Managing Tariffs in Epicor Prophet 21: Strategies That Work

Managing Tariffs in Epicor Prophet 21: Strategies That Work

April 15, 2025

P21 Tariff business rules

Managing Tariffs in Epicor Prophet 21: Strategies That Work

Tariffs are more than a headline — they’re a bottom-line issue.
For distributors using Epicor Prophet 21, the challenge lies not just in tracking tariff costs, but in automating, accounting for, and analyzing their impact across purchasing, inventory, and financials.

If you’re feeling the pressure to gain better control over tariff management in P21, you’re not alone — and we’re here to help.

Why Tariff Tracking Matters

Tariffs can significantly inflate your cost of goods sold. If your ERP system doesn’t capture them correctly, you’re left with skewed margins, inconsistent pricing, and reporting headaches.

The good news? Prophet 21 offers several tools to manage tariffs if configured and used correctly.


5 Proven Strategies to Handle Tariffs in Epicor Prophet 21

1️⃣ Use Landed Cost Codes

Create specific landed cost codes for tariffs to allocate these charges consistently across purchase orders. This method ensures tariffs are included in inventory valuation and cost layers without distorting product pricing.

2️⃣ Leverage Vendor Pricing Agreements

Update vendor pricing agreements to include anticipated tariff amounts. By embedding tariffs in your vendor cost structures, you can plan for true landed cost — before the PO is even created.

3️⃣ Map GL Accounts for Tariffs

Assign dedicated general ledger accounts for tariffs. This improves financial visibility, allowing you to report on tariff expense over time, by product category, or vendor origin.

4️⃣ Implement Custom Business Rules

Use P21’s business rules engine to automate logic around tariffs. For example:

  • Auto-apply a tariff based on country of origin
  • Flag high-tariff SKUs at the time of PO creation
  • Enforce tariff capture during AP voucher entry

These rules reduce manual effort and improve consistency in how tariff costs are treated.

5️⃣ Build BI Dashboards & Reporting Tools

Design custom dashboards in Epicor Data Insights or Power BI to analyze tariff costs over time. Visibility at this level allows purchasing and finance teams to react quickly and make smarter sourcing or pricing decisions.


How Scaled Solutions Group Can Help

At Scaled Solutions Group, we’ve helped hundreds of Epicor Prophet 21 users navigate challenges like tariff management, landed costs, and global sourcing complexities.

Here’s how we support our clients:

✔️ Business Process Review
We evaluate how your purchasing, AP, and inventory teams handle cost allocations today — and design better, more efficient workflows.

✔️ System Configuration & Automation
We configure landed cost codes, GL mappings, and custom business rules tailored to your business model — so you’re not just compliant, you’re competitive.

✔️ Custom Reporting & BI Dashboards
We deliver dashboards that put tariff data front and center — by SKU, vendor, region, or timeframe.

✔️ Training & User Adoption
We ensure your team knows why and how to use these tools effectively, so they become part of your everyday operations.


Final Thought

Tariffs aren’t going away — and ERP is your best weapon to manage their impact.
With the right configuration and a team that understands your operations, Prophet 21 can give you visibility, control, and confidence.

Need help reviewing your current setup?
Let’s connect. Scaled Solutions Group can walk you through a quick assessment and show how we help distributors build ERP strategies that actually work.

Need assistance? Contact Scaled Solutions Group today! For more information, contact Scaled Solutions Group at (866) 957-8419 or info@scaledsolutionsgroup.com or visit www.Get-Scaled.com.


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