Redwood: Set Up Landed Cost Charges Using the New User Experience

You can now create and manage landed cost charges and the details using the new Landed Cost Charges Redwood page. The landed cost of purchased items includes their material cost as well as supplier and third-party charges incurred to deliver them to their final destination. User-defined landed cost charges can include:

  • Freight and transportation costs, from the supplier to the buyer's location.
  • Costs associated with the physical preparation of the goods in order for them to be transported, such as labeling, picking, packaging and packing goods, including all inventory, distribution center, and warehouse costs.
  • Loading and unloading costs, loading penalties, and other surcharges.
  • Haulage, storage, and detention fees.
  • Equipment and container fees.
  • Sales tax and value added tax (VAT).
  • Import and export charges, import VAT fees, customs brokerage fees, and excise taxes.
  • Port or pier fees, cargo handling fees, and harbor maintenance fees.

Figure 1: Landed Cost Charges

Landed Cost Charges

Using the navigation links at the bottom of the page, you can quickly access other related setup pages, such as Landed Cost Reference Types and Landed Cost Routes.

Create New Charge

When creating a new charge you can define the procurement BU set, code, name, description, and datatype of the reference type. Additional information and attachments can be added to the reference type properties as well.

Figure 2: New Charge Details

New charge details

Add default charge line parameters, such as Charge Currency, Currency Conversion Rate Type, Charge Basis, Allocation Basis, and whether or not tax is applicable. You can also choose to automate tax calculation or track missing invoices.

Figure 3: New Charge Additional Details

New charge additional details

Some of the benefits of this feature include:

  • Centralized Management: Access and manage all charges-related information from a single location, improving visibility and making it easier for planners and cost accountants to define, review, and maintain transportation flows.
  • Copy Charges Functionality: Save time and reduce manual effort by copying existing charges types. The application automatically populates the charge properties, allowing quick creation of similar or variant charges without starting from scratch.
  • Context Filters: Use filters to view and manage charges by allocation basis, allowing you to see only the most relevant information.

Steps to Enable

You don't need to do anything to enable this feature.

Tips And Considerations

  • In the Setup and Maintenance work area, the Landed Cost Charges Redwood page is enabled by default in this update, but the existing version of the Manage Charges page is still available in the Manufacturing and Supply Chain Materials Management offering. You should move to the Redwood page at your earliest convenience, because future feature updates will reflect only on the Redwood page and not the older Manage Charges page.
  • You can provide guidance such as tutorials, company policies, and best practices in the context of landed cost charges using guided journey tasks. 
  • Any changes to default parameters in Landed Cost Charges apply to only the new charge lines created after the change, and are not applicable retrospectively. 

Key Resources

  • Oracle Fusion Cloud SCM: Implementing Manufacturing and Supply Chain Materials Management guide, available on the Oracle Help Center.
  • Oracle Fusion Cloud SCM: Using Supply Chain Cost Management guide, available on the Oracle Help Center.

Access Requirements

Users who are assigned a configured job role that contains the following privilege can access this feature:

  • Set Up Charge Names (CML_SET_UP_CHARGE_NAMES)