Multi-Currency Purchasing

MPH WMS supports purchasing in multiple currencies. When you receive goods, costs are automatically converted to your warehouse's currency so that inventory valuation stays consistent.

How it works

Supplier invoice (EUR) → Goods receipt → Converted to warehouse currency (SEK) → Stock valuation

1. Create a purchase order in the supplier's currency (e.g., EUR, USD, GBP)
2. Receive goods - MPH WMS converts the unit cost to the warehouse currency using the latest exchange rate
3. Stock levels are always stored in the warehouse's currency
4. The original cost and currency are preserved on the goods receipt for audit

Currency at each stage

Setting the PO currency

When creating a purchase order:

1. The currency defaults to the supplier's default currency (set on the supplier record)
2. Changing the supplier on a draft order switches the currency to the new supplier's
3. You can override the currency per order if needed
4. All line costs (unit cost, tax, total) are entered in the PO currency

Supplier default currency

Each supplier has a default currency:

1. Go to Purchasing → Suppliers
2. Click on a supplier
3. Set the Currency field (e.g., EUR for a European supplier)
4. This will be pre-filled on new purchase orders for that supplier

Currency conversion on receipt

When you receive goods and the PO currency differs from the warehouse currency:

1. MPH WMS fetches the latest exchange rate
2. Costs are converted using a USD cross-rate:

   Converted cost = (PO unit cost ÷ PO currency rate) × Warehouse currency rate

3. The converted cost is used for stock levels and movements

Audit trail

Every goods receipt line records the full conversion details:

This ensures you can always trace back to the original supplier price.

Exchange rates

Exchange rates are managed in Settings → Exchange Rates.

Automatic updates

MPH WMS can fetch rates automatically from Open Exchange Rates:

1. Go to Settings → Exchange Rates
2. Click Refresh Rates
3. Latest rates are fetched and stored

Rates older than 7 days are flagged as stale.

Manual entry

You can also enter rates manually:

1. Go to Settings → Exchange Rates
2. Click Add Rate
3. Select the from and to currencies
4. Enter the rate
5. Click Save

Manual rates are marked with source manual to distinguish them from API-fetched rates.

How rates work

All exchange rates use USD as the intermediary:

• Each currency has a rate relative to USD
• To convert EUR → SEK: (amount ÷ EUR/USD rate) × SEK/USD rate
• This means you only need one rate per currency (vs. USD), not a rate for every possible pair

Example

Your warehouse currency is SEK. You receive a PO in EUR.

A PO line with unit cost 10.00 EUR converts to:

(10.00 ÷ 0.92) × 10.85 = 117.93 SEK

The stock level is created at 117.93 SEK per unit.

Landed cost and currencies

Landed cost components are always entered in the PO currency - the sheet inherits it from the order, and changing the order's currency moves the sheet with it. When a landed cost sheet is finalized:

• The cost is allocated across the lines in the PO currency, giving a landed unit cost per line
• That landed unit cost is then converted once, using the exchange rate the goods receipt captured - not a fresh rate - so the stock batch cost cannot drift away from what was received
• The converted figure overwrites the goods receipt line, stock movement, and stock batch cost

The purchase order page shows the landed unit cost in the PO currency throughout; hover a receipt line's cost to see what was actually booked into stock in the warehouse currency.

Best practices

• Set supplier currencies when adding suppliers - saves time on every PO
• Keep exchange rates fresh - stale rates lead to inaccurate valuations. Use automatic updates or refresh manually before receiving goods
• Review the audit trail if valuations look unexpected - check the original cost and exchange rate on the goods receipt
• Use one base currency per warehouse - avoid mixing currencies within a single warehouse's stock