Working with Freight Exempt Items (WFEI)

Purpose: Use Work with Freight Exempt Items to exclude items from freight charges.

You may wish to exclude certain items from freight, such as memberships or subscriptions which do not have any freight costs. Also, if the price of an item already includes the cost of freight, you may wish to exclude the item from freight so that you do not charge the customer double the amount of freight.

In this chapter:

• Freight Exempt Items Setup

- System Control Values Related to Freight Exemption

- Eligible Freight Methods for Freight Exemption

- Flagging an Item as Freight Exempt

- Include Freight on Pick Slips?

• Freight Exempt Items Processing

- Use Item Freight Exemption File (E73) Selected?

- Eligible Freight Method on Order?

- Item on Order Defined in Work with Freight Exempt Items (WFEI)?

- Freight Exempt Hierarchy

- Freight Exemption and Extra Charges

• Work with Freight Exempt Items Screen

• Create Freight Exempt Item Screen

• Select Ship Via for Exemption Screen

Freight Exempt Items Setup

Before you can exclude items from freight, you must perform the required setup.

• System Control Values Related to Freight Exemption

• Eligible Freight Methods for Freight Exemption

• Flagging an Item as Freight Exempt

• Include Freight on Pick Slips?

System Control Values Related to Freight Exemption

System Control Value	Description
Use Item Freight Exemption File (E73)	Select this system control value if you want the system to exclude items from freight based on the Working with Freight Exempt Items (WFEI) menu option.
Include Handling in Freight Charge Calculation (D77)	Select this system control value if you want to include handling charges in the total dollar amount on an order subject to freight charges. If this system control value is selected and a freight exempt item is defined with a handling charge, the handling charge will not be included in the freight calculation.

Eligible Freight Methods for Freight Exemption

You can exclude items from freight on orders using the following freight methods, as defined in Working with Source Codes (WSRC). See Introducing Offer and Source Codes for more information about each freight method.

• Dollar chart by offer ($O) freight; see Dollar chart by offer ($ Chart by Ofr) freight

• Dollar chart by source ($S) freight; see Dollar chart by source ($ Chart by Src) freight

• Recipient (R) freight; see Recipient freight

• Percentage by source (PS) freight; see Percentage by source (% Source) freight

• Percentage by ship via (PV) freight; see Percentage by ship via ($ Ship VIa) freight

• By Offer Price (OP) freight; see By Offer Price freight

• Freight by order weight (OW) freight; see Freight by order weight (Order Weight) freight

• Weight (W) freight; see Weight freight

Flagging an Item as Freight Exempt

Use the Working with Freight Exempt Items (WFEI) menu option to define which items are exempt from freight charges. You can flag an item as freight exempt at the ship via level, offer level, source code level, or item level.

To flag an item as freight exempt across all ship vias, offers, and source codes: At the Create Freight Exempt Item Screen, enter the Item and leave the Offer and Source blank. Do not define records at the Select Ship Via for Exemption Screen. Note: If the item is a SKUed item, all of the SKUs for the item are exempt from freight.

To flag an item as freight exempt at the source code level: At the Create Freight Exempt Item Screen, enter the Item and Source. Leave the Offer blank. Do not define records at the Select Ship Via for Exemption Screen. The item will be exempt from freight only if the specified source code is defined on the order header. Note: The system does not look at the source code defined at the order line level to determine if the item is exempt from freight.

To flag an item as freight exempt at the offer level: At the Create Freight Exempt Item Screen, enter the Item and Offer. Leave the Source blank. Do not define records at the Select Ship Via for Exemption Screen. The item will be exempt from freight only if the specified offer is associated with the source code on the order header. Note: The system does not look at the offer code defined at the order line level to determine if the item is exempt from freight.

To flag an item as freight exempt at the ship via level:

1. At the Create Freight Exempt Item Screen, enter the Item and leave the Offer and Source blank.

2. At the Select Ship Via for Exemption Screen, select the ship vias for which the item is exempt from freight.

The item will be exempt from freight only if the selected ship via(s) is defined for the item on the order detail line or order header (if a ship via is not defined at the order line level).

Freight exempt items at the ship via level: When the system applies a ship via override to a pick slip, the system does not look at the Freight Exempt Item Ship Via table to determine if one or more of the items on the pick slip is excluded from freight for the ship via override. The system retains the freight that was applied to the order during order entry and prints this freight amount on the pick slip. See Determining the Shipper for the Pick Slip.

To flag an item as freight exempt at the ship via level for a specified source code:

1. At the Create Freight Exempt Item Screen, enter the Item and Source. Leave the Offer blank.

2. At the Select Ship Via for Exemption Screen, select the ship vias for which the item is exempt from freight.

The item will be exempt from freight only if the specified source code is defined on the order header and the selected ship via(s) is defined for the item on the order detail line or order header (if a ship via is not defined at the order line level).

To flag an item as freight exempt at the ship via level for a specified offer:

1. At the Create Freight Exempt Item Screen, enter the Item and Offer. Leave the Source blank.

2. At the Select Ship Via for Exemption Screen, select the ship vias for which the item is exempt from freight.

The item will be exempt from freight only if the specified offer is associated with the source code on the order header and the selected ship via(s) is defined for the item on the order detail line or order header (if a ship via is not defined at the order line level).

For more information: See Freight Exempt Hierarchy for more information on how the system determines when an item is exempt from freight.

Include Freight on Pick Slips?

There will be no freight charge on a pick slip, even if there are non-freight exempt items on the order, under the following conditions:

• the Prorate Freight Charges (D39) system control value is unselected

• the Use Item Freight Exemption File (E73) system control value is selected

• the pick slip includes only freight exempt items

• the order uses one of the Eligible Freight Methods for Freight Exemption

Freight Exempt Items Processing

When you add an item to an order in regular order entry/maintenance or receive an order through the Generic Order Interface (Order API), the system uses the following steps to determine if the item is excluded from freight.

• Use Item Freight Exemption File (E73) Selected?

• Eligible Freight Method on Order?

• Item on Order Defined in Work with Freight Exempt Items (WFEI)?

• Freight Exempt Hierarchy

• Freight Exemption and Extra Charges

• Freight Exempt Item Example

Use Item Freight Exemption File (E73) Selected?

The system checks the setting of the Use Item Freight Exemption File (E73) system control value.

• If unselected, items defined in the Working with Freight Exempt Items (WFEI) menu option are included in the freight calculation.

• If selected, items defined in the Working with Freight Exempt Items (WFEI) menu option are exempt from freight.

Eligible Freight Method on Order?

The system determines if the freight method on the order is eligible for freight exempt items. You can exclude items from freight on orders using the following freight methods:

• Dollar chart by offer ($ Chart by Ofr) freight

• Dollar chart by source ($ Chart by Src) freight

• Recipient freight

• Percentage by source (% Source) freight

• Percentage by ship via ($ Ship VIa) freight

• By Offer Price freight

• Freight by order weight (Order Weight) freight

• Weight freight

If the order does not use one of these freight methods, the system includes the items on the order in the freight calculation.

If the order uses one of these freight methods, the system excludes the freight exempt items on the order from the freight calculation.

Item on Order Defined in Work with Freight Exempt Items (WFEI)?

The system determines if the item added to the order is defined in the Working with Freight Exempt Items (WFEI) menu option.

• If the item is not defined in Work with Freight Exempt Items (WFEI), the system includes the item in the freight calculation.

• If the item is defined in Work with Freight Exempt Items (WFEI), the system determines how the item is exempt from freight. See Freight Exempt Hierarchy.

Freight Exempt Hierarchy

If the item qualifies for freight exemption (see Use Item Freight Exemption File (E73) Selected?, Eligible Freight Method on Order?, and Item on Order Defined in Work with Freight Exempt Items (WFEI)?), the system uses the following hierarchy to determine how the item is exempt from freight.

1.	Ship via level: If records exist for the item on the Select Ship Via for Exemption Screen, the item is exempt from freight only for those ship vias selected. The item is excluded from the freight calculation only if the specified ship via is defined on the order. The system uses the ship via defined for the order line; if a ship via is not defined on the order line, the system uses the ship via defined on the order header. In addition: • If an offer is defined for the item on the Work with Freight Exempt Items Screen, the item is exempt from freight only for those ship vias selected and if the specified offer is associated with the source code on the order header. • If a source code is defined for the item on the Work with Freight Exempt Items Screen, the item is exempt from freight only for those ship vias selected and if the specified source code is defined on the order header.
2.	Offer level: If records do not exist for the item on the Select Ship Via for Exemption Screen, but an offer is defined for the item on the Work with Freight Exempt Items Screen, the item is exempt from freight only if the specified offer is associated with the source code on the order header. Note: The system does not look at the offer code defined at the order line level to determine if the item is exempt from freight.
3.	Source code level: If records do not exist for the item on the Select Ship Via for Exemption Screen, but a source code is defined for the item on the Work with Freight Exempt Items Screen, the item is exempt from freight only if the specified source code is defined on the order header. Note: The system does not look at the source code defined at the order line level to determine if the item is exempt from freight.
4.	Item level: If records do not exist for the item on the Select Ship Via for Exemption Screen, and an offer or source code is not defined for the item on the Work with Freight Exempt Items Screen, then the item is always exempt from freight. If the item is a SKUed item, all of the SKUs for the item are exempt from freight.

Freight Exempt Hierarchy Example

The following items are defined in the Working with Freight Exempt Items (WFEI) menu option.

Item	Offer	Source	Ship Via	Results
ITM1				When you add ITM1 to an order, the item is always excluded from the freight calculation.
ITM2			1 - UPS 2 - FEDEX	When you add ITM2 to an order, the item is excluded from the freight calculation only if: • the ship via on the order detail line is 1 or 2, or • if a ship via is not defined on the order detail line, the ship via on the order header is 1 or 2.
ITM3	7		1- UPS 2 - FEDEX	When you add ITM3 to an order, the item is excluded from the freight calculation only if: • the ship via on the order detail line is 1 or 2 (or, if a ship via is not defined on the order detail line, the ship via on the order header is 1 or 2), and • the source code on the order header is associated with offer 7.
ITM4		S7	1 - UPS	When you add ITM4 to an order, the item is excluded from the freight calculation only if: • the ship via on the order detail line is 1 (or, if a ship via is not defined on the order detail line, the ship via on the order header is 1), and • the source code on the order header is S7.
ITM5	7			When you add ITM5 to an order, the item is excluded from the freight calculation only if the source code on the order header is associated with offer 7.
ITM6		S7		When you add ITM6 to an order, the item is excluded from the freight calculation only if the source code on the order header is S7.

Freight Exemption and Extra Charges

Ship via additional charges: Any additional charges associated with a ship via, such as service charges or charges for a federal express service, are still added to an order even when the order contains only freight exempt items.

Extra recipient charges: Extra recipient charges are not added to an order if the recipient has only ordered a freight exempt item.

Handling charges: If the Include Handling in Freight Charge Calculation (D77) system control value is selected and a freight exempt item is defined with a handling charge, the handling charge will not be included in the freight calculation.

Freight Exempt Item Example

The following items are defined in Working with Freight Exempt Items (WFEI).

Item	Offer	Source	Ship Via
ITM1		S7	1 - UPS
ITM2		S9	1 - UPS 2 - FEDEX
ITM3		S7

You create an order with the following information.

Order Header		Results
Ship via code = 1 - UPS Source code = S7
Order Detail
Line 1	ITM1 no ship via code defined	Line 1 is exempt from freight because the ship via and source code on the order header match the ship via and source code requirements in Working with Freight Exempt Items for ITM1.
Line 2	ITM2 ship via code 3	Line 2 is not exempt from freight because the ship via on the order detail line and the source code on the order header does not match the ship via and source code requirements in Working with Freight Exempt Items for ITM2.
Line 3	ITM3 ship via code 5	Line 3 is exempt from freight because the source code on the order header matches the source code requirements in Working with Freight Exempt Items for ITM3 and ship via requirements have not been defined in Work with Freight Exempt Items for ITM3.
Line 4	ITM4 no ship via code defined	Line 4 is not exempt from freight because it does not exist in the Working with Freight Exempt Items (WFEI).

Work with Freight Exempt Items Screen

Purpose: Use this screen to work with freight exempt items.

How to display this screen: Enter WFEI in the Fast path field at the top of any menu or select Work with Freight Exempt Items from a menu.

Field	Description
Item	An item defined as freight exempt. If the item is a SKUed item, all of the SKUs for the item are exempt from freight. Enter a full or partial item code and select OK to display items in alphanumeric order beginning with your entry. Alphanumeric, 12 positions; optional.
Description	The description of the item. Alphanumeric, 35 positions; display-only.
Offer	The offer in which the item is exempt from freight. Enter a valid offer code and select OK to display offers that match your entry. Alphanumeric, 3 positions; optional.
Source	The source in which the item is exempt from freight. Enter a valid source code and select OK to display source codes that match your entry. Alphanumeric, 9 positions; optional.
Ship via	Defines whether the item is freight exempt at the ship via level. Valid values: • Y = The item is exempt from freight at the ship via level. The Select Ship Via for Exemption Screen indicates for which ship vias that item is exempt from freight. • N = The item is exempt from freight across all ship vias. See Freight Exempt Hierarchy for more information on how the system determines when an item is exempt from freight. Alphanumeric, 1 position; display-only.

Screen Option	Procedure
Create a freight exempt item	Select Create to advance to the Create Freight Exempt Item Screen.
Change a freight exempt item	Select Change for a freight exempt item to advance to the Change Freight Exempt Item Screen. See the Create Freight Exempt Item Screen for field descriptions.
Delete a freight exempt item	Select Delete for a freight exempt item to delete it. Any freight exemptions defined for the item on the Select Ship Via for Exemption Screen are also deleted.
Display a freight exempt item	Select Display for a freight exempt item to advance to the Display Freight Exempt Item Screen. See the Create Freight Exempt Item Screen for field descriptions.
Flag an item as freight exempt at the ship via level	Select Ship Via for a freight exempt item to advance to the Select Ship Via for Exemption Screen.

Create Freight Exempt Item Screen

Purpose: Use this screen to define an item as exempt from freight.

See Flagging an Item as Freight Exempt for instructions on how to flag an item as freight exempt at the ship via, offer, source code, or item level.

How to display this screen: Select Create on the Work with Freight Exempt Items Screen.

Field	Description
Item	The item you wish to exempt from freight. Items are defined in and validated against the Item table. If the item contains SKUs, each SKU will be exempt from freight. Alphanumeric, 12 positions. Create screen: required. Change screen: display-only.
Offer	The offer in which the item is exempt from freight. There will be no freight for the item if this source code is associated with the source code on the order header. Note: The system does not look at the offer code defined at the order line level to determine if the item is exempt from freight. Offer codes are defined in and validated against the Offer table. See Working with Offers (WOFR). Alphanumeric, 3 positions; optional.
Source	The source code in which the item is exempt from freight. There will be no freight for the item if this is the source code on the order header. Note: The system does not look at the source code defined at the order line level to determine if the item is exempt from freight. Source codes are defined in and validated against the Source Code table. See Working with Source Codes (WSRC). Alphanumeric, 9 positions; optional.

Instructions:

1. Enter a valid item in the Item field. If the item contains SKUs, each SKU will be exempt from freight.

2. Enter a valid offer in the Offer field if you want to define a specific offer in which the item is exempt from freight, or

3. Enter a valid source code in the Source field if you want to define a specific source code in which the item is exempt from freight, or

4. Leave the Offer and Source fields blank in order to define the item as exempt from freight on all orders. An error message displays if you enter both an offer and source for an item: Only Offer OR Source may be entered, not both.

5. Select OK. The system validates your entries and highlights any fields you need to correct. Correct and fields and select OK again.

6. A message similar to the following informs you the item freight exemption has been created: Freight Exempt Item FRT8769 was created.

Select Ship Via for Exemption Screen

Purpose: Use this screen to flag an item as exempt from freight at the ship via level. If you do not flag any ship vias on this screen, the item is exempt from freight for all ship vias.

See Freight Exempt Hierarchy for more information on how the system determines when to exclude an item from the freight calculation.

Which ship vias display? The first time you advance to this screen, or if you have not selected any ship vias on this screen, all ship via codes defined in Working with Ship Via Codes (WVIA) display on the screen. If you flag an item as exempt from freight for a particular ship via on this screen, the next time you advance to this screen only those ship vias you have selected display on the screen. You can use the Toggle All/Selected option to switch between displaying all ship vias or only those ship vias that have been selected for freight exemption. The Selected field indicates whether the item is exempt from freight for a particular ship via.

Ship via overrides during pick slip generation: The system reevaluates freight exempt items at the ship via level during pick slip generation if the system applies a ship via override to the pick slip. See Determining the Shipper for the Pick Slip.

How to display this screen: Select Ship Via for a freight exempt item at the Work with Freight Exempt Items Screen.

Ship vias display on this screen in ascending ship via code order.

Field	Description
Item	The code and description of the item that you wish to exempt from freight at the ship via level. This is the item you selected at the Work with Freight Exempt Items Screen. Item code: Alphanumeric, 12 positions; display-only. Item description: Alphanumeric, 35 positions; display-only.
Via	A code for a ship via for which you can flag the item as exempt from freight. Ship via codes are defined in and validated against the Ship Via table. Enter a ship via code and select OK to display ship via codes in numeric order, beginning with your entry. Numeric, 2 positions; optional.
Description	A description of the ship via. Enter a full or partial description and select OK to display ship vias that contain your entry. Alphanumeric, 30 positions; optional.
Priority	The priority assigned to the ship via in the Ship Via table, where 0 is the lowest priority and 9 is the highest priority. Enter a valid priority and select OK to display ship vias that match your entry. Numeric, 1 position; optional.
Selected	Indicates whether the item is exempt from freight at the ship via level. • If this field is NO for all ship vias on this screen, the item is not exempt from freight at the ship via level. The Work with Freight Exempt Items Screen indicates whether the item is exempt from freight for a specific offer, source code, or across all offers and source codes. • If this field is YES for one or more ship vias on this screen, the item is exempt from freight only for those ship vias selected. See Freight Exempt Hierarchy for more information on how the system determines when the exclude an item from the freight calculation.

Screen Option	Procedure
Flag the item as exempt from freight for a ship via	Select a ship via code or select Select for a ship via code to update the Selected flag for the ship via to YES.
Unflag the item as exempt from freight for a ship via	Select Deselect for the ship via code to update the Selected flag for the ship via to NO.
Flag the item as exempt from freight for all ship vias	Select Select All to update the Selected flag for all ship vias on this screen to YES.
Switch between displaying all ship vias on this screen and only those ship vias that have been selected as freight exempt for the item	Select Toggle All/Selected. The system switches between displaying all ship vias on this screen and only those ship vias that have been selected as freight exempt for the item.