Tariffs spiking out of nowhere? For distribution businesses, that can mean chaos—unless you’ve got the right tools. Here’s how we turned a tariff headache into a win for one client using Business Central.
At Crestwood Associates, we understand that tariffs can throw a wrench into your business—especially when they change fast. Recently, we worked with a large distribution client, a company handling millions in imports, to create a Business Central tariff solution that kept their operations humming. They needed a way to manage new tariffs across thousands of sales orders, and we delivered something simple, fast, and tailored to their needs.
The Problem: Import Tariffs Disrupt Distribution Businesses
This client had agreements with their customers: if tariffs hit, they’d share the extra costs. When that happened, they were stuck with a pile of open sales orders that needed updating—quickly. They couldn’t afford delays or manual workarounds, and they had to stay flexible since they were splitting costs between suppliers and buyers. Time was tight, and they needed a fix that worked with their Microsoft Dynamics 365 Business Central system.
Our Solution: A Flexible Business Central Tariff Solution for Supply Chain Tariffs
We built a tariff management tool right into their Business Central environment. Here’s how we made it work:
1. Simple Tariff Setup for Distributors
- We added a spot in the sales and receivables setup for a default tariff rate—like the 9.6% they started with—and linked it to their accounting records. It keeps everything organized and ready for reporting.
2. Flexible Inventory Control for Imports
- On their item list, we added a “Tariffable” checkbox and a field for setting the tariff rate. This lets them decide which products get tariffs and adjust the percentage if needed—perfect for a business with different import needs.
3. Real-Time Tariff Tracking on Sales Orders
- When they create a sales order, the system automatically calculates the tariff for any tariffable item and shows it on the line. It’s clear for their team and customers, with no extra steps.
Shipment Reporting for Supply Chain Clarity
- We connected tariffs to a charge item tied to shipments. Now they can pull reports to see exactly which orders or shipments have tariff costs—great for staying on top of finances.
Fast Fixes for Existing Orders
- For orders already in the system, we created a report to apply tariffs retroactively. It updated over 6,000 lines in just minutes, saving them hours of work.
The Results
- We had this up and running in under a week. The client can now update sales orders effortlessly, handle cost-sharing deals with confidence, and track everything in their reports. It’s a practical solution that fits their business—and it’s already in production, working like a charm.
Built to Grow
- This isn’t a one-off fix. We designed it with other businesses in mind, and we’re adding features like country-of-origin tracking and variable rates. That means this Business Central tariff solution can help more companies facing the same challenges.
Key Takeaways for Distribution Businesses
- Tariffs don’t have to derail your supply chain—Business Central can handle them.
- Flexible tools let you split costs and update inventory fast.
- Crestwood’s solutions save time and keep your distribution ERP running smoothly.
Why Crestwood?
At Crestwood Associates, we’re all about making Microsoft Dynamics 365 Business Central work for you. Tariffs don’t have to slow you down—our sales order tariff tool is fast, flexible, and built right into the system you already use. It’s how we help clients stay ahead, no matter what’s coming next.
About Crestwood Associates
At Crestwood Associates, we’ve been helping businesses get the most out of Microsoft Dynamics 365 Business Central and other ERP solutions for 30 years. Our team of experts delivers practical, tailored solutions—like this tariff tool—to keep your operations running smoothly, no matter the challenge. Ready to simplify your Business Central experience? We’re here to make it happen.
