Calculating Landed Cost in Odoo


Definition of Landed cost: The total cost of a landed shipment including purchase price, freight, insurance, and other costs up to the port of destination. In some instances, it may also include the customs duties and other taxes levied on the shipment.
It is the total price of a product once it has arrived at a buyer’s door.

In Odoo (OpenERP), we by default have a landed cost module,which had some limitations, so we add the functionality which overcomes these limitations and provide you an efficient way to calculate your selling price of the product by considering all these factors.

Process:

We add these Freight, Insurance etc cost as a product and differentiate it with the normal product.

Landed-Cost-in-odoo

The Service costs specify for each landed service gets calculated on the purchase order and define as a Total Landed cost.

For our client, we split these landed cost in different category like Order Level (Which get applied on the PO Order level), Order line level (PO line level calculation), per container (Calculated based upon no. of container PO has).

Also, we add the landed cost concept on the Purchase order and pass it to the Shipment of the product level.

Calculating-Landing-Cost

In the above figure, you can see the different Landed cost service which got apply for the Purchase order. These costs are getting populated on the purchase order base upon different conditions, like for the domestic PO, there are different landed cost than that of foreign PO.

The Landed Costs Total Untaxed shows the total value of the purchase order including these landed costs.

Following figure shows the landed cost which gets applied on the purchase order level and also give you bifurcation of the order level landed cost base upon the product quantity or product weight.

Calculating-Landing-Cost

Price Unit gives you information about the unit price of these products or unit prices of the lot that is getting created after the addition of the landed cost.

Our client also had Container scenarios, like one purchase order had the more than one container on which these products are shipped.

How-to-calculate-landing-cost

Price Unit gives you information about the unit price of these products or unit prices of the lot that is getting created after the addition of the landed cost.

Our client also had Container scenarios, like one purchase order had the more than one container on which these products are shipped.

Landing-cost-calculation-in-Odoo

So, we provide additional functionality to get information about landing cost which get applied to respected container.

Same procedure of calculation of landed cost is repeated for the shipment level if required.

Landed-cost-in-Odoo

Once the new lot is created, it will have these additional landed unit prices.

For more information regarding this module, please contact on sales@bistasolutions.com.

 

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