Contracted Deal

At present, the relationship manager of a deal can offer a customer or account agreed pricing for a price item or can inherit the pricing for a price item from a price list. If you inherit the pricing for a price item from a price list in a deal and if you change the price item pricing in the price list after orchestrating the deal, the price list is updated in the system. As a result, the pricing offered for a price item to an entity in the deal is overridden. Oracle Revenue Management and Billing enables you to handle this issue by creating a contracted deal.

A new option named Contracted Deal is introduced in this release. If you select the Contracted Deal option while creating a deal for an existing customer, account, or prospect, any change in the price item pricing of the price list (after orchestration) will not affect the price item pricing offered in the deal.

The Contracted Deal option works in conjunction with a new option named Variable Price which is available while defining a price item. If the Variable Price option is selected for a price item, the system will inherit the pricing for the price item from the price list. In such case, the pricing offered for a price item to an entity in the deal is overridden when the price list pricing is changed after orchestrating the deal in the system.

However, if the Variable Price option is not selected for a price item, the system will create a customer or account agreed pricing for the price item, whose pricing is inherited from the price list, whenever the relationship manager orchestrates the deal. In such case, the pricing offered for a price item to an entity in the deal is not overridden when the price list pricing is changed in the system. This enables the relationship manager to create deals for an existing customers, accounts, and prospects where the pricing of the price items are fixed for a particular timeframe. Note that the system creates a customer or account agreed pricing for the price item whose pricing is inherited from the price list only when the commitments are specified for the price item in the deal. If the commitments are not specified for the price item in the deal, the system does not create customer or account agreed pricing for the price item, whose pricing is inherited from the price list. In such case, the system ignores the price items without commitments. It neither creates an error message nor creates a To Do to indicate the error that occurred while creating the price assignments during orchestration.

While accepting a contracted deal, you need to specify the customer acceptance end date. The system then uses the customer acceptance end date as the effective end date while creating the customer or account agreed price assignments during orchestration.