Understanding Adjustment Schedules

An adjustment schedule contains one or more adjustment definitions for which a customer or an item is eligible. An adjustment schedule consists of adjustment definitions and adjustment details.

You assign customers to adjustment schedules so the system can calculate prices. In the adjustment schedule, you specify the sequence that the system uses to apply adjustment definitions to sales order prices. You assign customers to an adjustment schedule through the customer billing instructions. When you enter a sales order, the system copies the schedule to the Sold To address into the order header.

You can assign adjustment schedules to suppliers if you are using basket pricing for procurement. When you assign an adjustment schedule to a supplier and create a purchase order, the system populates the Adjustment Schedule field in the Order Header. This field must be populated during order entry so that the Purchase Order Header (F4301) table contains the values. The F4301 table must contain the value before you can apply basket adjustments to purchase orders.

Each adjustment schedule can contain a multiple number of adjustment definitions. You can add adjustment definitions or change existing adjustment definitions at any time. You can override the adjustment schedule at the order detail line level, if needed.

You can also set up the sequence of the adjustment definitions that the system uses when applying prices. You can use the Skip-To field to indicate that the system skips or bypasses adjustment definitions. As the system sequentially processes each adjustment definition, the system either:

  • Applies the qualifying adjustment definition, processes the value in the Skip-To field, bypasses the appropriate adjustment definitions, and proceeds to processes the adjustment definition of the number in the Skip-To field.

  • Bypasses the nonqualifying adjustment definition, bypasses the Skip-To field and proceeds to processes the next adjustment definition.

For example, your adjustment schedule includes a:

  • Minor product item group discount adjustment at sequence 10.

  • Major product item group discount adjustment at sequence 20.

  • Price override adjustment at sequence 30.

You enter 30 in the Skip-To field of the minor product item group discount adjustment line to bypass the major product item group discount adjustment at sequence 20.

Alternatively, you can select the Skip-To End field for an adjustment definition and the system bypasses all subsequent adjustment definitions.

You might choose to do this to bypass mutually exclusive adjustments. Using the Skip-To field functionality can also improve system performance when calculating prices.

Note: You cannot use the Skip-To field functionality with Buying Structures, Direct Price Adjustments, and Advanced Preferences.

If you use a minimum or maximum price adjustment, you can enter this price adjustment at any point in the schedule and the system validates the price adjustment and calculate the unit price at that point in the schedule.

Additionally, on the Price Adjustment Schedule Revisions form you can use the Set New Base Price selection on the Row menu to create a base price for the item. You can select this feature for only one adjustment definition in the adjustment schedule. The system determines the new base price by calculating all of the adjustment definitions in the schedule through and including the row with the New Base Price selection.