10Siebel Advanced Contracts
Siebel Advanced Contracts
This chapter describes Siebel Advanced Contracts. It includes the following topics:
About Siebel Advanced Contracts
Contract administrators, account managers, and customer service representatives can use Siebel Advanced Contracts. Agreement data is stored in agreement records that they can create, revise, examine, and print.
Siebel Advanced Contracts includes the following important features:
Benefits
Conditions
Compliance History
Terms
Benefit, Condition, and Term Templates
An agreement is a document that defines the business relationship between 2 parties. It provides information about obligations to offer, provide, or produce specific products or services over a set period of time for a specific amount of compensation. An entitlement is coverage available to the customer under the terms and conditions of the agreement, and a benefit is a service or product available to the customer under the terms and conditions of the agreement. Benefits are associated with conditions. A condition denotes criteria that determine whether the customer is entitled to the benefit that the agreement defines.
Advanced Contracts are associated with compliance history. Compliance history is the detailing of adherence to the terms and conditions of the agreement. Advanced Contracts can include terms. A term is language not already included in the agreement.
Common types of agreements are a service agreement and sales agreement. A service agreement is a contract for service. For example, a customer purchases a product from an equipment manufacturer. The manufacturer might negotiate a service agreement with the customer providing a special discounted rate for service over a predetermined period of time. A sales agreement is a contract that includes special pricing and other benefits when a customer purchases products. For example, a supply company negotiates a sales agreement with a customer that includes rebates for volume purchases.
Scenario for Using Siebel Advanced Contracts
This topic gives one example of how Siebel Advanced Contracts might be used. You might use Siebel Advanced Contracts differently, depending on your business model.
A contract administrator sets up the templates for entitlements, benefits, conditions, and terms, administers the agreement during its term, and manages its renewal. A customer service representative or account manager negotiates and documents the agreement. Using the entitlement, benefit, condition, and term templates, the customer service representative or account manager creates the draft agreement to represent the negotiated terms and conditions. After negotiation is complete, and all parties approve the agreement, a contract manager makes it active.
A hardware company signs an agreement with a purchasing department of a multinational company. This agreement entitles the department to a 10% rebate for its purchases of a specific product when the volume of product purchases exceeds 3,000 units each quarter.
Independent from this agreement, the contract administrator creates new term templates. He creates a term template stating that the parties use arbitration to resolve disputes. The contract administrator also creates new benefit and condition templates. Users might use a benefit template when creating the agreement for this customer to set up a 10% rebate. The contract administrator can define associated conditions for the benefit template. For the benefit template for the 10% rebate, the contract administrator can add a condition that the benefit applies only when the customer purchases more than 3,000 units of the product in a quarter.
The account manager creates a new agreement in Siebel Field Service and adds the appropriate data. He uses templates to add terms, benefits, and conditions to the agreement, or manually adds this information.
After the agreement is active, the account manage evaluates the conditions governing the benefit, records the compliance to determine whether benefit delivery is appropriate.
About Workflows for Siebel Advanced Contracts
You can create workflows to suit your business model using Siebel Business Process Designer. For more information, see Siebel Business Process Framework: Workflow Guide.
Workflows are especially helpful in automating the following agreement-related business processes:
Routing an agreement for approval.
Evaluating agreement conditions in real time (for example, when you invoice an order) and at scheduled intervals (for example, at the end of quarter).
Delivering agreement benefits, if appropriate (for example, creating an invoice for a rebate or creating an order for a give-away).
Tracking condition compliance.
Automating agreement renewal.
Configuring Buttons for Siebel Advanced Contracts
You can configure the following buttons for Siebel Advanced Contracts:
Add Benefits
Auto Entitlement
Configuring Add Benefits Button
You can configure the Add Benefits button so that the parent entitlement record constrains the available benefit templates. This button is located in the Benefits view in the Entitlements view of the Agreements screen. If you configure the Add Benefits button, then only templates associated with the parent entitlement record appear in the Benefit Template Popup Applet.
If you do not configure this button, then the Benefit Template Popup Applet displays all available benefit templates instead of constraining the list to templates that are associated with the parent entitlement template.
To configure this button, you set the Apply Template user property to Y.
Configuring Auto Entitlement Button
The Auto Entitlement button is located in the Line Items view of the Agreements screen. When you add a line item, you click this button to automatically associate entitlements with the line item by using the entitlement template for the product in the line item. For more information about this button, see Agreements and Entitlements.
About Using the Task UI Application to Add Assets to Agreements
Siebel Field Service includes the Assets to Agreement task to streamline the process of adding assets to an agreement. This task is typical for salespeople who sell service agreements that cover existing assets. This repeatable task navigates through screens and views where you can enter multiple records easier and faster than manually navigating through individual screens. For more information about using the Task UI application, see Siebel Fundamentals. For more information about customizing, activating, and assigning access privileges for tasks, see Siebel Business Process Framework: Task UI Guide.
To use the Assets to Agreements task in the Task UI application, you must activate and assign access privileges for the following tasks:
FS Asset To Contract Task
FS Cover Asset SubTask
FS Submit Agreement SubTask
Scenario for Adding Assets to Agreements with the Task UI Application
This topic gives one example of how to add assets to agreements with the Task UI application. You might add assets to agreements with the Task UI application differently, depending on your business model.
A contract manager for a printer manufacturing company is communicating with a customer for a new support agreement to cover 250 printer assets. The customer is concerned about the ongoing maintenance and repair of printers, the responsiveness of service calls, and how quickly field repairs are performed. The customer requires not only a high availability for printers, but also a competitive price. While the contract manager understands that he wants to deliver a high quality service agreement for the company to make sure the printers are kept working, he also must deliver a profitable service for his own company. Using the Asset to Contract task, he creates a service package, adds several printers to it, quotes a price for the agreement, and creates a charge plan and promotional price discount for the first 6 months. Finally, he submits the agreement for approval before printing it.
Process of Administering Siebel Advanced Contracts
The following list shows the tasks that administrators typically perform to administer Siebel Advanced Contracts. Your company might follow a different process according to its business requirements.
To administer Siebel Advanced Contacts, administrators perform the following tasks:
The administrator also sets up workflows. For more information about workflows, see About Workflows for Siebel Advanced Contracts. For more information about other tasks that administrators perform, see Agreements and Entitlements.
Creating Benefit Templates
The contract administrator can create templates for new benefits. These benefit templates enable users to more easily add benefits to agreements.
This task is a step in Process of Administering Siebel Advanced Contracts.
To create a benefit template
Navigate to the Administration - Contracts screen, then the Entitlement Templates view.
Select an existing entitlement template, or create a new entitlement template.
Click the Benefits view tab to view benefit templates associated with the selected entitlement template.
Create a new benefit template record, and complete the fields as appropriate.
Some fields are described in the following table.
Field Comments Priority
Type a value for the priority of the benefit in relation to other benefits.
Name
Type the name of the benefit (for example, Rebate on a product).
Type
Select the type of benefit. Values include Credit and Rebate.
Schedule
Select the benefit schedule. Values include Weekly and Quarterly.
Amount
Type the total amount of the benefit in the unit defined in the U/M field.
U/M
Select the measurement unit for the benefit. Values include Currency and Percent.
Status
Select the current status of the benefit. Values include Active and On Hold.
Action Basis
Select the basis for evaluating or delivering the benefit. For example, if an invoice for a quantity of products initiates the benefit, then the Action Basis field is Invoice.
Action Method
Select the action that the Action Basis field produces. For example, if adjusting the invoice administers an allowance, then the Action Method field is Adjustment.
Current Amount
Type the existing amount of the benefit or the current liability for the benefit. Take into account any past adjustments.
Description
Type a brief description of the benefit.
Benefit Basis
Select the basis for the benefit. This field applies when the benefit amount is variable and calculated using another value. For example, for a 10% of invoice amount, the Benefit Basis field is Invoice Amount.
Benefit Price
Select the price for the benefit. This field applies when the benefit amount is variable and calculated using another value. For example, for a 5% discount, the Benefit Price field is the starting price for Siebel Pricer.
Benefit Constraint
Type the maximum or minimum amount of the benefit calculated using the Benefit Basis and Benefit Price fields.
Tier
Type the value for the tier of the benefit. Different benefit definitions can apply to different tiers (for example, 10% discount for Tier 1, 15% discount for Tier 2, and so on). The volume of purchases determines the appropriate tier.
Division
Select the division associated with the benefit.
Product Category
Select the product category associated with the benefit.
Product
Select the product associated with the benefit.
Product Class
Select the product class associated with the benefit.
All Products
Select this check box to indicate all products are associated with the benefit.
Level
Select the level associated with the benefit. Values include Account, Agreement, and Entitlement.
Comments
Type additional information related to the benefit.
Reset
Select this check box to indicate the benefit is reset. For example, the benefit is reset, if exhausted, when you renew the agreement or annually.
Conditions Relationship
Select the condition relationship for the benefit. A value of AND indicates all conditions must be met to deliver the benefit. A value of OR indicates only 1 condition must be met to deliver the benefit.
Adjustment Amount
Type the adjustment amount. This field applies when the Action Method field is Adjustment.
Adjustment Currency
Select the currency associated with the Adjustment Amount field.
Adjustment Exchange Date
Select the exchange date for the currency in the Adjustment Currency field.
Product Line
Select the product line associated with the benefit.
Amount Currency
Select the currency when the U/M field is Currency.
Amount Exchange Date
Select the exchange date for the currency in the Amount Currency field.
Count Method
Select the count method for the benefit. A value of Increment indicates to increment the Current Amount field when you deliver the benefit. This value tracks the amount of delivered benefit. A value of decrement indicates to decrement the Current Amount field when you deliver the benefit. This value tracks the remaining benefit liability.
Creating Condition Templates
The contract administrator can create templates for new conditions. These condition templates enable users to more easily add conditions to benefits in agreements.
This task is a step in Process of Administering Siebel Advanced Contracts.
To create a condition template
Navigate to the Administration - Contracts screen, then the Entitlement Templates view.
Select an existing entitlement template, or create a new entitlement template.
Click the Benefits view tab to view benefit templates.
When you click the Benefits view tab, the Conditions list also appears.
Select a benefit record, create a new condition record in the Conditions list, and complete the fields as appropriate.
Note: You can use AND, OR, and other expressions to define the condition.Some fields are described in the following table.
Field Comments Order
Type the sequence number of the condition.
Type
Select the condition type. Values include Volume and Growth.
Subtype
Select the condition subtype. Values include Product and Product Line.
Operator
Select the logical operator that defines the condition, for example, when more than 3,000 products are ordered (operator is >), or when membership is Gold (operator is =).
Target Amount
Type the target amount to reach to satisfy the condition.
Target U/M
Select the measurement unit for the target amount. Values include Currency and Units.
Enforceable
Select this check box to indicate the condition is enforced when determining benefit delivery.
You can clear this check box to learn more about the customer so that you can negotiate better agreements in the future without affecting benefit delivery.
Description
Type a brief description of the condition.
Status
Select the status of the condition. Values include Active and Exhausted.
Timing
Select the timing of the condition. For example, if you select Quarterly, then the condition must be met in a single quarter.
Comments
Type additional comments for the condition.
Current Amount
Type the existing amount used to evaluate the condition. For example, for this condition: revenue > $40,000, the Current Amount field tracks the current revenue.
Range
Type a value for the range around the target amount.
Range U/M
Select the unit of measurement for the Range field.
Expression
Type an expression to define complex conditions, such as conditions with logical complexities or complex field combinations.
Adjustment Value
Type the adjustment value. This field adjusts the benefit by using the condition (for example, adjust the benefit to 0% discount).
Adjustment U/M
Select the unit of measurement for the Adjustment Value field.
Mix %
Type the mix percentage. You can use this field to track expected purchases (for example, 20% Product A, 15% Product B, and so on).
Type of Calculation
Select the type of calculation that adjusts the benefit amount.
Tier
Type the value for the tier of the condition. Different conditions can apply to different tiers of customers.
Product Category
Select the product category associated with the condition. This field applies when you select Product Category in the Subtype field.
Product
Select the product associated with the condition. This field applies when you select Product in the Subtype field.
Product Line
Select the product line associated with the condition. This field applies when you select Product Line in the Subtype field.
Product Class
Select the product class associated with the condition. This field applies when you select Product Class in the Subtype field.
Target Currency
Select the currency for the target amount. This field applies when the Target U/M field is Currency.
Target Exchange Date
Select the exchange date for the target currency. This field applies when the Target U/M field is Currency.
Range Currency
Select the currency for the range amount. This field applies when the Range U/M field is Currency.
Range Exchange Date
Select the exchange date for the range currency. This field applies when the Range U/M is Currency.
Adjustment Currency
Select the currency for the adjustment amount. This field applies when the Adjustment U/M field is Currency.
Adjustment Exchange Date
Select the exchange date for the adjustment currency. This field applies when the Adjustment U/M field is Currency.
Condition Object Name
Select a business object containing the field used to evaluate the condition.
Condition Object Field
Select a field in the business object in the Condition Object Name field. This field is used to evaluate the condition.
Count Method
Select the count method for the condition. A value of Increment indicates to increment the Current Amount field. A value of decrement indicates to decrement the Current Amount field.
Process of Managing Siebel Advanced Contracts
The following list shows the tasks that end users typically perform to manage Siebel Advanced Contracts. Your company might follow a different process according to its business requirements. For more information about the tasks that end users perform, see Agreements and Entitlements.
To manage Siebel Advanced Contracts, end users perform the following tasks:
Adding Terms to Agreements (End User)
You can add agreement terms to agreements in the following ways:
Contract administrators can create agreement term templates in the Term Templates view of the Administration - Contracts screen. For more information, see Creating Term Templates.
Users can then add these terms to the agreement in the Terms view in the List view of the Agreements screen.
Users can create terms directly from the Terms view in the List view of the Agreements screen.
These terms are included in the final agreement document.
This task is a step in Process of Managing Siebel Advanced Contracts.
To add a term to an agreement
Navigate to the Agreements screen, then the List view.
Drill down on the Name field for a selected agreement, and click the Terms view tab.
In the Terms view, complete one of the following steps:
Create a new term record for a term that does not exist in the library of term templates, and complete the fields as appropriate.
Some fields are described in the following table.
Field Comments Section
Type a document section number for the term (for example, 1.1, 1.2, and so on).
Term Name
Type a representative description for the term (for example, Term Length).
Type
Select the legal type of the term (for example, Standard, Non-Standard, or Special).
Description
Type a description of the actual term to include in the agreement.
Add an existing term record to the agreement by clicking Add, selecting a term, and clicking OK.
You can use Ctrl+Click to select multiple terms and Ctrl+A to select all terms in the list.
Note: After you insert the terms into the agreement, you can edit the terms.
Adding Benefits to Agreements (End User)
An account manager can add specific benefits to an agreement. Benefits and conditions are associated with entitlements.
This task is a step in Process of Managing Siebel Advanced Contracts.
To add a benefit to an agreement
Navigate to the Agreements screen, then the List view.
Drill down on the Name field for a selected agreement, and click the Entitlements view tab.
Select an existing entitlement, or create a new entitlement.
Click the Benefits view tab.
In the Benefits view, add a benefit from existing benefit templates, or create a new benefit:
Click Add Benefits to add a benefit from an existing benefit template.
Note: You can click Apply Template to constrain the list of benefits by using the selected parent entitlement template.Adding an existing benefit from a template with conditions associates both the benefit and the related conditions with the entitlement.
Click New to create a new benefit, and complete the fields as appropriate.
For more information about the fields available in the Benefits view, see Creating Benefit Templates.
Adding Conditions to Benefits (End User)
After creating a benefit, the sales representative might have to add conditions to the benefit. You can create many different types of benefits and conditions, such as a rebate when the customer purchases a certain number of products for each quarter. Until that condition is met, the customer does not receive the benefit.
This task is a step in Process of Managing Siebel Advanced Contracts.
To add a condition to a benefit
Navigate to the Agreements screen, then the List view.
Drill down on the Name field for a selected agreement, and click the Entitlements view tab.
Select an existing entitlement, or add a new entitlement.
Click the Benefits view tab.
Select an existing benefit, or add a new benefit.
The Conditions list appears after the Benefits list.
Adding an existing benefit from a template with conditions associates both the benefit and related conditions with the entitlement. For more information, see Adding Benefits to Agreements (End User).
Create a new condition record, and complete the fields as appropriate.
Note: You can use AND, OR, and other expressions to define the condition.For more information about the fields available in the Condition list, see Creating Benefit Templates.
Verifying Compliance (End User)
After adding conditions to the benefits, you can use a workflow to automatically evaluate compliance, or you can manually verify compliance. Use the Compliance list to track compliance to the conditions over time.
This task is a step in Process of Managing Siebel Advanced Contracts.
To manually verify compliance
Navigate to the Agreements screen, then the List view.
Drill down on the Name field for a selected agreement, and click the Entitlements view tab.
Click the Benefits view tab.
Select the entitlement, benefit, and condition to evaluate.
The Compliance list appears next to the Conditions list.
In the Compliance list, create a new compliance record, and complete the fields as appropriate.
Some fields are described in the following table.
Field Comments Verified
Select the date that you verify compliance. This field is populated with the current date when you create a new record.
Verified By
Select the username of the employee who verifies compliance. This field is populated with your username. You can select a different name.
Actual
Type the actual value used to evaluate the condition. For the condition evaluation, this value is compared to the value in the Target Amount field.
Achieved
Select this check box to indicate the condition is met.
Comments
Type additional comments.
Start Date
Select the start date of the period for the condition evaluation.
End Date
Select the end date of the period for the condition evaluation.
Using the Task UI Application to Add Assets to Agreements (End User)
This topic includes an example procedure with steps that you perform to execute the Assets to Agreements task. For more information, see About Using the Task UI Application to Add Assets to Agreements.
This task is a step in Process of Managing Siebel Advanced Contracts.
To execute an Assets to Agreements task
Navigate to the Assets screen, then the List view.
Click Task.
In the Task UI pane, click Assets to Agreement.
In the Review Address and Details screen, review and adjust any necessary fields.
In the Identify Agreement screen, create a new agreement.
In the Agreement Details screen, complete or verify the information for the agreement, and click Next.
Select a service package to add to the agreement.
Verify or change the service agreement details.
Decide whether you want to add or remove assets to the service package:
If yes, then click Next to add or remove assets that the service package covers.
If no, then click Next to continue in the task.
Decide whether you want to add a charge plan to the agreement:
If yes, then click Next to enter charge plan details.
If no, then click Next to continue in the task.
In the Service Package Summary screen, review the details of the package.
In the Add Service Package screen, select from the following options:
Create new line item
Use an existing line item
Continue
In the Add Agreement Terms screen, create a new record, and query for the appropriate term.
In the Submit Agreement for Approval screen, submit the agreement for approval or continue.
If you submit an agreement for approval, then verify the information on the Agreement Approval History screen.
In the Generate Agreement Document screen, click Submit.