Explore Pricing Conditions
Learning Objectives
After completing this unit, you’ll be able to:
- Explain how pricing features determine the pricing calculation.
- List the different pricing condition types.
- Explain the various pricing features.
How Pricing Features Determine the Pricing Calculation
Fatima explores the various types of pricing features or configuration possibilities that determine pricing calculation. She ticks off boxes in a list as she learns about the new features in succession.
- Order Calculation Based on Pricing Date: You can specify a date as Pricing Date to calculate an order. The pricing date can be either Order Date or Delivery Date of the order as specified in the order template.
- Notifications for Outdated Order Calculation: For an existing order, you can configure a check to identify outdated order calculation. To configure this behavior, select Notify Outdated Calculation in the order template. If an order is in Initial status and the order calculation date isn’t the current date, the order calculation is outdated. If the order calculation date is empty, the notification isn't shown.
- Unit of Measure: Order items or products can be in different units of measure (UoMs) or logical units. If the UoM of the product doesn’t match the UoM for which the condition is maintained, the penny perfect pricing engine converts the price during calculation.
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Order Item Template Usage in Calculation: The effect defined for each item in the order item template is considered when calculating the base for evaluating the scale ranges. When calculating an order that uses an order template with assigned order item templates, the rule and condition defined for the order item template are applied. For example, you can have an order template that allows three types of order item templates.
- Standard (delivered to customer)
- Return (retrieved from customer)
- Free items (no costs)
Now, consider defining freight surcharges for the order calculation. Freight surcharge is based on the weight of the order items, but Returns and Free Items don’t contribute to the weight calculation. In this case, set up an order item template rule that says:
- Standard: Add (+), consider for weight calculation
- Return: Neutral (n), don’t consider for weight calculation
- Free Items: Neutral (n), don’t consider for weight calculation
If no order item template usage is assigned to a calculation step, the Price Effect of the order item template is considered.
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Denominator and Threshold in Conditions: The denominator and threshold values are defined in the pricing condition and maintained in the database. For example, for a buy 3, get 1 offer, 3 is the denominator. The denominator and threshold are used in these ways.
- Pricing engine determines the scale range based on the threshold unit maintained in conditions.
- During the calculation of the order unit, the result is rounded to three decimal places.
- The result is further divided by the denominator maintained in the condition.
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Scale Conditions: Scale conditions use several condition values depending on a scale. For example, different prices are valid for different order volumes. Scale conditions are maintained in the Pricing Condition Templates. The bases that can be configured for scale conditions are:
- Quantity
- Amount
- Weight
- Volume
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Order Rounding: Based on the rounding value, the decimal places, and the rounding rule set in the pricing condition template, the calculated results are rounded to the nearest full value. The supported rounding methods include:
- No Rounding
- Commercial Rounding
- Always Rounding Up
- Always Rounding Down
Pricing Condition Types
Next, Fatima learns about the different pricing condition types that penny perfect pricing supports. Click each pricing condition type to learn more about them.
For relevant examples on the pricing condition types, see Pricing Condition Types.
More Pricing Features
Fatima has covered much ground. And she decides to learn about a few other important features, like:
Moving on, Fatima explores user exits, pricing condition batches, and key pricing components. Follow along as she learns about these features.
User Exits
User exits are functions that are created in the Consumer Goods (CG) Cloud modeler. The user exit fields in the calculation schema are used to assign the IDs of the user exits from the modeler.
User exits help to calculate orders and customize the way the pricing engine works. For more information, see User Exits.
Pricing Condition Batch, Integration, and Synchronization
Pricing conditions are stored in an Enterprise Resource Planning (ERP) system in different condition tables. For example:
- Product key
- Customer key
- Combination of product, customer, and customer classification keys
Transform the conditions from staging tables to a single consolidated table Complex Pricing Condition by using a batch process. An Apex class ScheduleCGCloudServiceComplexPricing is used to schedule the batch process. For more information, see Schedule an Apex Batch Process.
For more information, see Configure Pricing Condition Batch, Integration, and Synchronization.
Key Pricing Components
CG Cloud supports order creation with penny perfect pricing calculations for field users. The key pricing components are:
- High scalable processing for integrated pricing conditions by using Hyperforce batch process.
- Pricing rule configuration aligned to industry standards, such as SAP.
- Monitoring and tracing capabilities for calculated orders.
- Mobile Pricing Engine with performance optimized for a single user offline device.
The Ride Ahead
After reviewing all the pricing conditions, Fatima completes setting up penny perfect pricing for Gustavo and his team. Gustavo is elated because his field reps can now calculate accurate product prices for each order, even when they are offline.