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Unit Non Quota Compensation Examples

The compensation examples employ the following syntax:

<Payment Type>:<Apply Txn>:<Accumulate On/Off>:<Split On/Off>

The methods to use Unit Non Quota compensation to calculate transactions are:

The Sales Activity table lists the transaction amount, the product sold, and the performance that is being used to calculate commission for each of these methods. Revenue classes A and B are tied to these plan elements.

Sales Activity
Transaction Amount Units Product Performance (Achievement) Revenue per Unit ($Amount/Unit)
$500 40 A 40 $500/40 = $12.50
$500 600 B 640 $500/600 = $0.83

The UNQ Percentage Rate Table is used to calculate the commission rate for the following payment types:

UNQ Percentage Rate Table
Tier Commission
Units Percent
From To %
0 500 5
500 1000 10
1000 9999 15

The UNQ Amount Rate Table is used to calculate the commission amount for the fixed amount payment type.

UNQ Amount Rate Table
Tier Commission
Units Amount
From To Amount
0 500 5.00
500 1000 10.00
1000 9999 15.00

Applied Transaction Amount Percentage : Individually : Accumulate On : Split On

This type of plan element is typically used to compensate external agents on sales of units. There is no quota defined; however, the commission rate depends on unit achievement and the sales agents receive a percentage of revenue that they earn.

When this type of plan element is used with the Split check box checked, the sales representatives, who sell the same number of units of each product at the same price will receive the same commission amount regardless of the total number of sales they made.

Unit Non Quota Plan Element Example 1
Active Periods JAN-97 to DEC-97
Interval Type Quarter
Split On
Accumulate On
Apply Txn Individually
Payment Type Applied Transaction Amount Percentage
Rate Table UNQ Percentage
Discount Option None

This plan element calculates compensation for each transaction. The unit achievement continues to accumulate throughout the interval. The unit achievement starts over at the beginning of each quarter. Oracle Sales Compensation adds up the number of units, finds the commission rate in the UNQ Percentage Rate Table, multiplies this rate by the revenue per unit times the number of units to derive the commission.

Calculation Formula
Commission rate Determined by the tier in which the unit is located in the UNQ Percentage Rate Table.
Commission Commission rate x revenue per unit x units.

   To calculate the commission for product A:

   To calculate the commission for product B:

In this case, the 640 units cross over both the first and second tiers in the UNQ Percentage Rate Table; therefore, the associated revenue will be split across both tiers, and two different rates will be used to calculate the commission.

   To calculate the commission for products A and B:

Calculate the commission for products A and B.

The total commission for products A and B for the quarter is: $25 + $30.71 = $55.71.

Applied Transaction Amount Percentage : Individually : Accumulate On : Split Off

This type of plan element is typically used to compensate external agents on sales of units. There is no quota defined; however, the commission rate depends on unit achievement and the sales agents receive a percentage of revenue that they earn.

When this type of plan element is used with the Split check box unchecked, the sales representatives, who sell the same number of units of each product at the same price may not receive the same commission amount. If a transaction spans more than one tier, the transaction will not be appropriately split across the different tiers, instead the higher rate will be used to calculate the entire transaction. Companies may use this feature to provide an added incentive for sales representatives to make large sales to each individual customers.

Unit Non Quota Plan Element Example 2
Active Periods JAN-97 to DEC-97
Interval Type Quarter
Split Off
Accumulate On
Apply Txn Individually
Payment Type Applied Transaction Amount Percentage
Rate Table UNQ Percentage
Discount Option None

This plan element calculates compensation for each transaction. The unit achievement continues to accumulate throughout the interval. The unit achievement starts over at the beginning of each quarter. Oracle Sales Compensation adds up the number of units, finds the commission rate in the UNQ Percentage Rate Table, multiplies this rate by the revenue per unit times the number of units to derive the commission.

Calculation Formula
Commission rate Determined by the tier in which the unit is located in the UNQ Percentage Rate Table.
Commission Commission rate x revenue per unit x units.

   To calculate the commission for product A:

   To calculate the commission for product B:

   To calculate the commission for products A and B:

Calculate the commission for products A and B.

The total commission for products A and B for the quarter is: $25 + $49.80 = $74.80.

Fixed Amount : Individually : Accumulate On

This type of plan element is typically used to compensate external agents on sales of units. There is no quota defined; however, the commission rate depends on the fixed amount defined by the level of achievement.

Unit Non Quota Plan Element Example 3
Active Periods JAN-97 to DEC-97
Interval Type Quarter
Apply Txn Individually
Accumulate On
Payment Type Fixed Amount
Rate Table UNQ Amount
Discount Option None

This plan element calculates compensation for each transaction. The unit achievement continues to accumulate throughout the interval. The unit achievement starts over at the beginning of each quarter. Oracle Sales Compensation adds up the number of units, finds the commission amount in the UNQ Amount Rate Table, multiplies this rate by the number of units to derive the commission.

Calculation Formula
       
Commission rate Determined by the tier in which the unit is located in the UNQ Amount Rate Table.
Commission Commission amount x number of units.

   To calculate the commission for product A:

   To calculate the commission for product B:

   To calculate the commission for products A and B:

Calculate the commission for products A and B.

The total commission for products A and B for the quarter is: $200 + $6,000 = $6,200.

Payment Amount Percentage : Individually : Accumulate On

This type of plan element is typically used to compensate external agents on sales of units. There is no quota defined; however, the commission rate depends on the percentage of the payment.

Unit Non Quota Plan Element Example 4
Active Periods JAN-97 to DEC-97
Interval Type Quarter
Apply Txn Individually
Accumulate On
Payment Type Payment Amount Percentage
Payment $1,000.00
Rate Table UNQ Percentage
Discount Option None

This plan element calculates compensation for each transaction. The unit achievement continues to accumulate throughout the interval. The unit achievement starts over at the beginning of each quarter. Oracle Sales Compensation adds up the number of units, finds the commission rate in the UNQ Percentage Rate Table, multiplies this rate by the payment amount to derive the commission.

Calculation Formula
Commission rate Determined by the tier in which the unit achievement is located in the UNQ Percentage Rate Table.
Commission Commission rate x payment.

   To calculate the commission for product A:

   To calculate the commission for product B:

   To calculate the commission for products A and B:

Calculate the commission for products A and B.

The total commission for products A and B for the quarter is: $50 + $100 = $150.

Applied Transaction Amount Percentage : Individually : Accumulate Off : Split Off

This type of plan element is typically used to compensate sales representatives for large sales for each company.

Unit Non Quota Plan Element Example 5
Active Periods JAN-97 to DEC-97
Interval Type Quarter
Split Off
Accumulate Off
Apply Txn Individually
Payment Type Applied Transaction Amount Percentage
Rate Table UNQ Percentage
Discount Option None

This plan element calculates compensation for each transaction. The unit achievement is not accumulated throughout the interval. The unit on the transaction is treated separately from any other transaction. For each transaction, Oracle Sales Compensation finds the commission rate in the UNQ Percentage Rate Table, multiplies this rate by the revenue per unit on transaction to derive the commission.

Calculation Formula
Commission rate Determined by the tier in which the unit is located in the UNQ Percentage Rate Table.
Commission Commission rate x revenue per unit on transaction.

   To calculate the commission for product A:

   To calculate the commission for product B:

   To calculate the commission for products A and B:

Calculate the commission for products A and B.

The total commission for products A and B for the quarter is: $25 + $50 = $75.

Fixed Amount : Individually : Accumulate Off

This type of plan element is typically used to compensate external agents on sales of units. There is no quota defined; however, the commission amount depends on the fixed amount defined by the achievement.

Unit Non Quota Plan Element Example 6
Active Periods JAN-97 to DEC-97
Interval Type Quarter
Apply Txn Individually
Accumulate Off
Payment Type Fixed Amount
Rate Table UNQ Amount
Discount Option None

This plan element calculates compensation for each transaction. The unit achievement is not accumulated throughout the interval. The unit on the transaction is treated separately form any other transaction. For each transaction, Oracle Sales Compensation finds the commission amount in the UNQ Amount Rate Table, multiplies this rate by the number of units to derive the commission.

Calculation Formula
Commission rate Determined by the tier in which the unit is located in the UNQ Amount Rate Table.
Commission Commission amount x number of units.

   To calculate the commission for product A:

   To calculate the commission for product B:

   To calculate the commission for products A and B:

Calculate the commission for products A and B.

The total commission for products A and B for the quarter is: $200 + $6,000 = $6,200.

Payment Amount Percentage : Individually : Accumulate Off

This type of plan element is typically used to compensate external agents on sales of units. There is no quota defined; however, the commission rate depends on the percentage of the payment.

Unit Non Quota Plan Element Example 7
Active Periods JAN-97 to DEC-97
Interval Type Quarter
Apply Txn Individually
Split Off
Accumulate Off
Payment Type Payment Amount Percentage
Payment $1,000.00
Rate Table UNQ Percentage
Discount Option None

This plan element calculates compensation for each transaction. The unit achievement is not accumulated throughout the interval. For each transaction, Oracle Sales Compensation finds the commission rate in the UNQ Percentage Rate Table, multiplies this rate by the payment amount to derive the commission.

Calculation Formula
Commission rate Determined by the tier in which the unit is located in the UNQ Percentage Rate Table.
Commission Commission rate x payment.

   To calculate the commission for product A:

   To calculate the commission for product B:

   To calculate the commission for products A and B:

Calculate the commission for products A and B.

The total commission for products A and B for the quarter is: $50 + $100 = $150.

Applied Transaction Amount Percentage : Grouped By Interval

This type of plan element is typically used to provide a bonus to the sales representatives based on unit achievement. There is no quota defined; however, the commission rate depends on the unit achievement. The sales representatives receive a percentage of the revenue they earn; therefore, sales representatives are compensated, both on units and revenue.

Unit Non Quota Plan Element Example 8
Active Periods JAN-97 to DEC-97
Interval Type Quarter
Apply Txn Grouped By Interval
Payment Type Applied Transaction Amount Percentage
Rate Table UNQ Percentage
Discount Option None

This plan element pays once per quarter. Oracle Sales Compensation totals the number of units for all sales transactions during each quarter, finds the tier in the UNQ Percentage Rate Table for the commission rate, and multiplies this rate by the total transaction amount to derive the commission.

Calculation Formula
Commission rate Determined by the tier in which the unit is located in the UNQ Percentage Rate Table.
Commission Commission rate x the total transaction amount.

   To calculate the commission for products A and B:

Fixed Amount : Grouped By Interval

This type of plan element is typically used to provide a fixed dollar amount per unit sold to the sales representatives. There is no quota defined; however, the commission amount depends on the unit achievement.

Unit Non Quota Plan Element Example 9
Active Periods JAN-97 to DEC-97
Interval Type Quarter
Apply Txn Grouped By Interval
Payment Type Fixed Amount
Payment $500.00
Rate Table UNQ Amount
Discount Option None

This plan element pays once per quarter. Oracle Sales Compensation totals the number units for all sales transactions during each quarter, finds the appropriate tier in the UNQ Amount Rate Table to determine the commission amount, and multiplies this amount rate by the number of units to derive the commission.

Calculation Formula
Commission rate Determined by the tier in which the unit is located in the UNQ Amount Rate Table.
Commission Commission amount x number of units.

   To calculate the commission for products A and B:

Payment Amount Percentage : Grouped By Interval

This type of plan element is typically used to provide a bonus to sales representatives based on unit achievement. There is no quota defined; however, the commission rate depends on the unit achievement. The sales representatives receive a percentage of payment or incentive quota.

Unit Non Quota Plan Element Example 10
Active Periods JAN-97 to DEC-97
Interval Type Quarter
Apply Txn Grouped By Interval
Payment Type Payment Amount Percentage
Payment $1,000.00
Rate Table UNQ Percentage
Discount Option None

This plan element pays once per quarter. Oracle Sales Compensation totals the number of units for all sales transactions during each quarter, finds the appropriate tier in the UNQ Percentage Rate Table to determine the commission rate, and multiplies this rate by the payment amount to derive the commission.

Calculation Formula
Commission rate Determined by the tier in which the unit is located in the UNQ Percentage Rate Table.
Commission Commission rate x payment amount.

   To calculate the commission for products A and B:

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