This chapter provides an overview of price rules and discusses how to:
Set up price rules.
Set up rounding rules.
This section discusses:
Rounding rules.
Pricing rules.
Pricing formula scenarios.
Price rounding rules identify the number of decimal points to use based on the base price that is used in the pricing calculation, provided the base price is the list price or if using a price list, the price list price. You can associate each price rule with a rounding rule or use the default rounding rule from the arbitration plan. You can also define whether each adjustment is rounded before it is applied, the net price is rounded after adjustments are applied, or both.
Use the Price Rounding Rules page to specify rounding rules. If rounding rules are not established, the system rounds according to how each application uses Enterprise Pricer. In PeopleSoft Order Management, for example, it is rounded to four decimal places, whereas PeopleSoft Customer Relationship Management (CRM) rounds by currency.
A price rule defines the conditions that the transaction must meet for the adjustments to apply. The price rule consists of one or more price conditions and one or more price formulas. The price condition defines the set of circumstances that make a price rule applicable to a transaction. The price formula defines the actions that take place when the pricing conditions are met.
Note. Pricing rules generated by the Pricing Load process in PeopleSoft Promotions Management are unavailable for entry or update. To make changes to these price rules, you must update the customer promotion or national allowance in Promotions Management and then run the Pricing Load process to load the new changes.
You can enter the conditions for the price rule in either basic or advanced mode. Basic mode enables you to create price rules using the AND operator. Advanced mode enables you to create more complex conditions. You can use the OR operator as well as the AND operator. Advanced mode enables you to enter the values for the price-by fields directly without going through the search or prompt page for the field. It also enables you to build complex conditions by using other conditions that are already defined for the rule. Advanced mode is the default setting for the page.
This is the process for entering a price rule condition in basic mode:
For a new price rule, select a transaction.
This transaction determines the valid price-by field names that are available for the conditions.
Note. In PeopleSoft CRM installations, the field appears by default and is unavailable for entry.
Change the default status from Pending to Deployed, Inactive, or Ready to Test.
Pending: |
Price rule is incomplete. Price rule validation is not performed when you save the rule. |
Deployed: |
Price rule is available for use in price calculations. |
Ready to Test: |
Price rule is complete. The price rule is available for use in the simulator, but not for price calculations. |
Inactive: |
Price rule is not active. The rule is not available for any price calculations. Use to inactivate a rule that was previously in use. |
Enter a description for the price rule.
This is a free-form text field.
Enter a short description.
A truncated version of the long description appears by default.
Select the child applications the price rule can be applied to, if the transaction has child applications that use its pricing data.
Select a field name in the Rule Conditions group box.
Enter multiple field names by inserting a new row for each field name. In Basic mode, the system automatically joins the two conditions with the AND operator.
Click the Search button to select values for the field names.
When you click the Search button, the system transfers you to a page from which you can search for and select values for the field name that you select. Values that are already selected for the condition automatically appear as selected. To restrict the search further, enter additional search data in the fields at the top of the page. Click the Search button, select one or more values to apply to the rule condition, and click OK.
The condition appears in the Rule Definition group box. The rule definition based on the last condition that you built appears. Additions to the existing condition are made using the AND condition.
This is the process for entering a price rule condition in advanced mode:
For a new price rule, select a transaction.
This transaction determines the valid price-by field names that are available for the conditions.
Note. In PeopleSoft CRM installations, the field appears by default and is unavailable for entry.
Change the status from Pending to Deployed, Inactive, or Ready to Test.
Pending: |
Price rule is incomplete. Price rule validation is not performed when you save the rule. |
Deployed: |
Price rule is available for use in price calculations. |
Ready to Test: |
Price rule is complete and is available for use in the simulator but not for price calculations. |
Inactive: |
Price rule is not active. The rule is not available for any price calculations. Use to inactivate a rule that was previously in use. |
Enter a description for the price rule.
This is a free-form text field.
Enter a short description.
A truncated version of the long description appears by default.
Select the child applications the price rule can be applied to, if the transaction has child applications that use its pricing data.
Select a field name in the Rule Conditions group box.
You can enter multiple field names by inserting a new row for each new field name.
Enter the field name values directly in the Identifier field or click the Search button.
Enter multiple values by separating the values with commas. Alternatively, you can click the Search button. The system transfers you to a page from which you can search and select values for the field name that you select for the condition. Values that are already selected for the condition automatically appear as selected. To further restrict the search, enter additional search data at the top of the page and click the Search button. Select the fields to apply to the rule condition and click OK.
The field name and value conditions that are defined in the Rule Conditions group box appear in the Combined Conditions group box. The individual rows in the Combined Conditions group box serve as a foundation for you to create more complex conditions.
Select the rows in the Combined Conditions group box that you want to use to create a more complex condition.
Select either the AND or the OR operator.
Click the Build Rule Definition button to create the advanced price rule.
The system automatically inserts the new condition in the Combined Conditions group box.
To create more complex conditions, selecting the new rows in the Combined Conditions group box, select an operator, and click the Build Rule Definition button until you create the desired rule definition.
Note. The payment methods Voucher, Debit Card, and Procurement Card are not available in the order header payment method field, so price rules are not defined for those payment methods. The multiple payment method field (with those additional values) is available only at payment time.
In Enterprise Pricer, you can create price rules that are as simple or as complex as you like. This section outlines various price rule scenarios and explains the price rule setup and process for each scenario.
Create a price rule where Customer 1005 will receive a discount amount of 10.00 EUR for purchasing between 1 and 10 units of product 10050. If 11 to 20 units are purchased, the customer will receive a 20.00 EUR discount. If more than 20 units are purchased, the customer will get a 3 percent discount. This rule is valid for the period through the end of the year.
To set up the price rule scenario, complete these steps:
Select Sales Orders as the transaction in the Rule Attributes group box of the Conditions page and enter a description.
Add Sold to Customer 1005 and Product ID 10050 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Discount/Surcharge as the Price Action Type and Cascading in the Cascading/Summed field.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
Today's Date |
December 31, 2005 |
Note. The ID is assigned by the system and it is entered in the Price Formulas group box to select the date range.
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
10 |
2 |
Quantity |
11 |
20 |
3 |
Quantity |
21 |
9999999999999.9999 |
Note. The ID is assigned by the system and it is entered in the Price Formulas group box to select the formula range.
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure (UOM) |
Currency |
Discount/Surcharge By |
Amount/Percentage |
1 |
1 |
EA |
EUR |
Amount |
–10 |
1 |
2 |
EA |
EUR |
Amount |
–20 |
1 |
3 |
EA |
EUR |
Percentage |
–3 |
Note. Remember to save the price rule and set the Status to either Deployed or Ready to Test.
Product Add - Giveaway Scenario
You can give away products, discount products, create Buy-One-Get-One (BOGO) price rules and Adjustment promotions.
Note. For online sales order processing, the product adds that are returned from Enterprise Pricer appear on a separate page. Choose which ones to add to the order. For batch processing, the product adds are inserted into the order automatically.
An example of a giveaway is "January 2005 Promotion - Buy 20–49 units of product A, get one product B free."
To create a price rule that is valid through the end of the year and that enables Customer 1005 to receive a product giveaway of one Product ID 10049 per order for purchasing between 20–49 units of product 10050, complete these steps:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page, and enter a description.
Add Sold to Customer 1005 and Product ID 10050 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Product Add as the Price Action Type and set the Rollup By field to Line.
Note. If set to roll up by line, 20–49 of product 10050 must be on the same line to match the price rule. If set to roll up by order (the default), 20–49 of product 10050 can be on different lines and they will still match the price rule.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
Today's Date |
December 31, 2005 |
Note. The ID is assigned by the system and it is entered in the Price Formulas group box to select the date range.
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
20 |
49 |
Note. The ID is assigned by the system and it is entered in the Price Formulas group box to select the formula range.
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
UOM |
Product Add By |
Qty/BOGO Factor |
1 |
1 |
EA |
Quantity |
1 |
Note. Currency is optional. If given, only transactions in the specified currency will match the price rule.
In Price Formula group box of the Formula Detail Page, specify the formula details:
Product ID |
UOM Promo |
Product Add Type |
10049 |
EA |
Per Order |
Product Add - Discounted Giveaway Scenario
Discounted giveaways are price rules that involve promoting an item but not necessarily giving the product away. An example of a discounted giveaway is "January 2005 Promotion - Buy product A, get one product B free and three additional purchases of Product B at 50 percent off the list price (Limit one free per order)."
Create a price rule by which with the purchase of Product ID 10050, Customer 1005 will receive one free item (Product ID 10049) and a 50 percent discount off the list price for three additional units of product 10049 when the order is placed between January 1, 2005, and January 31, 2005. Make this rule valid for the entire month of January 2005.
To set up the scenario for the price rule, complete these steps:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page and enter a description.
Add Sold to Customer 1005 and Product ID 10050 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Product Add as the Price Action Type.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range D |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
January 1, 2005 |
January 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
50 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
UOM |
Currency |
Product Add By |
Quantity /BOGO Factor |
Expression |
Description |
1 |
1 |
EA |
GBP |
Qty & Adj |
3 |
LIST_PRICE * 0.50) |
Give three items at half price. |
1 |
1 |
EA |
GBP |
Quantity |
1 |
In Price Formula group box of the Formula Detail Page, specify the formula details:
Formula ID |
Product ID |
UOM Promo |
Product Add Type |
1 |
10049 |
EA |
Per Order |
2 |
10049 |
EA |
Per Order |
Note. This example requires two formulas, one for the free
product and one for the product receiving a 50 percent discount.
For online sales order processing, the product adds that are returned
from Enterprise Pricer appear on a separate page. The Customer Service Representative
(CSR) can then choose which ones to add to the order. For batch processing,
the product Adds are inserted into the order automatically.
The Product Add Price Action
Type controls how many products to add after selecting the
formula (for example, 2 per line or 2 per order), whereas the Rollup By options
control how the formula is selected (for example, using the quantity of each
line or sum of all matching lines).
You can specify the quantity of a giveaway with a BOGO factor.
An example of a BOGO is "Buy three of product A, get one of product B free."
Create a price rule whereby, for each purchase of three 10050 products, Customer 1005 will receive one free product (Product ID 10049) when the product is ordered between January 1, 2005, and January 31, 2005. This rule is valid for all of January 2005.
To set up the scenario on the price rule, complete these steps:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page, and enter a description.
Add Sold to Customer 1005 and Product ID 10050 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Product Add as the Price Action Type and set the Rollup By field to Transaction.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
January 1, 2005 |
January 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
9999999999999.9999 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Currency |
Product Add By |
Qty/BOGO Factor |
1 |
1 |
EA |
GBP |
BOGO |
3 |
In the Price Formula group box of the Formula Detail page, specify the formula details:
Product ID |
UOM Promo |
10049 |
EA |
Note. For online sales order processing, the product adds that are returned from Enterprise Pricer appear on a separate page. The CSR can them choose which ones to add to the order. For batch processing, the product Adds are inserted into the order automatically.
The BOGO factor is used to calculate the product add quantity. The formula used is:
Total Quantity of Lines Matching Price Rule/BOGO Factor.
The resulting number derived from the calculation is truncated so that only the whole number is used.
For example, with a BOGO factor of 3, when the customer buys 2 they get 0 free. When they buy 3, 4, or 5 items, they get 1 free. When they buy 6, 7, or 8 items, they get 2 free items, and so on.
Min/Max Target Price Rule Scenario
Occasionally, products have numerous applicable price rules but business needs require you to dictate that the price for certain products falls within a specific range. When an item is associated with a minimum/maximum target price rule, the product adjustments will not exceed the minimum/maximum price established for that product.
An example of a minimum/maximum target price rule is "Unit price of item 10050 between 122.50 USD and 144.50 USD."
Note. This type of rule is often referred to as an Adjustment Cap. In the addition to capping the adjustment by price, you can also cap the adjustments by amount or percentage.
For this scenario, we will create a price rule for Product ID 10050 that ensures a target price of 122.50 to 144.50 USD for the entire month of January 2005:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page, and enter a description.
Add Product ID 10050 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Min/Max Target Price as the Price Action Type and set the Rollup By field to Transaction.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
January 1, 2005 |
January 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
9999999999999.9999 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Currency |
Target Price By |
Minimum Price |
Maximum Price |
1 |
1 |
EA |
USD |
Price |
122.50 |
144.50 |
Note. After all other adjustments are applied, if the minimum/maximum target price is exceeded, an additional adjustment is applied so that the product price will fall within the minimum and maximum price range specified in the formula.
Minimum/Maximum Margin Scenario
In addition to automatically adjusting the adjustments to ensure that a net price falls within a specified range, Enterprise Pricer can also perform margin checks to flag any transaction line when the product's margin falls outside the established minimum/maximum margins. Each transaction then decides how to respond to handle these transaction lines. In the case of Sales Orders, the schedule is put on "Margin Rule Hold."
The margin is calculated in this way:
Margin = Net Price – Product Cost
Margin Percentage = (Net Price – Product Cost)/Net Price *100
If Net Price = 0, the Margin Percentage is 0.
To calculate the margin, the transaction will pass the product cost even when Cost Plus Pricing is not used.
An example of a minimum/maximum margin price rule is "Margin for item 10050 between 18.5 percent and 44 percent."
For this scenario, we create a price rule for Product ID 10050 that ensures a target margin of no less than 18.5 percent and no more than 44 percent is in place for all orders generated during January 2005:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page, and enter a description.
Add Product ID 10050 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Min/Max Margin as the Price Action Type and set the Rollup By field to Transaction.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
January 1, 2005 |
January 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
9999999999999.9999 |
On the Price Formulas group box of the Formula page, specify the formula definition:
Date Range IDs |
Formula Range IDs |
Unit of Measure |
Currency |
Margin By |
Minimum Price |
Maximum Price |
1 |
1 |
EA |
USD |
Percent |
18.5 |
44 |
Note. When calculating the margin, you can also use alternate product, instead of product cost, by selecting Alternate Cost as Margin Base in the formula.
Tiered price rules indicate to Enterprise Pricer the potential need to break a given transaction line into multiple pricing schedules, thus giving the customer control over exactly the discount given by quantity ranges. Enterprise Pricer will perform the tiered calculation and create pricing schedules to pass back the quantity and net price for each quantity, along with the matching formula.
Note. Tiered pricing is only available for discount/surcharge and price override price rules. The formula breaks are based on quantity or price and should not overlap. If a gap occurs in the formula breaks, the gap is treated as no adjustment applied. During the pricing process, when sorting the price rules, the overall adjustment for the schedule is calculated to compare the tiered rule with other price rules.
An example of a tiered price rule is "Buy 25 of Product A. The first 25 are priced at 15 USD each, and additional units are priced at 12 USD each."
Create a tiered price rule for Product ID 10050 that ensures that if 50 units of Product ID 10050 are purchased on a single line of a sales order, then 25 units are priced at 15 USD per item and 25 units are priced at 12 USD per item for all orders generated during January 2005.
To set up the scenario on the price rule, complete these steps:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page and enter a description.
Add Product ID 10050 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Price Override as the Price Action Type and set the Rollup By field to Line.
Select the Tiered Pricing check box and specify a tiered increment of 1.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
January 1, 2005 |
January 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
25 |
2 |
Quantity |
26 |
9999999999999 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Currency |
Price Override By |
Price |
1 |
1 |
EA |
USD |
Price |
15 |
1 |
2 |
EA |
USD |
Price |
12 |
One-Time Only Price Rule Scenario
Enterprise Pricer supports the creation of price rules that are identified as one-time only, per price rule or per customer. When the one-time only price rule is determined to apply to the order, it can apply to multiple order lines/schedules in the same order.
An example of a one-time only price rule is "Customer 1005: Spend 1000 USD or more on an order, receive 10 percent off an order if you book it during the month of February 2005. This discount is offered to the customer only on the first order."
To set up the scenario on the price rule, complete these steps:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page. Enter a description.
Add Sold To Customer and Customer ID 1005 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Discount/Surcharge as the Price Action Type, set the Rollup By field to Transaction, and set the One Time Only field to Per Customer.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
February 28, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Price |
1000 |
9999999999.9999 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Currency |
Price Override By |
Price |
1 |
1 |
EA |
EUR |
Percentage |
-5 |
Mutually Exclusive Price Rule Scenario
Mutually exclusive price rules are used for discounts that are so good that no other discounts are allowed in conjunction with them. A mutually exclusive arbitration type enables you to create or modify arbitration plans to sort mutually exclusive rules appropriately.
An example of a mutually exclusive price rule is "Customer 1005: Spend 1000 USD, and buy 200 or more of product A to get 50 percent off the order. Not combined with other discounts."
Create a price rule whereby Customer 1005 receives one transaction during February 2005 that is discounted by 50 percent. The rule is valid only one time during the month of February.
To set up the scenario for the price rule, complete these steps:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page and enter a description.
Add Sold To Customer and Customer ID 1005, and add Product ID 10050 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Discount/Surcharge as the Price Action Type, set the Rollup By field to Transaction, select the Mutually Exclusive check box, and set the One Time Only field to Per Customer.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
February 28, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Price |
1000 |
9999999999.9999 |
2 |
Quantity |
200 |
9999999999.9999 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Currency |
Price Override By |
Price |
1 |
1,2 |
EA |
EUR |
Percentage |
-50 |
Compound Date Breaks Within a Price Rule Scenario
The previous scenarios provided examples of matching a single date for applying price formulas. You can also create price rules by which multiple dates must match for the price formula to apply.
An example of a price rule with multiple date breaks is "Customer 1005: Order 1000 USD worth of product 10050 and book the order in February 2005 with a scheduled ship date in February 2005, and save 5 percent off the order."
Create a price rule whereby Customer 1005 buys 1000 USD of Product 10050 with an order date in February 2005 and a ship date in February 2005, and receives a 5 percent discount off their order total.
To set up the scenario for the price rule, complete these steps:
Add Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page, and enter a description.
Add Sold To Customer and Customer ID 1005, and add Product ID 10050 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Total Order Discount/Surcharge as the Price Action Type.
The Rollup By field is automatically set to Transaction.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
February 28, 2005 |
2 |
Schedule Ship Date |
February 1, 2005 |
February 28, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Price |
1000 |
9999999999.9999 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Currency |
Price Override By |
Price |
1,2 |
1 |
EA |
EUR |
Percentage |
-5 |
Compound Pricing Formula Scenario
Compound formulas use four values: quantity, amount, weight, and volume. During the pricing process, a price rule with compound formula breaks will match the Price Type node in the arbitration plan if one of the values of the compound break matches that of the price type. For example, if the price rule is by quantity and amount, then it will match both the Quantity and Extended Price type nodes in the arbitration plans.
Note. Not all four compound formula types are valid for each transaction. The application and transaction setup determines the types of compound formulas that are valid. For example, only quantity and amount are used for sales order lines, and weight and volume are valid for load pricing.
An example of a compound price rule is "Apply a 10 percent discount if the total order is 50,000 USD or more and the total order quantity is 500 or more. Both conditions must be met to receive the 10 percent discount."
Note. Compound Pricing Formula rules are not allowed for tiered and period-to-date price rules because the price rules use the accumulated quantity or amount across the order to find the formula.
To set up the scenario for the price rule, complete these steps:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page. Enter a description.
Add Sold To Customer and Customer ID 1005 to the Rule Conditions group box of the Conditions page.
In the Rule Attributes group box of the Formula page, select Discount/Surcharge as the Price Action Type.
Set the Rollup By field to Transaction.
Set the Cascading/Summed field to Summed.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
February 28, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Price |
50,000 |
9999999999.9999 |
2 |
Quantity |
500 |
999999999 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Currency |
Price Override By |
Price |
1 |
1,2 |
EA |
EUR |
Percentage |
-10 |
Rollup Options Within a Price Rule Scenario
Enterprise Pricer enables you to indicate how quantities are combined for quantity price breaks using the Rollup By option at the price rule level.
The rollup rule options are:
Transaction
Rollup is by transaction, from all order schedules that match the same price rule.
Line
Rollup is by order line.
Schedule
Rollup is by order schedule.
Rollup Rule
Rollup is controlled by a Rollup Rule.
Suppose this price rule is created:
Price Rule: Sinks
Price Action Type: Discount/Surcharge
Condition: Product = Sinks
Formulas:
Formula # |
Min and Max Quantity |
Discount |
1 |
1–10 |
–5 percent |
2 |
11–20 |
–10 percent |
3 |
21–30 |
–15 percent |
4 |
31–99 |
–20 percent |
The sales order contains:
Line |
Schedule |
Quantity |
Product |
1 |
1 |
5 |
Sinks |
1 |
2 |
7 |
Sinks |
2 |
1 |
15 |
Sinks |
2 |
2 |
8 |
Sinks |
If the Rollup By option on the order is set to:
Transaction (or the Rollup By option is blank), the order is processed as outlined in the table:
Line |
Schedule |
Quantity |
Product |
Rollup Quantity |
Formula |
Adjustment |
1 |
1 |
5 |
Sinks |
35 |
4 |
–20 percent |
1 |
2 |
7 |
Sinks |
35 |
4 |
–20 percent |
2 |
1 |
15 |
Sinks |
35 |
4 |
–20 percent |
2 |
2 |
8 |
Sinks |
35 |
4 |
–20 percent |
Line, the order is processed as outlined in the table:
Line |
Schedule |
Quantity |
Product |
Rollup Quantity |
Formula |
Adjustment |
1 |
1 |
5 |
Sinks |
12 |
2 |
–10 percent |
1 |
2 |
7 |
Sinks |
12 |
2 |
–10 percent |
2 |
1 |
15 |
Sinks |
23 |
3 |
–15 percent |
2 |
2 |
8 |
Sinks |
23 |
3 |
–15 percent |
Schedule, the order is processed as outlined in the table:
Line |
Schedule |
Quantity |
Product |
Rollup Quantity |
Formula |
Adjustment |
1 |
1 |
5 |
Sinks |
5 |
1 |
–5 percent |
1 |
2 |
7 |
Sinks |
7 |
1 |
–5 percent |
2 |
1 |
15 |
Sinks |
15 |
2 |
–10 percent |
2 |
2 |
8 |
Sinks |
8 |
1 |
–5 percent |
Simple Rollup Price Rule Scenario
A Rollup price rule is used to roll up the quantities or amounts. The rollup is then used by a different price rule to match the formula break for adjustment consideration. Because the rollup rule it is intended to group products for formula consideration, the rollup rule is always by transaction.
You create several rules for the various types of bathroom fixtures.
You have one rule that is a rollup rule that applies to all products that belong to the product group called Bathroom Fixtures.
This rule is used to roll up the total quantities and is called Fixtures.
You have one rule called Showers that provides a discount on shower stalls.
You have one rule called Tubs that provides a discount on bathtubs.
You have one rule called Sinks that provides a discount on sinks.
To set up the scenario, you must create all four price rules:
Create the rollup rule for all items belonging to the Bathroom Fixtures product group (Group FIX).
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page.
In the Description field, enter Fixtures.
Add Product Group to the Rule Conditions group box of the Conditions page, and select the product group called FIX.
In the Rule Attributes group box of the Formula page, select Rollup Only Rule as the Price Action Type.
Set the Rollup Exclude field to None.
For the rule that applies to products belonging to the Shower Stalls product group (Group STALL):
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page.
In the Description field, enter Showers.
Add Product Group to the Rule Conditions group box of the Conditions page, and set the group ID to STALL.
In the Rule Attributes group box of the Formula page, select Discount/Surcharge as the Price Action Type.
Set the Rollup By field to Rollup Rule, and select the Fixtures rollup rule.
Set the Cascading/Summed field to Summed.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
December 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
10 |
2 |
Quantity |
11 |
20 |
3 |
Quantity |
21 |
99 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Price Override By |
Price |
1 |
1 |
EA |
Percentage |
–2 |
1 |
2 |
EA |
Percentage |
–5 |
1 |
3 |
EA |
Percentage |
–8 |
For the rule that applies to products belonging to the Bathtubs product group (Group TUBS):
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page.
In the Description field, enter Tubs.
Add Product Group to the Rule Conditions group box of the Conditions page, and set the group ID to TUBS.
In the Rule Attributes group box of the Formula page, select Discount/Surcharge as the Price Action Type.
Set the Rollup By field to Rollup Rule, and select the Fixtures rollup rule.
Set the Cascading/Summed field to Summed.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
December 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
10 |
2 |
Quantity |
11 |
20 |
3 |
Quantity |
21 |
99 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Price Override By |
Price |
1 |
1 |
EA |
Percentage |
–1 |
1 |
2 |
EA |
Percentage |
–6 |
1 |
3 |
EA |
Percentage |
–10 |
For the rule that applies to products belonging to the Sinks product group (Group SNKS):
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page.
In the Description field, enter Sinks.
Add Product Group to the Rule Conditions group box of the Conditions page, and set the group ID to SNKS.
In the Rule Attributes group box of the Formula page, select Discount/Surcharge as the Price Action Type.
Set the Rollup By field to Rollup Rule, and select the Fixtures rollup rule.
Set the Cascading/Summed field to Summed.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
December 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
10 |
2 |
Quantity |
11 |
20 |
3 |
Quantity |
21 |
99 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Price Override By |
Price |
1 |
1 |
EA |
Percentage |
–5 |
1 |
2 |
EA |
Percentage |
–10 |
1 |
3 |
EA |
Percentage |
–20 |
A sales order comes in that has these order lines attached to it:
Order Line |
Order Qty |
Product |
Product Group(s) |
1 |
10 |
Kohler sink, std |
SNKS, FIX |
2 |
10 |
Smithson shower stall, std |
STALL, FIX |
3 |
5 |
Delta tub, std |
TUBS, FIX |
During order processing, the price rule Fixtures is used to roll up the total quantities. In this case, all order lines match. The total quantity ordered is 25.
Order line 1 matches the Sinks price rule.
Because the Sinks rule uses Fixture as a rollup rule, the formula matched is the formula with a minimum amount set to 21 and a maximum amount of 99, and a 20 percent discount is applied.
Order line 2 matches the Showers price rule.
Because the Showers rule uses Fixture as a rollup rule, the formula matched is the formula with a minimum amount of 21 and a maximum amount of 99, and an 8 percent discount is applied.
Order line 3 matches the Tubs price rule.
Because the Tubs rule uses Fixture as a rollup rule, the formula matched is the formula with a minimum amount of 21 and a maximum amount of 99, and a 10 percent discount is applied.
Complex Rollup Price Rule Scenario
Using the Rollup Rule to roll up the transaction, it is possible to create multiple baskets in the order. For example, in additional to the rules described in the previous section, we have Fridges and Stoves belonging to a product group called Kitchen, and Towels belonging to both product groups Bathroom Fixtures and Kitchen.
You create several additional rules for the various kitchen-related items.
You have one rule that is a rollup rule that applies to all kitchen products, and it is called Kitchen.
You have one rule called Towels that provides a discount on towels.
You have one rule called Refrigerators that provides a discount on refrigerators.
You have one rule called Stoves that provides a discount on stoves.
To set up this scenario, you must create four price rules:
Create the rollup rule for all items belonging to the Kitchen product group (Group KITC).
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page.
In the Description field, enter Kitchen.
Add Product Group to the Rule Conditions group box of the Conditions page, and select the product group called KITC.
In the Rule Attributes group box of the Formula page, select Rollup Only Rule as the Price Action Type.
Set the Rollup By field to Rollup Rule.
Set the Rollup Exclude field to None.
Create the rule that provides a discount to products belonging to the towels product group (Group TOWL):
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page.
In the Description field, enter Towels.
Note. The towel fixtures belong to both the KITC product group and the FIX product group, but the rollup rule specified for the Towels price rule is the Fixtures rollup rule.
Add Product Group to the Rule Conditions group box of the Conditions page, and set the group ID to TOWL.
In the Rule Attributes group box of the Formula page, select Discount/Surcharge as the Price Action Type.
Set the Rollup By field to Rollup Rule, and select the FIX rollup rule.
Set the Cascading/Summed field to Summed.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
December 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
30 |
2 |
Quantity |
31 |
50 |
3 |
Quantity |
51 |
99 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Price Override By |
Price |
1 |
1 |
EA |
Percentage |
-5 |
1 |
2 |
EA |
Percentage |
-10 |
1 |
3 |
EA |
Percentage |
-20 |
Create a rule that provides a discount to products belonging to the Refrigerator product group (Group FRDG):
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page.
In the Description field, enter Refrigerators.
Add Product Group to the Rule Conditions group box of the Conditions page, and set the group ID to FRDG.
In the Rule Attributes group box of the Formula page, select Discount/Surcharge as the Price Action Type.
Set the Rollup By field to Rollup Rule, and select the KITC rollup rule.
Set the Cascading/Summed field to Summed.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
December 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
10 |
2 |
Quantity |
11 |
20 |
3 |
Quantity |
21 |
99 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Price Override By |
Price |
1 |
1 |
EA |
Percentage |
-2 |
1 |
2 |
EA |
Percentage |
-3 |
1 |
3 |
EA |
Percentage |
-4 |
For the rule that provides a discount to products belonging to the stoves product group (Group STOV):
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page.
In the Description field, enter Stoves.
Add Product Group to the Rule Conditions group box of the Conditions page, and set the group ID to STOV.
In the Rule Attributes group box of the Formula page, select Discount/Surcharge as the Price Action Type.
Set the Rollup By field to Rollup Rule, and select the KITC rollup rule.
Set the Cascading/Summed field to Summed.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
December 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
15 |
2 |
Quantity |
16 |
30 |
3 |
Quantity |
31 |
99 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Price Override By |
Price |
1 |
1 |
EA |
Percentage |
-5 |
1 |
2 |
EA |
Percentage |
-7 |
1 |
3 |
EA |
Percentage |
-9 |
The initial sales order had three order lines:
Order Line |
Order Qty |
Product |
Product Groups |
1 |
10 |
Kohler sink, std |
SNKS, FIX |
2 |
10 |
Smithson shower stall, std |
STALL, FIX |
3 |
5 |
Delta tub, std |
TUBS, FIX |
Three additional lines were added to the sales order:
Order Line |
Order Qty |
Product |
Product Groups |
4 |
20 |
LQ Towel Rack, small |
KITC, FIX |
5 |
10 |
GE refrigerator model 224 |
FIX, KITC |
6 |
5 |
Maytag stove model 4492 |
FIX, KITC |
Each of the two rollup rules has a basket:
The rollup price rule Fixtures has a basket of 45 (the sum of the order quantities in order lines 1, 2, 3, and 4) and is used by price rules Showers, Tubs, and Towels. These discounts are applied:
Order line 1, Kohler sink, is discounted by 20 percent.
Order line 2, Smithson shower stall, is discounted by 8 percent.
Order line 3, Delta tub, is discounted by 10 percent.
Order line 4, LQ Towel Rack, is discounted by 10 percent.
Rollup price rule Kitchen has a basket of 35 (order lines 4, 5, and 6) and is used by price rules Refrigerators and Stoves. These discounts are applied:
Order line 5, GE refrigerator model 224, is discounted by 4 percent.
Order line 6, Maytag stove model 4492, is discounted by 9 percent.
Note. Order line 4, which includes the towel rack item, is included in the Kitchen basket. The Kitchen rollup rule is not used by the towels because the Towels rule specifies the Fixtures rule as the rollup rule.
Maximum Quantity and Maximum UOM for Price Rule
For any given price, you can specify the maximum quantity to which the price rule can apply. For example, you might want to promote a new product at a discount price but limit the quantity of products in the discount program.
For example, a manufacturer has approached you asking you to carry a new line of product. You agree to sell the product on a trial basis to gauge the potential demand from the customer base. The manufacturer agrees to provide you with a specified quantity of the product, 10,000 units, at a special price, 25 USD. You agree to pass the special price on to the customer. You set up a price rule for this product at the special price with a maximum quantity defined. Once the maximum is reached, the price rule is discontinued or expired, and further sales of the product follow the normal pricing rules.
To set up the scenario, you must create a price rule identifying the new product group (1234) and specifying the maximum quantity to be purchased at the discounted amount:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page.
In the Description field, enter Product Intro.
Add Product Group ID to the Rule Conditions group box of the Conditions page, and set the Group ID to 1234.
In the Rule Attributes group box of the Formula page, select Price Override as the Price Action Type.
Set the Rollup By field to Transaction.
Set the Cascading/Summed field to Summed.
The manufacturer has agreed to give you 10,000 units of the items in this product group.
In the Maximum Quantity field, enter 10000.
In the UOM field, enter EA.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
December 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
9999999 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Currency |
Price Override By |
Price |
1 |
1 |
EA |
USD |
Price |
25.00 |
All sales order transactions based in USD, including items belonging to the group ID 1234, are priced at 25 USD until 10,000 are sold.
Pricing with a Different Base
Enterprise Pricer enables you to specify a base other than list price for price rule calculations. The system supports these sources as the base.
List Price (default)
Cost
Buying Agreement
Alternate Cost
If the order line is associated with a buying agreement, then the base is always the buying agreement.
If the user has set up specific rules (Pricing Base price rules) to indicate that pricing base is based on certain conditions, then the arbitration plan of the order is used to filter and sort the matching rule to determine the base. The arbitration plan should have a node with price rule type of Pricing Base at the top-level node in the tree. You can use one of these decisions to select the pricing base:
Use Highest Base.
Compare list price and cost and use the larger of them as the pricing base.
Use Lowest Base.
Compare list price and cost and use the smaller of them as the pricing base.
Use Cost As Base.
Use List Price As Base.
Use Alternate Cost As Base.
After determining the base, the other matching price rules are processed and the selected base is used for all the pricing calculations.
If the order line is not associated with a buying agreement and is not cost-based, then the list price is used.
Note. The price rule has four applicable options: Applicable to List Price, Applicable to Buying Agreement, Applicable to Cost Base, and Applicable to Alter Cost Base. After determining the pricing base, only price rules with the matching applicable option selected are applied. For example, if the base is Cost, then only the price rules with the Applicable to Cost Base option selected are applied. For price rules with the option Applicable to Alter Cost Base selected, note that the alternate cost is another cost value. For Order Management, alternate cost is the product cost with a factor applied to it.
Determining Net Price Using Mathematical Expressions
Enterprise Pricer enables you to create mathematical expressions in the price rule that are used to calculate the net price for a given product. Suppose you want to give a 5 percent discount plus a 5 USD discount to all orders of product 10050 during the ordering period February 1, 2005, to December 31, 2005.
To set up this scenario, you must create a price rule that identifies the mathematical expression you want to use to determine the net price for the product:
Select Sales Orders as the Transaction in the Rule Attributes group box of the Conditions page.
In the Description field, enter Math Expr.
Add Product ID to the Rule Conditions group box of the Conditions page, and set the Product ID to 10050.
In the Rule Attributes group box of the Formula page, select Price Override as the Price Action Type.
Set the Rollup By field to Transaction.
Set the Cascading/Summed field to Summed.
In the Date Range group box of the Formula page, enter the date range during which this price rule applies:
Date Range ID |
Pricing Date |
Start Date |
End Date |
1 |
Order Date |
February 1, 2005 |
December 31, 2005 |
In the Formula Range group box of the Formula page, enter the formula price and quantity information:
Formula Range ID |
Price Type |
Minimum Amount |
Maximum Amount |
1 |
Quantity |
1 |
9999999 |
In the Price Formulas group box of the Formula page, specify the formula definition:
Date Range ID |
Formula Range ID |
Unit of Measure |
Price Override By |
Expression |
1 |
1 |
EA |
Expression |
LIST_PRICE * 0.95 - 5 |
When product 10050 appears on a sales order with an order date between February 1, 2005, and December 31, 2005, Enterprise Pricer uses the value passed and evaluates the expression to calculate the net price for item 10050 and return it to Sales Order.
Note. When you have a Price Action Type of Discount/Surcharge or Price Override, if you select Price Override By Amount and Expression, Percentage and Expression, or Price and Expression, Enterprise Pricer will perform two calculations and choose either the larger or the smaller net price, depending on how you set the Smaller/Larger field. If you select the Smaller option, Enterprise Pricer selects the smaller net price. If you select the Larger option, Enterprise Pricer selects the larger net price. For example, the product list price is 100 USD, and the formula is specified as Amt & Expr, and Smaller is selected. Therefore, the discount amount is –10, and the expression is "LIST_PRICE * 0.95." Discount by –10 results in a net price of 90. The expression is evaluated as 100 * 0.95 = 95. Because 90 is smaller than 95, a discount of –10 is applied for a net price of 90.
The Adjustment Flag values and labels for the Adjustment Flag, Numeric Value, Text Value, Minimum Amount, and Maximum Amount fields depend on the price action type of the price rule, and they appear in the table. If a listed field is not applicable to the specified price action type, the table cell is blank:
Price Action Type |
Adjustment Flag Values |
Adjustment Label |
Numeric Value Label |
Text Value Label |
Minimum Amount Label |
Maximum Amount Label |
Discount/Surcharge |
|
Discount / Surcharge By |
Amount / Percentage |
Class / Expression |
||
Price Override |
|
Price Override By |
Price |
Class / Expression |
||
Product Add |
|
Product Add By |
Quantity / BOGO Factor |
Expression |
||
Total Order Discount/Surcharge |
|
Discount / Surcharge |
Amount / Percentage |
Class / Expression |
||
Minimum/Maximum Target Price |
Price |
Target Price |
Minimum Price |
Maximum Price |
||
Minimum/Maximum Target Discount |
|
Target Discount By |
Minimum Amount / Percentage |
Maximum Amount / Percentage |
||
Minimum/Maximum Target Surcharge |
|
Target Surcharge By |
Minimum Amount / Percentage |
Maximum Amount / Percentage |
||
Related Business Objects |
||||||
Price List Only Condition |
||||||
Rollup Only Rule |
||||||
Minimum/Maximum Margin |
|
Margin By |
Minimum Amount / Percentage |
Maximum Amount / Percentage |
||
Pricing Base |
||||||
Standard Discount |
This table lists the values in the Adjustment Flag field and the options that are hidden for each value:
Adjustment Flag |
Numeric Value |
Text Value |
Minimum Amount |
Maximum Amount |
Market Rate Index |
Small or Large |
Amount |
Not used for Minimum / Maximum Rules |
Not used if not Minimum / Maximum Rules |
Not used if not Minimum / Maximum Rules |
|||
Percentage |
Not used for Minimum / Maximum Rules |
Not used if not Minimum / Maximum Rules |
Not used if not Minimum / Maximum Rules |
|||
Price |
Not used for Minimum / Maximum Rules |
Not used if not Minimum / Maximum Rules |
Not used if not Minimum / Maximum Rules |
|||
External Class |
Yes |
|||||
mathematical Expression |
Yes |
Yes |
||||
Quantity |
Yes |
|||||
BOGO Factor |
Yes |
|||||
Quantity with Adjustment |
Yes |
Yes |
||||
BOGO with Adjustment |
Yes |
Yes |
||||
Quantity Expression |
Yes |
|||||
Amount and mathematical Expression |
Yes |
Yes |
Yes |
Yes |
||
Percentage and mathematical Expression |
Yes |
Yes |
Yes |
Yes |
||
Price and mathematical Expression |
Yes |
Yes |
Yes |
Yes |
This section discusses how to:
Set up price rule conditions.
Set up price rule formulas.
Validate mathematical expressions.
Review price rule usage.
Page Name |
Definition Name |
Navigation |
Usage |
EOEP_RULE_SRCH_PG |
Pricing Configuration, Create Pricing Information, Price Rule Advanced Search, Price Rule Search |
Search by condition. |
|
EOEP_CONDITION |
Pricing Configuration, Create Pricing Information, Price Rules Maintenance |
Set up pricing rule conditions for each transaction. |
|
EOEP_FORMULA |
Pricing Configuration, Create Pricing Information, Price Rules Maintenance |
Set up price rule formulas (the actions that take place when the price rule conditions are met). |
|
EOEP_SEARCH_PAGE |
Click the Search button on the Conditions page. |
Search for values for the selected price-by field in the price rule condition. |
|
PPRC_PROMOTION |
Pricing Configuration, Create Pricing Information, Promotion Codes |
Enter values for promotions. This page is available only if PeopleSoft Promotions Management is not installed. |
|
EOEP_MATH_EXPR_VAL |
Enter an expression for the price formula. Click the Calculator button next to the Expression field. |
Validate the expression for the formula. |
|
OM_SORULE_USAGE |
Click the Price Rule Usage button on the Conditions page. |
Review price rule usage information. |
Access the Conditions page (Pricing Configuration, Create Pricing Information, Price Rules Maintenance, Conditions).
Use to determine the data entry method. Basic: Enables you to search for values for the field names that you select. The Match These Values column is populated with the description of the values that you selected after you made the selection. Rule conditions are automatically joined with the AND conditional operator. Advanced: Basic mode plus additional data entry features. Enables you to manually enter values for the identifiers or search for identifiers. If you add them manually, separate the values by a comma without a space between the values. The Match These Values column is populated with the description of the identifiers that you enter. The Combined Conditions grid is available and automatically populated with the basic field name and value rule conditions. The Combined Conditions grid enables you to create rule conditions that are combined into more complex conditions. You can use logical AND and OR operators. This is the default mode. Note. Rule conditions in advanced mode are not automatically linked by the AND operator. If you do not specifically select AND to link two conditions, the system will match the last entered condition. |
|
Use to change the mode. |
|
Save Price Rule As |
Click this button to save the price rule to a new price rule. |
Click to view usage information.
Rule Attributes
Select a value from the available options to create a new price rule and populate the list of values for the field names. This field is only visible in add mode. Once the rule is created for a transaction, you cannot change the transaction. Note. In PeopleSoft CRM installations, this field appears by default and is unavailable for entry. |
|
Select from these values: Deployed: Activates the price rule so that it is used to determine price adjustments. You must enter data on the Formulas page before you can save the price rule in this status. You can also use the simulator to test price scenarios in this status. Inactive: The price rule is not active. The rule is not available for any price calculations. Use to inactivate a rule that was previously in use. Pending: This status appears by default. You can save the price rule in this status without adding data on the Formulas page. Use this status when you want to save the price rule, but you don not want the system to process any edits on the rule. You cannot use a rule in this status in the simulator, and price rule validation is not performed when you save the rule. Ready to Test: Use this status to test the rule with the simulator, but the rule is not available for use in price calculations. |
|
Description |
Enter a description of the rule. |
Short Description |
Enter a short description of the rule. The first 20 characters of the description appear by default. This field is used as the label on pages and inquiries. |
Also Used by Transaction |
The Also Used by Transaction is used to select child applications the price rule can be applied to, if the transaction has child applications that use its pricing data. |
If an error exists in the price rule definition, a red square box appears in this column. Correct the error. This field only appears if an error exists. Position the mouse cursor on top of the red square to view a detailed description of the error. |
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Field Name |
Select the price-by field to use with the rule condition. The valid list of price-by fields is established on the Transaction Price By Keys page by the Enterprise Pricer system administrator. The list of fields that is available when you create the price rule is determined by the transaction. |
Identifier |
Enter values for the price-by fields; use a comma to separate multiple values. This option is available only in Advanced mode. |
Search Push Button |
Click to search for valid price-by field values. Note. If you have previously selected values, those values remain selected. You can restrict the search further by entering the appropriate ID and description values at the top of the search page. |
In the advanced mode, the field names and values that are entered for the rule conditions are included in the Combined Conditions grid. The items in the Combined Conditions grid are the foundation for building more complex conditions. Select two or more rows to build the complex condition, select an operator, and then click the Build Rule Definition button. Every new complex condition that you create is added to the Combined Conditions grid. You can continue to use the new conditions to create more complex conditions for the rule definition.
And/Or |
Select either operator to combine the selected conditions. This option is available if you are using advanced mode. Note. In basic mode, the system automatically uses only the AND operator. |
Build Rule Definition |
After selecting the conditions to use and the conditional operator, click this button to build the rule definition. The new condition is added to the Combined Conditions grid, and the definition appears in the Rule Definition group box. |
View the final definition in both advanced and basic modes. When using the basic mode, the rule definition appears automatically. Click Save to save the price rule.
Access the Formulas page (Pricing Configuration, Create Pricing Information, Price Rules Maintenance, Formulas).
Valid options are based on the transaction and are established on the Transaction Code page.
See Setting Up Transaction Code Options.
The price action type that is selected determines the additional data that is required for the price formula. Each formula requires start and end dates and high and low quantities. You must create at least one date range and formula range. Date range IDs and formula range IDs on each formula must point to a valid date and formula range.
To apply the formula, the transaction must match all the date ranges identified by date range IDs and all of the formula ranges identified by formula range IDs. For example, date range IDs 1,2,3 means the formula must match date range conditions 1, AND 2, AND 3. The same is true for formula ranges: to apply the formula, the transaction must match all of the formula ranges identified by formula range IDs. For example, formula range IDs 1,2,3 means the formula must match formula range conditions 1, AND 2, AND 3. To see a text description of the rule formula, click the Break Description tab.
Rule Attributes
Define the function of the price rule when it is applied to a transaction. This field is required. Values vary for each transaction: Discount/Surcharge: Apply a discount or surcharge to the line. Min/Max Margin: Perform a margin check. If a line falls outside one of the minimum/maximum margin rules, Enterprise Pricer will return the match to the transaction. Each transaction will take proper action. For order management, the schedule is put on hold. The margin is calculated in this way: Margin = Net Price – Product Cost Margin Percentage = (Net Price – Product Cost)/Net Price *100 If Net Price = 0, then the Margin Percentage is 0. To calculate the margin, Transaction Pricer passes the Product Cost even when Cost Plus Pricing is not used. Note. If indicated at the formula level by the Margin Base field, Alternate Cost is used in place of Product Cost to calculate the margin. Min/Max Target Discount (minimum/maximum target discount): Compare the discount adjustment and apply a target adjustment so that the overall discount falls in the minimum and maximum target discount range. Min/Max Target Price (minimum/maximum target price): Compare the net price and apply an adjustment to bring the price within the minimum and maximum prices specified. Note. Use the target price action types to compare the adjustments and ensure that the adjustments are correct. For example, if you define a maximum target discount for a product as 25 percent, then the system applies discounts to the base price up to that 25 percent maximum. If you define a minimum surcharge for a product as 5 percent, then the system always applies a 5 percent surcharge. If you define a minimum target price for a product as 50 USD, then the system applies adjustments to the base price, but it does not discount the price below 50 USD. Min/Max Target Surcharge (minimum/maximum target surcharge): Compare the surcharge adjustment and apply the adjustment such that the surcharge falls within the minimum and maximum target surcharge specified. Price List Only Condition: Create a condition-only price rule to select the price lists. Price Override: Apply a new price to replace the existing price. Note. If the price rule is defined only for product ID, you should use the Price List feature to define the base price for the product. Pricing Base: Specify a pricing base for transaction lines that match this rule. The pricing base type is specified by the Pricing Base field. Product Add: Add additional products field or a specified price. Note. Product adds were previously referred to as giveaways. For giveaway products, you can use the product list price to calculate the net price. Rollup Only Rule: Create rollups that are independent of conditions of the adjustment (for example, Discount/Surcharge) price rule to select adjustment formulas. Total Order Discount/Surcharge: Apply a discount or surcharge to the entire order. |
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Select the base or the starting point for the pricing calculation. Alternate Cost: The alternate cost of the product is used as the base for pricing calculations. Alternate cost is a different cost than product cost. For example, in PeopleSoft Order Management, the alternate cost is the product cost with an Alternate Cost Adjustment Factor applied to it. Cost: Use the product cost as the base for pricing calculations. List Price: Use the product list price as the base for pricing calculations. |
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Select the method for applying the adjustment for the Discount/Surcharge and Product Add price action types. Cascading: Applied as they are found. A second discount is applied to the previously discounted price, a third discount is applied to a price that is already discounted twice, and so on. For example, if the system encounters two discounts, such as 10 percent and 20 percent off the list price of 100 USD, then the system applies the discounts in this way: 10 percent off of 100 USD and 20 percent off of 90 USD. Thus, the unit price for the order schedule line is 72 USD. Summed: When the system finds multiple discounts, it adds them together and applies the discount once. Thus, for the summed example, the system applies discounts in this way: the 10 percent and 20 percent discounts are combined for 30 percent off of 100 USD. The unit price for the order schedule line is 70 USD. The summed adjustments are applied to the net price with cascading adjustments already applied. |
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Select to include period-to-date totals in the adjustment. The system applies adjustments based on purchases within a determined period. Each order is considered in the adjustment based on the date of the order. Past orders are used to compare the price and quantity ranges of the formula on the price rule. Note. PeopleSoft CRM applications do not use this option. |
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Select to use net price instead of base price from the orders considered in the period-to-date calculation. The Use Net Price will be available only if Price Action Type value is Discount/Surcharge, Price Override, Product Add, or Total Order Discount/Surcharge, and Period-to-Date value is either By Customer or By Rule. Tiered Pricing will be hidden if the Use Net Price option is selected. Tiered pricing uses base price to calculate the tiers. |
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Select to limit the rule applicability. Typically used for price discounts that are so good they are not allowed on multiple orders. Effective for encouraging large first orders instead of many smaller orders. Per Customer: Rule is used one time per customer. Per Rule: Rule is used one time. |
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Indicate whether to include Known Value Items (KVI) or Non-Discountable Products (NDP) in the total to select formulas. KVI & NDP Products: Do not include KVI and NDP. KVI Products: Do not include KVI. NDP Products: Do not include NDP. None: Include all products. |
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Identify the manner in which rollup (totals to select price formulas) is calculated. The options are: Line: Rollup is calculated by order lines. Rule: Rollup is calculated by a rollup-only price rule. Schedule: Rollup is calculated by order schedule. Transaction: Rollup is calculated by transaction, from all order schedules that match the same price rule. |
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Rollup Rule ID |
Enter the rule whose rollup is used to select the matching price formula for the current price rule. |
Rounding Rule ID |
Identify a specific rounding rule to use when determining values such as net price and adjustments. |
Define which calculations should have a rounding rule applied to them before arriving at a final value. Values are: Adjustment: Round each adjustment. Both: Round both adjustments and the net price. Net Price: Round only the net price. None: Do not round adjustments or the net price. |
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Define the maximum quantity of items to which this price rule can apply. This setting enables you to introduce a new product to the market at a discounted price for a limited quantity. |
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Define the unit of measure for the maximum quantity of items to which this price rule can apply. |
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Select to have the system use the grace days that are assigned to the customer when determining which price formulas are applied to the price. You can assign a grace period (in days) for each customer. Grace days are added to the ending date of the formula.
Note. PeopleSoft CRM applications do not use this option. |
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In PeopleSoft Order Management, you can set up a special arbitration plan called an Exclusive Pricing ID. This arbitration plan must specify at least one price rule by name. When this exclusive pricing ID is used in a sales order, the matching arbitration plan is used first. If no adjustments are applied after the exclusive pricing ID arbitration plan is applied, then the regular arbitration plan is used. By selecting the Exclusive Pricing Only option on the price rule, you specify that this price rule is used only when the exclusive pricing arbitration plan is used. |
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Select to prevent the system from applying further price adjustments when the system finds a match with a price rule. This event can occur for total order or line adjustments. The system stops applying price adjustments after encountering the first price rule match that has this option selected.
Note. This option applies only for price adjustments. It
does not apply for price lists that are associated with price rules. |
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When the Mutually Exclusive check box is selected, if the price rule is found to match the order during arbitration, then that rule is the only rule applied to the entire sales order; no other discounts or surcharges apply to the order. Typically, this option is used for discounts that are so good that no other discounts are allowed in conjunction with the discount provided by this rule. An example of a mutually exclusive price rule is "Spend 10,000 USD or more and get 25 percent off the order. No other discounts allowed." If more than one mutually exclusive price rule is matched, only the first (use the arbitration plan to specify the order) mutually exclusive price rule is applied. All other price rules are ignored, including the normal price rule that is sorted before the applied mutually exclusive rule. The process for these price rule is processed separately for order and line/schedule adjustments, similar to the current process for the Stop flag on the rule. Each order can have only one mutually exclusive price rule, and one per schedule. Because a mutually exclusive price rule excludes other regular rules, the Stop flags on those price rules do not stop the mutually exclusive price rules from being applied. |
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Applicable to List Price |
When selected, indicates that the price rule is applicable when list price is the base for pricing calculations. |
Applicable to Buying Agreement |
When selected, indicates that the price rule is applicable when a buying agreement is the base for pricing calculations. |
Applicable to Cost Base |
When selected, indicates that the price rule is applied when cost is the base for pricing calculations. |
Applicable to Alter Cost Base |
When selected, indicates that the price rule is applicable when alternate cost is the base. |
Tiered Pricing |
When selected, tiered pricing is performed for the price rule. This selection allows different adjustments for products in the same transaction line. Pricing schedules are created to identify the quantities of each adjustment (formula). |
Increment |
Identify the increment unit of the tiers. This value should match the increment of how the product is ordered (in pricing UOM). The usual value for quantity is 1. The minimum and maximum values for the formal ranges must be multiples of the increment value. For example, if the increment is 5, you can set up the formula ranges as 0–10, 15–25, 30–100, and so forth. If the ordered quantity is 27, the first 10 will match the formula range of 0–10. The next 15 will match the formula range 15–25. The last 2 do not match any formula range and will have no adjustment applied. Note. Make sure you test the tiers before you deploy the price rule. |
Rollup By UOM |
When selected, indicates that the rollup is based on the unit of measure. Note. In Enterprise Pricer 8.8 and previous versions, Rollup By UOM is automatically used if one of the pricing keys used in the price rule is product or product group. Now, Rollup by UOM is optional. |
Merchandising Type |
View the merchandising type associated with the customer promotion or national allowance defined in PeopleSoft Promotions Management. |
Promotion Code |
View customer promotions and national allowances from PeopleSoft Promotions Management. If a price rule is generated by the Pricing Load process in PeopleSoft Promotions Management, then the promotion code is automatically assigned to the price rule. |
Formula Range
Price Type |
Select the price type for the defined formula range. The options are: Quantity: Indicates the formula range pertains to the number of units of the item purchased in the minimum and maximum purchase ranges identified. Price: Indicates the formula range defined pertains to the order value of the item purchased in the minimum and maximum purchase ranges identified. Note. Weight and Volume are other options that are available. Which options are available depends on the transaction setup. |
Minimum Amount |
The minimum amount, quantity or purchase total, for the specified formula range. |
Maximum Amount |
The maximum amount, quantity or purchase total, for the specified formula range. The system uses 9999999999 as the default in the High Quantity field for the last price formula if the field is left blank. |
Price Formulas
The fields in this grid vary depending on the price action type and price type.
Date Range IDs |
Identify the date ranges the transaction must match to apply the formula. Separate multiple IDs by a comma (for example, 1,2,3). |
Formula Range IDs |
Identify the formula ranges the transaction must match to apply the formula. Separate multiple IDs by a comma (for example, 1,2,3). For tiered pricing rules, you can have only one formula range per formula. |
Unit of Measure |
The unit of measure required to apply the formula. If not provided, match all unit of measures. |
Currency |
The currency in which the price formula is measured. If not provided, apply to all currencies. Currency is required if the formula range is by price or adjustment is by amount. |
Discount/Surcharge By |
Amount:Indicates that the adjustment is by amount. Amt & Expr (amount and expression): Indicates that the adjustment is a calculated value derived by the amount or an expression. Expression: Indicates that the adjustment is derived from a specific expression. Ext Class (external class): Indicates that the adjustment is derived from an external class. Pct & Expr (percent and expression): Indicates that the discount is a calculated value derived by a percent or an expression. Percentage: Indicates that the adjustment is by percent. Note. To indicate a discount, enter a negative value for the amount or percentage. A positive value indicates surcharge. |
Margin By |
Amount: Indicates that the margin matching is by amount. Percentage: Indicates that margin matching is by percent. |
Target Discount By |
Amount: Indicates that the target discount is matched by amount. Percentage: Indicates that the target discount is matched by percent. |
Target Price By |
Price: Indicates that the target price is matched by item unit price. |
Target Surcharge By |
Amount: Indicates that the target surcharge is matched by amount. Percentage: Indicates that the target surcharge is matched by percentage. |
Price Override By |
Expression: Indicates that the price is derived from a specific expression. Ext Class (external class): Indicates that the price is derived from an external class. Prc & Expr (price and expression): Indicates that the price is a calculated value derived by percent or an expression. Price: Indicates item price is defined by the price in the Price field. |
Product Add By |
BOGO (buy-one-get-one): The factor by which the product is given away. Enterprise Pricer computes the quantity of the promoted item given away by summing the quantities from the order schedules that match the price rule, dividing them by the BOGO factor, and taking the whole number. For example, if you had a single formula range of Quantity 1–99999 for Product ID 10050 and the BOGO factor was set to 3, each unit of 10050 purchased in the order would receive 2 units of the item identified on the Product Detail page. BOGO & Prc (buy-one-get-one and price): In additional to specifying the BOGO factor to calculate the product adds quantity, specify the price of the product add using a mathematical expression. Qty & Prc (quantity and price): Specify the product add quantity and price. Qty Exp(quantity and expression): Specify the calculation to use for the product add quantity in the Expression field. Quantity: Indicates the product add quantity. |
Small or Large |
When you have a price action type of Discount/Surcharge or Price Override, if you select Price Override By Amount and Expression, Percentage and Expression, or Price and Expression, Enterprise Pricer will perform two calculations and choose either the larger or the smaller net price, depending on how you set the Smaller/Larger field. If you select the Smaller option, Enterprise Pricer selects the smaller net price. If you select the Larger option, Enterprise Pricer selects the larger net price. For example, the product list price is 100 USD, the formula is specified as Amt & Expr, and Smaller is selected. The discount amount is –10 and the expression is "LIST_PRICE * 0.95." Discount by –10 results in a net price of 90. The expression is evaluated as 100 * 0.95 = 95. Because 90 is smaller than 95, a discount of –10 is applied for a net price of 90. |
Select the Formula Detail tab.
This tab is only available if the pricing transaction is defined to use is Product Add.
Product ID |
The product ID for the promoted item. |
UOM Promo (unit of measure promotion) |
Select the UOM for the product that is given away. |
Product Add Type |
Specify whether you want the giveaway applied to each matched line of the transaction (sales order) or applied only once to the header of the transaction. This option applies only to the Product Add By types of Qty Expr, Qty & Adj, and Quantity. Per Line: The system applies this giveaway to every line. Per Order: The system applies this giveaway only once to the entire sales order. |
Select the Terms and Adjustments Type tab.
Terms |
Assign a payment term to the formula. If this formula is used when pricing the transaction, the system assigns the most favorable payment terms to the transaction. Important! If you set up a price rule with payment terms as a key and you have a price formula with payment terms, the system might replace the payment terms on the sales order with the best payment terms from the price rule. You might not get the intended price adjustment if you reprice the order. If you do not want pricing to change, use the price protected option. Note. PeopleSoft CRM does not use this option. |
Adjustment Type |
Specify an adjustment type. Values are: Bill Back: An adjustment that is accrued instead of reducing the net unit price of the item on the invoice.
Note. This option does not appear in PeopleSoft CRM. PeopleSoft
CRM uses off-invoice adjustments. Off-Invoice: An adjustment that reduces the net unit price or, in the case of a total order adjustment, the price of the order. |
Discount and surcharge distribution codes are used to identify the appropriate discount and surcharge accounts to credit or debit when the Order Management (OM) Billing Interface process (OM_BILL) posts accounting entries. The discount and surcharge distribution codes found on this page are used on the order by default and are kept at the price adjustment level. They are not visible on the Order Entry pages in PeopleSoft Order Management. When the OM Billing Interface process sends entries for invoicing, it selects the discount and surcharge distribution codes from the price adjustments first. If there are none, then it uses the distribution accounting revenue, discount, and surcharge values found in the sales order.
Note. PeopleSoft CRM does not use this option.
Discount Distribution Code and Surcharge Distribution Code |
These distribution codes, along with the associated amounts, are passed to PeopleSoft Billing Interface tables during the Populate Billing process. To use bill backs, enter both a discount and surcharge code. Off-invoice discounts or surcharges only require one of these codes. |
Discount Dist Percentage (discount distribution percentage) and Surcharge Dist Percentage (surcharge distribution percentage) |
The sum of the percentages must equal 100 percent for each business unit and adjustment type. |
Access the Expression Validator page (click the Calculator button next to the Expression field on the Formulas page).
Math Expression |
View the mathematical expression entered in the Expression field on the Price Rule Conditions page. |
Variable Name |
Display the names of the variables that are set up for the transaction. Math expression can use only the names in the list. |
Test Value |
Enter a test value to use to evaluate the expression. |
Result of Evaluation |
After you click the Evaluate with Test Values button, the calculated result of the expression appears in the Result of Evaluation field. |
Access the Sales Order Price Rule Usage page (click the Price Rule Usage button on the Conditions page).
Rule Usage Summary
Customer Count |
The number of customers that have made use of this rule. |
Order Count |
The number of orders this rule has applied to thus far. |
Schedule Count |
The number of schedules this rule has applied to thus far. The price rule usage is updated as order schedules are processed for the order. Therefore, previous schedules will reduce the available quantity for the later schedules in the same order. This process is similar to the PTD process. To avoid conflicts with other orders that are applied by the same price rule, the price rule usage data is retrieved before each pricing calculation. Because tiered pricing breaks the schedule quantity into pricing schedules, the usage for those price rules is calculated by summing the quantities from matching formulas for the same rule. For non-tiered pricing, multiple formulas for the same price rule can apply to the schedule, for all the products in the same schedule. To calculate the usage for these rules, Enterprise Pricer uses the applied quantity from one of the formulas. |
Total Adjustment |
The total adjustment value thus far for this rule. |
Maximum Quantity |
The number of product units sold referencing this price rule. This information is relevant for rules that identify a maximum quantity. |
Rule Usage
Detail Tab |
Provides a customer-specific summary of price rule usage for the selected rule, including details such as order number, order lines, schedule, price schedule, formula ID, adjustment flag, amount, percentage or price, applied adjustment amount, and currency code. |
Additional Detail Tab |
View the date and time stamp for each instance when the price rule was used for a given customer. |
This section discusses how to define rounding rules.
Page Name |
Definition Name |
Navigation |
Usage |
Price Rounding Rule |
EOEP_ROUND_RULE |
Pricing Configuration, Create Pricing Information, Price Rounding Rule |
Define rounding rules (the decimal points to round the adjustments and net price based on the base price during the pricing calculation). |
Access the Price Rounding Rule page (Pricing Configuration, Create Pricing Information, Price Rounding Rule).
Rounding Rule ID |
Enter an ID for the rule. You must also add a short description. |
Minimum Price and Maximum Price |
Use to establish different rounding levels by price. Levels can not overlap. |
Rounding Position |
Select to establish how you want rounding to take place. By Currency: The defines the decimal precision for the currency code of the transaction. This option is the default. By Decimal Point: Select this option to round to a specific decimal position. If you select this option, you also must select a decimal position. Values for decimal position are between 0 and 4. |