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Pricing / Discount Conditions<Site>

Business Process Workshop

The objectives of the Pricing and Discount workshop is to:

• Provide an overview of the Pricing and Discount Condition Business Processes

• Demonstrate how SAP will be used to manage these processes.

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AgendaTopics:

I. Overview

II. Pricing Conditions

III. Discount Conditions

IV. Manual Conditions

V. Reporting

VI. References

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I. Pricing and Discount Conditions - Overview

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Pricing is a broad term to describe the calculation of prices and costs.

Conditions represent a set of circumstances that apply when a price is calculated.

The variable factors here – the customer, the material, the quantity, and the date – determine the final price the customer gets. The information about each of these can be stored in the system as master data. This

master data is stored in the form of condition records.

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Condition RecordsCondition records allow you to store and retrieve pricing data in the system. All the pricing elements of daily business – the prices, discounts, freight charges, commissions, etc – that you want to use must be stored in the system as condition records. You can define as many condition records as you want for the different pricing elements for any validity period. These records are stored in SAP as master data and are retrieved when processing a sales document.

•Master Data is centrally stored (shared across application modules) and processed to eliminate data redundancy.

•These three master data records are critical to sales order processing:

Customer Master

Material Master

Pricing/Discount Conditions

•All pricing and discount condition records will have validity dates. All validity dates will default from today’s date to 12/31/9999. (Note: This process is under review and may change after implementation).

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Condition Types

Pricing is carried out automatically based on predefined prices, discounts, and surcharges. Prices can be manually overridden on the sales order (when applicable).

ConditionsConditions

Price List Material Price Customer/Material

Price List Material Price Customer/Material

PricesPrices

Customer/Material Pricing Group 3rd Party Commissions (Statistical) Sales Area/Material Price Group

Customer/Material Pricing Group 3rd Party Commissions (Statistical) Sales Area/Material Price Group

Discounts/surchargesDiscounts/surcharges

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Condition TypesSome definitions to get us started…..

Prices are the base from which the net price is calculated.

Discounts are the reductions that can be applied to your price.

Surcharges are additional prices added to your final price.

Statistical conditions are used to track pricing within a sales document without affecting the net price of the order or sales document.

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Creating Price/Discount Conditions

Since condition records are considered master data, that is where you’ll find it in SAP. Most condition records are created by following the menu path:

Logistics

Master Data

Conditions

There are two places in master data where condition records can be created, changed and displayed.

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Pricing and Discount conditions can be created, changed and displayed in SAP in two different modules:

VK31

Logistics

Master Data

Conditions

Create

VK11

Logistics

Master Data

Conditions Select using condition type

Create

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Today’s Presentation will primarily use VK11.

VK11

Logistics

Master Data

Conditions Select using condition type

Create

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Pricing and Discount conditions are organized into a sequence called a pricing procedure. During sales order processing, the pricing procedure determines the kinds of pricing elements you can use and in which sequence they are processed to arrive at a final price. The sequence of Yaskawa’s standard pricing procedure follow in this order:

•Material Price (PR00 or PRRP)Customer/Material PricePrice List TypeMaterial

•Customer/Material Price Group Discount (K030)•Sales Area/Material Price Group Discount (Z030)•Manual Discounts (PN00, RA00)•Commissions Accrual (ZCOM)•Manual Freight Conditions (ZPPA, ZCOD)•Sales Taxes (XR1-4)

Determining Price through the Pricing Procedure

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In SAP, the system checks for the most specific condition record first (customer/material price).

After this process, other discounts can be applied to the sales document.

The system looks for the most specific pricing element (such as customer/material price of PR00) and works downward to the most general (customer/material price group discount K030). Then manual conditions can be added such as RA00, freight, taxes, etc.

Custom er ABCsends in order for

m aterial XYZ.Order is entered in

VA01

Custom er ABChas a Custom er/

Material pricecondition (PR00)

for m at. XYZ.

Condition applies.

No

Yes

Custom er ABChas a Price ListType condition

(PR00) for m aterialXYZ.

No

YesCondition applies.

Material price(PR00) is

established for them aterial XYZ in

the dist. channel.

No

Yes

Error.

Custom er ABChas a Custom er/Material G roup

Discount (K030)established.

Product is ordered atthe m aterial (PR00)

price for XYZ.

Custom er ABChas a Sales Area/

Material G roupdiscount (Z030)

established.

No

Condition applies. Yes

No


YesCondition applies. No

Manualconditon(PN00 orRA00) isused for

m aterial XYZ.

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Exclusion IndicatorThe system can exclude condition types and records so that they are not taken into account during pricing in sales documents.

If a condition record has exclusion marked, no additional pricing or discount conditions will be applied to calculate the final price.

Here the customer has a customer/material price for the item. Since the exclusion indicator is marked, once the system reaches this price, it will stop looking for additional PR00 conditions to apply to this material. Additional manual discounts can still be taken off of this designated, “net” price.

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II. Pricing Conditions

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Pricing Condition Record

Condition Type: PR00

Condition types determines selling price of materials

Automatically copied into Sales Order.

Mandatory condition that must be established to Process sales documents.

Pricing Master Records are located in condition types in Sales and Distribution. Material Price (known as List Price in BOSS) is no longer maintained in the Material Master Record. Without this condition, an error will occur in your sales document and require to be established before proceeding.

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There are 3 types of scenarios (key combination) that fall under PR00:

•Customer/Material Price•Price List Type•Material Price

Pricing Condition PR00

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Condition where a specific material price is designated for a specific customer. Also known as a “Net” price.

The customer will receive this pricing whenever the material is ordered.

Validity dates can be added to the pricing so it can be reviewed monthly, annually, etc.

Customer/Material Price (PR00)

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Customer/Material Price (PR00)This condition can be used when a specific price has been designated for a specific material.

Sales organization and distribution channel must be specified for this condition. Before creating this type of condition, check the customer master to verify the distribution channel the customer belongs to.

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Creating Customer/Material Price (PR00)

Enter PR00 as the condition type and hit enter.

In the key combination, click on the Customer/Material button. Click on the green arrow to proceed.

Initial Screen

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Creating Customer/Material Price (PR00)Enter 0010 in Sales Organization.

Enter the appropriate distribution channel. Use the match code button to search from a list.

Enter the customer number. Use the match code button to search from a list.

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Creating Customer/Material Price (PR00)Enter the material number. Use the match code button to search from a list. Hit the Tab button.

Enter the rate or price for the material. Hit enter.

Enter validity dates and check the exclusion indicator box with an X.

Exclusion Indicator

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Creating Customer/Material Price (PR00)

The exclusion indicator prevent further customer discounts to be taken on the actual material price. However, manual discounts such as RA00 and PN00 can override the PR00 Customer/Material Price. (More discussion on this later).

Once these steps are followed, you can click the orange disk icon to save your condition.

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Condition where multiple customers share the same designated price for a specific material or several materials.

All customers need to have the same price list type designated on their customer master record to receive this pricing.

Price List Type (PR00)

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Price List Type (PR00) The customer master designates that the customer will receive the price list type condition. This is designated at the “price list type” field on the customer master by “01”. It can be deactivated on sales orders and line items.

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Price List Type (PR00)Currently, we have one scenario within <client> where this is condition is used: Honda.

Affiliates of Honda can order material from <client> at the price we sell to Honda, provided they have the price list designated on their customer master.

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Price List Type (PR00)Affiliates of Honda can order material from <client> at the price we sell to Honda, provided they have the price list designated on their customer master. In this example, there are several materials in this one price list.

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Condition where a specific material price is designated regardless of which customers order the material. In BOSS, it is a list price.

The standard price of a material is no longer attached to the Material Master as in BOSS.

Material Price (PR00)

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Material Price (PR00)To create a material price, the Sales organization and Distribution Channel must be specified. All materials will have a material price in both distribution channels.

In the example below, the material price for the material SGDH-01AE is $996 in the Direct distribution channel. The same record should be input for the distribution channel 20 (Distribution).

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Creating Material Price (PR00)

Enter PR00 as the condition type and hit enter.

In the key combination, click on the Material button. Click on the green arrow or hit enter to proceed.

Initial Screen

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Creating a Material Price (PR00)Enter 0010 for sales organization. Then enter the distribution channel.

NOTE: Material prices should be setup in BOTH distribution channels.

Enter the material number. Use the match code button to search from a list.

Enter the desired rate. Enter validity dates and check the exclusion indicator box with an X.

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Creating Material Price (PR00)

Once these steps are followed, you can click the orange disk icon to save your condition.

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The price condition PRRP is used during repair/customer property situations where the material comes back to <client> as customer property. In the BOSS system, this was the List 9 price.

Note: Exchange items will use the PR00 condition. These items are indicated by a # sign at the end of the material number. Example, SDGB-10ADG-P#.

In this condition, the exclusion indicator automatically defaults indicating no further discounts are applicable.

All other service pricing is established with the PR00 condition.

Pricing Condition PRRP

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Pricing Condition Record

Condition Type: PRRP

Condition types determines selling price of materials

Automatically copied into Sales Order

Pricing Master Records are located in condition types in Sales and Distribution. Material Price (known as List Price in BOSS) is no longer maintained in the Material Master Record.

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There are 3 types of scenarios (key combination) that fall under PRRP:

Pricing Condition PRRP

•Customer/Material with release status

•Price list type with release status

•Material with release status

NOTE: <client> is currently on using the Material with release status.

This price condition is very similar to PR00. Like PR00, the material price with release status should always be setup in BOTH distribution channels.

However, PRRP can be entered manually. The order situation will determine which scenario should be used.

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ReviewQuestions

What 3 scenarios does PR00 include?

In the SAP pricing procedure, the system looks first at the most ______________ pricing element.

Where must PR00 Price List type be specified to establish this pricing element?

When setting up material prices, what distribution channel should they be established for?

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Pricing

Hands-On Pricing Exercise

III. Discount Conditions

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In BOSS, we used multipliers to establish pricing for our customers. In SAP, we will use discounts.

The two types of discounts we will be using are:•Customer/Material Price Group (K030)•Sales Area/Material Price Group (Z030)

Typically, these discount conditions are always applied to the material price in PR00. However, in certain situations, discounts can be excluded from the material price PR00 also. For example, in an exchange situation with a customer who has a K030 customer discount. Their discount shouldn’t be applied in the return order.

Discount/Surcharge Conditions

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Customer/Material Price Group Discount Condition Record

Condition Type: K030

Condition type determines net discount to the customerbased on specific material groups.


Currently many customers receive multipliers based on pricing groups designated on the item. Instead of using multipliers, we will use discounts in SAP. Example:.

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Customer/Material Price Group Discount (K030)

Material master record must have a material price group specified.

All discounts are applicable to all materials with the designated material price group.

This discount condition type will be used instead of a straight customer discount as had been used in BOSS.

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Here on the material master for a P5 inverter, the material pricing group is designated on the Sales Org. 2 tab.

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Current Material Price Groups in SAP are:

SAP Code

SAP DescriptionBOSS Pricing Group

SAP Code

SAP DescriptionBOSS Pricing Group

01 G3 G3 23 VG3 VG3 02 G5 G5 24 VG3+ VG3+ 03 G5 DC Bus G5DC 25 E7 NA04 G7 G7 26 F7 NA05 G5 - 575V 575V 27 VS-mini XC06 High horse power HHP 28 VM3 w/options NA07 High voltage HV 50 Sigma I NA08 VS-mini J7 J7 51 Sigma II NA09 Spindle inverter/combo w/options M5 53 General motion options NA10 Spindle drive/G5 base w/options MC5 54 Linear NA11 Regen converter DC5 55 MP General (MP930, MP940, MP950) NA12 Inverter braking options Optbrk 56 MP Project (MP920, MP910) NA13 Inverter options Option 57 CP Controllers NA14 PC5/P5 P5 58 Other Controllers NA15 PC3 PC3 70 Parts - General Motion NA16 PC3 N-4 PC3N4 71 Parts - Inverters NA17 Bookshelf PCB 72 Parts - Other NA18 Brushless DC PS5 80 Low Voltage Contactors NA19 Regen module RC5 81 Bestact NA20 S300 juspeed S300 90 Supermechatronics NA21 S400 juspeed S400 99 NA (other) NA22 VS-mini V7 V7

Material Pricing Groups are maintained by Product Management. If you need one created, see the appropriate product manager.

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Sales Area/Material Price Group Discount Condition

Condition Type: Z030

Discount that applies to a whole sales area for specific Material groups.


Example: All customers within the Columbus division receive a 20% discount on the material price group G5 inverters.

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Sales Area/Material Price Group Discount (Z030)

Material master record must have a material price group specified.

Discount is given from the material price group in the material master and the material price (PR00) designated.

In this example, all materials with the G5 material price group designated on the material master will receive the 20% discount.

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3rd Party Commission Condition

Condition Type: ZCOM

Condition type where a percentage of sales in commission is paid to a 3rd party Vendor or partner.

Statistical condition that does not affect the net total price of a sales order but is recorded for accruing and paying commission.

Example:Regan Controls receives a 7% commission from all orders received from Esab. In the customer master record for Esab, outside commission is established.

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3rd Party Commissions Discount

The pricing condition record “price group” designates that commission is paid on their sales orders to another party. This is designated at the “price group” field on the customer master by “01”. It can be deactivated on sales orders and line items.

(ZCOM)

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3rd Party Commissions Discount The commissionable amount for a sales order can be seen in the header and line conditions of the sales order or document..

In this example, the commission is 7% of $52935.35. It is not a part of the net total price of the sales order.

(ZCOM)

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Creating with Reference

New condition records can be created with reference to existing condition records. During the process, changes can be made to the rate, validity period and additional sales data for the newly created record.

When creating a condition with reference, the previous condition represents the information for the condition to be copied.

In VK14, Create with Template, you are able to view and edit a copy of the pricing condition created in VK11.

Once this copy had been edited and saved in VK14, it overrides previous price condition records.

Create with Template should be used to change an existing pricing record’s validity dates or Rate, so that a historical record of the changes to the pricing record is saved.

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Creating with Reference In this example, MagneTek is receiving a PC3 discount of 73.1%.

For a short promotion MagneTek receives a 75% discount. We need to create this condition with reference to the previous.

In VK14, we enter the pertinent information: Sales Org, Dist. Channel, Customer, and Material Group. And then hit the execute button.

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Creating with Reference Then we change our rate to 75% and adjust the validity dates. Hit enter.

Then click on the save icon to save the condition.

Looking at the Pricing report for this condition, we can see the condition we created.

Once this expires, the original condition will resume.

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ReviewQuestions

What are the 2 types of discount conditions <client> will use?

In order to use the K030 Customer/Material Price Group, what must be established on the material master?

Does the ZCOM 3rd Party Commission condition affects the net total Price of a sales order?

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IV. Manual Conditions

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Manual pricing/discount conditions are conditions that are NOT established in pricing master records. They are condition types that are applied on a sales order, quote, contract or scheduling agreement at the time it is created.

The different types of manual conditions are:•% Discount from Net (RA00)•Price Net (PN00)

•Freight Charges(ZCOD and ZPPA)

•Tax Conditions (XR1-XR4)

Manual Conditions

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% Discount from Net Manual Condition Record

Condition Type: RA00

Percentage discount given on sales documentsin addition to pricing/discount conditions already given.

Manually entered on sales documents such as orders, Quotations, etc. It can be entered either on the header or at the line item.

Example: It’s our fiscal <client>r end and we are giving MagneTek a 3% discount on sales orders received in Feb. to ship in Feb. This is in addition to any other discounts which may already apply to MagneTek (example: Customer/MaterialPricing group discount). The approver of this change in pricing should be noted on the sales document header text notes.

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% Discount from Net (RA00)This is a percentage discount taken from the total net price of a sales document.

It is a discount added in addition to all other pricing/discount conditions that may be present.

It is manually entered on the sales document.

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Creating % Discount from Net (RA00) Condition

In VA01, a standard sales order is created.

The required information is entered (i.e. Customer number, purchase order number, material number, etc).

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Creating % Discount from Net (RA00) ConditionUsing the menu path Goto, Header, Conditions, we can add the RA00 condition to the sales order.

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Creating % Discount from Net (RA00) ConditionScroll to an open line and enter RA00 in the column marked CnTy (Condition Type).

Then in the rate column, enter the additional percent discount that is being given in this situation. Hit enter.

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The discount condition RA00 is applied to the order.

You can see that it is given after the K030 discount the customer already received.

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Last step is to add text to the order header using the path Goto, Header, Texts.

Header text note should include who approved the pricing.

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Price NetManual Condition Record

Condition Type: PN00

Net price condition that overrides all other pricing on a line item already established in the sales order.

Manually entered on sales document lines and not thesales document header.

Example:On a quotation to MagneTek for a special project, a different material net price on PCM20P4D8 is quoted to the customer other than their standard pricing. The approver of this change in pricing should be noted on the sales documenttext notes.

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Price Net (PN00) A net price established that overrides all other pricing on a material.

It is manually entered on the sales document line (material line).

In this example, it overrides the PR00 price and the RA00 5% percent discount.

Note: Special pricing for customers should typically be done through quotations.

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Using Manual Conditions

See your departmental policy for the appropriate approval level.

Manual conditions such as PN00 and RA00 are intended for one time pricing situations. Customers who consistently have the same special pricing should have quotations which may be referenced when creating the sales order.

When special pricing is given on a quotation, sales order, contract, etc, a text memo is required on the sales document signifying the approver of the special pricing.

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Freight Prepaid and AddManual Condition Record

Condition Type: ZPPA

Freight charge condition used on Prepaid shipments.

Manually entered at the time of delivery.

Example:Fryer Machine is shipping a rush order to their office via UPS Ground. Their incoterms are FOB. The freight charges for the delivery are entered on the sales order with ZPPA freight condition.

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Freight Prepaid and Add (ZPPA)Once a delivery is created on a sales document,Warehouse Management will add freight charges to the delivery in a two step process.

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The incoterms description on the customer master can default to PPA shipments.

Freight Prepaid and Add (ZPPA)

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On the sales order, the incoterms description will show as PPA.


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After an order has a delivery created, Warehouse Management will change the outbound delivery to add the freight condition.

The material “Freight” is added as a line to the delivery.


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The quantity is entered as 1.

The line is highlighted. Then by following the path: Goto, Item, Conditions, we can add the freight condition and charge.


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ZPPA is entered as the condition type.

The freight charges are entered in the rate field.

The delivery is saved.


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Freight Cash On DeliveryManual Condition Record

Condition Type: ZCOD

Freight charge condition used on COD shipments.

Manually entered at the time of delivery.

Example:Defiance is shipping a rush order to their office via UPS Ground. Their incoterms are FOB. The freight charges for the delivery are entered on the sales order with ZCOD freight condition.

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Tax Condition Records

Condition Type: XR1, XR2, XR3, and XR4.

Tax condition used on applicable situations.

Automatically entered at the time of delivery if customer is deemed taxable in the customer master.

Example: MagneTek request that a purchase order be shipped to their customer in Texas who is taxable.

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Tax Conditions (XR1 to XR4)

Tax jurisdiction is maintained on the customer master data record. If there the customer is taxable, certain tax conditions will be applied to their sales orders.

Finance uses a software package called Vertex to determine the applicability of taxes on each order.

The types of tax conditions we will utilize are:

•State Tax (XR1)

•County Tax (XR2)

•City Tax (XR3)

•District Tax (XR4)

These tax conditions populate into sales documents at the time the document is created.

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Tax Conditions (XR1 to XR4)During the customer setup in XD01, customers are issued a tax jurisdiction code by Vertex using the following information:

Zip Code

County or District

City

State

This code is issued regardless of whether the customer is taxable.

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Tax Conditions (XR1 to XR4)During the initial customer setup process, all customers will be considered taxable. If the customer has and submits to <client> a exemption certificate, their Vertex record will reflect their exempt status.

Note: <client> does not collect taxes in every state. Check with Finance for a listing.

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Tax Conditions (XR1 to XR4)When sales documents are processed, the tax condition are automatically calculated in the sales order.

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Pricing and Discount conditions are organized into a sequence called a pricing procedure. During sales order processing, the pricing procedure determines the kinds of pricing elements you can use and in which sequence they are processed to arrive at a final price. The sequence of Yaskawa’s standard pricing procedure follow in this order:

•Material Price (PR00 or PRRP)Customer/Material PricePrice List TypeMaterial

•Customer/Material Price Group Discount (K030)•Sales Area/Material Price Group Discount (Z030)•Manual Discounts (PN00, RA00)•Commissions Accrual (ZCOM)•Manual Freight Conditions (ZPPA, ZCOD)•Sales Taxes (XR1-4)


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In SAP, the system checks for the most specific condition record first (customer/material price).

After this process, other discounts can be applied to the sales document.

The system looks for the most specific pricing element (such as customer/material price of PR00) and works downward to the most general (customer discount K007). Then manual conditions can be added such as RA00, freight, taxes, etc.

Custom er ABCsends in order for

m aterial XYZ.Order is entered in

VA01

Custom er ABChas a Custom er/

Material pricecondition (PR00)

for m at. XYZ.

Condition applies.

No

Yes

Custom er ABChas a Price ListType condition

(PR00) for m aterialXYZ.

No

YesCondition applies.

Material price(PR00) is

established for them aterial XYZ in

the dist. channel.

No

Yes

Error.

Custom er ABChas a Custom er/Material G roup

Discount (K030)established.

Product is ordered atthe m aterial (PR00)

price for XYZ.

Custom er ABChas a Sales Area/

Material G roupdiscount (Z030)

established.

No


No


YesCondition applies. No

Manualconditon(PN00 orRA00) isused for

m aterial XYZ.

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ReviewQuestions

When using manual conditions such as RA00 and PN00, what is mandatory on the sales document?

When are the freight conditions ZPPA and ZCOD added?

What determines the tax conditions and where is it maintained?

Where is the condition PN00 applied?

What 2 steps does Warehouse management do to add freight charges to a outbound delivery?

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V. Reporting

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Pricing ReportsPricing reports can be run in V/LD.

They are standard reports by price or discount condition that can be customized by customer.

Follow the menu path:

Logistics

Master Data

Information System

Conditions & Pricing

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Running Price Reports in V/LD

In the initial screen, the report number is entered. Use the match code button to search by a list.

Once you have selected a report, click the execute button.

Execute Button

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Depending on the pricing report selected, any number of fields may be required or used to create the pricing report. The match code buttons can be used to search from a list.

Once you have entered the desired criteria for your report, click the execute button.

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Your report will displayed.

To print the report, hit the printer icon at the top of the screen.

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Pricing ReportReport

NumberDescription

Price List Types Without Scale Display

05 RV14AK05 Shows ‘Price List Type/Currency/Material’ Conditions as created in VK11 with a PR00 price condition.NOTE: This condition is exclusive to Honda.

Customer Specific Prices without Scale Display

08 RV14AK08 Shows pricing conditions established for specific material numbers and specific customer numbers. NOTE: To see pricing with scales, use Report #07 RV14AK07.

Material Price 15 RV14AK15 Shows price of material numbers.

Individual Price 16 RV14AK16 Shows pricing conditions established for specific material numbers and specific customer numbers. Same as Customer Specific Prices without Scale Display.

Discounts and Surcharges by Customer

17 RV14AK17 Shows pricing conditions established for specific customers.

Discounts and Surcharges by Customer/Material Group

22 RV14AK22 Shows pricing discounts established for a specific material pricing group. Example: Shows discounts for Customer 123 on all G5 products.

There are many standard reports that can be utilized in SAP. With specific criteria, reports can be executed to enable you to view various pricing information.

Below is a table of the most common reports available to <client>.

Pricing Reports in V/LD

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VI. References

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PR00 Price Conditions Quick Reference Table

Price Condition or Discount/

Surcharge Type

Condition Type

Condition Description Example Comments

Customer/Material PR00Condition w here a specif ic material price is designated for a specif ic customer.

Customer 123 orders material XYZ, their price = $500 each.

See BPP for SD VK11 Create Price Conditions (PR00) for more information.

Price List Type/Currency/ Material

PR00

Condition w here multiple customers share a designated specif ic material price.Note: In this condition, all customers need to have the same price list type designated on their sold to customer master record. See SD-XD01 Create/Display /Change Customer (

Customer 123 price list allow s customer 123 and 12 different integrators to use the same specif ic material price. When material XYZ is ordered the price for all = $500


Material PR00Condition w here a specif ic material price is designated regardless of w hich customers order the material.

Material XYZ has a price = $500.


Repair Price PRRPCondition w here a material net price is designated on customer property repair orders.

Customer 123 is charged $200 to repair material XYZ.

Note: PRRP is very similar to PR00 (including a customer material, price list, and material level). YEA w ill only initially be using the material level. Release status should alw ays be set to blank. Unlike PR00, can be manually entered on sales docume

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Discounts and Manual Conditions Quick Reference Table

Price Condition or Discount/

Surcharge Type

Condition Type

Condition Description Example Comments

Customer/Material Price Group

K030Condition that applies to a group of products to a specif ic customer.

Customer 123 receives a 40% discount on all G5 inverter units.

See BPP for SD VK11 Create Discount/ Surcharge Conditions for more information.

Sales Area/Material Price Group

Z030

Condition that applies to a w hole sales area (i.e. Sales org, Dist. Channel, and Division) for a group of products.Note: Material Master must have a Material Price Group established to use this condition type.

Sales Area ABC receives a 40% discount on all G5 inverters. Whenever Customer 123 w ho is a part of Sales Area ABC orders G5 product, they receive a 40% discount.

See BPP for SD VK11 Create Discount/ Surcharge Conditions for more information.Note: This condition type has initially been established for Columbus off ice and G5 inverters.

% Discount from Net RA00 Discount given on an entire order.

Customer 123 receives a 10% discount on all orders entered in Jan for Feb. delivery.

This is a manual condition given in the order header or line in VA01 and VA02.

Price (net) PN00

Condition w here a specif ic net price on a line item is given on the sales order instead of the standard pricing condition already established for the customer and/or material.

Customer 123 receives a special net price on material XYZ instead of their standard 30% discount on that material.

This is a manual condition applied only on designated line items w here all other pricing is overridden (how ever the original PR00 price is still visible in the sales order).

Outside Commission ZCOM

Condition w here a specif ic Sales Representative receives a percent commission from a sales order of a specif ic customer(s).Note: To activate commissions, price group on the customer master should be marked ‘01’.

Sales Rep ABC receives a 7% commission from all orders shipped on customer 123.

This is a statistical price condition in that it does not affect the net total price of a sales order but instead is recorded for accruing and paying commission.

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