1. Implementing Channel Revenue Management
  2. Manage Channel Settings

Manage Channel Settings

Use the Manage Settings page to review and update values for the predefined Channel Revenue Management settings. You can't create a new setting, or delete existing ones. You can update them based on your business needs.

In the Setup and Maintenance work area, go to:

  • Offering: Order Management/Procurement

  • Functional Area: Channel Revenue Management/Supplier Incentives

  • Task: Manage Channel Settings

Note: Some of these settings are required tasks.

Setting

Description

Required

Aging Method for Filtering

Use this setting to select the aging bucket that should be used to filter claims at your site. Aging Methods can be created in Receivables using the task: Manage Aging Methods.

Note: You can select only one aging method, and it must belong to the Common Set.If you don't configure the aging method, Manage Claims page won't have the capability to filter by age.

Yes, for Deductions and Settlement
Automatically Show Available Programs to Associate By default, programs available to be associated are displayed. Change this setting if you don't want to display the programs available for association. Yes for Customer Promotion Prorgams.

Calendar for Accrual Calculation

Use this setting to specify the calendar period used to associate supplier annual program accruals based on your fiscal periods.

Tip: Don't define a calendar based your fiscal periods. Typically a January to December calendar is used to communicate with all your suppliers.
Tip: The CSV import will fail if the invoice date of the supplier invoice can't find a matching period. Don't forget to open periods for a new year.
Caution: You won't be able to update or disable the setting after it's saved.

Recommendation: Start your Period Name with the year.

Yes, for Supplier Annual Programs

Claim Owner

Use this setting to assign a claim owner for your claims at the BU level.

Note: The value you add in this setting is used as the default if you haven't configured the Customer Trade Profile or the Supplier Trade Profile. However, it is recommend that you configure the owner for the Customer Trade Profile and the Supplier Trade Profile.

To create a new assignment:

  1. In the Assignment - Claim Owner: Values section, click the Add icon.

  2. From the list, select the Business Unit for which you want to assign a claim owner. You can see only the BUs you have access to.

  3. Select the Claim Owner from the list.

  4. Enter a Value Code. This acts as a unique identifier for the setting, and is required.

  5. Click Save.

No, but recommended.

Credit Method for Accounting Rules

Use this setting to select the receivables method that must be used to reverse accounting entries for the settlement method Credit Memo - On Invoice, if accounting rules are used in the original invoice.

  1. In the Settlement by Credit Memo - On Invoice - Credit Method for Accounting Rules: Values section, select a value from the Credit Method for Accounting Rules list.

    LIFO: Last In First Out. Starts from the last accounting period and reverses all prior periods till the credit memo is used up.

    Prorate: Credits an equal percentage to all the account assignments for the invoice. This is the value which is enabled by default.

    Unit: Reverses revenue for the number of units specified in the original invoice line.

  2. The Value Code is SITE, as this is a site level setting.

  3. Click Save.

Yes, for Deductions and Settlement

Credit Method for Installments

Use this setting to select the receivables method that must be used to credit installments for the settlement method Credit Memo - On Invoice, if there are multiple installments in the original invoice.

  1. In the Settlement by Credit Memo - On Invoice - Credit Method for Installments: Values section, select a value from the Credit Method for Installments list.

    FIFO: First in First Out. Credits the first installment first.

    LIFO: Last In First Out. Credits the last installment first.

    Prorate: Credit the installments of the credited transactions and prorate them based on the amount remaining for each installment. This is the value which is enabled by default.

  2. The Value Code is SITE, as this is a site level setting.

  3. Click Save.

Yes, for Deductions and Settlement

Deduction Threshold

Use this setting to set the threshold amount for your deduction write-offs.

  1. In the Settlement by Write-off - Deduction Threshold: Values section, click the Add icon.

  2. From the list, select the Business Unit for which you're setting up the write-off threshold. You can see only the BUs you have access to.

  3. Enter the threshold amount in the Deduction Threshold field. This is in the ledger currency of the BU you selected.

  4. Enter a Value Code. This acts as a unique identifier for the setting, and is required.

  5. Click Save.

Note: When you update the threshold amount, there's no impact on existing deductions which are already eligible for write-offs.The write-off threshold amount in Channel Revenue Management must be between the From Write-off Limit per Receipt and To Write-off Limit per Receipt in the Receivables System Options page > Cash Processing tab for the corresponding BU.

Yes, for Deductions and Settlement

Event for Triggering Supplier Rebate Accrual

Use this setting to specify the event that triggers the creation of supplier rebate accruals.

  1. In the Supplier Rebate - Event for Triggering Supplier Rebate Accrual: Values section, click the Add icon.

  2. From the list, select the Business Unit for which you're setting up the triggering event. You can see only the BUs you have access to.

  3. Select the triggering event from the Event for Triggering Supplier Rebate Accrual list.

    Receiving Transaction: Supplier rebate accruals are created after the PO is received.

    Supplier Invoice: Supplier rebate accruals are created only after the PO is received and invoiced.

  4. Enter a Value Code. This acts as a unique identifier for the setting, and is required.

  5. Click Save.

Note: An important deployment best practices for supplier rebates is determining when to trigger the posting of accruals. The best practice approach is that most organizations should trigger the posting of accruals upon the receipt of a supplier invoice for received goods, because this validates that the received goods weren't delivered in error, and there is no doubt with an invoice number which received goods are being accrued and claimed.

Yes, for Supplier Rebate

Receivables Activity for Receipt Write-Offs

Use this setting to select the receivables activity that should be used for receipt write-offs for non-invoice related deductions.

  1. In the Settlement by Write-off - Receivables Activity for Receipt Write-Offs: Values section, click the Add icon.

  2. From the list, select the Business Unit for which you're setting up the write-off. You can see only the BUs you have access to.

  3. Select the Receivables Activity from the list.

  4. Enter a Value Code. This acts as a unique identifier for the setting, and is required.

  5. Click Save.

Yes, for Deductions and Settlement

Receivables Activity for Write-Off Adjustment

Use this setting to select the receivables activity that should be used for write-off adjustments for invoice related deductions.

  1. In the Settlement by Write-off - Receivables Activity for Write-Off Adjustment: Values section, click the Add icon.

  2. From the list, select the Business Unit for which you're setting up write-offs. You can see only the BUs you have access to.

  3. Select the Receivables Activity from the list.

  4. Enter a Value Code. This acts as a unique identifier for the setting, and is required.

  5. Click Save.

Yes, for Deductions and Settlement
Settlement Type Use this setting to choose the default settlement type. You can choose between Promotional and Nonpromotional. Yes, for Deductions and Settlement and Customer Promotion Programs.

Write-off Reviewer

Use this setting to select the claim owner who must review the write-offs for your business unit.

  1. In the Settlement by Write-off - Write-Off Reviewer: Values section, click the Add icon.

  2. From the list, select the Business Unit for which you're setting up the write-off. You can see only the BUs you have access to.

  3. Select the reviewer from the Write-Off Reviewer list.

  4. Enter a Value Code. This acts as a unique identifier for the setting, and is required.

  5. Click Save.

No.

Note: If you use Redwood, then this setting isn't applicable.
Note: After saving a setting, you can't delete it. You can only disable it, by deselecting the Enable check box.