Revenues

This chapter describes how users can add and manage revenue data. It includes the following topics:

About Revenues

Users can add and analyze revenue data from the Revenues view in a number of screens including, Opportunities, Accounts, Projects, Partners, Products, Contacts, and Agreements.

The Revenues screen includes every revenue associated with the opportunities, accounts, projects, and so on, to which you have access. The Revenues screen therefore provides users with a convenient place to perform updates of important revenue information. It offers managers and sales professionals a useful, cumulative view of the business across a range of revenue records.

Forecasts are simply snapshots in time of revenue data. It is recommended that revenue information be updated on a regular basis during the course of normal business activities. This provides the application with the information that managers and executives need when they are ready to review revenues or create forecasts.

Tip: To guarantee forecast consistency, make modifications to revenue records rather than adjusting a forecast. Forecasts are based on current revenue data. Adjustments to forecast records are not replicated in subsequent forecasts, resulting in extra work as the same items are adjusted week after week. Choose Update Revenue Item from the menu button in the Forecasts screen to make sure key adjustments in forecasts are updated in the live revenues.

Tip: To make sure that any adjustments made to quantity, price, or revenues in the Revenues Screen is reflected in the existing forecasts, select Update Detail with Revenue Item from the menu in the Forecasts screen, then Details view.

About Opportunities, Accounts, and Products

This topic discusses how opportunities, accounts, and products relate to revenues and forecasting.

An opportunity is a potential revenue-generating event. Opportunity-related information is recorded and tracked in the views associated with the Opportunities screen.

An account is a business external to your company. An account represents a current or potential client, a business partner, or a competitor. Accounts are a source of business for your company and opportunity records store information that you can use to manage accounts.

Specific products can be associated with an opportunity. For example, if a customer is interested in purchasing a new software suite, this information can be specified in the Products view.

For more information about creating accounts and opportunities, and adding products to opportunities, see Siebel Applications Administration Guide. For information about adding revenues to opportunities, accounts, and products, see Adding a New Revenue to an Opportunity (End User).

Scenario for Using Revenues

This scenario gives one example of how revenues can be used. You can use revenues differently, depending on your business model.

The forecast administrator for a large company needs to make sure users can use the Revenues screen to analyze their revenues. If necessary, the administrator configures revenue SmartScripts so that users can add recurring revenues to the application, and creates revenue plan templates. SmartScripts configuration is optional and is already set up in the default Siebel application. The administrator also creates a revenue template so that the sales representatives in the district can create sets of recurring revenues that include a product bundle as well as scheduled services and maintenance activities.

The company’s district manager manages multiple recurring revenues for each of the opportunities (belonging to the district manager). From the Revenues view in the Opportunities screen, the district manager adds multiple product revenues to an opportunity using SmartScripts. The district manager also has two sales representatives working on the same opportunity revenue item. As such, the district manager goes into the opportunity and splits this revenue.

The vice president of sales has a number of choices for monitoring the business. The Revenues screen offers up-to-the-minute data on revenue opportunities across divisions, partners, products, and service offerings. With the aid of several predefined queries, the vice president can view revenues by product line or sales representative, margins by partner, and upside by account or opportunity. The vice president can also view revenue spreadsheets and use revenue charts to gain further information about each revenue. When the vice president examines the revenues, the vice president finds that modifications need to be made to some of them. The vice president does this directly in the Revenues view, as this (making changes to revenue records rather than adjusting a forecast) allows for more consistent forecasting.

About Configuring Revenue SmartScripts

Using the Administration - SmartScripts screen, you can edit the behavior of the Script command in the Revenues list.

You can make changes to:

The order in which questions are asked.
The appearance of the questions: font style, color, and grouping of questions on the pages.
Which business object, business component, and field answers are set.
What questions are asked. You can only create questions that directly set revenue fields based on the answers. No special logic can be built on answers to questions you create.

You cannot make changes to:

The default values for questions.
The special logic that handles the revenue creation. For example, questions like How many revenues do you want to create? and Remove existing revenues?, and processes such as the one used to divide total revenue into periodic revenues.

Note: If more complicated logic is required, you can build a VB script that is invoked during the execution of the SmartScript.

For more information about SmartScripts, see Siebel SmartScript Administration Guide.

Creating Revenue Plan Templates

You can create revenue plan templates for revenue plans that sales managers and sales representatives use for a series of recurring revenues or a particular group of revenues. For example, a predefined product or service package that consists of recurring revenues can be a revenue plan.

Users select a revenue plan template in a Revenue Plans view, which is available in each screen that has a Revenues view, such as Opportunities, Accounts, and Projects. Use revenue plans only for simple grouped revenues. For more information about using revenue plans, see Using a Revenue Plan (End User).

To create a revenue plan template

Navigate to the Administration - Forecast screen, then the Revenue Templates view.

Create a new record and complete the necessary fields. Some fields are described in the following table.

Field Name	Description
Units	Choose from Hours, Days, Weeks, Months, Quarters, and Years.
Public	Select this check box if you want this revenue plan to be accessible to each user.

Click the Revenue Template Details tab and add new records to associate revenue line items with the parent template.

Some fields are described in the following table.

Field Name	Description
From	Enter number at which specified unit begins.
To	Enter number at which specified unit ends.
Price Multiplier	The rate at which the price changes from the original price.
Qty Multiplier	The rate at which the quantity changes from the original quantity.
Revenue Multiplier	The rate at which revenue changes from the original revenue.
Product	Enter the name of the product associated with this revenue item.
Sales Rep	Enter the name of the sales representative associated with this revenue item.

Note: The multiplier is the amount by which the revenue plan revenue, price, or quantity is to be multiplied by. This number is defined by the user. For example, if Revenue Multiplier is 1, and the user enters $1,000 for the revenue plan’s revenue, then each revenue is $1,000. If the Price or Qty have a multiplier, then both of these fields are changed and the revenue for that line item is the result of the new Price and Qty calculation. This is true even if the revenue multiplier is equal to one or is blank. If the revenue has a multiplier on it, it overrides Price and Qty changes regardless of their multipliers.

Adding a New Revenue to an Opportunity (End User)

Revenues associated with opportunities, accounts, projects, and so on appear in forecasts.

Note: Users can also add revenues from screens other than Opportunities. These include Accounts, Projects, Contacts, Products, Partners, Campaigns, and Agreements.

To add a new revenue to an opportunity, complete the steps in the following procedure.

To add a new revenue to an opportunity

Navigate to the Opportunities screen, then the List view.
In the Opportunities list, drill down on the opportunity to which the revenue is being added.

Click the Revenues tab, create a new record and complete the necessary fields.

Some fields are described in the following table.

Field Name	Description
Forecasted	Checking this box indicates that there is a high probability the deal will close and that it will be included in forecasts.
Product	Use the selection dialog box to associate this revenue with a product.
Quantity	Enter the amount of product or service being purchased.
Price	Enter the unit price of the product or service being purchased.
Revenue	Enter the total revenue this will produce.
Best Case	Enter a best case estimate of what revenue will be produced.
Product Line	Use the selection dialog box to associate this revenue with a product line.
Quote	If this is checked, product revenue is included in the auto-quote function in the Quotes module.
Revenue Class	Choose from 1-Pipeline, 2-Upside, 3-Expected, 4-Committed, and 5-Closed.
Revenue Type	Choose from Actual, Shipped, Billed, Booked, Projected, and Quota.
Probability	Enter the percentage likelihood of winning this revenue for this opportunity.
Expected Revenue	Number based on the value in the Probability field.
Worst Case	Enter a worst case estimate of what revenue will be produced.
Unit of Measurement	Select the appropriate unit of measurement.

Adding Multiple or Recurring Revenues Using SmartScripts (End User)

Users can add multiple or recurring revenues from any screen where the Revenues view is found, for example Opportunities, Accounts, Projects, Contacts, Products, Partners, and Agreements. Multiple or recurring revenues can be added using SmartScripts. SmartScripts are accessed by choosing Script from the menu button in the Revenues view. Revenues created using SmartScripts reside in the same spreadsheet record.

Note: Users can add recurring revenues from any screen that has a Revenues view. The Opportunities screen is used in the following procedure as an example.

To add multiple or recurring revenues using SmartScripts

Navigate to the Opportunities screen, then the List view.
In the Opportunities list, drill down on the opportunity to which you want to add revenues.
Click the Revenues tab, click the menu button, and then click Script.
In the SmartScripts screen in the Revenue Schedule - Date Range form, complete the necessary fields, and then click Next.
In the Revenue Schedule - Default Values form, complete the necessary fields, and then click Next.
In the Revenue Schedule - Default Values form, complete the necessary fields, and then click Next.
In the Revenue Schedule - Amounts form, complete the necessary fields, and then click Finish.
The appropriate revenue records are calculated and added to the Revenues list.

A set of revenues created using SmartScripts includes the same Group ID and thus are each included in the same spreadsheet record when the user navigates to the spreadsheet view.

Note: A substantial number of the Script’s fields are not necessary for the user’s specific needs; fields that are marked are required. In addition, the script has a built-in calculation function. The application calculates the correct end date, frequency, or period. If the Replace Existing Revenues check box in the Revenue Schedule Default Values screen is selected, the script function replaces only the items added or owned by the user. It does not replace account revenues associated with other positions.

Adding a Split Revenue (End User)

A revenue split allows a user to forecast an opportunity revenue that is split between multiple sales representatives. Split revenues can only be added from the Opportunities screen.

To set up a revenue split

Navigate to the Opportunities screen, then the List view.
In the Opportunities list, drill down on the opportunity to which you want to add revenues.
Click the Revenues tab and then click the Splits hyperlink.
Create a new record and complete the necessary fields. For information on the fields, see Adding a New Revenue to an Opportunity (End User).

Note: Once a revenue split record is created, a read-only split flag is checked in both the parent opportunity and the revenue line item. To include or exclude these records from a forecast, craft the forecast’s search specifications accordingly. For information about creating search specifications, see Creating Search Specifications for Forecast Series.

Using a Revenue Plan (End User)

Revenue plan s are created by the forecast administrator to create recurring revenues or a particular group of revenues. Revenue plans are based on revenue plan templates, which are created and activated by the Siebel administrator, see Creating Revenue Plan Templates.

You create revenue plans in the Revenue Plans view from any screen where Revenues views are found, for example, Opportunities, Accounts, Projects, Contacts, Products, Partners, and Agreements.

You can edit the Price, Quantity, and Revenue fields for an existing revenue plan. Data updated at the parent level of the plan updates each of the child revenue items automatically, however:

You can use the Lock field to prevent selected revenue details from being updated.
You can use the Update All button to update each revenue record with the parent-level changes, regardless of whether the detail records are locked.
Values entered by users at the Revenue Plan level for quantity, price, and revenue are multiplied by the value in the Multiplier field defined by the administrator in the revenue plan template, and the results populate the detail records.

To use a revenue plan

Navigate to the Opportunities screen, then the List view.
In the Opportunities list, drill down on the opportunity you want to associate with a revenue plan, and then click the Revenue Plans tab.
In the Revenue Plans list, create a new record and then select a revenue plan template from the Template drop-down list.
The applicable revenue items and proposed period appear in the Revenues subview beneath the Revenue Plans list.
(Optional) Edit the Price, Quantity, and Revenue fields for the revenue plan as required, and click the Update All button to update the revenue items.

Reviewing Revenues (End User)

The Revenues screen offers a useful management tool for monitoring the health of the business. With the appropriate predefined queries, this screen offers real-time insight to the revenue attainment status of the sales organization. Users need to define the search specification or define appropriate criteria for a query to select the correct revenue records for forecasting. For details on defining the search spec, see Creating Search Specifications for Forecast Series.

Users must define the appropriate criteria for a query or search specification to identify the following:

To view only Opportunity Revenues use:
```
[Calculated Primary Flag] = ‘Y’
```
To view each of the Revenue line items that are not opportunities use:
```
[Calculated Primary Flag] = ‘N’
```
To view just product, partner, or project revenues use, for example:
```
[Product] is not NULL
```

Note: Once the appropriate query criterion is defined and the appropriate revenue records have been found, use the Charts view to further analyze the revenues.

To review My Team’s Revenues

Navigate to the Revenues screen, then the List view and select My Team’s Revenues from the visibility filter.
Select a predefined query from the Queries drop-down list to view specific sets of revenue, or create your own query.
For more information on how to create basic queries, see Siebel Fundamentals.

Modifying a Revenue Item (End User)

Making changes to revenue records rather than adjusting a forecast allows for more consistent forecasting. Forecasts are based on current revenue data. Adjustments to forecast records are not replicated in subsequent forecasts, resulting in extra work as the user adjusts the same item week after week.

Note: Users can update revenue items from a forecast. This allows a user to update live revenue records with the current forecast updates. For more information, see Updating Revenues from a Forecast. Users can also update a forecast with revenue items. This allows a user to update forecast detail records with the current revenue updates. For more information, see Updating a Forecast with a Revenue Item

To modify a revenue item

Navigate to the Revenues screen, then the List view.
In the Revenues list, select the revenue item you want to modify and edit the necessary fields, for example, Quantity, Price, and Revenue.

Viewing the Revenue Spreadsheet (End User)

Users sometimes want to display revenue information using the spreadsheet view for easy data entry and visibility of recurring items. Revenue spreadsheets are available in the following screens: Opportunities, Accounts, Agreements, and Projects.

To view the revenue spreadsheet

Navigate to the Opportunities screen, then the List view.
In the Opportunities list, drill down on the opportunity for which the information will be displayed.
Click the Revenues tab and then click the Spreadsheet hyperlink.
The information is grouped by certain product types and displayed accordingly.

Note: To make sure that revenues are grouped in rows as intended in the spreadsheet, enter revenue data either into the spreadsheet directly, by using the script feature available from the menu button, or by using revenue plans.

Using Revenue Charts for Reporting (End User)

The Charts view provides users with a graphical representation that allows them to analyze revenue data. For example, it is possible, using the chart, to show opportunity revenues by month or opportunity margin by partner.

To use the Charts view, the Chart Server must be configured.

Tip: In queries, include all Calculated Primary Flag records = Y to view only opportunity-level revenue records. Include all Calculated Primary Flag records = N to view all revenue records that are not opportunities.

To view revenue in a chart

Navigate to the Opportunities screen, then the List view.
In the Opportunities list, drill down on the opportunity with which the information will be displayed.
Click the Revenues tab and then click the Chart hyperlink.
Data is displayed in graphical format. Summary values for each chart element are displayed when using the mouse-over feature.

Use the By and Then drop-down lists in the Chart view to summarize data by a variety of segments.

About Using Revenue Reports (End User)

Users can create revenue reports from the Revenues screen and from the Revenues tab in any screen. For more information about reports, see Siebel Fundamentals.

About Distinguishing Between Revenues (End User)

Users can use Revenue Type list of values (LOVs) or Channel LOVs to distinguish between indirect, direct, and other specially-noted revenues.

Sales representatives can select values from the Channel and Revenue Type fields for each opportunity or product revenue. In this way, when users run a forecast or a predefined query, they can view charts or reports that allow them to divide the data by Revenue Type or Channel.

Note: The Siebel administrator must add correct LOVs if there is specific terminology. For information about adding LOVs, see the chapter that discusses working with LOVs in Siebel Applications Administration Guide.