Using Microsoft Dynamics AX 2012: Updated for Version R2

414 Pages·2013·23.497 MB·English

by  Andreas Luszczak (auth.)

Using Microsoft Dynamics AX 2012
Andreas Luszczak
Using Microsoft Dynamics
AX 2012
Updated for Version R2
3rd Edition
Dr. Andreas Luszczak
Vienna, Austria
ISBN 978-3-658-01708-8 ISBN 978-3-658-01709-5 (eBook)
DOI 10.1007/978-3-658-01709-5
Th e Deutsche Nationalbibliothek lists this publication in the Deutsche Nationalbibliografi e; detailed bib-
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Preface
When looking for a business management solution supporting business processes
in mid-sized and large companies, Microsoft Dynamics AX is likely to be your
favorite. Because of its deep functional and technological integration, it is also a
good choice for universities teaching ERP systems.
Reading this Book
The primary purpose of this book is to provide you with a good knowledge of the
standard application concept and functionality, enabling you to run business
processes in Microsoft Dynamics AX 2012. This book applies to you, if you are an
end user, student, or consultant interested in learning how to use Dynamics AX.
Going beyond the operations on the user interface, you will also learn how the
different parts of the application work together. As a result, you will also take
advantage from learning the end-to-end application concept, if you are a system
administrator, developer, IT executive or experienced consultant not knowing the
complete application already.
Actually working in an application is the best way to learn it. This book therefore
includes exercises building up on each other in a comprehensive case study. If you
need support for the exercises, a free download of sample solutions is available.
The current edition of this book is based on Microsoft Dynamics AX 2012 R2 and
includes the core changes of Dynamics AX 2012 in the initial version and in R2. It is
an update of the previous edition “Using Microsoft Dynamics AX 2012” published
in 2012.
Since Dynamics AX is a very comprehensive business solution, it is not possible to
cover all parts of the application in a single book. In order to provide a profound
understanding of the core application, this book addresses the primary
functionality in supply chain (including trade, logistics and production control)
and finance management. It shows the application, but does not cover tasks in
system administration and development. If you want to learn more about the
concepts and options for implementing Dynamics AX, the book “Implementing
Microsoft Dynamics AX 2012 with Sure Step 2012” by Keith Dunkinson and
Andrew Birch might be interesting for you.
Applicable Settings
In Dynamics AX, you can individually choose the language of your user interface.
Descriptions and illustrations in this book refer to the language “EN-US”. Whereas
VI Preface
it is obviouus that the Dynamics AXX client displays differentt labels whenn choosing
languages like Spanish or Russian, tthere are alsoo differencess when selectting British
English. Forr example, thhe label for tthhe field “Salles tax” is “VVAT” in Britiish English.
Other differrences betweeen your appplication annd the descriiptions in thhe book are
possibly cauused by youur permissioons, by appliicable local ffeatures, or by specific
modifications and featuures implemeented in yourr Dynamics AAX system.
In order to benefit frrom the exxplanations, it is recommmended too access a
Dynamics AAX applicatioon. A separaate test appllication for eexecuting thhe exercises
minimizes tthe risk of afffecting actuaal company ddata.
The exercisses and illusstrations refeer to a sammple companny “Anso Teechnologies
Ltd.”, whichh shows a siimple setup limited to thhe described functionalitty. In order
to grant flexxibility for seelecting the ttraining envvironment, thhe tasks in thhe exercises
are specifieed in a way that you can also uuse the Microsoft standdard demo
environmennt (“Contoso”) or any othher test envirronment.
This book hhas been upddated for Miicrosoft Dynaamics AX 20012 R2. If youu are using
the initial vversion of Dyynamics AX 2012 or the Dynamics AAX 2012 Featuure Pack, a
limited nummber of featuures and settiings work diifferent. Notees in the boook show the
differences between thee initial versiion and R2, eenabling youu to use this book in all
versions of Dynamics AAX 2012. If you want too know in wwhich versioon you are
working, cllick the buttoon Help / About Microosoft Dynamics AX in thee command
bar of the DDynamics AXX client – if yoou are in thee Feature Pacck or R2, it is displayed.
Available Support
In order to download ssolutions to tthe exercisess in this boook and otherr applicable
resources, pplease access the online seervice of thepublisher orr following wweb site:
http:///axbook.addynn.com
If you havee comments or questionns regardingg the book oor the exerciises, please
contact me tthrough the web site menntioned abovve or via e-mmail to [email protected].
Acknowleedgementss
Many peopple have beenn involved iin finalizingg this book, ddirectly and indirectly,
from the firrst edition inn German to the current English edition. I want tto thank all
of them. In particular, I would like tto mention:
(cid:190) Matthiass Gimbel (Sennior Consulttant at STZ ITT-Business CConsulting)
(cid:190) Ingo Maaresch (Solutiion Architectt at Semantax Business CConsulting)
(cid:190) Keith Duunkinson (Owwner at ERPP advisers)
Thank you also to editoorial team Beernd Hansemmann and MMaren Mithöffer. Finally,
my special tthanks go to my family –– Sonja, Felixx and Carolinne.
Andreeas Luszczak
Table of Contents
1 What is Microsoft Dynamics AX? ............................................................................ 1
1.1 Axapta and the History of Dynamics AX ..................................................... 1
1.2 Dynamics AX 2012 Product Overview ......................................................... 2
1.2.1 Functional Capabilities ........................................................................ 2
1.2.2 Business Intelligence ............................................................................ 3
1.2.3 Collaboration Features ......................................................................... 4
1.2.4 Implementation ..................................................................................... 4
1.3 Technology and System Architecture ........................................................... 4
1.3.1 Development Environments ............................................................... 5
1.3.2 Layer Technology ................................................................................. 6
1.3.3 Three-Tier Architecture........................................................................ 7
1.3.4 Data Structure ....................................................................................... 7
1.3.5 Voucher Principle ................................................................................. 8
2 Getting Started: Navigation and General Options ................................................ 9
2.1 User Interface and Common Tasks ............................................................... 9
2.1.1 Logon and Authentication ................................................................... 9
2.1.2 User Interface ...................................................................................... 10
2.1.3 Navigation ........................................................................................... 18
2.1.4 Home Menu ......................................................................................... 22
2.1.5 Working with Records ....................................................................... 24
2.1.6 Filter, Find and Sort ............................................................................ 31
2.1.7 Help System ......................................................................................... 37
2.1.8 Case Study Exercises .......................................................................... 39
2.2 Printing and Reporting.................................................................................. 40
2.2.1 Printing Reports .................................................................................. 40
2.2.2 Copy/Paste and Microsoft Office Add-Ins ...................................... 45
2.2.3 Case Study Exercise ............................................................................ 47
2.3 Advanced Options ......................................................................................... 47
2.3.1 User Options and Personalization .................................................... 48
2.3.2 Record Information and Templates ................................................. 50
2.3.3 Case Study Exercises .......................................................................... 54
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2.4 Global Address Book .................................................................................... 55
2.4.1 Parties and Addresses ....................................................................... 55
2.4.2 Address books .................................................................................... 56
2.4.3 Case Study Exercise ........................................................................... 58
3 Purchasing ................................................................................................................ 59
3.1 Business Processes in Purchasing ............................................................... 59
3.1.1 Basic Approach ................................................................................... 59
3.1.2 At a Glance: Purchase Order Processing ........................................ 62
3.2 Vendor Management .................................................................................... 64
3.2.1 Vendor Records .................................................................................. 64
3.2.2 Payment Terms and Cash Discount ................................................ 69
3.2.3 Ledger Integration ............................................................................. 71
3.2.4 Case Study Exercises ......................................................................... 73
3.3 Product Management for Purchasing ......................................................... 73
3.3.1 Procurement Category Management .............................................. 74
3.3.2 Product Master Data for Purchasing ............................................... 76
3.3.3 Purchase Price and Discount ............................................................ 80
3.3.4 Case Study Exercises ......................................................................... 84
3.4 Purchase Orders ............................................................................................ 85
3.4.1 Basics of Purchase Order Processing ............................................... 85
3.4.2 Planned Purchase Orders .................................................................. 87
3.4.3 Purchase Requisitions ....................................................................... 90
3.4.4 Requests for Quotation ...................................................................... 92
3.4.5 Purchase Order Registration ............................................................ 94
3.4.6 Change Management and Purchase Order Approval ................ 101
3.4.7 Canceling and Deleting Purchase Orders ..................................... 103
3.4.8 Purchase Order Confirmation and Printing ................................. 104
3.4.9 Purchase Agreements ...................................................................... 107
3.4.10 Case Study Exercises ....................................................................... 108
3.5 Item Receipt ................................................................................................. 109
3.5.1 Basic Steps for Item Receipt ............................................................ 109
3.5.2 Receipts List ...................................................................................... 110
3.5.3 Inventory Registration ..................................................................... 110
3.5.4 Product Receipt ................................................................................ 113
3.5.5 Receiving a Deviating Quantity ..................................................... 116
3.5.6 Order Status and Inquiries .............................................................. 118
3.5.7 Case Study Exercises ....................................................................... 121
Table of Contents IX
3.6 Invoice Receipt ............................................................................................. 122
3.6.1 Different Ways for Processing Vendor Invoices ........................... 122
3.6.2 Posting Vendor Invoices .................................................................. 124
3.6.3 Order Status and Inquiries .............................................................. 128
3.6.4 Case Study Exercises ........................................................................ 130
3.7 Credit Notes and Item Returns .................................................................. 131
3.7.1 Crediting Purchase Orders .............................................................. 132
3.7.2 Inventory Valuation for Separate Credit Notes ............................ 134
3.7.3 Case Study Exercise .......................................................................... 134
4 Sales and Distribution ............................................................................................ 135
4.1 Business Processes in Sales and Distribution ........................................... 135
4.1.1 Basic Approach ................................................................................. 135
4.1.2 At a Glance: Sales Order Processing .............................................. 138
4.2 Customer Management ............................................................................... 140
4.2.1 Basic Data and Comparison to Vendors Records ......................... 140
4.2.2 Case Study Exercises ........................................................................ 144
4.3 Product Management for Sales .................................................................. 144
4.3.1 Product Records and Categories in Sales ...................................... 144
4.3.2 Sales Price and Discount .................................................................. 146
4.3.3 Case Study Exercises ........................................................................ 151
4.4 Sales Orders and Quotations ...................................................................... 151
4.4.1 Basics of Sales Order Processing ..................................................... 152
4.4.2 Sales Quotations ................................................................................ 153
4.4.3 Sales Order Registration .................................................................. 155
4.4.4 Sales Prices and Discounts............................................................... 160
4.4.5 Managing Charges ............................................................................ 162
4.4.6 Sales Order Confirmation ................................................................ 165
4.4.7 Case Study Exercises ........................................................................ 165
4.5 Distribution ................................................................................................... 166
4.5.1 Basics and Setup for Picking and Shipping ................................... 166
4.5.2 Pick Form and Picking List .............................................................. 169
4.5.3 Output Order and Shipment ........................................................... 171
4.5.4 Packing Slip ....................................................................................... 173
4.5.5 Case Study Exercises ........................................................................ 174
4.6 Invoicing ........................................................................................................ 175
4.6.1 Invoicing Sales Orders ..................................................................... 175
4.6.2 Collective Invoice .............................................................................. 177
4.6.3 Free Text Invoices ............................................................................. 180
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4.6.4 Credit Notes and Item Returns ...................................................... 181
4.6.5 Case Study Exercises ....................................................................... 185
4.7 Direct Delivery ............................................................................................. 186
4.7.1 Processing Direct Deliveries ........................................................... 186
4.7.2 Case Study Exercise ......................................................................... 188
5 Production Control ................................................................................................ 189
5.1 Business Processes in Manufacturing ....................................................... 189
5.1.1 Basic Approach ................................................................................. 189
5.1.2 At a Glance: Production Order Processing ................................... 192
5.2 Product Data and Bills of Materials .......................................................... 194
5.2.1 Product Master Data for Manufacturing ...................................... 194
5.2.2 Bills of Materials (BOM) .................................................................. 196
5.2.3 Case Study Exercises ....................................................................... 201
5.3 Resources and Routes ................................................................................. 203
5.3.1 Production Units and Resource Groups ....................................... 203
5.3.2 Resources and Capabilities ............................................................. 206
5.3.3 Routes and Operations .................................................................... 209
5.3.4 Case Study Exercises ....................................................................... 216
5.4 Production Orders ....................................................................................... 218
5.4.1 Basics of Production Order Processing ......................................... 218
5.4.2 Production Order Registration ....................................................... 222
5.4.3 Processing Production Orders ........................................................ 224
5.4.4 Case Study Exercises ....................................................................... 228
5.5 Production Journal Transactions ............................................................... 228
5.5.1 Journal Transactions and Ledger Integration .............................. 228
5.5.2 Picking List........................................................................................ 229
5.5.3 Working Time Registration ............................................................ 231
5.5.4 Case Study Exercises ....................................................................... 232
5.6 Reporting as Finished and Ending Production ....................................... 232
5.6.1 Reporting as Finished ...................................................................... 232
5.6.2 Ending and Costing ......................................................................... 234
5.6.3 Case Study Exercise ......................................................................... 236
5.7 Subcontracting ............................................................................................. 236
5.7.1 Outsourced Operation ..................................................................... 236
5.7.2 Purchased Service ............................................................................ 237