Updating Prices

This chapter discusses how to:

• Update base prices.

• Update prices for a customer.

• Convert price levels.

• Generate new base prices in a different currency.

Updating Base Prices

This section provides an overview of base price updates and discusses how to:

• Set processing options for the Base/Price Maintenance - Batch program (R41830).

• Run the Base/Price Maintenance - Batch program.

Understanding Base Price Updates

After you define base prices, you can update them as needed, for example, to change a price or create a price that will be effective on a future date. You can use the Base Price Revisions program (P4106) to update base prices individually, or you can run the Base/Price Maintenance - Batch program (R41830) to update multiple prices at one time. When you update multiple prices in batch mode, the system either overrides the existing price with a new price or calculates an adjustment to the existing price, depending on how you set the processing options for the Base/Price Maintenance - Batch program.

The system creates new prices based on the valid price that is selected by the batch program. When you run a version of Base/Price Maintenance - Batch in proof mode, the system generates a report that displays the updates that the program will make to the selected records when you run it in final mode.

When you set up a version of this program, you identify the specific fields that you want the system to select. For example, you can set up a version to select customer, customer group, item, or item group. Or you can exclude certain types of prices that you do not want to update.

Any new prices that the system creates are included in the report, as well as their effective dates and the old price that the system used as the basis for the new prices. You can run this program in proof mode as many times as necessary.

Change Existing Prices

To change multiple prices, you can run the base price revisions version of the Base/Price Maintenance - Batch program. Depending on how you set the processing options, the program either overrides the existing price with a new price that you specify or calculates an adjustment to the existing price. The adjustment can be an addition, a subtraction, a percentage adjustment, or an override amount.

When you run the base price revisions version in proof mode, the system generates a report that displays the updates that the program will make to the selected records when you run it in final mode. You must set the update processing option for this program to perform updates to the Item Base Price File table (F4106).

Create Future Prices

To create multiple base prices that you can use on a future date, you can run the future price additions version of the Base/Price Maintenance - Batch program. This version of the program writes new price records to the F4106 table that are based on the effective dates in the price additions processing option for this program. You must specify a from date and a through date or the program ends without creating the new prices.

When you run the future price additions version in proof mode, the system generates a report that displays the updates that the program will make to the selected records when you run it in final mode.

The system creates future prices based on the existing price with the greatest expiration date. Depending on how you set the processing options, the program either overrides the existing price with a new price that you specify or calculates an adjustment to the existing price. The adjustment can be an addition, subtraction, or percentage adjustment. If you leave the adjustment type and factor blank, the system copies future prices from the current price and does not apply any adjustments.

See Also

Generating New Base Prices in a Different Currency

Setting Processing Options for the Base/Price Maintenance - Batch Program (R41830)

Use these processing options to control whether the system updates the Item Base Price File table (F4106), to specify price adjustments, and to specify whether new records are created or existing records are updated.

Update

This processing option determines whether the system updates the F4106 table.

Adjustments

These processing options specify the type and factor of a price adjustment.

Date

These processing options control whether base prices are updated or whether new records are created.

Running the Base/Price Maintenance - Batch Program

Select Price Management (G4222), Batch Base Price Revisions.

Updating Prices for a Customer

This section provides an overview of customer price updates and discusses how to:

• Set processing options for the Sales Order Batch Price/Cost Update program (R42950).

• Run the Sales Order Batch Price/Cost Update program.

Understanding Customer Price Updates

You update prices for a customer to recalculate sales orders based on the most current price or price adjustment. You might need to do this for items with volatile prices. You can also use this process to update the unit and extended costs of items on sales orders with the most current costs. If multicurrency processing is activated in the system, the system also updates the Foreign Unit and Extended Costs fields.

This table describes the tasks that use the Sales Order Batch Price/Cost Update program to:

You can set the processing options for the Sales Order Batch Price/Cost Update program to define which date on the sales order the system uses to determine whether it should recalculate costs or prices. For example, you can base the recalculations on the promised date. Sales order prices can be updated more than once.

When you run the Sales Order Batch Price/Cost Update program, the system updates the order detail information for open sales orders. The system can either replace the current price in the order detail line with the new price or the system can add a nonstock line for the difference between the current price and the new price. You must specify a nonstock line type in the processing options for the system to add an additional line. If you do not specify a line type, the system overrides the original price with the new price.

After you run the Sales Order Batch Price/Cost Update program, you can review the report, which details the changes to the original unit price and extended price on each sales order.

Note. You can set the processing options on the Sales Update program (R42800) or the Print Invoices program (R42565) to run the Sales Order Batch Price/Cost program prior to creating general ledger (GL) records. The system updates all selected sales orders with current costs (if orders have not been shipped), exchange rates, and prices before it creates general ledger records.

Setting Processing Options for the Sales Order Batch Price/Cost Update Program (R42950)

Use these processing options to control system processing and system updates, and to specify versions.

Process

These processing options specify whether to update costs, exchange rates, and intercompany exchange rates on sales orders.

Price Process

These processing options specify whether the system updates the price on a sales order, defines the effective date used to update prices, and retains the sales order price effective date.

Display/Calculation

These processing options specify whether the system creates a new line and status for the price change, updates price based on the quantity or split quantity, and handles free goods on the original sales order.

Versions

This processing option controls the version that the system uses when calling the Sales Order Entry program.

Running the Sales Order Batch Price/Cost Update Program

Select Price Management (G4222), Batch Update Sale Price/Cost.

Converting Price Levels

This section provides an overview of price level conversions and discusses how to:

• Set processing options for the Item Sales Price Level Conversion program (R41816).

• Run the Item Sales Price Level Conversion program.

Understanding Price Level Conversions

You use the Item Sales Price Level Conversion program (R41816) to change the sales price level of an item or a group of items that you have previously entered in the Item Master table (F4101).

You can run this program in proof or final mode. You should always run the Item Sales Price Level Conversion program in proof mode first to identify errors. The program generates a report that displays any problems the system encounters during sales price level conversions. You can correct these errors before you run the program in final mode.

The Item Sales Price Level Conversion program deletes all price records at the previous level and creates new price records at the new level. For example, when converting from the item/branch/plant level to the item level, the program deletes all price records for each item/branch/plant and creates a new price record for the item.

You should not attempt to access the Item Master or Item Base Price File tables when this program is running in final mode.

Because this program is based on the F4101 file, you cannot search on a specific branch/plant.

Setting Processing Options for the Item Sales Price Level Conversion Program (R41816)

Use these processing options to control how the system processes data.

Process

These processing options control whether the system runs in proof or final mode, defines the price level that is being changed, prints an exception report, and deletes expired records.

Running the Item Sales Price Level Conversion Program

Select Sales Order Advanced & Technical Ops (G4231), Sales Price Level Conversion.

Generating New Base Prices in a Different Currency

This section provides an overview of new base prices in a different currency and discusses how to:

• Set processing options for the Base Price Generation by Currency Program (R410601).

• Generate new base price or currency.

Understanding New Base Prices in a Different Currency

You can create new base prices in a different currency for multiple records at one time by running the Generate Base Price/Currency program (R410601). This program generates new base prices based on existing records.

The Generate Base Price/Currency program is especially useful if you need to create multiple base price records in a different currency. For example, use this program if the company is about to conduct business with a customer who uses a currency in which you do not have base price records. If you need to create a new price for an individual record, update the existing record on the Base Price Revisions form. You do not have to run this program.

When you run the Generate Base Price/Currency program, use the processing options to control the currency and exchange rate in which the new base prices are created.

The Generate Base Price/Currency program copies the original base price record, calculates a new amount, and creates a price record with the new currency amount. More specifically, the program:

• Creates only one new base price record for each unit of measure.

  It does not create a price record for a currency if the record already exists. The exception to this rule is when currency codes that are associated with an item have different effective through dates. Depending on the dates, the program might create more than one new price record.

• Runs the Generate Base Price/Currency program first in proof mode, and then in final mode in the following way:

  • Proof

    Review the audit report to ensure that the records that are generated by the program are accurate. If the audit report is not accurate, change the processing option and data selection values accordingly and rerun the program in proof mode.

  • Final

    When you are satisfied with the audit report that is created in proof mode, run the program in final mode. Review the new base price records on the audit report. You can also review new records on the Base Price Revisions form. Notice that the amounts are rounded according to the decimal places that are set up in the data dictionary for Unit Price (UPRC).

    If necessary, adjust the new base price records manually on the Base Price Revisions form. For example, if the program creates a new base price for 50,000 JPY as 675.1155 CAD, you might adjust the new amount to 675 CAD.

Example: Generating New Base Prices

This example describes an item with base price records before and after you generate a new base price in a different currency.

Before you generate new base prices, an existing item has these base price records:

The processing options for the Generate Base Price/Currency program are set in the following way:

• Run Modes

  • Mode = 1 (final)

  • Date = June 30

• Currency

  • Convert to = EUR

  • Convert From = USD

  • Exchange rate = 1.02011

  • Method = 1 (multiplier)

Even though several currency amounts are associated with the item, the program generates only one new EUR amount based on the USD price.

The Generate Base Price/Currency program generates a new price record for 1,020.11 EUR, based on the 1,000.00 USD record. The original 1,000.00 USD record remains so that you can continue to invoice customers in that currency, as needed. The existing item has new base price records:

After the new price record is generated for 1,020.11 EUR, the program will not generate another price record for the item unless the expiration date of the existing price record is greater than or equal to the date that is entered in the processing option.

Data Selection for Generate Base Price/Currency Program

Typically, companies generate new base prices for all customers within a specific branch/plant. If the company has multiple branch/plants with different currencies, you can run the Generate Base Price/Currency program multiple times. For base prices that do not have a branch/plant, specify blank for branch/plant in the data selection.

Setting Processing Options for the Base Price Generation by Currency Program (R410601)

Use these processing options to control the processing mode and specify the currency data when running this program.

Run Modes

These processing options specify whether to run the program in proof or final mode and determine the date to use when the system generates new price records.

Currency

These processing options specify the currency codes, currency conversion rate, and conversion method.

Generating New Base Price or Currency

Select Price Management (G4222), Generate Base Price/Currency.