In order to stop the new purchases, go to Purchase Order fast tab and click on the Stopped

  

4. Stop new Inventory transactions: In order to stop the new inventory transactions, go to Inventory fast tab and click on the Stopped 

 

5. Stop new Sales transactions: In order to stop the new sales transactions, go to Sales order fast tab and click on the Stopped

 

This is it. Now the released product is stopped from making any new transactions. 

 

A new and integrated approach to future - Microsoft Dynamics 365

Effective 1st November 2016, Microsoft starts rolling out Dynamics 365 an integrated and connected cloud based business platform that can be integrated with On premise apps or solutions and cloud based offerings to deliver an integrated offering to meet all sorts of business needs.
The Dynamics 365 is essentially bifurcated into two solutions one for larger enterprises (Microsoft Dynamics 365 Enterprise edition) and the other for small and medium enterprises (Microsoft Dynamics 365 Business edition) and the power apps (individual solution offerings) available under each option are as below:

 

The Business edition comes packaged primarily with the erstwhile Microsoft Dynamics CRM & Microsoft's mid-sized ERP Microsoft Dynamics NAV (upgraded through Project Madeira)
The Enterprise edition includes Microsoft Dynamics AX & Microsoft Dynamics CRM among the other power apps.

The enterprises whose requirements are not met with the above groupings can also shop these apps a la carte by choosing the apps most relevant for their respective needs.

I strongly believe this as a major contribution from Microsoft in making the world a "Global interconnected village". As the businesses start expanding and becoming "larger than life" entities, it has become a necessity that this large size and scale requires to be belled (quote: "Belling the cat") and this can only be done by integrating the communications from all corners of the business and addressing the needs in a better fashion.

Although Microsoft Dynamics 365 is quite exciting, it may take a while to break the market stigma and enter the actual usage and a while more to unsettle the comfort zones of users used to the neo traditional "what we see is what we have" model.

It may also be challenging that few countries with strong statutes against cloud based models would come out in open to accept the change in the making.

Let's welcome this change and support Microsoft better deliver on Microsoft Dynamics 365


You might also want to watch the full video of the Microsoft's vision for Business transformation below:

Global General Journals – Enter journals in multiple LE's simultaneously in Dynamics AX

Very often most of the Dynamics AX implementations include implementation of multiple legal entities. The accountants need to create and post General Journals in multiple companies and this pretty often requires the users to juggle between companies (Select the company in which Journal needs to be posted and then continue with making transactions).

This is a very common scenario and kills the productivity of the accountant. Many of the accountants are very fast in General Journals entry and posting. Indeed, we require them to be fast, if our accountants are not that fast then the whole organization’s productivity is lost. Accounting is an essential back office task that needs to be productive. What they need is a system aided function where the accounting process is aided to improve productivity.

Here comes a brand new feature in with the new AX that alleviates the accounting users of this problem aiding them in better performing their tasks

“Global General Journals”

 So how does these Global General Journals work? Let us navigate and see it for ourselves:

Go to General ledger > Journal entries > Global general journals

 

In below screenshot observe that the Global general journals form has the Company as the first column (highlighted in Red). Also observe the Company that I am in is USMF in the Top right corner (Highlighted in yellow)

Now I want to create a new Journal in USPI company. I click on New (Alt+N) and enter the company as USPI, Journal name in the Dialog Box and click Ok.

This creates a new General Journal in USPI company with JBN# 00137 and continue with rest of General journal info.

Click on Lines to enter vouchers. Now if you observe the Journal voucher, the company has been updated to USPI (Highlighted in yellow)

 You can now complete the journal voucher and proceed for posting as a normal journal voucher in the USPI company.

Physical Vs. Financial Inventory transactions in AX 2012

Many of the AX community  often wonder what could be the difference between Physical & Financial transactions and when does the differentiation occurs and/or what sense does it make to have physical inventory transactions in books. In this article below, I tried to show the differences between Physical & Financial Inventory and the necessity of having Physical inventory on the books.

Physical inventory transactions occur when the goods are actually picked up or moved from within the company. The goods may have moved out as part of sales commitment or lined up for production requirements, the goods have been received from the vendor at the warehouse.

Normally during the Physical Inventory transactions, we only create an accrued liability or accrued asset and the transaction is not complete fully. This is done to recognize a transaction of inventory movement is in the process.

For Example: Product Receipt of PO, Packing Slip for a Sales order or a Picking list for production.

Financial inventory transactions occur when a PO or SO is invoiced and a Production Order is completed, when a financial Inventory transaction occurs, the same physical transaction is updated by AX and is treated as one single transaction that is complete in all respects.

Previous accruals, if any (done at the time Physical inventory transaction) shall be reversed and the final revenue or expense/asset transaction is posted.

is the Physical Inventory required?

Many legal entities that implement AX have larger workplaces spread across multiple regions. a purchase or a sale transaction normally spreads across multiple period.

For Example: A purchase order that was initiated on 15th June, the goods receipt is taken place on 30th June and the invoice was received and posted on 4th July.

The books are normally closed on a monthly basis, in the above case the inventory has already been received in our premises, but if the physical inventory is not recorded the inventory counting exercise cannot be properly carried out. If the Physical inventory is recorded, the system shows accuracy of inventory on hand for the counting exercise to be smooth.

A thumb rule that always needs to be noted is that 

"A financial inventory transaction will have a physical inventory transaction posted,

 but 

a Physical inventory transaction may not have a financial inventory transaction posted"

Some broad examples of Physical & Financial inventory transactions are :

	Physical	Financial
Receipt (Stock Increase)	Ø Purchase order receipt  Ø Sales Returns (SO Returns) packing slip return  Ø Production order report as finished	Ø Vendor invoice  Ø Sales Returns (SO) invoice for a return  Ø Production order costing Ø Inventory Journals with positive stock
Issue (Stock Decrease)	Ø Sales order packing slip Ø Purchase returns (PO returns) product receipt return  Ø  Production order picking list	Ø Sales order invoice  Ø Vendor invoice return (Purchase returns invoiced) Ø Production order ended  Ø Inventory Journals with negative stock