Price Dual Units of Measure

Use the Pricing Administration work area to specify pricing for the item.

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Note

  • To identify and manage the units of measure that are in each class, go to the Setup and Maintenance work area, open the Manage Units of Measure task, then search according to class, such as Quantity.

    You can specify pricing for a dual measure in a price list, discount list, or shipping charge list.

  • Use the Pricing UOM attribute to tell Pricing which measure to use to price the item. Use this attribute when you add the item to a list, such as the Corporate Segment Price List.

  • Set up pricing in any measure that's in the primary's or the secondary's class.

Example

Let's see how the attribute values change as your item moves through fulfillment:

  1. Start on the order line in Order Management.
  2. Move to the shipment line in Oracle Shipping.
  3. Now on the order line back in Order Management after Order Management receives the shipment confirmation from Shipping.
  4. Finally on the invoice line in Oracle Receivables.

Assume you sell an item named Sushi Tuna. You sell the whole fish, and you sell it for the same price regardless of how big the fish is, so you use the primary Each measure to price it. Here's what pricing looks like when you sell a quantity of 2 fish and each one weighs 4 pounds:

Line

Ordered Quantity

Ordered UOM

Shipped Quantity

Secondary Quantity

Secondary UOM

Secondary Shipped Quantity

Secondary Fulfilled Quantity

Unit Price

Extended Amount

1. Order Line

2

Each

0

8

Pounds

-

-

$4

$8

2. Shipping Line

2

Each

2

8

Pounds

-

-

-

-

3. Submitted Order Line

2

Each

2

8

Pounds

8

-

-

-

4. Invoice Line

2

Each

-

8

Pounds

8

8

$4

$8

Each fish can vary in weight, so using Each results in pricing that's all over the map. Your customers prefer to buy the whole fish, so you decide to continue selling each whole fish instead of cutting it up, but you use the secondary Pounds measure to price it. Here's what pricing looks like when you sell a quantity of 2 fish, each one weighs 4 pounds, and you charge $1.50 a pound:

Line

Ordered Quantity

Ordered UOM

Shipped Quantity

Secondary Quantity

Secondary UOM

Secondary Shipped Quantity

Secondary Fulfilled Quantity

Unit Price

Extended Amount

1. Order Line

2

Each

0

8

Pounds

-

-

$1.5

$6

2. Shipping Line

2

Each

2

8

Pounds

-

-

-

-

3. Submitted Order Line

2

Each

2

8

Pounds

7

-

-

-

4. Invoice Line

2

Each

-

8

Pounds

7

7

$1.5

$10.5

Set the Item's Pricing Attribute

The value that you set for the item's Pricing attribute in Product Information Management determines the value that you can set for the order line's UOM attribute:

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Primary

If you set the item's Pricing attribute to Primary in Product Information Management, then you can set the order line's UOM attribute only to the measure that you specify in Pricing Administration. For example, if you set the Pricing UOM attribute to Each in Pricing Administration, then you must set the order line's UOM attribute to Each.

Pricing will use the primary measure to price the item.

Secondary

If you set the item's Pricing attribute to Secondary in Product Information Management:

  • You can set the order line's UOM attribute to any measure that's in the same class as the measure that you specify in the Primary Unit of Measure attribute in Product Information Management.
  • Pricing will use the secondary measure to price the item.
  • If the Pricing attribute for the item validation organization contains Secondary, then you must price the item in the secondary measure.
  • You can't change the line's Secondary UOM attribute to another value.
  • Order Management will price the item according to the secondary measure regardless of whether you set up pricing in Pricing Administration. Pricing won't prevent you from using the primary, but if you use dual measures, then you must set up pricing according to the secondary measure. If you don't, you will encounter a runtime error.

Consider an example:

  • You set the Item Validation Organization parameter to Fresh Fish 4 U. See Manage Order Management Parameters.

  • In Product Information Management, you create the Sushi Tuna item in the Fresh Fish 4 U organization, and you set Sushi Tuna's primary measure to Each.

  • The Each measure is in the Quantity class, so you can price the item in any measure that's in the Quantity class, such as Bag, Book, Box of 10, Case of 12, Dozen, Each, Gross, Ream, Sheet, and so on.