Defining Discounts
You can define discounts and assign them to a price list. Examples of discounts include price reductions based on sales order line amount, sales order line quantity, specific products, or specific customers such as GSA contractors.
You can assign the same discount to many price lists by copying the discount and changing the price list. See: Copying Discounts.
You can control discounting privileges on the Sales Orders window. Use the OE: Discounting Privilege profile option to indicate whether you allow users to enter prices manually on orders and to limit that ability. See: Order Entry/Shipping Profile Options. If users can enter prices manually, there must exist an overridable discount appropriate for the order and order line. The resulting difference between the list price and the selling price is recorded as an order line price adjustment.
Prerequisites
To define a discount:
1. Navigate to the Discounts window.
2. Enter a name for the discount.
The combination of discount name and price list must be unique.
4. Enter the effective dates for the discount for this price list.
5. Check GSA if the discount is applicable to a GSA (General Services Administration) customer.
If you toggle this check box on, Oracle Order Entry/Shipping automatically chooses Lines as the discount type, toggles on the Apply Automatically check box, toggles off the Allow Override check box, and sets the Prorate poplist to None, skipping the Percent and Amount fields at this level. For GSA discounts you must toggle on the Fixed check box in the Discount Lines window or the Price Breaks window.
Oracle Order Entry/Shipping automatically applies GSA discounts to any customer or bill-to site marked as GSA, if you do not enter any specific customers for the discount. If you want to restrict a discount to a subset of your GSA customers, you can identify those customers in the Customers window. See: Defining GSA Pricing Structure.
Attention: Do not check the GSA box if you intend to base this discount on customer class or item category.
6. Select the discount type.
Order: Applies the discount to an entire order. If you choose this option, the discount can only be a percentage and it must be manual (Automatically Applied must not be checked).
Lines: Applies the discount to an order line.
7. Choose the method by which you want this discount prorated.
All Lines: Prorates all lines.
Category: Prorates lines of a particular order entry item category.
None: Does not prorate the discount.
Prorating applies to line-level discounts only. A prorated discount nets the same selling price as a non-prorated discount, but the accounting in Receivables is different. The difference between the selling price and the revenue amount recognized goes into the suspense account. When all the order lines interface to Receivables, the transaction sum to this account for the order is zero.
8. Check Apply Automatically if the discount is an automatic line-level discount.
The on-line pricing routine looks only at automatic discounts. Toggle this check box off if you want to choose this discount manually during order entry. This applies to line discounts only. This check box is always toggled off for order-level discounts.
If you have several automatic discounts, the one resulting in the lowest selling price is chosen.
9. Check Allow Override if you want to allow users to override the value of this discount.
If this check box is toggled on, you can enter any discount amount during order entry.
10. Optionally, enter the percentage amount of the discount.
If you enter a value in this field, you can change only the discount percent in the future, not the amount. If this discount is applied without restriction to the price list, you can enter the amount or percent in this window. If you have item restrictions for the discount, leave the amount and percent blank. For customer-only restrictions, you must enter the amount or percent. If you want to create a combination of customer and item restrictions, leave the amount and percent blank.
11. Optionally, enter the currency amount of the discount.
If you enter a value in this field, you can change only the discount amount when you apply it, not the percentage or price.
See Also
Discounts
Discount Privileges
Assigning Discounts
Applying Manual Discounts
Define your order types. See: Defining an Order Type.