Applying a Manual Discount

The net price of a line item in a quote or order is determined by:

Start price. The calculation begins with the start price, which is typically the list price or promotional price of the product in the price list. Attribute adjustments and customizable product adjustments affect the start price.
Policy discounts. The application applies discounts such as promotions, contract prices, and volume discounts.

Manual discounts. The salesperson applies manual discounts. End users can enter manual discounts for individual line items or for the entire quote or order.

For more information about start price and policy discounts, see Siebel Pricing Administration Guide.

When users work with pricing information, they can use the fields and button listed in the following table.

Field Name	Comments
Policy Discounts field	Displays a money amount equal to the sum of the discounts that the application has applied automatically, including promotional discounts, contractual discounts, volume discounts, and so on.
Manual Discounts field	Displays a money amount equal to the manual discount that the user applied in one of the manual discount fields (Manual Discount Amount, Manual Discount %, Manual Price Override)
Net Price field	If licensed for Siebel Dynamic Pricing, then in the Discount Negotiation view, the end user can click the Net Price field to display a pricing waterfall that shows how all the adjustments were used to calculate the net price. The net price is the final price arrived at after applying all discounts to the start price.
Manual Discount Amount field	The end user can enter a manual discount amount for a line item. (The three fields that apply discounts to individual line items, Manual Discount Amount, Manual Discount % and Manual Price Override, are mutually exclusive. The end user can only use one of them.)
Manual Discount % field	The end user can enter a manual discount percentage for a line item.
Manual Price Override field	The end user can specify an override price for the line item. This price is used as the net price for the line item. Specifying a value in this field overrides any applicable policy discounts.
Discount field	In the Discount field of the quote or order header, the end user can enter a discount percentage in the that applies to all the line items in the quote or order. However, this discount does not apply if you enter a manual discount for the line item, which overrides the discount entered in the header.
Header Discount Amount	If you enter a percentage in the Discount field of the header, then this field of the Line Item record displays a money amount equal to the value of the header Discount for the line items. To display this field, you may have to select Columns Displayed from the Line Items list menu.
Margin % field	Displays the profit margin at the current price. The margin is calculated as (Net Price - Cost)/Net Price * 100%
Spread Discount Button	In the totals form for the Line Items, the user can click the Spread Discount button and enter a total discount amount, percent, or target total for the entire quote or order. The discount is spread among the line items. Note: Spread discount is the best practice for entering a discount for the entire quote or order. It is recommended that end users use this method instead of using the header Discount field.
Override Policy Discount field	Selecting this check box overrides any policy discounts such as volume discounts and contractual discounts, generated by the application. The application does not apply policy discounts to that line item. Discounts depend only on manual discounts. Use this flag if you want the Manual Discount Amount or Manual Discount % to replace the policy discounts rather than being applied in addition to the policy discounts. This flag is deselected by default. Whenever the user selects or deselects this flag, the item is repriced. In earlier releases, this field was named Keep Discount.

These discounts are applied by the default pricing procedures, which may be modified to change the way the net price is calculated. For more information, see the workflow and Pricing Procedure reference in Siebel Pricing Administration Guide.

The following topics discuss the different ways an end user can enter a manual discount:

This task is part of the Common Tasks for Creating Quotes and Sales Orders.