International trading is a day to day activity for many companies, whether that is import or export. Those businesses with experience of importing from abroad will no doubt have first hand experience of how changes in exchange rates can impact the final purchase cost of goods.
Exchange rate change
The effects of any rate changes are not confined to import activities, they can have just as much impact on profitability and margin when exporting goods. Companies that price orders in a foreign currency will normally have procedures in place for keeping the exchange rates being used up to date, many will operate a monthly or weekly update schedule. When payment is being taken at the point of order the only consideration is maintaining up to date exchange rates, however if there is a period of time between order placement and payment then it can become essential to update open order values based on the current rate of exchange.
Manage and update multi currency pricing
The currency OrderWise applies in a sales order is dictated by the currency set against the customer. Unless there has been a specific sale price set against a product for the currency the order is raised in then OrderWise will apply the appropriate exchange rate against the base currency to determine the foreign currency price. Should an exchange rate change need applying to an open Sales Order then users simply amend the rate in the Order Details tab of the order, the new rate will be applied and the order can be saved. This manual update is ideal when a high level of control and flexibility is required or when such situations occur only occasionally.
However, if a business often takes forward orders priced in a foreign currency or needs to update open Sales Orders regularly to reflect exchange rate changes, then the volume of Sales Orders requiring update can make re-pricing these manually a time consuming task. Even if these open sales orders are not due for payment or despatch, many businesses that operate in this way will want to ensure outstanding order values are accurately represented.
To remove the need to manually update the price of foreign currency orders to reflect the current system exchange rates a new Utility has been developed for the 2014 v9.3 release. This new Exchange Rate Sales Order Recalculation utility can be found within System>System Utilities. When the utility is run it will recalculate open sales order values based on the current currency exchange rates in OrderWise, removing the need to manage this manually. Companies that need to ensure open sales orders are in line with current system exchange rates are recommended to make running the utility part of their overall exchange rate update process.
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