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ADVANCED VS BASIC BILLING SHOP CONTROL MODULE Kelley BrownSandy MacPhee Action Aero3 Points Aviation

 Who am I … – Kelley Brown, Strategic Development Manager – Action Aero, we specialize in repair and overhaul of engine accessories for turboprop engines. Our shop is located in Prince Edward Island, Canada’s smallest province, a large beach dotted with many golf courses.

 Who am I … – Sandy MacPhee, R&O Manager – 3 Points Aviation, we are primarily a sales company with fast growing wings in manufacturing and repair and overhaul. We have facilities in Newfoundland, Ontario, and beautiful Prince Edward Island, Canada.

 In This Session … – We are going to learn about the two types of billing available in the work order module: Basic and Advanced – We will show examples of each type of billing – The basic components of these types of quotes/invoices will be developed and explained

 What We’ll Cover … – Advanced billing – Basic billing – developing billing groups and price matrix – Creating quotes from the work order module

ADVANCED BILLING Kelley Brown Action Aero

 The advanced billing option uses billing groups as its method of quote/invoicing.  The next few slides will illustrate some of the ways in which you may use billing groups to create a quotation method that best suits your customers and operation.

Locate template in global setup. Billing group for the main component is found in the “header” section.

Billing groups are attached directly to templates, making them very easy to use. Slide shows “header” screen and main billing group, which prices the main component.

Each task may have its own billing group to bill for specific items such as parts and labour. In this example, serviceable parts are billed for as a separate line item.

 To find or add billing groups, Global, billing groups.

 To find or add billing groups, Global, billing groups. From this screen, you can add, edit, delete.

For large volume, standard repairs/overhauls when a consistent main component price is required, it is useful to have a flat rate price for the main component. When you have few customers with customized pricing, a flat rate matrix may be a better fit. Each time the main component is priced, the table provides the customer’s specific pricing automatically.

 Adding flat rate matrix. From Shop control Setup.

 To edit a customer’s price: To add a new customer:

Billing groups can be used for different types of pricing, flat rate, * cost, * list, actuals, as well as a customer driven matrix. etc. You may also pick and choose which segments to bill for, eg. Parts, outside vendors, consumables.

Parts will be priced as list * markup, the markup code is table driven by your specific codes. You can have as few or as many markup codes as needed. This is true of each segment.

Custom overrides can also be created that are customer driven and are stored in the company’s profile. These are generated from the list of billing groups, using the CREATE OVERRIDE function. Locate company, and choose group to be customized.

You may now add a custom price to be stored in the company profile. BEWARE: this option is convenient, but WILL be added to the selection of billing groups each time a quote is created. Add customer’s specific price

In the work order, parts are added to the tasks you wish to have them billed under. This task will have an associated billing group with a pricing structure.

Global, Quote, Groups shows you the billing groups associated with your template/work order. You can edit, delete, add billing groups if needed for each circumstance. Flag tasks shows you which task is associated with the individual groups, you may make changes if needed using the apply function.

Billing groups can give a degree of flexibility. In this example, we are adding a billing group to the work order and editing the price for the specific activity performed.

Global, Quote, Work orders, ADD, allows you to add a quote. In this screen you can change ship to, taxes, shipping method.

Now you are creating the quote, you may now begin to add the items by selecting Add and Items from Work Order.

Select the items you wish to bill for as well as the corresponding billing groups.

This is one of the standard invoicing forms that can be customized. The next shot will illustrate how descriptive the quote can be when customized. Parts broken out by billing groups.

 Example of customized quote form.

As the quote is approved and unit is ready for shipment, quote is approved and rolled to billing. Billing is posted as final step in invoicing process. Billing is identical to quote.

Chart for status updates. This tool allows you to update work orders through the quotation. A quote must be approved before being rolled to billing and invoiced. This mechanism allows you to specify the work order status at each stage of quotation procedure.

Quotes can be revised, approved, denied before being “rolled” to billings. All levels can be adjusted/edited. Billing groups can be edited, as well as quotes, billings, and final invoices. In more complex uses, deposits and partial payments may be made on billings. A quote may be added to an existing billing, if more than one work order is on a final invoice. You may separate billing groups by product, part number, customer. You can also have a combination of different types of billing groups. Billing groups are flexible and easy to use. You can have as few or as many billing groups as you need. An alternate billing group may be selected by a user to complete a quotation. Billing groups are attached directly to the templates which is very convenient and helps to avoid mistakes. As billing groups may be also attached to the specific tasks in a template, it is very easy to have consistent pricing of parts for your customers. Billing groups are easily customized for specific customer applications You may control the work order status through status updates; saves steps. Advance billing has built in safeguards. Quote must be approved in order to invoice. Quote number “advances” as a new quote is generated, tracking if multiple quotes are created. In short, billing groups allow consistency and ease of use no matter the volume of users. Advantages of Advanced Billing:

The main disadvantage of billing groups is the maintenance. As your pricing is updated, you must insure you accurately update all of your groups. As well, when templates are created or modified it is critical to attach/edit the correct billing groups. Before embarking on a billing group strategy, it is important to decide how you will use billing groups and which types you will need. Without this groundwork, you can easily create an excess of groups making your quote process quite complicated. Disadvantages of Advanced Billing:

BASIC BILLING Sandy MacPhee 3 Points Aviation

BASIC BILLING OVERVIEW  Basic billing is a no frills way of billing the customer in the work order module.  Though it is limited in functionality, it’s simplicity can make it a great option for companies who do not have the time or resources to fully invest in the Advanced billing setup.  The basic billing method is ideal for doing Flat Rate billing as well as doing Time + Material billing.

Enabling Basic Billing Go to the Shop Control module and select Setup\Control Ensure the ‘Use Advanced Billing’ box is un-checked. This will enable both the Advanced and Basic billing in the Shop Control module. Otherwise, only the advanced billing option will display in the Global menu. Click ‘OK’ to accept the changes.

Flat Rate Quoting Through Work Plan Template The Header of the Work Plan Template has a Parts, Labor, and Misc fields. Check the ‘Flat Rate Labor’ and/or ‘Flat Rate’ check boxes to enable the fields. Enter your pricing into those fields and click ‘OK’. Each time you apply that template to a work order it will populate that price automatically into the quote. This is useful when you are doing ‘Flat Rate’ pricing on specific products.

Flat Rate Quoting Through Work Order Header If you do not have Work Plan Templates setup for the product, you can also populate the Flat Rate price into the Work Order\Global\Edit Header. Check the ‘Flat Rate Labor’ and/or ‘Flat Rate’ check boxes to enable the fields. Enter your pricing into those fields and click ‘OK’. When you click ‘Create Quote’, the quote will populate with the values you inputted into the Work Order\Global\Edit Header fields.

Creating a Quote Go to Quote/Billing(basic)\Create Quote in the Global menu. The Quote screen will appear listing all the tasks, parts, and charges required on the work order. At the top of the screen there will be input fields for Parts, Labor, and Misc. These fields can be populated quickly and independently from the actions performed on the unit by clicking the ‘Fixed Price’ and/or ‘Fixed Labor Price’ boxes. These fields can also be automatically populated through the Work Plan Template header that is applied to the work order. This is useful when you are doing ‘Flat Rate’ pricing on specific products.

Rolling up Labor Charges Each task in a work order has a Labor Skill field as well as a Est Hours for the task. Basic Billing uses these two fields to produce a cost and price for the labor by multiplying these fields together. The Cost projection multiplies the ‘Burden’ rate on the skill by the Est Hours for the skill. The Price projection multiplies the ‘Billing Rate’ of the skill by the Est Hours for the skill.

Rolling up Parts Cost The parts used or entered as a requirement on a work order require a quantity and a per unit cost. The quantity is taken from the ‘Qty Needed’ field in the Parts Management tab. The per unit cost can be the average part cost, actual part cost, or can be manually entered if neither option is applicable. This allows for quoting of a unit prior to parts being issued or reserved to the work order.

Rolling up Parts Price Click ‘Mark-up’ button to access the item pricing options. The options for pricing are Markup of unit cost, Discounts of starting list price or current list price, and Profit Margin. It also allows you to select which items you want to select for pricing by checking the ‘Only Flagged Items’ checkbox. With this flag enabled, simply check the parts you want to mark- up and execute the pricing option for those parts. This includes labor and charges, so be aware of this when using this option.

Generating Quote When all the pricing has been set for quote, you can generate the quote by clicking the ‘Print’ button. The quote printing screen will appear, allowing you to select what options you want to appear on the quote document. Options such as Symptoms, Faults, Corrective Actions, and Parts required are very useful when trying to get the customer to accept the quote.

Quote Document The quote document is very similar to the STD Teardown Report. This can reduce the total time required to complete these documents, since much of the information is driven from the same source. This can give the customer a more complete picture of the work to performed in a more efficient manner. This quote will drive the creation of the sales order when the work order is completed.

Creating a Sales Order The main component SL is required for the Sales Order, so only create the SO after the WO has been reconciled. Click the Create SO/Invoice in the Quote/Billing(basic) menu. In the pop-up you will see items that require billing, have previously been billed, and other options that allow you to un-bill or modify the billing. The sales order is created from the quote. Though you may also bill from the sales order screen if a quote is not required. Click ‘Bill(SO)’ to only create a sales order. Click ‘Bill(Invoice)’ to allow Quantum to generate the sales order and invoice automatically.

Printing and Posting Invoice The sales order is handled through the Sales Order module, and the Invoice is handled through the Invoice module. This makes the transition from a sales oriented company to a R&O facility very easy. Reduces the number of custom forms that need to be created because the forms are shared.

ADVANTAGES OF BASIC BILLING  Does not require billing groups to operate.  Flat rate pricing directly loads through the application of the work plan template.  Simple, single screen viewing of all charges.  Sales order and Invoicing modules are accessed directly to create billings.  Allows manual updating of pricing.

DISADVANTAGES OF BASIC BILLING  Lack of billing group matrices.  No built-in safeguards to prevent unapproved work from shipping.  No historical tracking of previous quote versions.  No customer specific pricing options.  Does not account for actual labor hours.  Allows manual updating of pricing.

 Key Points to Take Home … – Using Quantum accounting for invoicing is efficient and flexible – There are different options for quoting and invoicing that can be customized for your operation – Work orders seamlessly flow into quotations and invoices using these methods

 Where to Find More Information – As a QUE Group Member be sure to subscribe to forums or visit – As a Quantum User be sure to visit Component Control at

 Your Turn! ? Questions? How to contact me: Kelley Brown or Sandy MacPhee or ext 8858 Please remember to complete your conference evaluation

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