Solutions · Industry Solutions · Wholesale & Distribution
Know landed margin and available stock before you promise with SAP Business One for U.S. Wholesale Distribution
For a U.S. importer or distributor, SAP Business One connects purchase orders, customs and freight charges, multi-warehouse inventory, customer-specific pricing, EDI orders, credit and finance. Landed cost can be allocated to item lines so a quote uses more than the supplier invoice price.
Inventory turnover days↓
↓ 30%
From 90 days to 60 days
Multi-currency accounting efficiency↑
Automated
Real-time exchange gains/losses
Order processing speed↑
3×
From Excel to system
SAP Business One Gold Partner MTC · 17 years of delivery · 350+ Growing SMBs served
The distributor’s margin problem starts before the goods reach a U.S. warehouse
Tariff and freight changes miss the quote
Customs duties, tariffs, brokerage, ocean or air freight and domestic drayage are added after sales priced the orderCost:Reported gross margin does not match the economics of the shipment
Available stock differs by warehouse, 3PL and channel
ERP, third-party logistics and marketplace balances update on different schedulesCost:Sales accepts orders that cannot ship while other locations hold excess
Customer-specific pricing and credit live with individuals
Contract price, rebate, freight terms, credit limit and exception approvals are maintained in email or separate filesCost:Price leakage and preventable exposure at order release
EDI exceptions become manual orders
Purchase orders arrive electronically, but rejected acknowledgments, ASNs, invoices and deductions are repaired outside the controlled flowCost:Chargebacks, delayed invoices and customer-service rework
Core Module · End-to-end Business Flow
Source → import → receive → allocate → ship → collect
The U.S. distribution design keeps the foreign-currency PO, import shipment, landed charges, warehouse or 3PL receipt, customer order and margin view in one chain. EDI and tax services connect to that chain with monitored exceptions.
Procurement & Import
Supplier Sourcing
Sourcing
→
Purchase Contract (Foreign Currency)
PO (Foreign Curr.)
→
Import Clearance (Duties / Tariffs)
Import + Tariffs
↓ Landed cost auto-aggregated
Warehousing & Allocation
Goods Receipt (Landed Cost)
GR + Landed Cost
Stock +→
Inventory Aging Analysis
Aging Analysis
→
Warehouse Allocation
Allocation
Sales & Settlement
Quotation (incl. target margin)
Quotation
→
Sales Order (multi-price list)
SO + Price List
→
Delivery + Invoice
Delivery + Invoice
Stock −↓ Exchange differences auto-processed
Financial Close
A/R · A/P
A/R · A/P
→
Exchange Differences
Exchange Diff.
→
Profit Analysis
Profit Analysis
The Landed Costs process allocates approved import charges across item lines using a defined basis such as value, weight or volume. Multi-currency accounting records exchange differences, while price lists and credit checks govern the customer order. MTC adds the 3PL, EDI, banking or tax integrations needed by the distributor and assigns an owner to each rejected transaction.
Control points for a U.S. importer and distributorDuty, tariff, brokerage and freight allocation3PL and in-transit inventory reconciliationEDI acknowledgment and invoice exceptionsCustomer price, freight terms and credit release
Stakeholders: Procurement, Order Follow-up, Warehouse, Sales, Finance · Modules used:Purchasing–A/P (Multi-currency)Inventory (Multi-warehouse / Aging)Sales–A/R (Multi-price List / Credit)Financials (Foreign Currency / Exchange)
Core Module · Metrics × Formula × Target
When trade is managed well, these numbers move
| Core Metric | Formula | Target |
|---|---|---|
| Landed cost accuracy | System-aggregated cost vs. actual cost variance | Variance <1% |
| Inventory turnover days | Average inventory ÷ Daily COGS | ↓ Down 30% |
| Order processing time | Average time from order receipt to shipment | ↓ Reduced 50% |
| Credit overrun rate | Over-credit shipments ÷ Total shipments | ↓ → 0 |
Before → After (typical outcome comparison)
Auto-aggregated
Import landed cost moves from 3-day manual calculation to automatic system aggregation
90 days → 60 days
Inventory turnover days drop from 90 to 60 (aging alerts + ABC analysis)
↓ 40%Industry benchmark
Bad-debt rate drops 40 % after credit-limit control goes live
3×
Order processing efficiency improves 3× (from Excel to system automation)
Figures above are drawn from typical results of MTC SAP Business One implementations and industry benchmarks (anonymized). Actual results depend on company size and process complexity. Items marked "Industry benchmark" are not single-client measurements.
Our approach · Trade digitalization ladder
Build from explainable landed cost to profitable fulfillment
First determine what each imported item really cost. Next make inventory, EDI, customer price and credit dependable across locations. Forecasting and pricing automation come only after those transaction records reconcile.
↑ Higher = more efficient trading
1
Import cost and currency accounted for consistently
Doing:Capture the foreign-currency purchase and allocate duty, tariff, brokerage, freight and insurance to inventory using finance-approved rules, with exchange differences posted to the ledger.
Powered by:
SAP Business One Landed CostsMulti-currency ManagementExchange DifferencesMulti-price Lists
Outcome: shipment cost explained · item margin uses current assumptions · currency differences recorded
2
Warehouse, 3PL, EDI and credit exceptions controlled
Doing:Reconcile inventory by location, monitor aging and in-transit stock, route EDI failures, and apply customer-specific price and credit rules before release.
Powered by:
Inventory Aging AnalysisCredit Limit ControlMulti-warehouse TransferIn-transit Inventory Mgmt
Outcome: fewer unfillable orders · aging stock visible · credit and EDI exceptions have owners
3
Replenishment and pricing use landed margin
Doing:Use demand, service level, supplier lead time, current landed cost and customer economics to propose buys and review price decisions.
Powered by:
MRP RunSafety Stock OptimizationAI Demand ForecastingAI Dynamic Pricing
Direction: fewer stockouts and expedites · lower excess · margin decisions use the same cost basis
SAP Business One CoreMTC Add-on SuiteAI Applications
Related Cases
Cases with North American multi-location and global inventory relevance
The current U.S. case set is stronger on multi-branch and multi-country control than on anonymous distribution claims. These cards point to the documented examples available today.
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FAQ
Questions U.S. wholesale and import teams ask
Can one company handle domestic purchases and imports in the same item-cost model?
Yes. Domestic POs can remain in U.S. dollars while imported purchases use foreign currency and the landed-cost process. Finance defines which freight, duty, tariff, brokerage and insurance charges belong in inventory cost and which remain period expense.
How does SAP Business One allocate landed cost to each item?
The Landed Costs document distributes selected charges across received item lines using an approved basis such as value, weight or volume. The allocation updates inventory cost and gives finance an audit trail from the charge back to the receipt and import shipment.
Can SAP Business One reconcile our own warehouses with a 3PL?
Yes, through a defined integration and reconciliation process. The project identifies which system owns available quantity, how receipts and shipments are confirmed, how failed messages are queued, and how daily differences are reviewed before sales relies on the balance.
Rebuild one imported shipment’s true margin
Bring a representative import, its freight and customs charges, the warehouse receipt and one customer order. MTC USA will show where cost or inventory loses its connection.
- ✓Duty, tariff, brokerage and freight allocated visibly
- ✓Warehouse, 3PL and in-transit stock ownership defined
- ✓EDI, credit and customer-price exceptions included