To create a pricing
formula:
- Navigate to the Pricing Formulas window.
The
Pricing Formulas window displays.
- Enter the name of the new pricing formula in the Name field.
- Enter the effective dates of the pricing formula in the Effective
Dates field.
- Enter the formula expression in the Formula field.
The
formula is an arithmetic expression made up of step numbers that you enter in
the Formula Lines tabbed region. You can repeat step numbers in the formula.
In
the Formula Lines tabbed region, refer to steps 6 through 9 for each component
of the formula.
- Select a value for Formula Type.
- Enter the following information depending on Formula Type:
- Numeric Constant--Enter the numeric constant in Component.
- Pricing attribute--Select the pricing context in Pricing Attribute
Context. Select the pricing attribute name in Pricing Attribute.
- Factor List--Select or enter the name of a factor list in
Component. To use an existing factor list, select it from the list of
values. To create a new factor list, enter the name and the form creates
it.
- Enter the step number for the component.
You
cannot repeat step numbers in this region even though you can repeat step
numbers in the formula.
- Save your work.
If
the Formula Type is Factor List, select the Factors button to enter
factor list details.
To define factor list details:
- In the Pricing Formulas window, Formula Lines tabbed region, select
the Factors button.
The
Factors window displays.
In
the Base Pricing Attributes region, perform steps 2-8 for each base pricing
attribute factor.
- Select a value for Base Pricing Attribute Context.
If
you have multiple entries, you must use the same base context in this region
(to create an OR condition); the pricing engine chooses one of the entries. Use
the Associate Pricing Attributes region to associate additional contexts with
the base context (to create an AND condition).
- Select a value for Base Pricing Attribute.
- Select Comparison Operator and enter the Value From and Value To as
follows:
If
you select Between, you must enter a value for Value From. If you do not enter
a value for Value To, it defaults to unlimited.
If
you select =, you must enter Value From and you cannot enter Value To.
- Enter the Adjustment Factor.
- Perform steps 7 and 8 for each associate pricing attribute.
- In the Associate Pricing Attributes region, select an Associated
Pricing Attribute Context and Associated Pricing Attribute to associate
with the base pricing attribute context and base pricing attribute values
(to create an AND condition).
- Select Comparison Operator and enter the Value From and Value To as
follows:
If
you select Between, you must enter a value for Value From. If you do not enter
a value for Value To, it defaults to unlimited.
If
you select =, you must enter Value From and you cannot enter Value To
- Save your work.
Promotions and
Coupons
Note The Promotions and Coupons tabbed regions are only
enabled if you have licensed and installed Oracle Advanced Pricing.
- From the Order Information tabbed region, select the Actions
button and select Promotion/Pricing Attributes to enter asked for
promotions or coupons that apply to the whole order.
To
enter asked for promotions or coupons for a specific order line, select the Actions
button and select Promotion/Pricing Attributes in the Line Items tabbed region.
The Promotions/Pricing Attributes window appears.
- Enter "asked for" promotions in the Promotions tabbed
region.
For
order level, the pricing engine applies the promotion to all lines of the order
if the customer is eligible for them, unless you select Override Flag. For line
level, the promotion is applied just to this line if eligible, unless you
select Override Flag.
- Enter coupon information in the Coupons tabbed region.
For
order level, the pricing engine applies coupons to all lines of the order if
the customer is eligible for them, unless you select Override Flag.
For
line level, the pricing engine applies the coupon to the line if eligible,
unless you select Override Flag.
- Choose Apply.
The
promotion or coupon will be applied to your order or line.
The Advanced Pricing engine returns the
following to Order Management:
- If a modifier type is promotional goods, new order lines are
created for the promotion. The new promotion lines are automatically
added or adjusted to accommodate changes and adjustments to the ordered
line item. However, if the original order line item is deleted or
cancelled, the promotional order line must be manually deleted.
- When modifier type item upgrade, Pricing updates the item number
to the new upgraded item number.
- When the modifier type is terms substitution, Pricing updates
shipment priority code, payment term or freight term in Order Management.
Note: Ensure you do not
violate Order Management processing constraints when defining your modifiers,
else modifiers will not be applied. For example, you can not upgrade an item after
an order is Booked.Order lines created as a result of a Promotional Goods
modifier have calculate price flag as 'Partial Price', therefore freight
charges will be applied on these lines if qualified. For example, a PRG
modifier line is defined within the Modifiers window as: Buy A get B free. A
freight charge modifier line is defined as: Buy B get 10% freight charge. In
Order Management, when a customer buys A, an additional order line will be
created with item B, with calculate price flag as Partial Price). The 10%
freight charge will be applied.
- Oracle Pricing does not automatically create promotional goods
lines inside a model because it cannot guarantee that the free good is
part of the correct model definition. For example, if you set up the promotional
goods modifier Buy A get B free and then order model C with option A, the
pricing engine returns:
- 1.1 Item C (Model)
- 1.1.1 Item A (Option)
- 2.1 Item B (Promotional good)
If
you want B to be part of model C in the same situation, set up an other item
discount modifier type, and select B as an option. For example, if you set up
the other item discount modifier buy A and B, get 100% off B and then order
model C with options A and B, the pricing engine returns:
- 1.1 Item C (Model)
- 1.1.1 Item A (Option)
- 1.1.2 Item B (Option with other item discount)
Pricing for Service
Items
Service items are only priced after you
have entered service information in the service tab, and then are priced just
as any other item processed by the pricing engine. Service item can have a list
price or be defined as percent based within a price list. In Oracle Order
Management the parent item is the serviceable item, and must be defined.
When pricing a service item, Order
Management always passes the service item and the serviceable item to the
pricing engine. When the price of the service item is percent based, the
pricing engine calculates the price of the service item as a percentage of the
list price of the serviceable (parent) item. The pricing engine will attempt to
find the price of the serviceable item first, and then proceed to
calculate the price of the service item.
The table below displays Oracle Pricing
APIs that are called based upon a order header or Order Line attributes.
Order
Management Attribute
|
Pricing
API
|
Meaning
|
Ordered Quantity
|
P_Line_Tbl.Line_Quantity
|
The quantity of service being ordered in UOM of
parent item
|
Ordered UOM code
|
P_Line_Tbl.Line_UOM_Code
|
The unit of measure (time scale)
|
Service Duration for Service Period
|
P_Line_Tbl.UOM_Quantity
|
The time duration of service being ordered*
|
For Example:
Ordered Quantity of 1 for a service item Computer
Maintenance defined with a service duration of 1 year.
P_Line_Tbl.UOM_Quantity is the service
duration expressed in P_Line_Tbl.Line_UOM_Code and P_Line_Tbl.Line_UOM_Code is
the same as Ordered UOM code.
Pricing Service Line using Unit Price
Example
Price list setup for unit price:
- Product: Computer Service
- Application Method: Unit
Price
- UOM Code: Month
- List Price: $10.00
Order Management Order Line:
- Product: Computer Service
- Ordered Quantity: 1
- Ordered UOM: Month
- Service Period: Year
- Service Duration: 1
- Serviceable Item: Laptop
Computer
Unit list price returned for order line
returned by pricing engine: $120.00
Pricing Service Line using Percent Price
Example
Price list setup for percent price:
- Product: Computer Service
- Application Method: Percent
Price
- UOM Code: Month
- Percent Price: 2
- Product: Lap Top Computer
- Application Method: Unit
Price
- UOM Code: Each
- Percent Price: $1000
Order Management Order Line:
- Product: Computer Service
- Ordered Quantity: 1
- Ordered UOM: Month
- Service Period: Year
- Service Duration: 1
- Serviceable Item: Laptop
Computer
Unit list price for Computer Service order
line returned by pricing engine: $240
- 2% of 1000 * 12 = 240
Split Order Lines
Order Management enables you to split order
lines to meet your customer's needs. Until the product is shipped, your
customer can request to change the shipping quantity or need by date for part
of their order. You can meet such requests by splitting the order line into
multiple shipments, via the Split Lines window. When an order line is split in
this manner, it is considered a manual or user initiated split.
- Navigate to the Order Organizer window.
- Query the order which contains the line you want to split.
- Select the order line you want to split.
- Select the Actions button, then select Split Line.
The
Split Line window displays.
The Split Line window displays with
one record, with the Request Date, Ship to and Warehouse defaulted from the
original line.
Attention If you split an order line into multiple lines and
want to retain the original price on both the original line and new lines,
change your Calculate Price Flag to either:
·
Freeze Price or
·
Partial Price
before initiating a user split.
- Create new records per your split requirement.
- Enter the split quantity for the first order line in the qty field,
then enter the remaining quantity for the second split line or choose to
create additional split lines.
- The secondary quantity field (Qty2) supports the splitting of a
line into multiple shipments using secondary quantity for items that are
dual UOM controlled.
Note The Total split
quantity entered (shipment quantity) for all split lines entered within the
Split Line window must equal the original order line quantity. For example, if
the original order line quantity was 40, you can choose to split the quantity
evenly between 2 lines (qty. of 20 for each line), 4 lines (qty. 10 for each
line), or any combination of lines provided the total split quantity equals the
original order line quantity.For lines generated as a result of a user or
system split, resulting line numbers created utilize the same line number and
then append the Shipment Number. For example, if your original order line was
5.1, and you choose to split the line into 3 split lines, the resulting split
order lines would appear as 5.1, 5.2, and 5.3, respectively.
- Select Split to confirm the split.
Configurations
You can split only at the top-level line in
a configuration, i.e. you can split only a model line and not at the option or
class level. You can split only a kit line and not at the included item level.
When a model or kit line is split, Order Management splits each item beneath
the Model proportionately.
When a configuration or kit is shipped out
of proportion, the system creates remnant sets. Lines in a remnant sets are
treated as stand-alone lines by shipping and fulfillment. Remnant sets can
arise only out of system initiated splits.
Service
When a serviceable item line is split,
Order Management will split any service item lines beneath it.
System Processing Constraints for Split
Lines
System defined constraints are as follows:
- User initiated splits not enabled on return lines.
- User initiated splits not enabled on a line that is purchase
released, ship-confirmed, invoice interfaced, fulfilled or closed.
- User initiated splits not enabled on any lines in a configuration
once any line in the configuration is ship-confirmed, invoice interfaced,
fulfilled, or closed.
- User initiated splits not enabled on any lines in a configuration
once a configured item is created.
- User initiated splits are not enabled for internal order lines.
Additionally to meet your specific business
needs, you can set up constraints to prevent user initiated splits at earlier
points in the line flow. Define the constraints against splits using the Split
operation.
System Initiated Splits
Order Management automatically initiates a
system split for order and return lines into multiple shipments when they are
have been partially processed. This is true for all order lines except internal
order lines, which are never split by the system.
Such system initiated splits occur as
follows:
When
Order Lines are partially processed at:
- Ship Confirmation - When your shipping department finds that stock
on hand is less than the ordered quantity, you can ship the available
quantity and Order Management will split the line so that the customer
can be billed for what was shipped.
- Purchase Release Receipt - When a Drop-Ship Line is partially
received, Order Management splits the line so that a customer can be
invoiced for what was already shipped.
When
Return Lines are partially processed at:
- Return Receipt - When your customer returns partial quantity on a
return, Oracle Order Management splits the return line so that customers
can be issued credit for what was returned.
For both user and system initiated splits,
Order Management retains all of the original line information including
attachments, discounts, flow status, sales credits, reservations, taxes, and
holds.
The Calculate Price Flag on the order line
entity controls if pricing/charge calculations should be done on the line:
- If it is set to Calculate Price, both pricing and freight
charges calculation are done.
- If it is set to Partial Price, only freight charges
calculation is done.
- If it is set to Freeze Price, neither pricing nor freight
charges calculation is done.
The following table shows the value of the
Calculate Price Flag before and after a user or system initiated split.
Calculate
Price Flag
|
Original
Line before split: Calculate Price
|
Original
line before split: Partial Price
|
Original
line before split: Freeze Price
|
Original line after user initiated split
|
Calculate Price
|
Partial Price
|
Freeze Price
|
New line after user initiated split
|
Calculate Price
|
Partial Price
|
Freeze Price
|
Original line after system initiated split
|
Partial Price
|
Partial Price
|
Freeze Price
|
New line after system initiated split
|
Freeze Price
|
Freeze Price
|
Freeze Price
|
Pricing for each line during the split will
be controlled by the "after split" value of the calculate price flag
as shown in the table above.
If the after split value of the calculate
price flag is Calculate Price:
- Automatic Fixed Amount adjustments get re-calculated
- Automatic Percent Based adjustments get re-calculated
- Manual Fixed Amount adjustments get Pro-rated
- Manual Percent based adjustments get duplicated
If the after split value of the calculate
price flag is Partial Price:
- Automatic Fixed Amount adjustments: charges get re-calculated,
price adjustments get Pro-rated
- Automatic Percent Based adjustments: charges get re-calculated,
price adjustments get duplicated
- Manual Fixed Amount adjustments get Pro-rated
- Manual Percent based adjustments get duplicated
If the after split' value of the calculate
price flag is Freeze Price:
- Automatic Fixed Amount adjustments get Pro-rated
- Automatic Percent Based adjustments get duplicated
- Manual Fixed Amount adjustments get Pro-rated
- Manual Percent based adjustments get duplicated
