Understanding PeopleSoft Enterprise Pricer

PeopleSoft Enterprise Pricer enables real-time dynamic pricing for quotes and orders based on your company pricing policies. You can define rules that determine what discounts, surcharges, or giveaways apply under specific order conditions, such as products ordered, customer, customer region, and so on. The functionality is designed for pricing and marketing managers and includes the capability for development, testing, deployment, and maintenance of price lists, rules, and arbitration plans.

PeopleSoft Enterprise Pricer consists of pricing elements that you use to create your pricing structure:

• Price lists.

  These enable you to select products and conditions where the price list should be overridden. During a transaction, the system determines the product price based on either the predefined search hierarchy for the transaction or on the product's lowest price on any associated active price lists. This price is used as the basis for any further discounts and surcharges.

• Price rules.

  These define the conditions that must be met before the adjustments are applied to the base or recurring price. Multiple rules can apply when conditions of each rule are met.

• Arbitration plans.

  These define how the price rules are applied to the base or recurring price when the transaction is priced.

• Pricing simulator.

  This enables you to test your pricing scenarios to determine whether the pricing adjustments create the desired results.

When you set up your pricing scenario, set up the pricing elements in this order:

1. Price lists.

2. Price rules.

3. Arbitration plans.

Once you have set up all three elements, you can test the setup using the pricing simulator. By specifying some pricing criteria with a particular customer, you can verify if the application is producing expected results. With the simulation tools, you can run tests, view test results, and refine price rules, price lists, and arbitration plans as often as needed before the pricing functionality goes to production. For more information on the pricing process flow, how the product base price, pricing adjustments (if applicable) and net price are determined for the calling application, refer to the Price Determination topic of PeopleSoft FSCM Enterprise Pricer.