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R12 Oracle Advanced Pricing

Fundamentals Ed 1
Volume 1 - Student Guide

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Edition 1.0
August 2007

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Copyright © 2007, Oracle. All rights reserved.

Disclaimer

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Author

John Salvini
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Technical Contributors and Reviewers
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Rajeshwari Chellam, James Devine, Sripriya Gopal, Carolyn Graver, Jean-Francois Guerrini,
Vivian Y. Lee, Yuko Saito, Wei Si, Nancy Szeto
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This book was published using:

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Table of Contents

Overview of Advanced Pricing .......................................................................................................................1-1


Overview of Oracle Advanced Pricing..........................................................................................................1-3
Objectives ......................................................................................................................................................1-4
Overview of Oracle Advanced Pricing..........................................................................................................1-5
Benefits of Oracle Advanced Pricing ............................................................................................................1-10
Oracle Advanced Pricing Related Products...................................................................................................1-11
Overview of Oracle Advanced Pricing in the Order to Cash Process............................................................1-12
Pricing in Order Fulfillment ..........................................................................................................................1-13
TCA Party Hierarchy.....................................................................................................................................1-14
Single Pricing Engine – Multiple Uses of Pricing Data.................................................................................1-15
Pricing Engine Overview...............................................................................................................................1-16
Overview of the Pricing Engine ....................................................................................................................1-18
Pricing Engine ...............................................................................................................................................1-19
Pricing Engine Process ..................................................................................................................................1-21
The Oracle Advanced Pricing Process...........................................................................................................1-23
Oracle Advanced Pricing Features ................................................................................................................1-24
Price Lists ......................................................................................................................................................1-25
Qualifiers .......................................................................................................................................................1-26
Qualifier Groups ............................................................................................................................................1-27
Modifiers .......................................................................................................................................................1-28
Accruals.........................................................................................................................................................1-30

Price Books....................................................................................................................................................1-33

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Formulas ........................................................................................................................................................1-31

Contexts.........................................................................................................................................................1-34

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Pricing Attributes...........................................................................................................................................1-35
Attribute Management...................................................................................................................................1-36

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Responsibility Levels ....................................................................................................................................1-37
Oracle Pricing Administrator.........................................................................................................................1-38
Oracle Pricing Manager.................................................................................................................................1-39

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Oracle Pricing User .......................................................................................................................................1-40
Oracle Advanced Pricing HTML User Interface (UI) ...................................................................................1-41

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Pricing Home Page (HTML UI) ....................................................................................................................1-42
Modifier Setup (HTML UI)...........................................................................................................................1-43

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Shortcut Region (HTML Home page) ...........................................................................................................1-45
Summary........................................................................................................................................................1-46

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Generic Implementation Setup.......................................................................................................................2-1

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Generic Implementation Setup ......................................................................................................................2-3

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Objectives ......................................................................................................................................................2-4

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Overview of Main Pricing Implementation Steps .........................................................................................2-5
Perform System Administration Steps...........................................................................................................2-8

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Set Profile Options.........................................................................................................................................2-9

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Set Multicurrency Profile Options.................................................................................................................2-10

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Verify or Create Pricing Transaction Entity ..................................................................................................2-11
Create Qualifier Contexts and Qualifier Attributes .......................................................................................2-12
Create Pricing Contexts, Pricing Attributes, and Product Attributes.............................................................2-13

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Perform Attribute Management.....................................................................................................................2-14

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Define Unit of Measure .................................................................................................................................2-15

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Define Unit of Measure Conversions ............................................................................................................2-16

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Create Item Relationships..............................................................................................................................2-17
Define Pricing Lookups.................................................................................................................................2-18

O Enable Currencies..........................................................................................................................................2-19
Create Events and Phases ..............................................................................................................................2-20

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Verify Pricing Parameter Settings .................................................................................................................2-22
Set up Pricing Security ..................................................................................................................................2-23
Related Setup Steps .......................................................................................................................................2-24
Define Item Information ................................................................................................................................2-25
Define Item Category Sets and Item Categories............................................................................................2-26
Set Up Inventory Organization......................................................................................................................2-28
Define Oracle Order Management Lookups..................................................................................................2-29
Define Shipping Lookups ..............................................................................................................................2-30
Set Up Customer Class and Profile Class......................................................................................................2-31
Define Customers and Customer Sites ..........................................................................................................2-32
Define Transaction Types..............................................................................................................................2-33
Define Freight Terms.....................................................................................................................................2-34
Define Freight Cost Type ..............................................................................................................................2-35
Define Payment Terms ..................................................................................................................................2-36
Oracle Advanced Pricing Concepts ...............................................................................................................2-37
Pricing Rules .................................................................................................................................................2-38
Pricing Actions ..............................................................................................................................................2-39
Pricing Controls.............................................................................................................................................2-40
Pricing Extensibility ......................................................................................................................................2-41
Attribute Mapping .........................................................................................................................................2-42
APIs ...............................................................................................................................................................2-43
Basic Flow of Pricing ....................................................................................................................................2-44
Methodology Steps ........................................................................................................................................2-45
Analyzing Pricing Needs ...............................................................................................................................2-46
Developing Pricing Solutions ........................................................................................................................2-49
Single or Multiple Currency Price Lists ........................................................................................................2-50
Customer and Product Hierarchies ................................................................................................................2-52
Customer Hierarchy.......................................................................................................................................2-54
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Trading Community Architecture (TCA) Attributes .....................................................................................2-56

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Item Categories and Category Sets................................................................................................................2-57
Pricing Attributes...........................................................................................................................................2-58

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Structuring Your Pricing Rules and Actions .................................................................................................2-60
Establishing Pricing Controls ........................................................................................................................2-61

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Defining Unit of Measure..............................................................................................................................2-63
Defining Unit of Measure Conversions .........................................................................................................2-64

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Adjusting UOM Setups for Oracle Advanced Pricing...................................................................................2-65
Primary UOM Versus Pricing UOM .............................................................................................................2-66

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Multiple Organizations and Pricing Actions..................................................................................................2-68
Using Qualifiers with Multiple Organizations...............................................................................................2-69

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Pricing Security, MOAC, and Operating Units .............................................................................................2-70
QP: Item Validation Organization .................................................................................................................2-71

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Cross Order Volume Loader..........................................................................................................................2-72
Testing Your Pricing Solutions .....................................................................................................................2-74

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Selected Oracle Advanced Pricing Lookups..................................................................................................2-75

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Agreement Type ............................................................................................................................................2-76

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Arithmetic Operator.......................................................................................................................................2-77

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Comparison Operator ....................................................................................................................................2-79

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Currency Precision Type ...............................................................................................................................2-80

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Effective Date Types .....................................................................................................................................2-81
Incompatibility Groups..................................................................................................................................2-82

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Incompatibility Resolution Code...................................................................................................................2-83

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List Line Type Code ......................................................................................................................................2-84

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List Type Code ..............................................................................................................................................2-87

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Modifier Level Code .....................................................................................................................................2-89
Price Break Type Code..................................................................................................................................2-90

O Price Formula Line Type Code......................................................................................................................2-91


Pricing Events................................................................................................................................................2-93

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Pricing Group Sequence ................................................................................................................................2-94
Related Modifier Group Type .......................................................................................................................2-95
Request Type .................................................................................................................................................2-96
Source System ...............................................................................................................................................2-98
Profile Options...............................................................................................................................................2-99
Order Management Profile Options for Oracle Advanced Pricing................................................................2-100
Oracle Advanced Pricing Profile Options .....................................................................................................2-101
Practice - Setting Up Required Data for Pricing Practices ........................................................................2-106
Summary........................................................................................................................................................2-110
Price Lists .........................................................................................................................................................3-1
Price Lists ......................................................................................................................................................3-3
Objectives ......................................................................................................................................................3-4
Overview of Price Lists .................................................................................................................................3-6
Price List Information....................................................................................................................................3-8
Multicurrency Conversion Lists ....................................................................................................................3-11
Practice - Creating a Multicurrency Conversion List ................................................................................3-12
Solution - Creating a Multicurrency Conversion List................................................................................3-13
Creating Price Lists .......................................................................................................................................3-15
Create List: General Information...................................................................................................................3-19
Secondary Price List......................................................................................................................................3-21
Secondary Price List Region: Precedence .....................................................................................................3-22
QP: Qualify Secondary Price Lists ................................................................................................................3-24
Create List: List Qualifier..............................................................................................................................3-25
Create List: Review .......................................................................................................................................3-27
Practice - Creating a Price List ..................................................................................................................3-29
Solution - Creating a Price List..................................................................................................................3-31
Practice - Applying a Multicurrency Conversion Price List to a Sales Order ...........................................3-37
Solution - Applying a Multicurrency Conversion Price List to a Sales Order...........................................3-38
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Practice - Entering a Sales Order Using Multiple Price Lists ....................................................................3-40
Solution - Entering a Sales Order Using Multiple Price Lists ...................................................................3-41
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Adding Price List Lines (HTML UI).............................................................................................................3-43
Price List Lines..............................................................................................................................................3-44

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Default UOM for Price Lists .........................................................................................................................3-46
List Line Information.....................................................................................................................................3-47

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Price List Line Values ...................................................................................................................................3-49

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Overview of Price Breaks..............................................................................................................................3-51

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Types of Price Breaks....................................................................................................................................3-52

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Price Break Example .....................................................................................................................................3-53
Block Pricing .................................................................................................................................................3-55

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Usage Proration of Price Breaks....................................................................................................................3-56
Usage Modification - Proration Dependencies and Interactions...................................................................3-60

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Practice - Creating Point and Range Price Breaks for Price List Items .....................................................3-61
Solution - Creating Point and Range Price Breaks for Price List Items ....................................................3-64

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Price List Maintenance Feature .....................................................................................................................3-70
Practice - Finding and Changing Price Lists Using Price List Maintenance .............................................3-71

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Solution - Finding and Changing Price Lists Using Price List Maintenance.............................................3-73
Overview of Multicurrency Conversion Lists ...............................................................................................3-77

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Multicurrency Conversion Lists ....................................................................................................................3-79

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Attributes .......................................................................................................................................................3-82
Markup and Conversion Formulas ................................................................................................................3-83

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Implementation Decisions for Creating Multicurrency Conversion Lists .....................................................3-84
Combining Price Lists ...................................................................................................................................3-86

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Rounding .......................................................................................................................................................3-88
Rounding Behavior During Currency Conversion Calculations: Non-Service Items....................................3-89

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Rounding Behavior During Currency Conversion Calculations: Service Items............................................3-90
QP: Selling Price Rounding Options = Individual.........................................................................................3-91

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QP: Selling Price Rounding Options = N (No)..............................................................................................3-92
Profile: QP Multi-Currency Installed ............................................................................................................3-93
Using Conversion Types ...............................................................................................................................3-95
Creating a Multicurrency Conversion List ....................................................................................................3-97
Example of Using Precedence in a Multicurrency Conversion List ..............................................................3-99
Attaching Multicurrency Conversion Lists to Price Lists and Agreements...................................................3-100
How Multicurrency Changes Price Lists and Agreements ............................................................................3-102
Upgrading from Single Currency to Multicurrency Price Lists.....................................................................3-104
Using Multicurrency Price Lists with Other Oracle Products .......................................................................3-106
Maintaining Price Lists..................................................................................................................................3-107
Copying Price Lists .......................................................................................................................................3-108
Practice - Copying a Price List ..................................................................................................................3-109
Solution - Copying a Price List..................................................................................................................3-110
Copying Price List Lines ...............................................................................................................................3-112
Adding Inventory Items to Price Lists...........................................................................................................3-113
Practice - Adding an Item Category to a Price List ...................................................................................3-114
Solution - Adding an Item Category to a Price List...................................................................................3-116
Adding Items to Price Lists ...........................................................................................................................3-119
Updating Prices Manually for Price List Lines..............................................................................................3-121
Adjusting Price Lists .....................................................................................................................................3-122
Practice - Adjusting a Price List ................................................................................................................3-123
Solution - Adjusting a Price List................................................................................................................3-124
OM: Allow Negative Pricing.........................................................................................................................3-128
Querying Price List Lines..............................................................................................................................3-129
Deleting Price List Information .....................................................................................................................3-130
Bulk Uploading of Price Lists .......................................................................................................................3-131
Bulk Loader for Price List Concurrent Program............................................................................................3-132
Setting up Bulk Loader for Price List Step 1: Loading Data ........................................................................3-133
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Setting up Bulk Loader for Price List Step 2: Pre-Processing Steps ............................................................3-135

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Setting up Bulk Loader for Price List Step 3: Importing Data .....................................................................3-136
Bulk Loader Processing.................................................................................................................................3-137

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Bulk Loader: Profile Options.........................................................................................................................3-138
Overview of Agreements...............................................................................................................................3-140

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Creating Agreements .....................................................................................................................................3-143
Types of Agreements.....................................................................................................................................3-145

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Standard Price List.........................................................................................................................................3-146
Agreement Price List .....................................................................................................................................3-147

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Merging Customers .......................................................................................................................................3-148
Creating Agreements .....................................................................................................................................3-149

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Creating Agreement Lines for Standard Price Lists ......................................................................................3-151
Creating Agreement Lines for Agreement Price Lists...................................................................................3-152

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Creating Agreement Lines.............................................................................................................................3-153
Defining Pricing Attributes............................................................................................................................3-155

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Defining Price Breaks for Agreements..........................................................................................................3-156

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Revising Existing Agreements ......................................................................................................................3-157

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Deleting Agreements .....................................................................................................................................3-160

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Overview of General Services Administration (GSA) Pricing ......................................................................3-161

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What is GSA? ................................................................................................................................................3-162

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Creating GSA Price Lists ..............................................................................................................................3-163
Practice - Defining a GSA Price List and Entering a Sales Order .............................................................3-165

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Solution - Defining a GSA Price List and Entering a Sales Order ............................................................3-168

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Creating GSA List Qualifiers ........................................................................................................................3-172

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Sales Agreements ..........................................................................................................................................3-174

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Summary........................................................................................................................................................3-176

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Formulas...........................................................................................................................................................4-1
Formulas ........................................................................................................................................................4-3

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Objectives ......................................................................................................................................................4-4
Overview of Formulas ...................................................................................................................................4-5
Pricing Formula Example ..............................................................................................................................4-6
Creating Pricing Formulas.............................................................................................................................4-8
Creating Pricing Formula Lines.....................................................................................................................4-9
Pricing Formulas ...........................................................................................................................................4-11
Formula Line Types.......................................................................................................................................4-13
Formula Type: Function ................................................................................................................................4-17
Formula Type: List Price ...............................................................................................................................4-18
Formula Type: Factor List .............................................................................................................................4-19
Formula Type: Factor List Example..............................................................................................................4-21
Finding Formula Factor Lines .......................................................................................................................4-22
Formula Type: Modifier Value......................................................................................................................4-23
Formula Type: Numeric Constant .................................................................................................................4-24
Formula Type: Price List Line.......................................................................................................................4-25
Formula Type: Pricing Attribute ...................................................................................................................4-26
Advanced Pricing-Pricing Formulas window................................................................................................4-27
Build Formula Package .................................................................................................................................4-28
Practice - Creating a Simple Pricing Formula ...........................................................................................4-29
Solution - Creating a Simple Pricing Formula...........................................................................................4-31
Practice - Creating a Sales Order Using a Simple Pricing Formula...........................................................4-36
Solution - Creating a Sales Order Using a Simple Pricing Formula..........................................................4-37
Get_Custom_Price API .................................................................................................................................4-40
GET_CUSTOM_PRICE Example ................................................................................................................4-41
Customizing GET_CUSTOM_PRICE ..........................................................................................................4-43
Using GET_CUSTOM_PRICE .....................................................................................................................4-44
GET_CUSTOM_PRICE Parameters.............................................................................................................4-45
Implementing Get Custom Price ...................................................................................................................4-46
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Linking Formulas To Modifier or Price List Lines .......................................................................................4-48

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Types of Formula Processing ........................................................................................................................4-50
Static Formula Processing .............................................................................................................................4-51

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Dynamic Formula Processing........................................................................................................................4-52
Null Values in Formulas................................................................................................................................4-53

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Null Values Example.....................................................................................................................................4-54
Formula Step Values Window.......................................................................................................................4-56

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Using the Formula Step Values Window ......................................................................................................4-58
Updating Formula Prices Window ................................................................................................................4-60

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Seeded Freight and Special Charge Formulas ...............................................................................................4-62
Setting up Formula Profile Options ...............................................................................................................4-64

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Formula Scenario 1........................................................................................................................................4-66
Formula Scenario 2........................................................................................................................................4-70

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Summary........................................................................................................................................................4-73
Qualifiers and Qualifier Groups ....................................................................................................................5-1

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Qualifiers and Qualifier Groups ....................................................................................................................5-3
Objectives ......................................................................................................................................................5-4

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Overview of Qualifiers ..................................................................................................................................5-6
Creating Qualifiers for Price Lists or Modifiers ............................................................................................5-8

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Creating List Qualifiers in Creation Flow (HTML UI) ................................................................................5-9

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Creating Line Qualifiers in Creation Flow (HTML UI) ................................................................................5-10
Typical Qualifier Setup (HTML UI) .............................................................................................................5-11

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Qualifier Terminology...................................................................................................................................5-12
Example of Qualifier Hierarchy ....................................................................................................................5-13

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Qualifiers (HTML UI) ...................................................................................................................................5-14
Unique Qualifiers (HTML UI) ......................................................................................................................5-15

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Common Qualifiers (HTML UI) ...................................................................................................................5-16
Applies To Party Hierarchy check box..........................................................................................................5-17

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Creating Qualifier Groups .............................................................................................................................5-18
Forms UI: Qualifier Grouping Number .........................................................................................................5-19
Practice - Creating a Qualifier Group ........................................................................................................5-21
Solution - Creating a Qualifier Group .......................................................................................................5-23
Appending Qualifier Groups .........................................................................................................................5-25
Qualifier Grouping Number (Forms UI) .......................................................................................................5-26
Selected Qualifier Groups..............................................................................................................................5-27
Appending Qualifier Groups (Forms UI) ......................................................................................................5-28
Retaining Grouping Numbers Across Qualifier Groups................................................................................5-29
Generating Unique Grouping Numbers Across Qualifier Groups.................................................................5-30
Summary........................................................................................................................................................5-31
Modifiers ..........................................................................................................................................................6-1
Modifiers .......................................................................................................................................................6-3
Objectives ......................................................................................................................................................6-4
Overview of Modifiers ..................................................................................................................................6-6
Modifiers in Business Scenario Process ........................................................................................................6-7
Pricing Concept: Modifiers............................................................................................................................6-8
Examples of Modifier Use.............................................................................................................................6-9
Example of Surcharge Modifier ....................................................................................................................6-10
Modifier Components....................................................................................................................................6-11
Modifier Setup...............................................................................................................................................6-12
Modifier Setup (HTML UI)...........................................................................................................................6-13
Create Modifier List Flow (HTML UI) .........................................................................................................6-14
Types of Modifier Lists .................................................................................................................................6-15
Create List: General Information...................................................................................................................6-16

Using ANY Currency ....................................................................................................................................6-18


Advantages of Using ANY Currency Modifier .............................................................................................6-20
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Currency ........................................................................................................................................................6-17

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Create List: List Qualifier..............................................................................................................................6-21
List Qualifier: Effective Dates.......................................................................................................................6-23

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Create List: Review .......................................................................................................................................6-24
Adding Modifier Lines ..................................................................................................................................6-25

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Modifier List and Line Type Relationships ...................................................................................................6-26
Create Modifier Line Flow (HTML UI) ........................................................................................................6-28

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Modifier Line Types......................................................................................................................................6-30

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Discount Modifier..........................................................................................................................................6-32

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Practice - Creating a Discount Modifier Using a Qualifier Group ............................................................6-33

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Solution - Creating a Discount Modifier Using a Qualifier Group............................................................6-36
Surcharge Modifier........................................................................................................................................6-42

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Practice - Creating a Surcharge Modifier ..................................................................................................6-43
Solution - Creating a Surcharge Modifier..................................................................................................6-46

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Freight and Special Charge List Modifier .....................................................................................................6-53
Practice - Creating a Freight and Special Charge List Modifier ................................................................6-55

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Solution - Creating a Freight and Handling Charges Modifier..................................................................6-60
Promotional Goods Modifier.........................................................................................................................6-76

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Practice - Creating a Promotional Goods (Free Good) Modifier ...............................................................6-77
Solution - Creating a Promotional Goods (Free Good) Modifier ..............................................................6-80

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Term Substitution Modifier ...........................................................................................................................6-88

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Practice - Creating a Term Substitution Modifier......................................................................................6-89
Solution - Creating a Terms Substitution Modifier ...................................................................................6-92

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Item Upgrade Modifier..................................................................................................................................6-98
Implementation Considerations: Item Upgrade Modifier..............................................................................6-99

r aPractice - Creating an Item Upgrade Modifier...........................................................................................6-100


Solution - Creating an Item Upgrade Modifier..........................................................................................6-103

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Other Item Discount Modifier .......................................................................................................................6-111
Practice - Creating an Other Item Modifier ...............................................................................................6-112

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Solution - Creating an Other Item Modifier ..............................................................................................6-115
Coupon Issue Modifier ..................................................................................................................................6-122
Practice - Setting up Automatic Coupon Issue and the Related Benefit....................................................6-123
Solution - Setting up Automatic Coupon Issue and the Related Benefit ...................................................6-128
Price Breaks Modifier....................................................................................................................................6-140
Practice - Creating a Modifier with Point and Range Breaks ....................................................................6-141
Solution - Creating a Modifier with Point and Range Breaks ...................................................................6-146
Practice - Creating a Price Break Modifier Using an Item Category.........................................................6-159
Solution - Creating a Price Break Modifier Using an Item Category ........................................................6-162
Price Break Modifiers: Point Breaks .............................................................................................................6-171
Price Break Modifiers: Range Breaks ...........................................................................................................6-172
Price Breaks: Net Amount Calculation..........................................................................................................6-173
Price Breaks: Net Amount Example..............................................................................................................6-174
Accumulated Range Breaks...........................................................................................................................6-176
Modifier Line: Start/End Dates .....................................................................................................................6-179
Pricing Controls.............................................................................................................................................6-181
Controls: Implementation Considerations .....................................................................................................6-182
How Pricing Engine Processes Pricing Controls ...........................................................................................6-183
Controls: Modifier Level ...............................................................................................................................6-184
Controls: Pricing Phase .................................................................................................................................6-185
Pricing Phases................................................................................................................................................6-186
Pricing Events................................................................................................................................................6-188
Seeded Phases Example.................................................................................................................................6-189
Phase and Event Implementation Decision ...................................................................................................6-190
Event Phases..................................................................................................................................................6-191
Event Phases: Line Event ..............................................................................................................................6-192
Event Phases: Order Event ............................................................................................................................6-193
Event Phases: Book and Ship Events ............................................................................................................6-194
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Event Phases: Batch Event ............................................................................................................................6-195

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Controls: Buckets ..........................................................................................................................................6-196
Buckets: Implementation Considerations ......................................................................................................6-198

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Null Buckets ..................................................................................................................................................6-200
Buckets For Manual Modifiers......................................................................................................................6-201

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Practice - Creating Modifier Lines with Multiple Buckets........................................................................6-202
Solution - Creating Modifier Lines with Multiple Buckets .......................................................................6-205

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Practice - Creating a Manual Overrideable Discount ................................................................................6-213
Solution - Creating a Manual Overrideable Discount................................................................................6-216

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Cascading Modifier: Single Bucket...............................................................................................................6-222
Cascading Modifier: Multiple Buckets..........................................................................................................6-223

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Controls: Incompatibility...............................................................................................................................6-224
Controls: Incompatibility Groups Implementation Decisions .......................................................................6-225

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Controls: Determining Incompatibility Groups .............................................................................................6-226
Cascading Modifier Example – Incompatibility Levels ................................................................................6-227

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Practice - Resolving Group Modifier Incompatibilities.............................................................................6-228

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Solution - Resolving Group Modifier Incompatibilities ............................................................................6-230

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Controls: Resolving Modifier Incompatibility...............................................................................................6-235

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Best Price.......................................................................................................................................................6-236

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Exclusivity: Implementation Considerations.................................................................................................6-238

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Exclusivity.....................................................................................................................................................6-239
Create Product ...............................................................................................................................................6-240

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Define Product...............................................................................................................................................6-241

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Product: Excluded Products...........................................................................................................................6-242

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Precedence Value ..........................................................................................................................................6-243

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Precedence Number.......................................................................................................................................6-244
Define Benefit ...............................................................................................................................................6-245

O Modifier Adjustment Methods ......................................................................................................................6-246


Modifier Implementation Considerations: Accruals......................................................................................6-247

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Overview of Promotional Limits ...................................................................................................................6-249
Types of Limits (Limit Basis)........................................................................................................................6-250
Other Attributes .............................................................................................................................................6-255
Actions to Control Exceeded Limits..............................................................................................................6-256
Hard Limit .....................................................................................................................................................6-257
Soft Limit.......................................................................................................................................................6-258
Limits: Viewing Transactions........................................................................................................................6-259
Limits: Exceptions.........................................................................................................................................6-260
Practice - Creating a Discount Modifier Using Promotional Limits..........................................................6-261
Solution - Creating a Discount Modifier Using Promotional Limits .........................................................6-264
Pricing Organizer...........................................................................................................................................6-270
Practice - Finding and Reviewing Modifiers Using the Pricing Organizer ...............................................6-271
Solution - Finding and Reviewing Modifiers Using the Pricing Organizer...............................................6-272
Summary........................................................................................................................................................6-274
Price Books.......................................................................................................................................................7-1
Price Books....................................................................................................................................................7-3
Objectives ......................................................................................................................................................7-4
Overview of Price Books...............................................................................................................................7-5
Types of Price Books.....................................................................................................................................7-8
Price Book Example 1 ...................................................................................................................................7-9
Price Book Example 2 ...................................................................................................................................7-10
Price Book Example 3 ...................................................................................................................................7-11
Benefits of Price Books .................................................................................................................................7-12
Price Book Implementation ...........................................................................................................................7-13
Implementation Steps: Setting Key Profile Options.....................................................................................7-14
Implementation Steps: Setting Key Profile Options......................................................................................7-17
Implementation Steps: Verifying Pricing Parameters....................................................................................7-18
Implementation Steps: Setting Up the Default Printer...................................................................................7-20
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Implementation Steps: Setting up Oracle XML Publisher.............................................................................7-21
Implementation Steps: Setting up XML Gateway Message Map..................................................................7-22
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GET_CATALOG_002 XML Message..........................................................................................................7-23

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SYNC_CATALOG_003 XML message .......................................................................................................7-24
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Create Price Book API ..................................................................................................................................7-26

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Get Price Book API .......................................................................................................................................7-27

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Creating a Price Book....................................................................................................................................7-28

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Creating a Price Book: Defining General Price Book Criteria .....................................................................7-29

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Creating a Price Book: Defining Price Calculation Criteria .........................................................................7-30
Creating a Price Book: Selecting Price Book Publishing Options................................................................7-31

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Price Book Publishing Templates..................................................................................................................7-32
Price Book Publishing: Document Types......................................................................................................7-33

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Generating and Publishing Price Books ........................................................................................................7-34
Practice - Creating a Price Book................................................................................................................7-35

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Solution - Creating a Price Book ...............................................................................................................7-37
Viewing Price Book Details Online ..............................................................................................................7-42

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Creating a Delta Price Book ..........................................................................................................................7-44
Practice - Creating a Delta Price Book ......................................................................................................7-45

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Solution - Creating a Delta Price Book......................................................................................................7-47

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Maintaining Price Books ...............................................................................................................................7-52
Republishing Price Books..............................................................................................................................7-53

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Viewing Errors ..............................................................................................................................................7-54
Summary........................................................................................................................................................7-55

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Attribute Management....................................................................................................................................8-1
Attribute Management...................................................................................................................................8-3

O Objectives ......................................................................................................................................................8-4
What Is Attribute Management?....................................................................................................................8-5

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Attribute Management Features ....................................................................................................................8-6
Process Flow for Creating Contexts and Attributes.......................................................................................8-7
Common Terms .............................................................................................................................................8-8
What Is a Context? ........................................................................................................................................8-10
Understanding Contexts ................................................................................................................................8-11
Contexts.........................................................................................................................................................8-12
Qualifier Contexts..........................................................................................................................................8-14
Qualifier Context Examples ..........................................................................................................................8-15
Product Contexts............................................................................................................................................8-16
Attributes for Contexts ..................................................................................................................................8-17
How Can Attributes Control Pricing Actions? ..............................................................................................8-18
Attributes in Advanced Pricing .....................................................................................................................8-19
Creating Attributes for Contexts....................................................................................................................8-20
Attribute Selection: Pricing Engine Processing.............................................................................................8-21
Pricing Attributes...........................................................................................................................................8-22
Restoring Context and Attribute Defaults .....................................................................................................8-25
Pricing Attributes and Flexfields ...................................................................................................................8-27
Stages in Attribute Creation...........................................................................................................................8-28
Linking Attributes to a Pricing Transaction Entity........................................................................................8-29
Selecting Attribute Options ...........................................................................................................................8-31
Attribute Levels .............................................................................................................................................8-33
Attribute Levels .............................................................................................................................................8-35
LOV Enabled: Pricing windows....................................................................................................................8-36
Disabling an Attribute from a PTE ................................................................................................................8-37
Attribute Mapping Methods ..........................................................................................................................8-38
When Attribute Mapping Method is Selected ...............................................................................................8-40
Setting Up a New Mapping Rule for a Qualifier or Pricing Attribute ...........................................................8-42
Practice - Creating a Formula Using Pricing Attributes and Factors.........................................................8-43
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Build Attribute Mapping Rules Program.......................................................................................................8-64
Build Attribute Mapping Rules Program Checklist.......................................................................................8-66

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Overview of Pricing Transaction Entity (PTE) .............................................................................................8-68
Seeded PTEs..................................................................................................................................................8-70

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Role of PTEs in Attribute Management ........................................................................................................8-71
Components of a Pricing Transaction Entity .................................................................................................8-72

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Source Systems..............................................................................................................................................8-74
Seeded Source Systems .................................................................................................................................8-75

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Functional Areas for Source System Region .................................................................................................8-76
Request Types ...............................................................................................................................................8-77

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Request Type and PTE Parameters................................................................................................................8-78
Creating a New Pricing Transaction Entity ...................................................................................................8-79

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Defining Pricing Transaction Entity Associations.........................................................................................8-81
QP: Source System Code...............................................................................................................................8-82

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QP: Source System Code Example................................................................................................................8-86

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Summary........................................................................................................................................................8-87

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Pricing Security ...............................................................................................................................................9-1
Pricing Security .............................................................................................................................................9-3

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Objectives ......................................................................................................................................................9-4

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Overview of Pricing Security ........................................................................................................................9-5
Oracle Pricing Administrator.........................................................................................................................9-7

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Levels of Pricing Security .............................................................................................................................9-8
Functional Security........................................................................................................................................9-10

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PTE + Source System Code level Security....................................................................................................9-11
Setting up Pricing Security ............................................................................................................................9-12

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Step 1: Mapping Security Requirements .......................................................................................................9-13
Step 2: Assigning Existing Pricing Entities to Operating Units (Entity Usage) ............................................9-14

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Practice - Assigning an Existing Price List to an Operating Unit (Entity Usage)......................................9-15
Solution - Assigning an Existing Price List to an Operating Unit (Entity Usage).....................................9-16
Step 3: Creating Privileges for Existing Pricing Entities...............................................................................9-18
Practice - Creating a Privilege ...................................................................................................................9-19
Solution - Creating a Privilege...................................................................................................................9-20
Step 4: Setting Security Profile Options to Define Defaulting Security Rules ..............................................9-22
Practice - Setting up Default Security Profile Options ..............................................................................9-23
Solution - Setting up Default Security Profile Options..............................................................................9-24
Security Implementation Steps – Before Turning Security On .....................................................................9-27
Step 5: Turning Security On ..........................................................................................................................9-29
Step 6: Confirm Security Settings .................................................................................................................9-30
Security for Operating Units..........................................................................................................................9-31
Entity Usage ..................................................................................................................................................9-32
Owned by Operating Unit..............................................................................................................................9-33
Global Usage .................................................................................................................................................9-34
Creating Privileges ........................................................................................................................................9-35
Privileges: Grantee Types/Grantees...............................................................................................................9-36
Privileges: Access Level................................................................................................................................9-39
Privileges .......................................................................................................................................................9-40
Changing the Access Privileges.....................................................................................................................9-41
Entity Sets......................................................................................................................................................9-43
After the Security Upgrade: Impact of Changes............................................................................................9-44
Overview of Pricing Security with Multi-Organization Access Control .......................................................9-45
Overview of Pricing Security with Multi-Organization Access Control (MOAC)........................................9-46
Benefits of Using Multi-Org Access Control for Pricing Security ................................................................9-47
Prerequisites for Enabling Multi-Org Access Control...................................................................................9-48
Setting Up Multi-Org Access Control for Pricing Security...........................................................................9-49
Multi-Org Process: Creating a Price List or Modifier ...................................................................................9-50
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Controlling Access by Pricing Security.........................................................................................................9-51

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Multi-Org Access Control for Pricing Security: Pricing Security Administrator ..........................................9-52
Example of Controlling Operating Unit Access by Pricing Security ............................................................9-53
Multi-Org Access Control for Pricing Security Implementation Considerations ..........................................9-55

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Multi-Org Access Control: Global Usage .....................................................................................................9-57

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Multi-Org Access Control: Secondary Price Lists.........................................................................................9-58
Multi-Org Access Control: Benefit Price List for Promotional Goods..........................................................9-59

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Multi-Org Access Control for Pricing Security: Cross-Order Volume Report..............................................9-60
Multi-Org Access Control for Pricing Security: Implementation Considerations .........................................9-61

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Copying Price Lists and Modifiers ................................................................................................................9-62
Multi-Org Access Control for Pricing Security Process: Integrations...........................................................9-63

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Summary........................................................................................................................................................9-64
Diagnostics and Troubleshooting ...................................................................................................................10-1

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Diagnostics and Troubleshooting ..................................................................................................................10-3
Objectives ......................................................................................................................................................10-4

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Overview of the Pricing Engine Request Viewer ..........................................................................................10-5
Setting Profile Options for Pricing Engine Request Viewer..........................................................................10-7

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Pricing Engine Request Viewer.....................................................................................................................10-8
Using the Pricing Engine Request Viewer ....................................................................................................10-9

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Pricing Engine Request Viewer Window ......................................................................................................10-10

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Debug Log window .......................................................................................................................................10-11
Diagnostics Concurrent Programs .................................................................................................................10-12

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Diagnostics: Performance Analysis Concurrent Program .............................................................................10-13
Diagnostics: List Line Details Concurrent Program......................................................................................10-14

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Pricing Engine Messages and Diagnosis .......................................................................................................10-15
Oracle Advanced Pricing Diagnostics and Troubleshooting White Paper ....................................................10-16

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Summary........................................................................................................................................................10-17

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Preface
Profile
Before You Begin This Course

• Working experience with Oracle Advanced Pricing and Oracle Applications.

Prerequisites

• There are no prerequisites for this course.

How This Course Is Organized

R12 Oracle Advanced Pricing Fundamentals is an instructor-led course featuring lecture and
hands-on exercises. Online demonstrations and written practice sessions reinforce the concepts
and skills introduced.

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Related Publications
Oracle Publications
Title Part Number
Oracle Advanced Pricing Implementation Manual B31440-01
Oracle Advanced Pricing User's Guide B31581-02
Oracle Order Management Open Interfaces, API, and Electronic B31585-01
Messaging Guide
Oracle Order Management Implementation Manual B25975-01

Additional Publications

• System release bulletins

• Installation and user’s guides

• Read-me files

• International Oracle User’s Group (IOUG) articles

• Oracle Magazine
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Typographic Conventions
Typographic Conventions in Text
Convention Element Example
Bold italic Glossary term (if The algorithm inserts the new key.
there is a glossary)
Caps and Buttons, Click the Executable button.
lowercase check boxes, Select the Can’t Delete Card check box.
triggers, Assign a When-Validate-Item trigger to the ORD block.
windows Open the Master Schedule window.
Courier new, Code output, Code output: debug.set (‘I”, 300);
case sensitive directory names, Directory: bin (DOS), $FMHOME (UNIX)
(default is filenames, Filename: Locate the init.ora file.
lowercase) passwords, Password: User tiger as your password.
pathnames, Pathname: Open c:\my_docs\projects
URLs, URL: Go to http://www.oracle.com
user input,
User input: Enter 300
usernames
Username: Log on as scott
Initial cap Graphics labels Customer address (but Oracle Payables)
(unless the term is a

Italic
proper noun)
Emphasized words Do not save changes to the database.
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and phrases,
titles of books and Reference Manual.
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For further information, see Oracle7 Server SQL Language

courses,
variables
Enter user_id@us.oracle.com, where user_id is the
name of the user.
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Quotation
marks
Interface elements
with long names A
Select “Include a reusable module component” and click Finish.

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that have only
initial caps;
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This subject is covered in Unit II, Lesson 3, “Working with
Objects.”
lesson and chapter
titles in cross-
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Uppercase
references
SQL column O ly Use the SELECT command to view information stored in the
names, commands,
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functions, schemas,& On LAST_NAME
column of the EMP table.
table names

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Arrow
Brackets
Commas
Menu paths
Key names

t e r
Key sequences
U s Select File > Save.
Press [Enter].
Press and release keys one at a time:

Plus signs I n
Key combinations
[Alternate], [F], [D]
Press and hold these keys simultaneously: [Ctrl]+[Alt]+[Del]

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Typographic Conventions in Code
Convention Element Example
Caps and Oracle Forms When-Validate-Item
lowercase triggers
Lowercase Column names, SELECT last_name
table names FROM s_emp;

Passwords DROP USER scott


IDENTIFIED BY tiger;
PL/SQL objects OG_ACTIVATE_LAYER
(OG_GET_LAYER (‘prod_pie_layer’))

Lowercase Syntax variables CREATE ROLE role


italic
Uppercase SQL commands and SELECT userid
functions FROM emp;

Typographic Conventions in Oracle Application Navigation Paths


This course uses simplified navigation paths, such as the following example, to direct you
through Oracle Applications.

(N) Invoice > Entry > Invoice Batches Summary (M) Query > Find (B) Approve
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This simplified path translates to the following:
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1. (N) From the Navigator window, select Invoice then Entry then Invoice Batches
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Summary.

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2.
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(M) From the menu, select Query then Find.

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3. (B) Click the Approve button.
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Notations:
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(N) = Navigator
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(M) = Menu
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(T) = Tab
t e r U s
(B) = Button
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(I) = Icon

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r a (H) = Hyperlink

O (ST) = Sub Tab

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Typographical Conventions in Oracle Application Help System Paths
This course uses a “navigation path” convention to represent actions you perform to find
pertinent information in the Oracle Applications Help System.

The following help navigation path, for example—

(Help) General Ledger > Journals > Enter Journals

—represents the following sequence of actions:

1. In the navigation frame of the help system window, expand the General Ledger entry.

2. Under the General Ledger entry, expand Journals.

3. Under Journals, select Enter Journals.

4. Review the Enter Journals topic that appears in the document frame of the help system
window.

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Overview of Advanced
Pricing
Chapter 1

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Overview of Oracle Advanced Pricing

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Objectives

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Overview of Oracle Advanced Pricing

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Overview of Oracle Advanced Pricing

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Overview of Oracle Advanced Pricing

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Overview of Oracle Advanced Pricing

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Oracle Advanced Pricing significantly extends and expands the capabilities of Basic Pricing

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(Basic Pricing is included with Order Management). Oracle Advanced Pricing and Basic
Pricing share common software components that run in either basic or advanced mode. The
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pricing system software components review how they are installed, either as full or shared, to
determine which mode to run in.

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Users of basic pricing are installed as shared and are not licensed to use advanced pricing

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capabilities. In basic mode, the pricing systems software components display the features of
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Oracle Advanced Pricing in the user interface setup windows. Since the information necessary

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to drive the advanced pricing functionality cannot be set up in a pricing implementation
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running in basic mode, using Oracle Advanced Pricing features is also inhibited.

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Users who have licensed Oracle Advanced Pricing are installed as Full and will have all setup

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windows and features provided by Oracle Advanced Pricing. Since all information can be set
up, Oracle Advanced Pricing features are fully enabled.

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Overview of Oracle Advanced Pricing

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Overview of Oracle Advanced Pricing

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Benefits of Oracle Advanced Pricing

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Oracle Advanced Pricing Related Products

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Oracle Advanced Pricing Related Products

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Oracle Advanced Pricing is a key component of the Oracle E-Business Suite, an integrated set

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of applications that are engineered to work together to drive profitable customer interactions.

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Overview of Oracle Advanced Pricing in the Order to Cash
Process

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Overview of Pricing in the Order to Cash Process

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Pricing sends customer list price, agreement price, and modifier information to orders being

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entered manually in Order Management and to orders being entered in other Oracle
applications which can then be either imported or can use an API via Order Capture into Order
Management.
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Pricing in Order Fulfillment

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Pricing in Order Fulfillment

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• Price configurations at time of product or service configuration

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• Execute pricing and promotion plans at multiple steps in the order process

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• Calculate freight and special charges
• Re-price orders at shipment

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TCA Party Hierarchy

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TCA Party Hierarchy

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TCA = Oracle’s Trading Community Architecture

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Single Pricing Engine – Multiple Uses of Pricing Data

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• Integrated Across E-Business Suite
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Single Pricing Engine – Multiple Uses of Pricing Data

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- One pricing engine – a single investment of pricing truth

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- Accessible to any hosting (calling) applications
• Architected to share or restrict data use

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- Application or user determines sharing of data

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• Business Specific User Interface

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- Professional pricing user: Standard forms UI
- Application specific: Look and feel of hosting application

Table Key I n
Open APIs allow building to fit specialized user needs

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CMRO: Complex Maintenance Repair and Overhaul
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Pricing Engine Overview

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Pricing Engine Overview

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The Pricing Engine answers three questions: l
• What is being priced?
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• Who is asking for the price?
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• How is the base unit price to be adjusted?

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Once it has all this information, it selects the price list price and then applies any qualified

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modifiers to calculate the final Selling Price.

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WHAT?

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Based on the seeded Item Context and any user-defined pricing attributes that have been set up:
U
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• The Item Context such as the Item Number, Item Category, or All Items.
• Using pricing attributes enables you to define characteristics about an item that affect the

l e
selling price.

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For example, pricing attributes could be set up to represent height and length. When

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ordering so that the pricing engine can use that information to calculate the unit selling

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WHO?
The pricing engine uses qualifiers passed from the Sales Order to determine WHO is asking for
the price. The qualifiers select which modifiers will be used to calculate the final selling price.
You can associate qualifiers with price lists, modifier lists, and modifier lines. These qualifiers
act like rules protecting your modifiers from being used incorrectly. Oracle provides seeded
qualifier contexts that you can use immediately. Some example of the seeded qualifiers
include:
• Customer Context: Name, Bill-to, Ship-to, Customer Class, Sales Channel.
• Order Context: Order/Line Type, Customer PO, Agreement, Ship Date.
• Terms Context: Payment terms, Freight Terms.
• Modifier List Context: Price List.
• Volume Context: Order Amount, Line Volume
Note: These are not the only fields available with each context.
HOW?
Once the Pricing Engine has selected a unit price it determines HOW to adjust it by selecting
qualified modifiers. For example, Discounts and Surcharges can be applied as a Percent,
Amount, New Price or Lumpsum to the unit price. However, Freight and Special Charges are
not used in the calculation of the Unit Price. These values are stored separately and added to
the Line and Order totals.

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Overview of the Pricing Engine

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Overview of the Pricing Engine

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The pricing engine receives a pricing request which it processes and supplies the base (initial)

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price from the price list or customer agreement. It then applies any modifiers, calculates the
selling price, and returns the result to the calling application.
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Pricing Engine

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Pricing Engine
Preparing the Price Request Structure
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The calling applications submit price requests. This function configures a pricing request into a

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pricing request structure. The pricing request structure provides information about all the
qualifiers and product pricing attributes.

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Selecting the Price List or Modifier List
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This function selects which price lists are eligible for the current pricing request. It uses the
qualifiers and pricing attributes to select an eligible list of prices or modifiers it can apply to

Determining List Price


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the pricing request lines according to the certain rules.

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This function takes the validated price list lines and applies them to the pricing request lines.
You can specify the list price on a price list as unit price, percent price, or formula.

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Applying Price and Modifier Adjustments
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This function takes the validated modifier list lines and applies them to the pricing request
lines. The modifier function provides price adjustments such as discounts, price breaks,

O surcharges, coupons, item and term substitutions, and other item discounts. Discount and

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Chapter 1 - Page 19
surcharge modifiers affect the selling price--freight charge modifiers do not affect the selling
price.

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Pricing Engine Process

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Pricing Engine Process

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Pricing qualifiers control who is eligible for certain prices (price lists) and benefits (modifiers)
Some example qualifiers are:
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• Customer Class = VIP
• Order Type = Special O ly
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Attributes determine where the specific values in which you define pricing contexts in product
or customer hierarchies:

n a e
Customer hierarchy

t e r s
Level where qualifier characteristics can be defined such as customer or customer name
U
Product hierarchy
I n
Level at which pricing characteristics can be defined such as product item, item number,

l e
category, or brand. For example, all plastic items of Grade B quality get a 50% discount.

c
The prices can be:

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• Absolute values

O • Percentages of other prices

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Chapter 1 - Page 21
• Formulas
• Positive and negative values
Calculated price: The output of the pricing engine is Calculated Price which consists of the list
price and adjustments. This computed value is then returned to the calling application.

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The Oracle Advanced Pricing Process

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The Oracle Advanced Pricing Process

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The calling application sends a request to the pricing engine (the pricing request) for a sales

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order from Customer 1 with two lines—shampoo and conditioner.

O ly
The pricing engine selects the appropriate information into the pricing request structure and
analyzes the pricing request.

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Oracle Advanced Pricing Features

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Price Lists

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Price Lists
The prices can be:
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• Absolute values
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• Percentages of other prices
• Formulas O ly
• Positive and negative values
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This is explained in more detail in the Pricing modules.

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Chapter 1 - Page 25
Qualifiers

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Qualifiers

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Oracle Advanced Pricing lets you define qualifiers to determine eligibility rules governing who

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can receive a particular price, discount, promotion, or benefit. Qualifiers and qualifier groups
can then be linked to price lists and modifiers. The following lists common qualifier terms:
Qualifier Contexts O ly
into logical categories.
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Qualifier contexts are flattened hierarchies where similar qualifying attributes can be grouped

Qualifiers
n a e
t e r
benefit or price eligibility.
U s
Qualifiers are specific attributes that assist Oracle Advanced Pricing with limiting the who for

Qualifier Value
I n
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A qualifier value is a value you chose to associate a qualifier attribute.

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Chapter 1 - Page 26
Qualifier Groups

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Chapter 1 - Page 27
Modifiers

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Modifiers

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Defines how Oracle Advanced Pricing will make adjustments such as providing a discount or

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surcharge. When you set up modifiers, you define the adjustments your customers may receive.
You control the application of modifiers by using rules such as qualifiers and related attributes.
O ly
Modifiers enable you to set up price adjustments, benefits, and freight and special charges that

l & On
the pricing engine applies immediately to pricing requests or accrues for later disbursement.
Modifier actions include discounting, adding surcharges, charging for shipping, or adjusting

n a e
price based on promotional pricing actions.

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Chapter 1 - Page 28
Modifiers

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Modifiers (continued)

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Modifiers are pricing actions that drive your pricing processes in addition to price lists,
formulas, and agreements.
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Chapter 1 - Page 29
Accruals

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Accruals

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The pricing engine uses Accruals in price calculations and passes them to the calling
application
r a
O ly
• Do not affect the selling price of an order line
• Do not appear as chargeable items on invoices

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• Create an adjustment record in the database

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Chapter 1 - Page 30
Formulas

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Formulas

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When you attach a formula to a price list line, you typically do not enter a price for that line

r a
because the pricing engine uses the formula to calculate the final list price of the product or
service. One exception is a formula that has a formula type of List Price: in this case, you must
O ly
enter the list price (base price) for the formula to use in its calculations.

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Chapter 1 - Page 31
Formulas

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Formulas (continued)

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You can choose one of following methods to determine how a formula calculates the price:
• Dynamic calculation
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• Static calculation
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These are explained further in the Formulas module.

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Chapter 1 - Page 32
Price Books

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Price Books

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Additionally, a Price Book API is provided for other applications to generate a price book and
then use the information as required.
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Contexts

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Contexts

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This concept is explained further in the Attribute Management module.

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Chapter 1 - Page 34
Pricing Attributes

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Pricing Attributes

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In this example, the product service is available in three versions: Gold, Silver, and Bronze.

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The price for service varies according to which type (attribute) applies.

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Chapter 1 - Page 35
Attribute Management

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Attribute Management

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Oracle Advanced Pricing enables you to define pricing actions and rules by using price lists,

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modifiers, qualifiers and formulas to define prices, price adjustments, and other pricing
features. When the pricing engine gets a pricing request, attribute management retrieves all
O ly
values for the qualifier and pricing attributes associated with the transaction. The pricing

l & On
engine evaluates these values to determine which price lists and modifiers are eligible for the
transaction. The data sources for the qualifiers and pricing attributes can be within Oracle

a e
applications or from outside Oracle applications.

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Chapter 1 - Page 36
Responsibility Levels

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Chapter 1 - Page 37
Oracle Pricing Administrator

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Oracle Pricing Administrator

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You cannot access the Forms-based UI from this responsibility, use the Oracle Pricing
Manager responsibility instead.
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Note: Parameter definitions provide controls for pricing applications that can be set by a
Pricing Transaction Type (Request Type) or by a group of transactions that share pricing
setups (PTE).

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Oracle Pricing Manager

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Oracle Pricing Manager

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You cannot access the HTML UI from this responsibility. Use the Oracle Pricing User or

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Oracle Pricing Administrator responsibility instead.

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Chapter 1 - Page 39
Oracle Pricing User

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Oracle Pricing User

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The HTML UI features and functions are accessed through the HTML Home page. Your level

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of access to a pricing entity (view only or maintain) is defined by the pricing security settings
in effect.
O ly
Note: You cannot access the Forms-based UI from this responsibility. Use the Oracle Pricing
Manager responsibility instead.

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Chapter 1 - Page 40
Oracle Advanced Pricing HTML User Interface (UI)

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Oracle Advanced Pricing HTML User Interface (UI)
Use the following navigation path to access the HTML UI:
(N) Oracle Pricing User > Home
r a
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The HTML UI provides guided flows, logical component groupings, instructional texts, and
tips that simplify the overall user experience when defining pricing setups. Using the HTML
UI, you can:
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• Quickly identify your step within a flow.
• Verify your setup in the review pages before saving the line.

e r s
The UI provides guided flows for setting up price lists and for the modifier types of discount,

t U
surcharge, price break, and promotional goods. In the modifier flow, pricing components are

I n
logically grouped by category like Controls, Products, Benefits, and Qualifiers. You must use
either the Oracle Pricing Administrator or Oracle Pricing User responsibility to access the

l e
pricing features in the HTML UI.
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Chapter 1 - Page 41
Pricing Home Page (HTML UI)

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Pricing Home Page (HTML UI)

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From the Home Page (HTML UI) in the Oracle Pricing User responsibility, you can easily

r a
navigate to various flows of the application (you cannot access the Forms-based UI—must use
the Oracle Pricing Manager responsibility):
O ly
• The Home page includes Shortcut links for creating price lists, modifier lists, and price list
maintenance.

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• The work queue displays a list of the most recently created price lists and modifier lists.

n a e
This enables you to quickly view or update list details. You can also search for a price list

t e r U s
or modifier list from this page.

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Chapter 1 - Page 42
Modifier Setup (HTML UI)

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Modifier Setup (HTML UI)

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The HTML UI provides guided flows to create and maintain the following modifier lists and
line types:
r a
List types
• Deals O ly
• Discount Lists
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• Promotions

n a e
• Surcharge Lists
Line Types
t e r U s
• Discount
• Price Break
I n
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• Promotional Goods

c
• Surcharge

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Notes:

O • For promotional goods in HTML, additional buy items are not supported.

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Chapter 1 - Page 43
• Modifiers created in the HTML UI are initially in inactive state (by default). After creating
the modifier, you must query the modifier header again, select the Active check box, and
save your changes to make the modifier active.
• For modifier types or features unavailable in HTML, you must use the Forms-enabled UI
(accessed from the Oracle Pricing Manager responsibility). Within each create flow, you
can verify your setup data before saving on the review page.

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Chapter 1 - Page 44
Shortcut Region (HTML Home page)

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Shortcut Region (HTML Home page)

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Create Modifier Line flows include Discount, Surcharge, Price Break, Promotional Goods.

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Note: For promotional goods in HTML, additional buy items are not supported.

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Chapter 1 - Page 45
Summary

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Chapter 1 - Page 46
Generic Implementation
Setup
Chapter 2

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Chapter 2 - Page 2
Generic Implementation Setup

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Chapter 2 - Page 3
Objectives

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Overview of Main Pricing Implementation Steps

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Overview of Main Pricing Implementation Steps
This table outlines the setup flow for Oracle Advanced Pricing. Some of the steps outlined are

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required and some are optional. If you have already completed a common-application setup
(setting up multiple Oracle Applications products) some of the steps may be unnecessary. A
O ly
Required Step With Defaults is required only if you want to change the seeded default values.

Do optional steps only.


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Review those defaults and decide whether to change them to better suit your business needs.

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Chapter 2 - Page 5
Overview of Main Pricing Implementation Steps

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Overview of Main Pricing Implementation Steps

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Chapter 2 - Page 7
Perform System Administration Steps

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Perform System Administration Steps
This step is required.
c l
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For more information on performing system administration steps, see: Oracle System

O ly
Administrator User’s Guide, Responsibilities.

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Chapter 2 - Page 8
Set Profile Options

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Set Profile Options
This step is required.
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During implementation, you set values for profile options at various levels to specify how

O ly
Oracle Advanced Pricing controls access to and processes data. The system administrator sets
and updates profile values. A Required profile option requires you to provide a value. An

not want to accept the default.


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Optional profile option already provides a default value, so you must change it only if you do

n a e
For more information on setting profile options, see: Oracle Applications System

t e r U s
Administrator's Guide, Setting User Profile Options, and the Oracle Advanced Pricing
Implementation Manual, Profile Options.

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Chapter 2 - Page 9
Set Multicurrency Profile Options

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Set Multicurrency Profile Options
This step is optional.
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Changing the profile option QP: Multi-Currency Installed back to N (No) may cause undesired

O ly
results if conversion criteria were used.
Note: The concurrent program Update Price Lists with Multi-Currency Conversion Criteria

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must be run to enable the price list windows for multi-currency usage.
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Chapter 2 - Page 10
Verify or Create Pricing Transaction Entity

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Verify or Create Pricing Transaction Entity
This step is required.
c l
The default is Order Fulfillment.
r a
O ly
A PTE consists of a group of applications that point to the same setup data and attributes, and
includes request types and source systems. The source system refers to the application that

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captures the pricing setup data, and the request type identifies the type of transaction that is
being priced. Once you create a context and its attributes, you link them to a specific PTE. For

n a e
a given PTE, this combination becomes available in the pricing setup windows. Each PTE has

t e r U s
its own unique combination of attributes.
Request Types and Source Systems in the same PTE share pricing setup data. Additional

I n
Source System and Request Types can be added to existing PTE's. There are very rare
instances where it is necessary to create a new PTE. A new PTE can be created only if the new

l e
request type uses a different ordering structure and a different set of source systems that is not

c
already predefined.

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Chapter 2 - Page 11
Create Qualifier Contexts and Qualifier Attributes

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This step is optional.
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Create Qualifier Contexts and Qualifier Attributes

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The defaults are predefined Oracle Advanced Pricing qualifier contexts.

O ly
If you do not complete this step, users can select only predefined Oracle qualifier contexts and
qualifier attributes for price and modifier eligibility.

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Chapter 2 - Page 12
Create Pricing Contexts, Pricing Attributes, and Product Attributes

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This step is optional.
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Create Pricing Contexts, Pricing Attributes, and Product Attributes

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The defaults are predefined Oracle Advanced Pricing/Product attribute contexts.

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If you do not do this step, users can select only predefined Oracle Advanced Pricing contexts
and associated attribute values for benefit options.

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Chapter 2 - Page 13
Perform Attribute Management

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Perform Attribute Management
This step is optional.
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The default is the predefined Oracle Advanced Pricing attribute mapping rules.

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Oracle provides predefined rules for attribute mapping, for both qualifiers and pricing contexts,
that enable a list of values when selecting eligibility criteria.

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Qualifier and pricing attribute mapping is required to supply a value for a qualifier or non-user

n a e
entered pricing attribute before pricing a transaction. A mapping rule is set up to derive the
value for the qualifier or pricing attribute from the transaction itself or from another attribute of

t e r U s
the transaction. Attribute mapping builds additional information about a transaction that can be
used to qualify for or derive a price, benefit, or charge for the transaction.

I n
Attribute mapping includes rules that enable you to configure mapping to source qualifiers and
pricing attributes according to your business needs.

l e
Attribute Management Process Flow
c
r a
This diagram shows the relationships of the components of Attribute Management. Source
systems and Request types are for a given PTE which everyday users will not have to define.

O You will define attributes for a given context and link that attribute to a PTE. For attributes that
have the mapping method of attribute mapping, users will have to define mapping rules.

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Chapter 2 - Page 14
Define Unit of Measure

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Define Unit of Measure

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Do this step if you have not installed and set up Oracle Inventory or performed this common-

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applications setup for another Oracle Product.

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For more information on defining units of measure, see: Oracle Advanced Pricing
Implementation Manual, Unit of Measure.

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Chapter 2 - Page 15
Define Unit of Measure Conversions

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Define Unit of Measure Conversions

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Oracle Advanced Pricing uses these conversions to automatically convert transaction quantities

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to the primary pricing unit of measure defined on the price list when pricing cannot find a price
in the transaction unit of measure.
O ly
In addition, all price adjustments, benefits, and charges need to be defined in the same unit of

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measure as the unit of measure used on the price list.
For more information on defining unit of measure conversions, see Oracle Inventory User’s

n a e
Guide, Defining Unit of Measure Classes.

t e r U s
Perform this step if you have not installed and set up Oracle Inventory or performed this
common-applications setup for another Oracle Product.

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Chapter 2 - Page 16
Create Item Relationships

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Create Item Relationships
This step is optional.
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Set up promotional upgrade items as follows:

O ly
• The ordered item and the promotional item need to have the same base unit of measure
and unit of measure conversions.

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• The modifier unit of measure and the pricing unit of measure on the order line need to be
the same.

n a e
If those entities are not the same, the substitution can fail.

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See Oracle Inventory User’s Guide, Item Relationships.

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Chapter 2 - Page 17
Define Pricing Lookups

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Define Pricing Lookups
This step is optional.
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Lookup code values are the valid entries that appear in the list of values.

O ly
For a complete list of Lookup types, see the Oracle Advanced Pricing Implementation Manual,
Lookups.

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Chapter 2 - Page 18
Enable Currencies

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Enable Currencies
This step is optional.
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Use the Currencies window to define non-ISO (International Standards Organization)

O ly
currencies, and to enable/disable currencies. Oracle Applications has predefined all currencies
specified in ISO standard #4217.

l & On
To use a currency other than U.S. Dollars (USD), you must enable the currency. U.S. Dollars
(USD) is the only currency that is enabled initially.

n a e
Default: All major currencies predefined with Oracle Applications

t e
common-applications setup. r U s
Perform this step if you have not installed and set up Oracle General Ledger or performed a

I n
For more information on enabling currencies, see Oracle General Ledger, Currencies.

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Chapter 2 - Page 19
Create Events and Phases

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Create Events and Phases

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This step is required if you must create additional pricing phases or change the seeded pricing
phases.
r a
O ly
If your pricing requires certain types of benefits at a particular point or event in the transaction
process flow, perform this step.
Events
l & On
n a e
An event represents a point in the order process flow at which the pricing engine is called to
return a base price, price adjustments, freight charges, promotions, benefits, etc. The following

t e r U s
outlines the functions that call each event:
• PRICE event: Called after user enters item, quality, and unit of measure.

I n
• LINE event: Called when the user exits the order line.

c l e
• ORDER event: Called when the user saves the order.
• BOOK event: Called when the user books the order.

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• SHIP event: Called by OM after the order is ship confirmed (when the field
shipped_quantity on order line is updated with a value).

O
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Chapter 2 - Page 20
• REPRICE_LINE: An event that you can insert into the work flow activity. It is seeded in
pricing to take place after the order is shipped, but before the order is invoiced. This event
occurs after the SHIP event, but can be set up to run at any time during the workflow.
• BATCH: Calls the engine and performs the PRICE, LINE and ORDER actions. For OM,
the BATCH event is Order Import. Order Capture and iStore call the batch event directly.
Phases
A phase is a logical group of price actions executed in one call to the pricing engine. A phase
controls what prices and modifiers are considered by the search engine and in what sequence
are applied to the request.

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Chapter 2 - Page 21
Verify Pricing Parameter Settings

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Verify Pricing Parameter Settings

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Unlike profile options, which can be set at the site, application, responsibility, and user levels,

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parameter values are set at the Pricing Transaction Entity (PTE) or Request Type level. (A PTE
consists of a group of transactions that share pricing setups.)
O ly
Request types are those order applications that request pricing data (for example, Order

l & On
Management Order or Oracle Contracts for Service).
Pricing parameters provide flexibility in situations where the parameter value needs to be

n a e
different for different Request Types. Pricing parameters can be defined at either the Pricing

t e r U s
Transaction Entity (PTE) level or the Request Type level: parameters defined at the PTE level
may affect behavior for the pricing engine and the user interface level, while parameters

I n
defined at the Request Type level mainly affect pricing engine behavior.
Note: You must be assigned the Oracle Pricing Administrator or Pricing Manager

l e
responsibility to view or update pricing parameters.

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Chapter 2 - Page 22
Set up Pricing Security

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Set up Pricing Security

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During implementation, the Oracle Pricing Administrator can set up pricing security for pricing
entities as follows:
r a
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• Assign or reassign pricing entities to operating units.
• Set Global Usage to share or not share a pricing entity across operating units.

l & On
• Assign privileges to pricing entities to control who (the Grantee) can view or maintain the
specified entity.

n a e
• Set up default security profile options that set the access privileges for new pricing
entities.

t e r U s
• You must run the concurrent request Security Control (with value set to ON) to turn on

I n
pricing security for your installation.

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Chapter 2 - Page 23
Related Setup Steps

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Related Setup Steps

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For information on related setup steps, see the Oracle Advanced Pricing Implementation
Manual.
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Chapter 2 - Page 24
Define Item Information

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Define Item Information
This step is optional.
c l
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For more information on defining item information, see Oracle Inventory User’s Guide, Items.

O ly
Perform this step if you have not installed and set up Oracle Inventory or performed this
common-applications setup for another Oracle product.

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Chapter 2 - Page 25
Define Item Category Sets and Item Categories

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Define Item Category Sets and Item Categories
Default: Seeded structure name of item categories, category set inventory items, and associated

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default seeded category code combination MISC

O ly
You can set up multiple categories and multiple category sets. You can create other item
categories in the product attributes item context by creating a new attribute in the item context

l & On
and attaching a value set. Complete this step if you have not installed and set up Oracle
Inventory or performed a common-applications setup for another Oracle product. If you do not

a e
plan on using Oracle category functionality for associated price or benefits, you can skip this
n
step.

t e r U s
Note: The value set for the item category attributes uses the item categories defined in Oracle

I n
Inventory. However, when the pricing entities are defined for a pricing entity PO, then item
categories are the ones defined in Purchasing. For more information on defining item

c l e
categories and item category sets, see Oracle Inventory User’s Guide, Defining Category Sets
and Categories, and Oracle Application Flexfields User’s Guide, Key Flexfields in Oracle

a
Applications, Item Categories Flexfield.

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Chapter 2 - Page 26
Hierarchical Categories
Hierarchies consist of tiered relationships where one party is ranked above another, for
example, a corporate hierarchy where different companies are related as parent, subsidiary,
headquarters, division, and so on. Select the Party Hierarchy Enabled box when setting up an
attribute if the qualifier attribute references Oracle TCA (Trading Community Architecture)
parties and if price lists or modifiers with this qualifier attribute need to be made available to
the party hierarchy. This enables you to cascade a discount or price list to subsidiaries and
branches by setting up a qualifier at the top level rather than creating multiple qualifiers, one
for each subsidiary or division. The following seeded qualifier attributes are based on
Oracle TCA parties:
• Customer Party (qualifier context = Party Information (ASOPARTYINFO)
• Party Id (qualifier context = Customer (CUSTOMER)
• Buying Groups (qualifier context = Customer Group (CUSTOMER GROUP)
• Supplier (qualifier context = Party Information (PARTY)
• Buyer (qualifier context = Party Information (PARTY)

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Chapter 2 - Page 27
Set Up Inventory Organization

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Set Up Inventory Organization
Required with defaults.
c l
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Perform this step if you have not installed and set up Oracle Inventory or performed a
common-applications setup.
O ly
For more information on setting up inventory organizations, see Oracle Inventory User’s

& On
Guide, Setting Up Oracle Inventory.
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Chapter 2 - Page 28
Define Oracle Order Management Lookups

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Define Oracle Order Management Lookups
This step is optional.
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The following information describes the lookup types:

O ly
• Define sales channel: Required if you price, give benefits or charge by sales channel.
• Define order categories: Required if you price, give benefits or charge by order category.

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• Define line categories: Required if you price, give benefits or charge by order line
category.

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• Define order sources: Required if you price, give benefits or charge by order line category.
s
• Define shipment priorities: Required if you price, give benefits or charge by shipment
U
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priority

I
• Define ship methods: Required if you price or give benefits, including upgrading shipping

e
l
method or charge by shipment method. Complete this step if you have not installed and set

a c
up Oracle Order Management or performed a common-applications setup.
For a list of valid default values for these lookups, see: Oracle Order Management User’s

O r
Guide, Lookups.

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Chapter 2 - Page 29
Define Shipping Lookups

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Define Shipping Lookups

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This step is optional. Complete this step if you have not installed and set up Oracle Order

r a
Management or performed a common-applications setup.

O ly
Examples of system level lookups include:
• Delivery status
• Exception severity
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• Exception status

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• Logging entity
• Pack mode
t e r U s
• Trip status
I n
Examples of user level lookups include:

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• Freight cost type (administration, duty, export, handling)

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• Load tender status (accepted, rejected, tendered, not tendered)

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• Supported carrier (API interfaced UPS, Fedex, DHL)

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Chapter 2 - Page 30
Set Up Customer Class and Profile Class

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Set Up Customer Class and Profile Class
Customer Class
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You can define lookups for this in the Receivables Lookups and Demand Class windows.

O ly
Customer Class is in the Classification region of the Customers window.
Customer Profile Class

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Use Customer Profiles to group customer accounts with similar credit worthiness, business

n a e
volume, and payment cycles. For each profile class you can define information such as credit
limits, payment terms, statement cycles, invoicing, and discount information. You can also

which you do business.


t e r U s
define amount limits for your finance charges, dunning, and statements for each currency in

I n
Perform this step if you have not installed and set up Oracle Receivables or performed a
common-applications setup.

l e
For more information on setting up customer class, see Oracle Receivables User Guide,
c
Defining Lookups.

r a
For more information on setting up profile classes, see Oracle Receivables User Guide, Profile

O Classes.

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Chapter 2 - Page 31
Define Customers and Customer Sites

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Define Customers and Customer Sites
Customers
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A customer is an organization or person with whom you have a selling relationship. This

O ly
selling relationship can result from the purchase of products and services or from the
negotiation of terms and conditions that provide the basis for future purchases.
Customer Sites
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shipping, or other purposes.
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A customer address is a party site used in the context of a customer account for billing,

t e
common-applications setup. r U s
Perform this step if you have not installed and set up Oracle Receivables or performed a

I n
For more information on defining customers, see Oracle Receivables User Guide, Defining
Customers.

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For more information on defining customer sites, see Oracle Receivables User Guide, Defining
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Customer Sites.

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Chapter 2 - Page 32
Define Transaction Types

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Define Transaction Type

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Both orders and lines have transaction types. The transaction types determine what workflow

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the order and line will have and are used as a source for defaulting values and to establish
processing controls. Complete this step if you have not installed and set up Oracle Order
O ly
Management or performed a common-applications setup.

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Chapter 2 - Page 33
Define Freight Terms

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Define Freight Terms

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You can do the following with freight terms:
• Price
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• Upgrade
• Surcharge O ly
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Perform this step if you have not installed and set up Oracle Order Management or performed a
common-applications setup.

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For more information on defining freight terms, see Oracle Order Management
s
Implementation Manual, Defining Freight and Special Charge Types.

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Chapter 2 - Page 34
Define Freight Cost Type

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Define Freight Cost Type

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You can do the following with freight cost types:
• Price
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• Upgrade
• Surcharge O ly
l
Using freight cost types, you can:& On
a e
• Define allowable freight costs and suggested amounts for shipments. The pricing engine

n
t e r
applies them when you plan an delivery line and when you ship confirm at ship confirm.
s
• Add multiple freight costs to a shipment from the freight cost types that you define.
U
I n
• Define multiple freight costs for a specific freight cost type. For example, create different
insurance costs under the insurance freight cost type.

l e
Perform this step if you have not installed and set up Oracle Receivables or performed a

c
common-applications setup. For more information on defining freight cost types, see Oracle

a
Order Management, Freight Cost Types.
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Chapter 2 - Page 35
Define Payment Terms

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Define Payment Terms

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You can do the following with payment terms:
• Price
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• Upgrade
• Surcharge O ly
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Receivables lets you define standard payment terms for your customers to specify the due date

n a e
and discount date for their open items. Payment terms can include a discount percent for early
payment and you can assign multiple discounts to each payment term line. For example, the

t e r U s
payment term 2% 10, Net 30 indicates that a customer is allowed a two percent discount if
payment is received within 10 days; after 10 days, the entire balance is due within 30 days of

I n
the transaction date with no applicable discount. You can define proxima payment terms to pay
regular expenses such as telephone bills and credit card bills that occur on the same day each

l e
month. You can also create split payment terms for invoice installments that have different due
dates.
c
r a
Perform this step if you have not installed and set up Oracle Receivables or performed a
common-applications setup. For more information on defining payment terms, see Oracle
O Receivables User Guide, Defining Payment Terms.

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Chapter 2 - Page 36
Oracle Advanced Pricing Concepts

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Oracle Advanced Pricing Concepts

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When using Oracle Advanced Pricing, you implement pricing concepts by setting up windows

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that describe your pricing rules, pricing actions, controls, and the links to any extensions you
employed.
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Chapter 2 - Page 37
Pricing Rules

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Pricing Rules

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Pricing rules are built around customer and product hierarchies. Pricing policies are often tied

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to the customer. Because customers belong to single or multi-level groups, Oracle Advanced
Pricing enables you to define rules that associate pricing actions with a group or level of a
group that a customer belongs to.
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With Oracle Advanced Pricing you can define rules dependent on data other than the pricing
hierarchy. For example, discounts are often progressive, based on volume.

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In Oracle Advanced Pricing, you set up pricing rules using the Qualifier window to describe

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customer and non-product oriented rules. These qualifiers can be appended to pricing actions
(the product hierarchy definitions are contained in the action objects). For example, if a price

I n
list calls for all items in item category A to be priced at $1.00, the product definition is setup as
part of the Price List window rather than using the Qualifier window. To specify the same price

window.
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list as usable only by the VIP customer class, specify the customer class in the Qualifier

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Chapter 2 - Page 38
Pricing Actions

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Pricing Actions

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Pricing actions are specific pricing activities that the engine applies to transactions.

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For example, the pricing engine can establish a list price by applying a price list action to an

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order line. Similarly, discounts that lower the list price down to a net selling price are a
modifier action.

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Oracle Advanced Pricing provides pricing actions that can be used to handle pricing problems.
l
• Price lists
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Pricing Actions can be directly related to specific pricing windows:

• Agreements

t e r U s
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• Formulas
• Modifiers

e I
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Modifiers, also known as adjustments, are a class of pricing action that modifies the net price
either up or down. Each modifier type can apply a specific pricing action with specific

r a
characteristics. For example, you can define a promotional modifier that adds a new item with
a price adjustment or benefit when the customer orders one or more other items on the same

O order.

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Chapter 2 - Page 39
Pricing Controls

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Pricing Controls

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Pricing controls are used to control how pricing applies actions. For example, effectivity dates

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can be used to control when rules are in effect and when they are not. They can also be used to
define when an action that a rule points to can be applied.
O ly
Pricing also supports several other types of controls. For example, you can setup phases, which

l & On
are groups of pricing actions. You can then tie these phases to physical events in Order
Management. Incompatibility groups are another example of pricing controls. You can assign

a e
modifiers to incompatibility groups such that only one modifier within an incompatibility
n
t e r U s
group can be selected by the pricing engine.
There are many different controls in pricing. All are important, but some require more careful

n
planning prior to implementation.

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Chapter 2 - Page 40
Pricing Extensibility

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Pricing Extensibility

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Pricing is often driven by customer factors, by trade customs, or by sales channel requirements.

r a
Almost no two companies implement pricing in the same way, even if they compete in the
same industry.
O ly
To address this variability, Oracle Advanced Pricing is delivered with extensibility features

business needs.
l & On
that enable you to extend, in a non-invasive, low-cost manner, its operation to meet your

n a e
The extensibility features fall under two categories:

• APIs
t e r
• Flexible attribute mapping

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Chapter 2 - Page 41
Attribute Mapping

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Attribute Mapping

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You can use attribute mapping to substitute an alternative source and structure for either the

r a
product or customer hierarchy, rather than using those supplied as defaults when the product is
installed.
O ly
You can use attribute mapping to link Oracle Advanced Pricing to data maintained outside

l & On
Oracle Advanced Pricing and outside Oracle Applications. In addition to the customer and
product hierarchy related data mentioned, you can use attribute mapping to make pricing read a

a e
currency rate from an external source used in a pricing formula computation.
n
t e r U s
Oracle Advanced Pricing, when licensed with Oracle Order Management, Oracle iStore, or
other Oracle products, provides you with defaults for the customer and product hierarchy and

product.
I n
other commonly referenced pricing rule drivers. These can be used without extending the

l e
For customers whose product or customer hierarchy is more complex, Oracle Advanced

c
Pricing provides flexible attribute mapping. This feature enables you to add or change levels of

a
the customer and product hierarchy from those that are delivered as seeded with the product.
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Chapter 2 - Page 42
APIs

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APIs

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Oracle Advanced Pricing delivers a set of APIs that you can leverage using your own code.

r a
This enables you to significantly extend the use of Oracle Advanced Pricing.

O ly
One API used for this purpose is Get_Custom_Price. This API can be linked to a price list
using a formula with a term of type Function. You can use this API to make Oracle Advanced

price based on actual cost.


l & On
Pricing obtain a cost from a purchase order that is used in a calculation that yields a selling

n a e
Oracle Advanced Pricing APIs are documented in Oracle Manufacturing Open Interfaces and

t e r U s
API Manual. For users who want to write code for these APIs, a downloadable ARU is
available on Oracle Metalink that contains coding examples.

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Chapter 2 - Page 43
Basic Flow of Pricing

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Basic Flow of Pricing

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Oracle Advanced Pricing prices any transaction by first identifying a list price. Price lists

r a
define a list price. Pricing determines whether the price found on the price list must be
adjusted. Modifiers control the price of these adjustments, and can modify price either up
O ly
(positive) or down (negative). Once the pricing engine has selected one or more modifiers that

& On
adjust the price, it computes the final price or net selling price.

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Chapter 2 - Page 44
Methodology Steps

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Methodology Steps

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In analyzing pricing requirement prior to implementing Oracle Advanced Pricing, it is

r a
important to consider that pricing terminology varies greatly across companies.

O ly
Terminology such as tiered pricing, block pricing, off-invoice, price ceilings, price floors, and
many others vary in their definition from one company to the next.

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The best way to avoid misleading terminology is to insist that each term be decomposed down
to its underlying pricing action and the rules that define the precise conditions under which that
action is taken.
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Chapter 2 - Page 45
Analyzing Pricing Needs

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Chapter 2 - Page 46
Analyzing Pricing Needs

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Analyzing Pricing Needs

c l
To develop a pricing solution with Oracle Advanced Pricing, you must break down the pricing

r a
requirements into their component parts.
Define Pricing Requirements
O ly
For example, customers in the Northeast Region may order any two digital widgets and receive

l & On
10% off either analog widget item ABC or DEF ordered at the same time. This is a
promotional discount given for orders received between October 1 and December 31.
Analyze Pricing Requirements
n a e
t e r U s
Break down the requirement into the underlying component pricing requirements. This is
accomplished through gathering enough information to precisely define the pricing action

I n
itself, and the conditions under which this action is to be taken. Break down the preliminary
problem statement further:

l e
• Distinguish between the digital widgets and other widgets. Digital widgets are discounted
c
separately from analog widgets.

r a
• The pricing solution must ensure that each type of digital widget can qualify for the

O promotion provided that at least two digital widgets are ordered.

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Chapter 2 - Page 47
• The 10% discount is taken off the selling price.
Create Rule and Action Statements
The next step is to parse the pricing problem into rule and action statements. In other words,
what is the pricing action to be taken and under what conditions is that pricing action to be
taken. First define the action: Pricing action: Give a 10% discount taken off normal selling
price. This action statement is independent of customer, product, or dates.
• Pricing rule: Discount action taken only for all customers in the Northeast Region.
• Pricing rule: Discount action applied only to analog widgets with item numbers ABC or
DEF.
• Pricing rule: Discount action taken only when analog widgets are ordered at the same time
as digital widgets.
• Pricing rule: Discount action taken only for orders received between October 1 and
December 31.

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Chapter 2 - Page 48
Developing Pricing Solutions

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Chapter 2 - Page 49
Single or Multiple Currency Price Lists

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Single or Multiple Currency Price Lists

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Oracle Advanced Pricing supports both single currency price lists and multiple currency price

r a
lists (muticurenncy lists). For single currency price lists, there is one currency defined per price
list. For multi-currency price lists, a multiple currency conversion list is attached to the price
O ly
list defining multiple currencies and conversion factors and rules for converting prices.

l & On
It is very important to determine which price list strategy your organization supports. Oracle
Advanced Pricing provides a profile option and concurrent program to convert existing prices

a e
lists from a single currency price list to multiple currency price lists. However, once this profile
n
r s
is enabled, and price lists are converted, users should not return to NON multicurrency price

e
lists. Changing the profile back to No may cause undesired results if conversion criteria was
t U
used. Oracle does not support changing the setting back to No.

I n
• Single currency price lists: Single currency price lists are the default setting for Oracle

c l e
Advanced Pricing. These are used when your business requires that you maintain different
prices for different currencies, and there is no relationship between prices defined.

r a• Multiple currency price lists: Multiple currency price lists enables businesses that have
pricing strategies based on a single price for an item in a base currency and use exchange

O rates or formulas to convert that price into the ordering currency. At engine run time, the

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Chapter 2 - Page 50
pricing engine will take the currency from the order and search for a price list(s) with base
or conversion currencies matching this currency. The pricing engine converts the price
from the base currency and calculates the ordering currency based upon the established
conversion rules.

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Chapter 2 - Page 51
Customer and Product Hierarchies

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Customer and Product Hierarchies

c l
Product hierarchies (customer hierarchies are discussed in following slide) are single-level or

r a
multi-level groups to which a product may be associated with. Pricing rules are structured
around these groupings that can affect the pricing actions a customer receives. Each level in
O ly
your product hierarchy where your business sets its pricing and discounting should be defined

l & On
as a product attribute in the seeded product context ITEM.
The product hierarchy in Oracle Advanced Pricing is seeded with ITEM context based on the

a e
Oracle Applications Item Master, MTL_SYSTEM_ITEMS table. For this context, the
n
• Item number
t e r U s
flexibility of Oracle Advanced Pricing enables you to define your product hierarchy as follows:

• Item category
• Item All I n
l e
Oracle Advanced Pricing supports flattened and hierarchical item categories to enable pricing
c
setups that can span across multiple category sets. You can define one or multiple functional

r a
areas for a given source system. Each functional area will have an associated category set that
may be hierarchical or flattened. On the pricing setup windows, the product value (or product
O in HTML UI) field displays all categories belonging to those enabled functional areas. At

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Chapter 2 - Page 52
runtime, the pricing engine will sources all the categories belonging to those category sets
associated with the source systems for that request type through the pricing transaction entity.
All the parents of the categories of the items are sourced only for hierarchical categories.

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Chapter 2 - Page 53
Customer Hierarchy

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Customer Hierarchy

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Are the seeded context values on Oracle customer tables sufficient to contain customer
hierarchy?
r a
O ly
When installed with Oracle Order Management, the customer hierarchy in Oracle Advanced
Pricing is seeded to roll up individual customers according to the following structure that is
based on RA_Customer:
• Customer name
l & On
• Customer class
n a e
• Site
• Ship to
t e r U s
• Bill to
I n
l e
• Agreement name

c
• Agreement type

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• GSA

O • Sales channel
• Account type
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If the seeded qualifier context values from the Oracle customer tables are adequate, then
attribute mapping for customer hierarchy is not necessary. If the seeded qualifier context
values from the Oracle customer tables are not sufficient, there are two options. Both
approaches require you to create attribute mapping to inform pricing of the location of the
customer hierarchy data elements you wish to reference in pricing qualifiers. You must create a
default sourcing rule for each qualifier attribute that you define since the pricing engine uses
sourcing rules to locate the attribute values. You can expand your hierarchies by:
• Using flexfields on customer table to hold flattened hierarchy
• Using tables outside Oracle to store the customer hierarchy
When defining your customer hierarchy, the lowest level in your hierarchy has the lowest
flexfield segment sequence number. For example, the pricing engine must choose between a
price for an item negotiated with a specific customer and a price for the same item given to all
customers in a customer class. You want the engine to select the customer-specific price. Set
the customer qualifier as more specific than the customer class qualifier, and the engine will
select your desired price. This flattens your pricing hierarchy across the Qualifier descriptive
flexfield. Each hierarchy may be defined within a context or across contexts depending on how
many levels you have in your pricing hierarchies.

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Chapter 2 - Page 55
Trading Community Architecture (TCA) Attributes

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Trading Community Architecture (TCA) Attributes
Oracle Advanced Pricing enables you to use certain customer TCA attributes as qualifier

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attributes. Because modifiers can be set up based on TCA qualifier attributes, TCA qualifier
attributes must be derived from Oracle Order Management attributes before calling Oracle
O ly
Advanced Pricing. These attributes are seeded with the qualifier context as Customer context.

• Party ID
l & On
The seeded qualifier attributes are:

n a e
• Customer account ID (same as sold_to_org_id)
• Ship to party site

t
• Invoice to party site
e r U s
I n
Party ID, Ship to party site, and Invoice to party site are visible to Oracle Order Management
users with Oracle Advanced Pricing even if they do not have Oracle Contracts. These attributes

l e
can be used as qualifiers to derive price lists and modifiers. Information about Party ID, Ship to
c
party site, and Invoice to party site are automatically derived by the sourcing rules. Therefore,

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customers do not see this information in any of the Oracle Order Management windows.

O
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Chapter 2 - Page 56
Item Categories and Category Sets

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Item Categories and Category Sets

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You must design and define any item categories and category sets for pricing and discounting.

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Chapter 2 - Page 57
Pricing Attributes

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Pricing Attributes

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Creating pricing attributes in different contexts enables attributes to be grouped according to

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their business. The item context is reserved for defining the product pricing hierarchy. Every
level in the product hierarchy at which pricing and discounting is set should be defined as a
segment in this context.
O ly
Key Implementation Decisions

l & On
Can I use seeded context values on the Oracle Item Master tables along with pricing

n a e
attributes to define my hierarchy?

t e r U s
This decision depends on whether the item/item category and pricing attributes define your
hierarchy (for levels above Item). If this is the case, attribute mapping is not necessary. If the

I n
seeded context values are not sufficient, you have two options. Both approaches require you
create attribute mapping to establish these contexts. This enables you to extend your product
hierarchy.

c l e
• Use flexfields on item table to hold the flattened hierarchy.

r a
• Use tables outside Oracle to house the product hierarchy.

O If Oracle Advanced Pricing is installed without Oracle Order Management or the standard item
master tables, you must define an alternative table structure location to support the product

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Chapter 2 - Page 58
hierarchy with new contexts and attributes. The table structure does not need to reside within
the Oracle Application tables.
Must I implement pricing attributes, multiple price lists, or both? What pricing and
qualifier attributes do I need, and how do I decide which is which?
Complex pricing scenarios can be resolved best using a combination of pricing attributes and
multiple price lists. This arrangement makes your pricing setups easier to understand and
maintain, and improves pricing performance.
• Pricing attributes further control what is being priced or modified on a price list or
modifier list. Each level in your product hierarchy should be defined as a pricing attribute
in the seeded context of item. You must create a default sourcing rule for each pricing
attribute that you define because the pricing engine uses sourcing rules to locate pricing
attribute values.
• For multiple price lists, qualifiers offer and/or capability as well as =, between, and not=
operators. For example:
- If you charge different list prices for the same item, depending on conditions in effect
at time of order, you can use pricing attributes.
- If conditions are product-oriented (for example, Item 123 Grade A is priced
differently from same item Grade B) then product attributes are indicated.
- If conditions are not product-oriented, but depend on customer’s membership in
hierarchy or combination of customer and other factors like order type, time of day,
then multiple price lists are indicated.

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Chapter 2 - Page 59
Structuring Your Pricing Rules and Actions

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Structuring Your Pricing Rules and Actions
Key Implementation Decisions
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What qualifier statements and groups do I need? What customer groupings are required in

O ly
order to develop qualifiers that implement my pricing rules? Which pricing actions are needed
to process my scenarios? What product groupings are needed for my pricing actions?

l & On
• The structure of your customer and product hierarchies is crucial in setup and
implementation of Oracle Advanced Pricing, because these are the main sources of your
pricing rules.
n a e
t e r U s
• Qualifiers are the primary window structure within pricing where you define the rules that
determine which pricing actions are applied to a transaction. Although a qualifier can be

I n
used for any pricing rule, the qualifier window is generally used to define pricing rules
related to attributes defined the customer hierarchy or to other elements not related to the

l e
product hierarchy. Although you emphasized that the product hierarchy is basic for pricing

c
rules when you set up Oracle Advanced Pricing, you normally define the product

r a hierarchy rule as part of the setup of the specific action.


• When you implement Oracle Advanced Pricing, think in terms of structure for your
O pricing actions and qualifiers used to select those actions.

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Chapter 2 - Page 60
Establishing Pricing Controls

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Must I implement GSA Pricing?
c l
Establishing Pricing Controls: Key Implementation Decisions

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GSA pricing enables you to establish a floor level price. It is used to comply with General

O ly
Services Administration Pricing rules. GSA pricing operates as an integration with Oracle
Order Management.

& On
Must I use multiple pricing buckets? If so how many levels do I need?
l
n a e
Pricing Buckets give you the capability to handle discounts with multiple subtotals.
Do the seeded pricing phase/Oracle Order Management event relationships work or must
I reconfigure them?

t e r U s
Pricing modifiers and price lists must be associated with a specific pricing phase identifier.

I n
This enables the application calling the pricing engine to specify the phase identifier, which in
turn guides the pricing engine to select only qualified pricing actions that set up in the phase. In

l e
Oracle Order Management, the integration with prices ties certain physical events in the order
c
processing cycle to specific phases. This gives order management the capability to specify

r a
particular pricing phases to the pricing engine. You can configure the mapping of pricing
phases to order management events.
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Chapter 2 - Page 61
What effectivity dates must I establish?
Oracle Advanced Pricing provides very extensive effectivity dating capabilities. When the
pricing engine is invoked by a calling application such as Order Management, it is passed a
pricing date. The engine uses this date as a reference point to compare to effectivity dates
found on various pricing windows. The pricing date can be defaulted in Oracle Order
Management.
What unit of measure considerations are necessary for Oracle Advanced Pricing setup?
To determine a base price for a transaction, the pricing engine evaluates eligible price lists for a
price in the unit of measure for the transaction line to be priced. If the engine finds such a
UOM, the transaction UOM becomes the pricing unit of measure. If that search is not
successful, the engine searches for a conversion factor to convert the UOM on the incoming
transaction to the primary UOM on the price list line.
The pricing engine returns only those modifiers defined in the same unit of measure as the
pricing unit of measure, or where there is no product UOM specified. The latter may be the
case if the modifier is not product specific. Verify that all modifiers and price lists used
together have common units of measure. Verify that if the unit of measure on the price list and
modifier is different from the ordering UOM, that a conversion factor has been set up.
Do I want to control spending of Promotions?
Promotional limits enable you to set maximum values for benefits that a customer can receive
for a promotion, deal, or other modifier. By limiting the amount of a benefit that can be
received, you can keep promotional spending within budget and prevent promotion budget
overruns.
m y
Must I implement incompatibility groups? How do I structure them?

d e
Incompatibility occurs when the pricing engine finds more than one modifier to return, but is

ca
permitted to apply only one of them. When incompatibility is encountered between modifier
lines, the pricing engine attempts to resolve the incompatibility by evaluating the precedence

the greatest priority).


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value and selecting the modifier line with the greatest priority (precedence number of 1 having

c l
Note: The incompatibility resolve code, which determines incompatibility processing

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preference for the phase, must be set to Precedence. The qualifier or item attribute with the
highest priority has precedence over all other attributes, and the engine selects the modifier to

O ly
which this attribute belongs. Exclusivity and incompatibility only work within a pricing phase.

l & On
Must I use Oracle Advanced Pricing’s exclusivity feature?
Exclusivity enables you to specify a modifier that, if selected by the pricing engine, is the only

a e
modifier applied to a transaction.
n
t
incompatible modifiers?
e r U s
Do I instruct Oracle Advanced Pricing to use precedence or best price to decide between

I n
Oracle Advanced Pricing offers two methods to choose between incompatible modifiers:
precedence and best price. Precedence is the usually the best choice.

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Chapter 2 - Page 62
Defining Unit of Measure

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Defining Unit of Measure

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You must define unit of measure in order to use Oracle Advanced Pricing.
UOM is used to:
r a
• Price or discount items
O ly
• Give non-monetary accruals as benefits

l & On
- You must define a UOM class and UOM that represent your non-monetary accruals

a e
- The profile option QP: Accrual UOM Class should be set to the UOM class that you

n
define

t e r s
• Define qualifier rules that include the seeded qualifiers line volume or line weight
U
I n
Defining unit of measure is not necessary if you have already installed and setup Oracle
Inventory, or if you performed this common applications setup for another Oracle product.

l e
Refer to Oracle Inventory User’s Guide, Defining Unit of Measure for more information.

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Chapter 2 - Page 63
Defining Unit of Measure Conversions

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Defining Unit of Measure Conversions

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To price and discount an item in a different (not primary) UOM, you must define the

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conversion rates between the base and other UOMs within the class.

O ly
Oracle Advanced Pricing uses these rates to automatically convert transaction quantities to the
primary pricing UOM.

on the price list.


l & On
All price adjustments, benefits, and charges need to be defined in the same unit of measure as

n a e
This step is not necessary if you have already installed and setup Oracle Inventory or

t e r U s
performed this common applications setup for another Oracle product. For more information,
see: Oracle Inventory User’s Guide, Defining Unit of Measure Conversions.

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Chapter 2 - Page 64
Adjusting UOM Setups for Oracle Advanced Pricing

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Chapter 2 - Page 65
Primary UOM Versus Pricing UOM

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Primary UOM Versus Pricing UOM

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The list line UOM is a required element of the validation process. The pricing request is for an

r a
Item/UOM and only price lists that have the same item and unit of measure will be considered.
You can have the same item on the same price list if they have different units of measures. If
O ly
your selling prices vary depending on the unit of measure this is how you will want to set up
your price lists.

l & On
Example: Price List setup: BB-2100 at $6.00 each, and BB-2100 at $66.00 a Dozen. Sales

a e
Order request: BB-2100 1 dozen. Result: $66.00 unit price.
n
t e r U s
If you sell products in multiple units of measure because of the convenience of packaging and
not because of a price break you will want to use the Primary UOM feature. This will enable

up in Inventory.
I n
you to enter one price list line that can be used to sell in any UOM conversion that has been set

l e
If you have the Primary UOM checked and you enter an item/unit of measure combination on a

c
sales order that is not on a price list the pricing engine converts the unit of measure on the

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order to the item’s primary UOM and then uses the UOM conversions to calculate the unit
price.

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Chapter 2 - Page 66
Example: Price List setup: BB-2200, $6.00 each, Primary UOM is selected. Sales Order
request: BB-2200 1 dozen. Result: 12*6.00 = $72.00 unit price.
Invoicing shows information based on the ordered quantity and ordered UOM.

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Chapter 2 - Page 67
Multiple Organizations and Pricing Actions

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Chapter 2 - Page 68
Using Qualifiers with Multiple Organizations

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Using Qualifiers with Multiple Organizations

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When a call is made to the pricing engine, only those price lists and modifiers for the specified
operating unit are eligible.
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Chapter 2 - Page 69
Pricing Security, MOAC, and Operating Units

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Pricing Security, MOAC, and Operating Units

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When MOAC is enabled, you can enable pricing security to provide centralized control of

r a
pricing entities for use by operating unit or across all operating units for pricing orders. Pricing
security is still used to assign access roles at Global, Organization, Responsibility, or User
O ly
levels with roles of View Only or Maintain. However, when MOAC is enabled, it impacts

l & On
pricing security action. For example, when you create a price list or modifier list, the default
pricing security privileges are created for the operating unit that is set in the MO: Default

a e
Operating Unit regardless if the price list or modifier list is created as Global or for a different

n
r
operating unit. This occurs when:

e s
• Profile option MO: Default Operating Unit is enabled (MO: Security Profile is set)
t U
I n
• Pricing security is ON (profile option QP: Security Control is ON)
• One of the pricing profile options, QP: Security Default ViewOnly Privilege or QP:

l e
Security Default Maintain Privilege, is set to Operating Unit

c
Note: See the Oracle Applications Multiple Organizations Implementation Guide for

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information about setting the profiles MO: Security Profile and MO: Default Operating Unit.

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Chapter 2 - Page 70
QP: Item Validation Organization

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Chapter 2 - Page 71
Cross Order Volume Loader

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Cross Order Volume Loader

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When running the cross order volume loader you may specify that the load run for one

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operating unit. If specified as null, it summarizes for all operating units for which there are
orders (assuming there is a multi-organization install). If loading for multiple operating units,
O ly
each summary is within an operating unit.
Cross Order Volume Based Modifiers

l & On
Pricing engine supports cross order based volume modifiers. These modifiers are set up with

n a e
pricing or qualifier attributes that are operating unit-specific. These are seeded attribute

t e r U s
mapping rules under the Order Fulfillment PTE. Examples for pricing attributes are Period1
Item Quantity and Period1 Item Amount.

I n
The Cross Order Volume Loader concurrent program reviews the Order Management tables
for the order information and sums up cross order volume total for a given operating unit and

l e
populates the OM table OE_ITEM_CUST_VOLS_ALL. This concurrent program needs to be

c
run from time to time.

r a
Also, the seeded attribute mapping rules get the cross order volume total for specific attributes
from the OM cross order volume tables. The pricing engine qualifies the request lines for
O modifiers based on cross order volume attribute value the build_contexts API returns.

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Chapter 2 - Page 72
Note: Only Booked orders are selected by the concurrent program.
If the calling application is using a new request_type_code or a different global structure, then
they need to do the following to make the pricing engine work for cross order volume based
discounts:
1. Write a concurrent program to populate the cross order volume total into the above tables
or new tables for each cross order volume attribute used in the modifier setup.
2. Write attribute mapping rules to extract the cross order volume total for each cross order
volume attribute used in modifier setup.

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Chapter 2 - Page 73
Testing Your Pricing Solutions

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Testing Your Pricing Solutions

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1. Develop a documented script for each scenario that describes the setup and expected

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result, and then gives a step by step outline. Begin with simple scenarios, and then work
your way up to more complex ones.
O ly
2. Verify your expected numerical results. For additional information on debugging and

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troubleshooting, see the Technical Troubleshooting section of the Oracle Advanced
Pricing Implementation Manual.

n a e
3. Once your setups work in your test environment, you can begin replicating these setups

t e r U s
into your production environment. Verify that the price list and modifier check boxes are
set to inactive. Select beginning effective dates with caution to avoid premature pricing

n
engine use of new setups for pricing production transactions.

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Chapter 2 - Page 74
Selected Oracle Advanced Pricing Lookups

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Selected Oracle Advanced Pricing Lookups

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Pricing lookup codes supply many of the lists of values in Oracle Pricing.

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Use the Application Utilities Lookups and Application Object Library Lookups process to add
pricing lookups and values.
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Chapter 2 - Page 75
Agreement Type

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Agreement Type

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Enables the user to optionally categorize agreements by defining unique agreement types.
Access Level: Extensible
r a
O ly
For example, the user could setup an agreement type per contract type, or use the
categorization for reporting purposes.

l & On
An agreement type is optional on a pricing agreement.

a e
The user can choose to use the seeded agreement types or add new types.

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Chapter 2 - Page 76
Arithmetic Operator

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Arithmetic Operator

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The method by which a price or modifier is calculated. Used in the price list and modifier setup
windows.
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Access Level: System
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Chapter 2 - Page 77
Arithmetic Operator

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Arithmetic Operator (continued)

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The method by which a price or modifier is calculated. Used in the price list and modifier setup
windows.
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Access Level: System
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Chapter 2 - Page 78
Comparison Operator

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Comparison Operator
Access Level: System
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Used when setting up qualifiers and pricing attributes to define the rule as to how the search

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engine should evaluate the attribute on the request line.

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Chapter 2 - Page 79
Currency Precision Type

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Currency Precision Type
Access Level: System
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Valid values for the profile option QP: Unit Price Precision Type. Indicates whether the

O ly
currencies standard or extended precision should be used.
If the profile option QP: Price Rounding is set to Enforce Currency Precision, then the user

l & On
cannot update the Rounding Factor field on the price list. Instead, the Rounding Factor value
defaults from the profile QP: Unit Price Precision Type (which can be set to either Standard or

n a e
Extended precision) for the price list currency. Currency precision determines the decimal

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places that display for the list price.

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Chapter 2 - Page 80
Effective Date Types

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Effective Date Types
Access Level: System
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Effective date ranges of these types can optionally be defined on some types of modifier lists.

O ly
The search engine will use these dates, if passed by the calling application, in addition to the
pricing effective date to determine which modifier lists are eligible.

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Chapter 2 - Page 81
Incompatibility Groups

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Incompatibility Groups
Access Level: Extensible
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Use incompatibility groups to define which modifiers cannot be applied to a request line with

O ly
other modifiers (incompatibility), and which modifiers cannot be applied to a request line with
any other modifier (exclusivity).

l & On
All modifiers in a phase that are incompatible should be assigned to the same Incompatibility
Groups, LVL1 to LVL3, and any modifier in a phase that is exclusive should be placed in the
EXCL - Exclusive Group.
n a e
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You can define additional incompatibility groups, but only the seeded EXCL -Exclusive group
is treated as incompatible with ALL.

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Chapter 2 - Page 82
Incompatibility Resolution Code

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Incompatibility Resolution Code
Access Level: System
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Methods of deciding which Modifier should be selected when multiple modifiers in the same

O ly
incompatibility group are eligible to be applied to a request line in the same pricing phase. The
method for resolving incompatibility is specified by the pricing phase when maintaining

& On
pricing phases in the Event to Phase Mapping setup.

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Chapter 2 - Page 83
List Line Type Code

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Chapter 2 - Page 84
List Line Type Code

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Chapter 2 - Page 85
List Line Type Code

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Chapter 2 - Page 86
List Type Code

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List Type Code
Access Level: System
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Used to categorize the type of list which groups price list lines or modifiers. Used for

O ly
validation, including which types of lines can be included on the list, and reporting purposes.
Table Key

l & On
The following acronyms are used in the table:

a e
• F&SC = Freight and Special charge List

n
• Promo. = Promotion

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Chapter 2 - Page 87
List Type Code

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Chapter 2 - Page 88
Modifier Level Code

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Modifier Level Code
Access Level: System
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Determines what qualifiers and pricing attributes are considered by the search engine when

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deciding if a request line qualifies for a modifier. This code also determines at what level (for
example, an individual line or summary) a modifier should be applied to the request.

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Chapter 2 - Page 89
Price Break Type Code

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Price Break Type Code
Access Level: System
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Rules that determine which delimited break unit range the qualifying break unit quantity falls
into.
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Price Formula Line Type Code

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Price Formula Line Type Code
Access Level: System
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Defines the behavior of a formula line.
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Price Formula Line Type Code

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Pricing Events

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Pricing Events

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Note: Selected pricing events shown in table.
Access Level: System
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Defines a point in the process flow of the transaction system (calling application) when the
pricing engine is called (analogous to a Workflow Event).

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The seeded lookup codes listed in the table for pricing events are for Oracle Order

n a e
Management integration with pricing; each event represents a stage in the order cycle at which
pricing is performed. The information returned by pricing such as base prices, price

for this event.


t e r U s
adjustments, promotions, freight charges, etc. depends on the pricing phases that are processed

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Pricing Group Sequence

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Pricing Group Sequence
Access Level: Extensible
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You can use pricing buckets (group sequences) to control the application order of price

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adjustments and retrospective discounts (such as accruals). The sequence of how these
modifiers are applied becomes important when the adjustment or accrual value is derived from

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the selling price (the price resulting from applying prior price adjustments) rather than the list
price. This is known as discounts-on-discounts or cascading discounts. The pricing adjustment

a e
bucket that you assign the modifier (such as Pricing Adjustments Bucket 1 or Pricing
n
t e r U s
Adjustments Bucket 2) determines the order the calculation engine will apply the modifiers.
You can assign all price adjustments and retrospective discounts to a pricing bucket; all

I n
modifiers in a bucket are additive, that is, the adjustment amount for all modifiers in a bucket is
calculated off the final selling price, or subtotal of the previous bucket. You can add additional

c l e
pricing buckets if you require further subtotals or cascading of modifiers. A pricing bucket
number of 0 is reserved for base price calculation.

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Related Modifier Group Type

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Related Modifier Group Type
Access Level: System
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Used by Oracle Pricing internally to identify relationships between, and functional groupings,
of modifiers.
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Request Type

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Request Type
Access Level: Extensible
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A Request Type indicates to the pricing engine the type of transaction being priced. This is

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important to pricing, as the engine will use this information to only consider data created
specifically to price this particular type of transaction.

& On
The following seeded lookup codes are for Oracle Order Management integration with pricing:
l
n a e
• Complex Maintenance Repair and Overhaul: Complex CMRO
• Order Capture: Order Capture

e r s
• Transportation Execution: Oracle Transportation Shipment

t U
n
• Inventory: Inter Company Invoicing

I
• Demand Planning: Demand Planning

e
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• Contracts Core: Oracle Contracts
• Service Contracts: Oracle Contracts for Service

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• Order Management: Order Management Order

O • Purchasing: Purchase Order

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Any application that wants to use Oracle Advanced Pricing should create a request type lookup
code to identify their transaction.

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Source System

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Source System
Access Level: Extensible
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The Source System identifies the origin of the pricing data. The pricing engine uses this

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information to restrict its search to pricing information that originated from a particular
application depending on the Request Type to Source System setup.

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Any application that wants to set up pricing information should create a source system lookup
code to identify their pricing data.

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Profile Options

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Profile Options
To view profile options:
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(N) System Administrator responsibility > Profile > System

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In the Profile field, enter QP% and click Find to display all the site level profile options for
pricing in the System Profile Value window.

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Order Management Profile Options for Oracle Advanced Pricing

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Order Management Profile Options for Oracle Advanced Pricing
During implementation, you set values for profile options at various levels to specify how

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Oracle Advanced Pricing controls access to and processes data. The system administrator sets
and updates profile values.
O ly
A Required profile option requires you to provide a value. An optional profile option already

& On
provides a default value, so you must change it only if you do not want to accept the default.

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Oracle Advanced Pricing Profile Options

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Oracle Advanced Pricing Profile Options

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During implementation, you set values for profile options at various levels to specify how

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Oracle Advanced Pricing controls access to and processes data. The system administrator sets
and updates profile values.
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Note: For the current listing of profile options, see also the Oracle Advanced Pricing
Implementation Manual.

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Oracle Advanced Pricing Profile Options

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Oracle Advanced Pricing Profile Options

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Oracle Advanced Pricing Profile Options

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Oracle Advanced Pricing Profile Options

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Chapter 2 - Page 105
Practice - Setting Up Required Data for Pricing Practices
Overview
The following prerequisites must be set up to ensure the pricing practices are functional:

• Create a standard customer.

• Create inventory items.

• Process miscellaneous receipt transactions.

Assumptions
• You can navigate standard Oracle Applications.

• You have basic knowledge of Oracle Advanced Pricing.

• You have access to the Oracle Pricing Manager Responsibility.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

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Tasks
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Create a Standard Customer
ca
Set up a Customer with the required defaults to process Sales Orders.

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− User: mfg
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Login using the following username and password.

− Password: welcome
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1. (N) Customers > Standard. O ly
2.
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Find/Enter Create Organization window:

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− Organization Name: XX-Big City Electronics (where XX is your initials)
n
3. (T) Account

t e r U s
− Classification: High Technology

I n
− Account Type: External
− Sales Channel: Commercial

4.
c l e
(T) Sites

r a − [B] Create Site

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Purpose Location Bill To Primary
Bill To Accounts Payable Blank Selected
Ship To Receiving Dock A Blank Selected

5. (T) Account Profile


− Profile Class: DEFAULT

6. (T) Order Management


− Price List: Corporate
− Free On Board Point: Customer Site
− Freight Terms: Prepaid
− Warehouse: Seattle Manufacturing

7. (T) Addresses
− [B] New
− Country: United States
− Address: 222 W Las Colinas Blvd (suggestion: Add a 2nd address line as an
identifier to use in future practices -- Your Initials)
− Postal Code: 94401 (select San Mateo from the list that appears when you enter the
postal code. The city, county and state should default)

8. [B] Open, (T) Details (repeat steps 7 and 8 for the Bill to and the Ship to)
− Payment Terms: 30 Net m y
− Salesperson: Abbott, Rachel
d e
9. (I) Save your work and close the window.
ca
10. Note the Site Number ______________
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Creating Items
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Orders are placed against items. Items must be created and enabled in the warehouses that ship

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the products. There are many considerations when creating an item, but for simplicity, the

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following practice uses the minimum requirements for a sales order.

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a e
11. (N) Inventory > Items > Master Items (Note: If organization window appears, select M1-
Seattle Manufacturing).

r n s
− Item: XX-Palm Pilot (where XX are your initials).

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− Description: Palm Pilot

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− Unit of Measure (primary): Each (Defaults in)

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12. (M) Tools > Copy From

c
a
13. Template: Finished Good

r
O14. [B] Apply

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Chapter 2 - Page 107
15. [B] Done

16. (I) Save your work

17. (I) Organization Assignment (this is the third Icon down on the top left)

18. Click the Assigned check box for M1-Seattle.

19. (I) Save your work

20. (I) Attribute Groups (this is the second icon down on the top left)

21. (M) File > New

22. Repeat steps 2 to 13 above to create the following items:


− XX-Phone
− XX-Palm Case
− XX-Pager
− XX-Standard Phone
− XX-WAP Phone
− XX-Phone Card
− XX-Phone Holder
− XX-Car

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Processing Miscellaneous Receipt Transactions

d e
a
To stock inventory at the Seattle warehouse in preparation for booking and pricing sales orders.

c
23. Navigate to the Miscellaneous Transaction window.

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l
(N) Inventory > Transactions > Miscellaneous Transaction

c
r a
Note: If the organization window appears, select M1-Seattle Manufacturing. Ensure that you
are in M1 (Seattle) organization when you enter the Miscellaneous Receipt. If you still see

O ly
organization V1, (N) Change Organization and select M1-Seattle Manufacturing from the
list of values and click OK.

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24. Enter the following values:

n a e
− Date: Defaults to current date

t e r U s
− Type: Miscellaneous receipt
− Account: 01-580-7740-0000-000 or select Miscellaneous from the Account Aliases
(LOV).
I n
25. [B] OK

c l e
a
26. [B] Transaction Lines
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Item Subinventory UOM Quantity
XX-Palm Pilot FGI Ea 10000
XX-Pager FGI Ea 10000
XX-Phone FGI Ea 10000
XX-Palm Case FGI Ea 5000
XX-Standard Phone FGI Ea 10000
XX-WAP Phone FGI Ea 10000
XX-Phone Holder FGI Ea 5000
XX-Phone Card FGI Ea 10000
XX-Car FGI Ea 1000

27. (I) Save your work and close the window.

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Chapter 2 - Page 109
Summary

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Chapter 2 - Page 110
Price Lists

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Chapter 3

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Price Lists

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Objectives

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Objectives

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Overview of Price Lists

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Overview of Price Lists

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Price lists are essential to ordering products because each item entered on an order must have a

r a
price. Price lists, like modifiers, consist of a header region that defines general information
such as effective dates and currency, and price list lines that define item and/or item category
O ly
prices. For price list lines, you can define price breaks, pricing attributes, and qualifiers.

l & On
Pricing sends customer list price, agreement price, and modifier information to orders being
entered manually in Order Management and to orders being entered in other Oracle
a e
applications which can then be either imported or can use an API via Order Capture into Order
n
r s
Management. Orders can proceed through the Order to Cash flow by being shipped, run

e
through the AutoInvoice program to Receivables and finally the accounting information can be
t U
transferred to the General Ledger.

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Chapter 3 - Page 6
Overview of Price Lists

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Overview of Price Lists (continued)

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The pricing engine receives a pricing request that it processes and supplies the base (initial)

r a
price from the price list or customer agreement. The pricing engine then applies any modifiers,
calculates the selling price, and returns the result to the calling application.
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Price List Information

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Price List Information

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• Basic price list information: Basic information includes the price list name, effective

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dates, currency, pricing controls, rounding factor, and shipping defaults such as freight
terms and freight carrier.
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• Pricing lines: Enter a line for each item and unit of measure combination you sell.

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• Price breaks: If the price of an item varies with the quantity ordered, you can define
bracket pricing or price breaks.

n a e
• Pricing attributes: Pricing attributes control what is being priced or modified on a price list
or modifier list.

t e r U s
• Qualifiers: A qualifier condition defines an eligibility rule, for example, the customer

I n
name must be Vision Operations. You can set up one or more conditions for a single
qualifier.

l e
• Secondary price lists: The pricing engine uses secondary price lists when it cannot
c
determine the price for an item using the price list assigned to an order. Primary and

r a secondary price lists have the same currency.

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Chapter 3 - Page 8
Price List Information

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Price List Information (continued)

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• Effective dates: Price lists can have starting and ending dates. This allows you to prepare

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price lists ahead of when they are valid and to ensure they will not be used until their start
dates.
O ly
• Inactive price lists: You can temporarily or permanently inactivate a price list using the

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Active check box. Once a price list is inactivated, you can still do the following:
- Query the inactive price list: To retrieve only inactive price lists, deselect the Active

n a e
check box; to retrieve only price lists that are active, select the Active check box, then
run the query.
- Update it.
t e r U s
I n
- Base a formula on an inactive price list. The pricing engine does select inactive price
lists when doing a pricing request. Other applications can call an inactive price list

c l e
and use relevant information.
• Currency: Select a base currency for the price list. If you have international sales, you can

r a use the multicurrency feature so you can have a single price list for multiple currencies.

O
When you use the multicurrency conversion feature, it is not necessary to create a price
list for each currency. As long as there is a multicurrency conversion list set up for the

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Price Lists
Chapter 3 - Page 9
price list, the currency on the order does not have to match the currency defined in the
price list.
• Rounding Factor: You can define the number of places to the right or left of the decimal
point to which the pricing engine rounds prices from price lists and modifiers from
modifier lists:
- A negative rounding number such as -3 rounds the number of characters to the right
of the decimal point. For example, a rounding factor of -3 indicates rounding to the
nearest thousands so 1.1445 rounds to 1.145.
- A positive rounding number such as +2 rounds the number of characters to the left of
the decimal point. A rounding factor of 2 indicates rounding to the nearest hundreds
so 107 rounds to 100.
- If you enter zero, you affect nothing
Note: You can limit the rounding factor value by the number of positions you specify in the
extended precision format of the price list’s currency. For more information, see Oracle
Advanced Pricing Implementation Manual, Profile Options, QP: Unit Price Precision Type.

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Chapter 3 - Page 10
Multicurrency Conversion Lists

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Multicurrency Conversion Lists

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If you have global customers or do pricing in different currencies, the multicurrency feature

r a
enables you to maintain a single price list for multiple currencies. You can set up and maintain
multiple currency conversion rates for a base currency in a single list that can be attached to
O ly
multiple price lists or agreements. Price list maintenance is reduced because only one currency

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conversion definition can be attached to multiple base currency price lists. If prices change,
you only need to update the base price list. Multiple conversion methods can be in effect at a

a e
time for a currency. For example, if converting USD (US dollars) to FRF (French francs), you

n
t e r
could have a fixed conversion type for March and a formula conversion type for April.

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Chapter 3 - Page 11
Practice - Creating a Multicurrency Conversion List
Overview
In this practice you will set up a multicurrency conversion list.

Assumptions
• Oracle Pricing Manager Responsibility, Vision Operations

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Creating a Multicurrency Conversion List

Responsibility = Oracle Pricing Manager, Vision Operations

1. Navigate to the Multi-Currency Conversion window.

m y
2. Enter the following data:
− Base Currency Code = USD
d e
− Name = XX-Conversion
− Description = Conversion for XX-Price List 1
c a
− Base Round To = -2

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3.
c l
In the Conversion Criteria Detail window, enter the following data:

r a
To Currency Code
O ly
Start Date Conversion Type Conversion Date Type
CAD
EUR
l & On
Today's Date
Today's Date
Corporate
Corporate
Pricing_Effectivity_Date
Pricing_Effectivity_Date

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Chapter 3 - Page 12
Solution - Creating a Multicurrency Conversion List
Creating a Multicurrency Conversion List

Responsibility = Oracle Pricing Manager, Vision Operations

1. Navigate to the Multi-Currency Conversion List window.

• (N) Pricing > Price Lists > Multi-Currency Conversion Setup

2. Enter the following data:


− Base Currency Code = USD
− Name = XX-Conversion
− Description = Conversion for XX-Price List 1.
− Base Round To = -2 (defaults)

Creating Conversion Details

3. In the Conversion Criteria Detail region, enter the following data:

To Currency Code Start Date Conversion Type Conversion Date Type

m y
e
CAD Today's Date Corporate Pricing_Effectivity_Date
EUR Today's Date Corporate
d
Pricing_Effectivity_Date

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4. Save your work.

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Creating Price Lists

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Creating Price Lists

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Price lists contain item and item category prices. You can define and maintain multiple price
lists.
r a
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You can define the following types of prices on price lists:
• Unit price: A fixed price.

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• Percent Price: A price which is a percent of the price of another item.

n a e
• Formula: Multiple pricing entities and constant values related by arithmetic operators. For
example, you define the price of an item to be a percentage price of another price list line.

e r s
• Price Break: If the price of an item varies with the quantity ordered, you can define
t U
bracket pricing or price breaks.

I n
• There are two types of price breaks:

l e
• Point: The pricing engine retrieves the absolute price that brackets the attribute.

c
• Range: The pricing engine computes the price based on the range of price breaks defined,

r a starting from the lowest value of the price related to the attribute.

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Chapter 3 - Page 15
You must enter both Value From and Value To. To create no upper limit, enter all 9’s in Value
To such as 99999. You cannot overlap ranges between the price ranges of price break; for
example, if one price range is from 1 to 11, you cannot have another price range that is 5 to 20.
If you define a price break for an item category, all the items within the category are eligible
for the price break.

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Chapter 3 - Page 16
Creating Price Lists

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Creating Price Lists (continued)

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From the HTML Home Page, you can use Shortcut links for creating price lists, modifier lists,

r a
and maintaining price lists. The work queue provides a rollup of the most recently created price
lists and modifier lists, allowing you to quickly view or update list details.
O ly
Note: Price lists can also be set up in the Forms-based UI. Price lists set up in either HTML or

& On
Forms can be viewed across both UI formats.

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Creating Price Lists

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Creating Price Lists (continued)

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In the HTML UIs, you follow a guided process flow to create and update standard price lists

r a
and price list lines. A price list in the HTML UI consists of a general information region, list
lines, and list qualifiers. Lines will be specific to either a price list line or a price break line,
O ly
and additional details such as pricing attributes display on the same page as the line details.

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Each guided step displays a new HTML page where you enter price list information. At the
first step, you can enter the general information for the list such as the name, currency, and
a e
description. Price list lines can be added after you have completed the initial price list setup (as
n
outlined above).

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Chapter 3 - Page 18
Create List: General Information

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Create List: General Information
Fields include:
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• Mobile Download check box: If you are using an Oracle Mobile application and want to

O ly
download specific price lists onto a mobile device such as a laptop computer. The default
value is No. You can select or clear the Mobile Download box either when creating or
updating a price list.

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• Round To: The Round To field controls the rounding factor. Entering a positive number

n a e
affects positions to the left of the decimal. Entering a negative number affects positions to

t e r U s
the right of the decimal. For example, entering –2 would round to the nearest second
position past the decimal point. The pricing engine rounds the base price and all discount

I n
amounts before using them in calculations. The value returned depends on the value that
was set for the profile option QP: Unit Price Precision Type:

l e
- Standard: The rounding factor defaults to the currency's precision value. You can

coverride the rounding factor to any value greater than or equal to the currency's

r a precision value.

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Price Lists
Chapter 3 - Page 19
- Extended: The rounding factor defaults to the currency's extended precision value.
You can override the rounding factor to any value greater than or equal to the
currency's extended precision value.
Price Lists and Sales Order Defaults
You can select Payment Terms, Freight Terms and Freight Carrier when setting up General
Information for the price list. By defining the Order Management Defaulting Rules to use these
fields from the price list page, you can default values directly into the Sales Order based upon
which price list has been selected for the order.

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Price Lists
Chapter 3 - Page 20
Secondary Price List

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Secondary Price List

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A secondary price list enables the pricing engine to look at more that one price list to determine

r a
the value of the sales order line. The pricing engine reads from the secondary price list if the
requesting item and unit of measure is not on the primary price list. (You must have defined
O ly
the secondary price list previously.) Any price list can be used as a secondary price list.

l & On
The pricing engine evaluates the precedence of the secondary price list along with the product
precedence on the list lines to determine the most eligible price list line.

n a e
Note: If you are using a sales agreement with a standard price list (and secondary price list)

t
for the sales agreement.
e r U s
attached, the secondary price list is evaluated if the item is not found on the primary price list

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Price Lists
Chapter 3 - Page 21
Secondary Price List Region: Precedence

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Secondary Price List Region: Precedence

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If the item that you are ordering is not in the primary price list, the pricing engine uses the

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highest-precedence secondary price list (the secondary price list with the lowest value for the
precedence field).
O ly
If an item appears on both the primary and a secondary price list with the same effective dates,

l & On
the pricing engine uses the primary price list to price the item. If an item appears on the
primary price list but is not active (the effective end date has passed), the pricing engine uses
a e
the price on the secondary price list.
n
t e r U s
If you enter more than one secondary price list, all precedences fill with 140 and you must
establish an order of precedence for the secondary price lists.

I n
The pricing engine evaluates the precedence of the secondary price list along with the product
precedence on the list lines to determine the most eligible price list line.

l
For example:

c e
• Secondary Price List A: Precedence 100; Item X: Precedence 140; List price 15

r a
• Secondary Price List B: Precedence 130; Item X: Precedence 120; List price 20

O
Copyright © Oracle, 2007. All rights reserved.

Price Lists
Chapter 3 - Page 22
The engine would first look at the precedence at the price list level before evaluating the
precedence on the price list line.
The pricing engine selects the price of 15 because secondary price list A has a higher
precedence than secondary price list B. The lower the number, the higher the precedence.

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Price Lists
Chapter 3 - Page 23
QP: Qualify Secondary Price Lists

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QP: Qualify Secondary Price Lists

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This profile option enables the pricing engine to use the qualifier rules defined for the

r a
secondary price list. For example, suppose you have distributors who can buy only certain
product families. If you do not use qualifiers on secondary price lists, then you must create a
O ly
price list for each possible combination of product families and distributors. If you use the QP:

l & On
Qualify Secondary Price Lists profile option, then you can have a single parent price list with
multiple secondary price lists, each for a product family with a qualifier that identifies the
distributor by name or type.

n a e
t e r U s
Note: The System Administrator sets this profile option.

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Price Lists
Chapter 3 - Page 24
Create List: List Qualifier

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Create List: List Qualifier

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In the second step, you can assign the list qualifiers by attaching an existing qualifier group, or
creating new qualifiers.
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Price Lists
Chapter 3 - Page 25
Create List: List Qualifier

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Create List: List Qualifier (continued)

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• Qualifier contexts: Consist of flattened hierarchies where similar qualifying attributes can

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be grouped into logical categories. The specificity is indicated by precedence.

O ly
• Qualifiers: Are specific attributes that assist Oracle Advanced Pricing with limiting the
who for benefit or price eligibility.

& On
• Qualifier value: A value you can associate with a qualifier attribute.
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Price Lists
Chapter 3 - Page 26
Create List: Review

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Create List: Review

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The last step enables you to review the price list details before saving and creating the price list

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lines. The creation flow enables you to identify your place in the price list creation flow.

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Price Lists
Chapter 3 - Page 27
Create List: Review

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Create List: Review (continued)

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On the Review Page, you can review all the information for the price list before saving. You

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can hide or show the Secondary Price Lists and Qualifiers region. After saving the list, you will
then be prompted to enter lines for the list.
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Price Lists
Chapter 3 - Page 28
Practice - Creating a Price List
Overview
Adding items to a price list is a prerequisite for pricing items in a sales order. In this practice,
you will create a new price list in the HTML UI, and then create the price list lines.

Assumptions
• Oracle Pricing User, Vision Operations responsibility

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Creating General Information for the Price List

Responsibility = Oracle Pricing User, Vision Operations

1. Navigate to the Create Price List: General Information page.


m y
2. Enter the following price list header information:
d e
− Name = XX-Price List 1 (XX is a unique identifier)
− Description = Base price list
ca
− Pricing Transaction Entity = Order Fulfillment (defaults)

e
− Source System = Advanced Pricing (defaults) A
− Currency = USD
c l
− Round To = -2 (defaults)
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− Multi-Currency Conversion = XX-Conversion

O ly
− Freight Carrier/Freight Terms = Leave blank
− Payment Terms = 30 Net

l & On
− Start Date = Use today’s date
− End Date = Leave blank

n a e
3.
e r s
Add a secondary price list using the following information:

t
− Price List Name = Corporate
U
4. I n
Click Next to display the Qualifiers: Create Qualifiers page. Create a qualifier using the

l e
following information:

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Price Lists
Chapter 3 - Page 29
Attribute (LOV) Precedence Operator Value From
Customer Name 100 = XX-Big City Electronics

5. Click Next to review the information.

6. Click Finish.

7. A Confirmation page displays and asks if you want to add price list lines. If the instructor
advises to add price list lines, click Yes to add price list lines to this price list.

Otherwise, click No and add the price list lines when the instructor advises.

Creating Price List Lines

Adding items to a price list is a prerequisite for pricing items in a sales order. In this practice you
will add price list lines to the price list you created in the previous steps. The price list will
contain all the items you will use in future practices.

8. Click Price List Lines to display the Update Price List: Price List Lines page.

9. To add the following items to the price list, click Create Line, add the item, then click
Apply. Repeat for each item:

m y
de
Product Product Product Value UOM Primary Value
Context Attribute (LOV) UOM
(LOV) (LOV)

c a
Item
Item
Item Number
Item Number
XX-Palm Pilot
XX-Pager
e
Ea.
Ea. A
Deselected
Deselected
$700
$700
Item Item Number
c l
XX-Phone Ea. Deselected $700
Item Item Number
r a
XX-Palm Case Ea. Deselected $100
Item Item Number
O ly
AS54888 Ea. Deselected $1599
Item
Item
Item Number
Item Number
l & On
XX-Standard Phone
XX-WAP Phone
Ea.
Ea.
Deselected
Deselected
$500
$600
Item
n
Item Number
a e XX-Phone Card Ea. Deselected $100
Item

t e r
Item Number

U s XX-Phone Holder Ea. Deselected $100


Item
Item
I n
Item Number
Item Number
XX-Car
AS92888
Ea.
Ea.
Deselected
Deselected
$2300
$2300

c l e
To Activate the Price List

r a Note: Price lists are created as inactive in HTML. To activate the price list, navigate to the

O Update Price List: General Information page, and select the Active box.

Copyright © Oracle, 2007. All rights reserved.

Price Lists
Chapter 3 - Page 30
Solution - Creating a Price List
Creating General Information for the Price List

Responsibility = Oracle Pricing User, Vision Operations

1. Navigate to the Create Price List: General Information page.

• (N) Oracle Pricing User > Home > Create Price List

2. Enter the following price list header information:


− Name = XX-Price List 1 (XX is a unique identifier)
− Description = Base price list.
− Currency = USD
− Multi-Currency Conversion = XX-Conversion
− Payment Term = 30 Net
− Start Date = Use today’s date
− Round To = -2 (defaults)

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Price Lists
Chapter 3 - Page 31
Selecting a Secondary Price List

3. Secondary Price Lists region:


− Secondary Price List = Corporate

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4. (B) Next
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Adding a Qualifier
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5. (B) Create Qualifier
l & On
6.
n a e
Add a qualifier using the following information:

Attribute (LOV)
t e r
Context
U sOperator Value From Precedence
Customer Name
I n Customer Is XX-Big City Electronics 100

7.
l
(B) Apply
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Price Lists
Chapter 3 - Page 32
8. (B) Next. Review your entries.

9. (B) Finish
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10. To add price list lines to this price list, click Yes. Otherwise, click No and add the price list
lines when the instructor advises.

n a e
Creating Price List Lines

t e r
11. (B) Create Price List Line
U s
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Price Lists
Chapter 3 - Page 33
12. Enter the first price list line using the following data:
m y
Product region
d e
− Start Date = Current date
− Product = Item Number
ca
− Item Number = XX-Palm Pilot
− Product Description = Defaults
e A
− UOM = EA (Each)
c l
− Primary UOM = Deselected
− Precedence = Defaults
r a
Price Detail region O ly
& On
− Line Type = Price List Line (Value defaults)
l
− Price = 700

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Price Lists
Chapter 3 - Page 34
13. (B) Apply

m y
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a
14. (B) Create Price List Line. Add the following items, one item at a time, to the price list.
Click Apply after you add each item:

A c
Product
Context
Product
Attribute
c l e
Product Value
(LOV)
UOM Primary
UOM
Value

(LOV) (LOV)
r a
O ly
Item Item Number XX-Pager Ea Deselected $700
Item Item Number XX-Phone Ea Deselected $700
Item Item Number
l & On
XX-Palm Case Ea Deselected $100
Item Item Number
n a e AS54888 Ea Deselected $1599
Item
Item
t e r
Item Number
Item Number
U s XX-Standard Phone
XX-WAP Phone
Ea
Ea
Deselected
Deselected
$500
$600
Item
I n
Item Number XX-Phone Card Ea Deselected $100
Item

c l e Item Number XX-Phone Holder Ea Deselected $100

a
Item Item Number XX-Car Ea Deselected $2300

O r Item Item Number AS92888 Ea Deselected $2300

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Price Lists
Chapter 3 - Page 35
15. The following image displays the items added to the price list.

16. (B) Apply

17. Save your work.

To Activate the Price List


m y
d e
Price lists are created as inactive in HTML. To activate the price list, navigate to the Update
Price List: General Information page, and select the Active check box.
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Price Lists
Chapter 3 - Page 36
Practice - Applying a Multicurrency Conversion Price List to a
Sales Order
Overview
In this practice you will set apply a price list (that is associated with a multi-currency conversion
list) to a sales order in a foreign currency to view the currency conversion.

Assumptions
• Order Management Super User, Vision Operations

• Prior practices are completed. Practices build on earlier exercises.


− Ensure that the multi-currency conversion list (XX-Conversion) created in your
earlier practice is attached to price list XX-Price List 1 used in this practice.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Creating a Sales Order in Foreign Currency to View Conversion
m y
Responsibility = Order Management Super User, Vision Operations
d e
1. Navigate to the Sales Orders window.
ca
2. Enter a Sales Order for XX-Big City Electronics with the following parameters:

e A
− Customer = XX-Big City Electronics
− Order Type = Standard
c l
− Price List = XX-Price List 1
− Currency = EUR (Euro) r a
O ly
l & On
Note: The Currency-Conversion List associated with the price list (XX-Price List 1) enables
the list price of the item (listed in USD) to be converted to Euros on the sales order.

3.
n a e
At the sales order line level, enter item AS55888 (alternatively, if AS55888 is not listed on

t e r U s
the price list, enter the item AS54888) with a quantity of 1.

4. Save the sales order.


I n
5.
l e
Confirm that the list price of the item was converted successfully from US dollars to Euros.

c
6.

r a Book the sales order.

O
Copyright © Oracle, 2007. All rights reserved.

Price Lists
Chapter 3 - Page 37
Solution - Applying a Multicurrency Conversion Price List to a
Sales Order
Creating a Sales Order in Foreign Currency to View Conversion

Responsibility = Order Management Super User, Vision Operations

1. Navigate to the Sales Orders window.

• (N) Orders, Returns > Sales Orders

2. (T) Main tab


− Customer = Business World
− Order Type = Standard
− Price List = XX-Price List 1
− Currency = EUR (Euro)

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3.
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(T) Line Items, (T) Main

c
− Ordered Item = AS55888

r a − Qty = 1

O4. (T) Line Items, (T) Pricing

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Price Lists
Chapter 3 - Page 38
− Price List = XX-Price List 1

Review the prices to ensure that the list price of the item was converted successfully from
US dollars to Euros.

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5. Book the sales order.
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Price Lists
Chapter 3 - Page 39
Practice - Entering a Sales Order Using Multiple Price Lists
Overview
In this practice, you will learn how to enter a sales order using multiple price lists.

Assumptions
• Order Management Super User, Vision Operations responsibility

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Entering a Sales Order Using Multiple Price Lists

1. Navigate to the Sales Orders window.

2. Enter the sales order header using the following information (all remaining information
defaults in):
m y
− Customer = XX-Big City Electronics
− Price List = XX-Price List 1
d e
3. Complete the following entries in the Line Items tab:
c a
e A
Line Ordered Item

c l Qty Price List (Pricing Tab) Price Displayed


1.1
2.1
XX-Palm Pilot
XX-Palm Pilot
r a 1
1
XX-Price List 1 (Defaults)
Change to XX-Price List 2
$700
$770
3.1 XX- Phone O ly 6 Change to XX-Price List 3 $600.00 (Point)
4.1 XX-Palm Pilot
l & On 6 Change to XX-Price List 3 $683.33 (Range)

5.1 AS54999
n a e 1
Corporate (automatically
$1,900

t e r U s
Another student’s Phone
changes to Secondary)

Not on Price List,


6.1
n
Card, such as FT-Phone
Card
I
1 --
system displays error

6.1

c l e Replace with your Phone


Card
1 XX-Price List 2 $110

r a
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Copyright © Oracle, 2007. All rights reserved.

Price Lists
Chapter 3 - Page 40
Solution - Entering a Sales Order Using Multiple Price Lists
Entering a Sales Order Using Multiple Price Lists

Responsibility = Order Management Super User, Vision Operations

1. Navigate to the Sales Orders window.

• (N) Orders, Returns > Sales Orders

2. Enter the sales order header using the following information (all remaining information
defaults in):
− Customer = XX-Big City Electronics
− Price List = XX-Price List 1

m y
d e
c a
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c l
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O ly
l & On
n a e
3. (T) Line Items:
t e r U s
I n
Line
1.1
c l e
Ordered Item
XX-Palm Pilot
Qty
1
Price List (Pricing Tab)
XX-Price List 1 (Defaults)
Price Displayed
$700

O ra
2.1
3.1
XX-Palm Pilot
XX- Phone
1
6
Change to XX-Price List 2
Change to XX-Price List 3
$770
$600.00 (Point)

Copyright © Oracle, 2007. All rights reserved.

Price Lists
Chapter 3 - Page 41
Line Ordered Item Qty Price List (Pricing Tab) Price Displayed
4.1 XX-Palm Pilot 6 Change to XX-Price List 3 $683.33 (Range)
Corporate (automatically
5.1 AS54999 1 $1,900
changes to Secondary)
Another student’s Not on Price List,
6.1 Phone Card, such as 1 -- system displays
FT-Phone Card error
6.1 Replace with your 1 XX-Price List 2 $110
Phone Card

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4.
l & On
Save your work and note the order number: __________.

5.
n a e
Note how the price changes for the same item depending on the price list selected for the
order line.

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Price Lists
Chapter 3 - Page 42
Adding Price List Lines (HTML UI)

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Adding Price List Lines (HTML UI)

c l
Create and update standard price lists and price list lines through the HTML UI’s. A price list

r a
in the HTML UI consists of a general information region, list lines, and list qualifiers. Lines
will be specific to either a price list line or a price break line, and additional details such as
O ly
pricing attributes display on the same page as the line details.

l & On
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Price Lists
Chapter 3 - Page 43
Price List Lines

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Price List Lines

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The Product Attribute gives you the ability to enter one price per item number, one price per

r a
item category, or one price for all items. If you have entered all three prices on a price list the
pricing engine will always select the item number’s price over the item category’s and the item
category’s over all items.
O ly
l & On
The list line UOM is a required element of the validation process. The pricing request is for an
Item/UOM and only price lists that have the same item and unit of measure will be considered.

n a e
• You can have the same item on the same price list if they have different units of measures.

t e r
set up your price lists.
U s
If your selling prices vary depending on the unit of measure this is how you will want to

I n
• Example: Price List setup: BB-2100 at $6.00 each, and BB-2100 at $66.00 a Dozen.
• Sales Order request: BB-2100 1 dozen. Result: $66.00 unit price.

l e
If you sell products in multiple units of measure because of the convenience of packaging and
c
not because of a price break you will want to use the Primary UOM feature. This will enable

r a
you to enter one price list line that can be used to sell in any UOM conversion that has been set

O
up in Inventory.

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Price Lists
Chapter 3 - Page 44
• If the Primary UOM is selected and you enter an item/unit of measure combination on a
sales order that is not on a price list, the pricing engine converts the unit of measure on the
order to the item’s primary UOM and then uses the UOM conversions to calculate the unit
price.
• Example: Price List setup: BB-2200, $6.00 each, Primary UOM is selected. Sales Order
request: BB-2200 1 dozen. Result: 12*6.00 = $72.00 unit price.

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Price Lists
Chapter 3 - Page 45
Default UOM for Price Lists

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Default UOM for Price Lists
Example: Item A can have:
c l
r a
• Primary UOM (unit of measure) in Inventory = EA

O ly
• Primary UOM in Advanced Pricing = CASE
On a price list line, if you use the default inventory item UOM, and you do not select the

l & On
Primary UOM check box, then no UOM conversions will occur. When creating price list lines,

n a e
the item and UOM must be defined in the price list for a price to be retrieved. If the UOM is
defaulted by the inventory item UOM [such as Ea (Each)] and you order the item on the sales

t e r U s
order in DZ (dozen), an error message appears that no item with the UOM is defined on the
price list, and no conversions are done. When the primary UOM is selected, the item can be

n
ordered in DZ or Ea.
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Price Lists
Chapter 3 - Page 46
List Line Information

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List Line Information
Fields include:
c l
• Application Method:
r a
O ly
- Unit Price for inventory items and item categories
- Either Unit Price or Percent Price for service items
• Operand:
l & On
a e
- For inventory items and item categories, enter the base list price of the item in

n
Operand.

t e r s
- For service items, enter a value in the Operand. If Application Method is Unit Price,
U
I n
enter the base list price of the item. If Application Method is Percent Price, enter a
percent of another item’s price.

l e
• Formula: Enter either a Static Formula or Dynamic Formula.

c
- If you enter a static formula, run a concurrent process to calculate the value. The

r a result of the calculation changes the Value.


- If you enter a dynamic formula, you only need to enter Value if the formula includes
O list price as one of the formula components. At pricing time, the pricing engine

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Price Lists
Chapter 3 - Page 47
calculates the price of the item using the formula. If the formula does not return a
price, the engine uses the value of Price as the price.
• Start and End Dates: The dates should be within the start and end effective dates of the
price list.
• Primary UOM: Select this check box if this price list line unit of measure is the primary
pricing unit of measure for the item. The pricing engine uses the primary pricing unit of
measure and the Oracle Inventory unit of measure conversion information to price an
order whose unit of measure does not have a price list line. For example, a price list has
two price list lines for item A11111, one with unit of measure EA—the primary UOM—
and one for boxes. When the pricing engine receives an order in unit of measure CS, it
accesses the unit of measure conversion tables to convert CS to EA.

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Price Lists
Chapter 3 - Page 48
Price List Line Values

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Price List Line Values

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You can enter an absolute value which represents the unit price of your list line item.

r a
For Service Program Items you have a choice of pricing methods. You can enter an absolute

O ly
value which represent the unit price of your Service Program or you can enter a percentage
value which represents the percentage of other item’s price. When you are selling a Service

l & On
program on a sales order you are prompted for the item which the Service Program will cover.
The pricing engine finds the price of the covered item and calculates the price of the service
a e
program by multiplying the percent times the item’s unit price. It then takes that amount times
n
t e r
the duration of the coverage.

U s
This example shows a price list setup using a percent of other price:

I n
• Service Program’s item number is set up at 10% per year.
• Sales Order request: Customer purchases 1 year’s worth of coverage for an item which

l e
sells for 1200.00.

c
• The pricing engine calculates .10 * 1200 * 1 (year) = 120.00.

r a
Use formulas when an algebraic expression is required to calculate the selling price. Static

O formulas require that a concurrent program, Update Formula Prices, be run to populate the list
price value before being used by the pricing engine. With a dynamic calculation, the list price

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Price Lists
Chapter 3 - Page 49
resulting from the formula calculation is not calculated or stored anywhere until the sales order
is entered with that price list line item. When the sales order is entered, the pricing engine
evaluates the formula and displays the final list price on the order.
The price list will support both positive and negative values. This enables you to create an item
which represent a re-stocking fee. Enter this item on your price list with a negative value, then
enter this item on your return order. When the pricing engine calculates the total value of the
return it will subtract the restocking fee thus lowering the value of the credit memo.
Start and End dates are respected by the pricing engine.

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Overview of Price Breaks

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Overview of Price Breaks

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Price breaks are supported for price lists, modifiers, and agreements. Within a price break, the

r a
starting value must be 0 and there are no gaps across the break lines. In the example below, a
quantity greater than 0 and up to and equal to the first 10 ordered is priced at $10. Any quantity
O ly
greater than 10 and up to and equal to 20 is priced at $9.
Quantity Price
0-10 $10
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10-20 $9
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Chapter 3 - Page 51
Types of Price Breaks

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Types of Price Breaks
Point break
c l
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Defines prices based on the price bracket in which the total quantity falls. For example, if you

O ly
ordered 16 units of Item A11111, the total quantity falls into the
Price 2 bracket where the unit price is $45. So the total price is calculated as follows:

l & On
Total price = 16 * $45 each = $720
Range break

n a e
e r
Defines prices based on the ranges of the defined price breaks. For each range, the engine
s
calculates a price and sums across all ranges to obtain the list price. For example, if you
t U
ordered 16 units of Item A11111, the unit price from each price

I n
(Price Breaks 1 and 2) is applied as follows:

l e
Price I: For the first 11 units * $50 each (unit price from Price 1) = $550

c
Price 2: The remaining 5 units * $45 each (unit price from Price 2) = $225

r a
Total price = $550 + $225 = $775

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Chapter 3 - Page 52
Price Break Example

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Price Break Example

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You can set up price breaks as either point or range breaks:

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• Point: Defines prices based on the price bracket in which the total quantity falls.

O ly
• Range: Defines prices based on the ranges of the defined price breaks. For each

the list price.


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range, the pricing engine calculates a price and sums across all ranges to obtain

a e
You must enter both Value From and Value To. To create no upper limit, enter all 9’s (such as
n
t e r s
9999999) in Value To. You cannot overlap ranges between the price ranges of price break; for
example, if one price range is from 1 to 11, you cannot have another price range that is 5 to 20.
U
I n
If you define a price break for an item category, all the items within the category are eligible
for the price break.
Example

c l e
Consider the following point and range price break examples. Both use the following price

r a
break setup (as shown in the slide):

O • Item quantity ordered 0-10: $50 (Ea)


• Item quantity ordered 10-50: $45 (Ea)
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Chapter 3 - Page 53
• Item quantity ordered 50-999: $42 (Ea)
Point Price Break
If the ordered quantity is 55, then the price is based on the price bracket in which the total
quantity falls (which means the price bracket range of 50-999999 for a price of $42
each).
Total: 55 * $42 = $2310
Range Price Break
Using the range price break example, if the ordered quantity is 55, then the items are priced as
follows:
• First 10 items: 10 * $50 (Unit price from the 1st break range) = $500
• Next 40 items: 40 * $45 (Unit price from the 2nd break range) = $1800
• Next 5 items: 5 * $42 (Unit price from 3rd break range) = $210
Total = $2510

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Chapter 3 - Page 54
Block Pricing

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Block Pricing

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Use the application method of Block Price in addition to Unit Price and Percent. Block Price

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enables users to define a price for the entire set of a block.

O ly
You can set up various price break scenarios using Point and Range price break types with
multiple application methods. For such price breaks, a LUMPSUM price could be used for

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these blocks in addition to per UNIT or PERCENT prices. This enables you to set up lump sum
or flat rate pricing for minimum quantities as price breaks in price lists.

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Chapter 3 - Page 55
Usage Proration of Price Breaks

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Usage Proration of Price Breaks

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The price break usage modification/proration feature simplifies the set up of price break

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definitions that will be used in usage calls and expands the engine calculation to support
proration of price breaks. This feature differs from regular price list break evaluation in that it
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prorates the price break ranges of the set-up Break UOM to the Usage UOM.

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Chapter 3 - Page 56
Usage Proration of Price Breaks

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Usage Proration of Price Breaks (continued)
The price break usage proration feature reduces the need to maintain price break setups for

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different billing periods such as per day, per month, or quarterly. One setup can support
whatever UOM is used in a pricing call. For example: A price break definition is defined based
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on monthly usage. So, when 15 days need to be billed, the usage levels need to be prorated to
days from months.

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Chapter 3 - Page 57
Usage Proration of Price Breaks

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Usage Proration of Price Breaks (continued)

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You can simplify the setup of price break definitions for different billing periods (for example,

r a
different usage UOM's). The pricing engine can prorate price breaks to the Usage UOM to
support usage business scenarios where the billing period varies from the defined price break
O ly
UOM due to contract negotiations, starting and ending services during a billing period, or to
support complex billing periods.

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Chapter 3 - Page 58
Usage Proration of Price Breaks

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Usage Proration of Price Breaks (continued)
When the new application level profile QP: Break UOM Proration Allowed is set to Yes, two

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fields display on the price list lines: Break UOM and Break UOM Attribute. You can select the
Break UOM that defines the unit of measure (UOM) of the price break lines. The Break UOM
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Attribute field is defaulted and cannot be changed by the user.

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For applications making a usage call, the calling application sends the Break UOM Attribute
and the Usage UOM in the usage call. The Advanced Pricing Engine matches Usage UOM to
a e
the Break UOM and if these two values are different, then engine will prorate the price break
n
t e r s
range values to the Usage UOM and return both the price break range and value back to the
calling application in the Usage UOM.
U
n
This feature is available in both HTML and Forms.

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Chapter 3 - Page 59
Usage Modification - Proration Dependencies and Interactions

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Usage Modification - Proration Dependencies and Interactions
When the new application level profile QP: Break UOM Proration Allowed is set to Yes, two

r a
fields display on the price list lines: Break UOM and Break UOM Attribute. Users can select
the Break UOM that defines the unit of measure (UOM) of the price break lines. The Break
O ly
UOM Attribute field is defaulted and cannot be changed by the user.

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For applications making a usage call, the calling application sends the Break UOM Attribute
and the Usage UOM in the usage call. The Advanced Pricing Engine matches Usage UOM to
a e
the Break UOM and if these two values are different, then engine will prorate the price break
n
t e r s
range values to the Usage UOM and return both the price break range and value back to the
calling application in the Usage UOM.
U
Pricing users.
I n
This feature is available in both HTML and Forms. This feature is available only for Advanced

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Chapter 3 - Page 60
Practice - Creating Point and Range Price Breaks for Price List
Items
Overview
In this practice, you will learn how to create point and range breaks for price list items. Also, a
price break using the block price feature will be demonstrated. You will then create a sales order
for the items and see how the selling price is applied using the point and range breaks you
created. You will also use block pricing to define a price break.

Assumptions
• Oracle Pricing User, Vision Operations responsibility

• Order Management Super User, Vision Operations responsibility

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
m y
Creating Point Price Breaks
d e
Responsibility = Oracle Pricing User, Vision Operations
ca
1. Navigate to the Price List Search page.

e A
2. Find your price list XX-Price List 3.
c l
3.
r a
Display the lines in the Update Price List: Price List Lines page.

4. O ly
Select the line item XX-Phone and click Update to display the Update Price List Line page.

5. Select Line Type = Price Break


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6.

Field
t e r
In the Break Rules region, complete the following fields:

U s
Value
Break Type
I n Point

l e
Application Method

c
Unit Price

r a Volume Based On
Break UOM
Item Quantity
Blank

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Chapter 3 - Page 61
7. In the Break Details region, enter the following data:

Value From Value To Price


0 5 700
5 10 600
10 9999999 500

8. Click Apply to return to the Update Price List: Price List Lines page.

Creating Range Price Breaks for XX-Palm Pilot

9. Select the line item XX-Palm Pilot and click Update to display the Update Price List Line
page.

10. Select Line Type = Price Break.

11. In the Break Rules region, complete the following fields:

Field Value
Break Type Range
Application Method
Volume Based On
Unit Price
Item Quantity
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a
12. In the Break Details region, enter the following data:

Value From Value To Price


A c
0
5
5
10
c l e 700
600
10 9999999
r a 500

O ly
13. Save your work, close any open windows, and return to the Navigator menu.

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Creating Price Breaks using Block Pricing Method for XX-Pager

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14. Select the line item XX-Pager and click Update to display the Update Price List Line page.

t e r
15. Select Line Type = Price Break.
U s
I n
16. In the Break Rules region, complete the following fields:

c l eField Value

O ra
Break Type
Application Method
Point
Block Price

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Chapter 3 - Page 62
Field Value
Volume Based On Item Quantity

17. In the Break Details region, enter the following data:

Value From Value To Price


0 5 700
5 10 600
10 9999999 500

18. Click Apply.

19. Save your work and return to the main menu.

Entering a Sales Order Using Price Breaks

Responsibility = Order Management Super User, Vision Operations

20. Navigate to the Sales Orders window.

21. Enter the sales order header using the following information (all remaining information
defaults in):
− Customer = XX-Big City Electronics m y
− Price List = XX-Price List 3
d e
22. Enter the sales order lines using the following information:
c a
e A
Line Ordered Item

c l Quantity UOM Price (Retrieved As)


1.1
2.1
XX-Phone
XX-Palm Pilot r a 6
6
Ea.
Ea.
$600.00 (Point)
$683.33 (Range)
3.1 XX-Pager O ly 6 Ea. $100.00 (Point-Block Price)

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23. Save your sales order and note the sales order number: __________.

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Chapter 3 - Page 63
Solution - Creating Point and Range Price Breaks for Price List
Items
Creating Point Price Breaks

Responsibility = Oracle Pricing User, Vision Operations

1. Navigate to the Update Price List Line page.

• (N) Oracle Pricing User > Home > Home page (HTML UI).

2. Find your price list XX-Price List 3.


− Search > Price List > Name = XX-Price List 3

3. (B) Update.

4. (Link) Price List Lines.

5. Select XX-Phone.

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6. a (B) Update.

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Chapter 3 - Page 64
7. Change the line type from price list line to price break.
− Line Type = Price Break

8. In the Break Rules region, complete the following fields:

Field Value
Break Type Point
Application Method Unit Price
Volume Based On Item Quantity
Break UOM Blank

9. In the Break Details region, enter the following data:

Value From Value To Price


0 5 700
5 10 600
10 9999999 500

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10. (B) Apply.
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Creating Range Price Breaks for XX-Palm Pilot

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11. Select the line item XX-Palm Pilot.
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Chapter 3 - Page 65
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12. (B) Update.

d e
13. Change the line type from price list line to price break.
− Line Type = Price Break
ca
14. In the Break Rules region, complete the following fields:
e A
Field Value
c l
Break Type Range
r a
Application Method Unit Price
O ly
Volume Based On
& On
Item Quantity

l
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15. In the Break Details region, enter the following data:

Value From
t e r U s
Value To Price
0
I n 5 700
5
10
c l e 10
9999999
600
500

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Chapter 3 - Page 66
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16. (B) Apply.

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Creating Price Breaks using Block Pricing Method

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A
17. Select the line item XX-Pager and click Update to display the Update Price List Line page.

e
18. Select Line Type = Price Break.

c l
r a
19. In the Break Rules region, complete the following fields:

Field Value
O ly
Break Type Point

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Application Method
a e
Block Price

n
Volume Based On
r s
Item Quantity

t e U
n
20. In the Break Details region, enter the following data:

e I
Value From Value To Price
0
c l 5 700

O ra 5
10
10
9999999
600
500

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Chapter 3 - Page 67
21. Save your work and return to the main menu.
m y
Entering a Sales Order Using Price Breaks
d e
Order Management Super User, Vision Operations responsibility
c a
22. Navigate to the Sales Order - New window.

e A

c
(N) Orders, Returns > Sales Ordersl
r a
23. Enter the sales order header using the following information (all remaining information

O ly
defaults in from your customer setup):


& On
(T) Order Information, (T) Main
l
− Customer = XX-Big City Electronics

n a e
− Price List = XX-Price List 3

t e r U s
24. Enter the sales order lines using the following information:


I n
(T) Line Items

c l e
r a 1.1
Line Ordered Item
XX-Phone 6
Quantity
Ea.
UOM Price (Retrieved As)
$600.00 (Point)

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Chapter 3 - Page 68
Line Ordered Item Quantity UOM Price (Retrieved As)
2.1 XX-Palm Pilot 6 Ea. $683.33 (Range)
3.1 XX-Pager 6 Ea. $100.00 (Point-Block Price)

25. Save your sales order and note the sales order number: __________.

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26. Close the Sales Orders window and return to the main menu.

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Chapter 3 - Page 69
Price List Maintenance Feature

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Price List Maintenance Feature

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The Price List Maintenance feature (available only in the HTML UI) enables you to easily

r a
manage and maintain price lists. You can search across multiple price lists or price list lines
and make changes to the price, formula, and effective dates across a single or multiple price list
O ly
lines. Two methods of updating are available:

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• Bulk Change: Do the same change across all the price list lines or
• Detail Change: Make individual changes for each price list line.

n a e
Note: You can review changes before you submit them.

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Chapter 3 - Page 70
Practice - Finding and Changing Price Lists Using Price List
Maintenance
Overview
In this practice, you use the Price List Maintenance feature to change the value of the price list
lines for the price lists you created.

Assumptions
• Oracle Pricing Administrator, Vision Operations responsibility

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Finding the Price List Item to be Changed

1. Navigate to the Price List Maintenance page.


m y
2. Enter the Simple Search criteria to find the price list item to be updated:
− Product = Item Number
d e
− Product Value = XX-Palm Pilot
ca
3. Click Go.

e A
c l
The search returns the results in the Select Price Lists/Price List Lines region. You should

a
see all of the price lists that your XX-Palm Pilot is on.
r
O ly
Important: If no price lists display in the search results, verify that Maintain privileges
(rather than View-Only) have been granted to the price lists using pricing security.

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Otherwise the price lists will not display in the Price List Maintenance page.

4.
n a e
Select the Select check box by your XX-Palm Pilot on XX-Price List 2 and XX-Price List 5.

e r s
Changing the Values of the Price List Lines
t U
5.
I n
Click Detail Change to display the Detail Change: Make Changes page.

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Chapter 3 - Page 71
6. Enter the following:

Price List Name Type of Value Change Value Change By


XX-Price List 2 Percent 5
XX-Price List 5 Amount 30

7. Click Continue and note the changes in the Changed Value field.

8. Click Finish to apply your changes.

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Chapter 3 - Page 72
Solution - Finding and Changing Price Lists Using Price List
Maintenance
Finding the Price List Item to be Changed

Responsibility = Oracle Pricing Administrator, Vision Operations

1. Navigate to the Price List Maintenance page.

• (N) Oracle Pricing Administrator > Price List Maintenance

2. Enter your Simple Search criteria:


− Product = Item Number
− Product Value = XX-Palm Pilot

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3. (B) Go.
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Chapter 3 - Page 73
4. Select the Select check box by your XX-Palm Pilot on XX-Price List 2 and XX-Price List 5.

5. (B) Detail Change.

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Chapter 3 - Page 74
Changing the Values of the Price List Lines

6. In the Detail Change: Make Changes window:

Price List Name Type of Value Value Change By


Change
XX-Price List 2 Percent 5
XX-Price List 5 Amount 30

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7. (B) Continue.

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Note the changes in the Changed Value field.

8. (B) Finish.

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Chapter 3 - Page 76
Overview of Multicurrency Conversion Lists

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Overview of Multicurrency Conversion Lists

c l
It is very important to determine which price list strategy your organization wants to support.

r a
Advanced Pricing provides a profile option and concurrent program to convert existing price
lists from a Single Currency Price List to Multiple Currency price lists. However, once this
O ly
profile is enabled, and price lists are converted, you should not return to NON multicurrency

l & On
price lists. Changing the profile back to No may cause undesired results if conversion criteria
were used. Oracle does not support changing the setting back to No.
Single Currency Price Lists
n a e
t e r U s
Single currency price lists are the default setting for Advanced Pricing. They are used when
your business requires that you maintain different prices for different currencies, and there is

I n
no relationship between prices defined.
Multicurrency Price Lists

l e
If you have global customers or do pricing in different currencies, the multicurrency feature

c
enables you to maintain a single price list for multiple currencies.

r a
You can set up and maintain multiple currency conversion rates for a base currency in a single

O
list which can be attached to multiple price lists or agreements. Price list maintenance is
reduced because only one currency conversion definition can be attached to multiple base

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Chapter 3 - Page 77
currency price lists. If prices change, you only need to update the base price list. Multiple
conversion methods can be in effect at a time for a currency. For example, if converting USD
(US dollars) to FRF (French francs), you could have a fixed conversion type for March and a
formula conversion type for April.

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Chapter 3 - Page 78
Multicurrency Conversion Lists

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Multicurrency Conversion Lists

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If you have global customers or do pricing in different currencies, the multicurrency feature

r a
enables you to maintain a single price list for multiple currencies.

O ly
You can set up and maintain multiple currency conversion rates for a base currency in a single
list which can be attached to multiple price lists or agreements. Price list maintenance is

l & On
reduced because only one currency conversion definition can be attached to multiple base
currency price lists. If prices change, you only need to update the base price list.

n a e
You can also specify currency-specific markup/markdown equations that are applied as a

t e r U s
formula, percent, or fixed amount to mark up the currencies.
When a pricing request is made, the pricing engine converts the price on the base price list to

values).
I n
the ordering currency and returns the new price in the ordering currency (including any markup

l e
Seeded conversion types

c
The multicurrency conversion window is used to define the conversion criteria. Seeded

r a
conversion types include: fixed, formula, user defined, spot, EMU fixed, transactions, and

O
corporate.

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Chapter 3 - Page 79
Some of these seeded conversion types require Oracle General Ledger to be installed. Users
can still link to other non-Oracle stored conversion rate information by using the formula
functionality.

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Chapter 3 - Page 80
Multicurrency Conversion Lists

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Multicurrency Conversion Lists (continued)

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The Currency Conversion window is used to define the conversion criteria. Seeded conversion

r a
types include: fixed, formula, user defined, spot, EMU fixed, transactions, and corporate.

O ly
Some of these seeded conversion types require Oracle General Ledger to be installed. Users
can still link to other non-Oracle stored conversion rate information by using the formula
functionality.

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Chapter 3 - Page 81
Attributes

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Attributes

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You can use different attribute values for attribute types: Product, Pricing, and Qualifier, to

r a
specify more than one conversion for the same Currency To, Start Date, and End Date.

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Chapter 3 - Page 82
Markup and Conversion Formulas

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Markup and Conversion Formulas

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Formulas can be created and used for Markup and for conversion type of Formula. There are

r a
some limitations in using formulas in multicurrency price lists:

O ly
• Base Markup Formula: The value returned by the Base Markup Formula will be used as
markup for the base currency. If the Formula uses the List Price (LP) component, the

l & On
formula will use the list price after applying the conversion rate. A formula with a
component type as PLL (Price List Line) is not allowed as a Base Conversion Formula.
a e
This is because the PLL line may have a different base currency than the price list to
n
t e r U s
which this currency conversion criteria is attached.
• Conversion Type Formula: The value returned by the Formula selected is the conversion

I n
rate. A formula with a component type as PLL (Price List Line) is not allowed as a
conversion formula because the PLL line may have a different base currency than the

c l e
price list to which this currency conversion is attached. A formula with a component type
as MV (Modifier Value) is not allowed as a conversion formula because there is no

r a modifier value in the currency conversion list.

O
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Chapter 3 - Page 83
Implementation Decisions for Creating Multicurrency Conversion
Lists

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Implementation Decisions for Creating Multicurrency Conversion Lists
Combining Price Lists
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O ly
Before creating or merging price lists and their currency conversion lists you must determine
whether you can use one single price list or whether you need to create more than one.

l & On
You can use a single base currency price list, to replace price lists that are defined in various

a e
other currencies for conversions, provided that all have the following identical attributes:

n
• Items
• Qualifiers
t e r U s
I n
• Pricing attributes for price list lines
Basis of the price list line values, of the single currency defined price lists, should equal the

l e
base currency of the single multicurrency price list, to which you attach the conversion list.

c
Otherwise you will need to define multiple conversion criteria based upon attribute for the

r a
same To-Currency.

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Chapter 3 - Page 84
Deactivate Price Lists
You should deactivate a price list once you have merged it successfully with a multicurrency
conversion list.
Rounding
There are three rounding profiles that affect rounding in multicurrency price lists:
• QP: Unit Price Precision Type: Used to determine the value for the rounding factor which
is defaulted on the price list.
• QP: Price Rounding: If this profile option is set to Enforce Currency Precision, then you
cannot update the Base Round To value in the currency conversion list.
• QP: Selling Price Rounding Options: This profile has optional settings to determine how
the converted list price and adjustments may be rounded.
Currencies
The following must be defined in Oracle General Ledger:
• Base currency and To Currencies
• Seeded conversion types of user defined, spot, EMU fixed and corporate

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Chapter 3 - Page 85
Combining Price Lists

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Combining Price Lists

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Example: Combining single currency price lists. Qualifiers, and Items are identical in the

r a
selected single currency price lists. All of the single currency price lists have list line values
that are converted values based on the USD price list. Except for CAD, all the lists apply their
O ly
conversion types, equally to all items except for the CAD defined price list. CAD Price List

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line values equal a Fixed conversion rate = 2, EXCEPT Item C that is valued at a conversion
rate of 1.5 as shown in the above table.

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Chapter 3 - Page 86
Combining Price Lists

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Combining Price Lists (continued)

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In the above scenario, the individual price lists for MXN, JPY, and Euro that previously were

r a
set up with the price list values equal to the conversion types have been easily transitioned in
the setup. The CAD defined price list required an additional step to set up a conversion line for
O ly
the item(s) that were not converted at the same conversion type of Fixed, with same Fixed
Value.

l & On
Currency conversions will apply to the price list values on the base currency price list to which
it is attached.
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Chapter 3 - Page 87
Rounding

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Rounding
Base Round To
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The Base Round To rounds the selling price after applying the modifiers. In the Base Round

O ly
To field, you can enter a numeric-rounding factor that rounds the list price after the conversion
and markup is applied (set up in the Multicurrency Conversion window). When a

l & On
multicurrency conversion list is attached to a price list, the Base Round To value from the
multicurrency conversion list defaults to the price list. This means that the Base Round To
a e
value will be indicated in the price list. You cannot enter the Base Round To value directly into
n
the price list.

t e
Conversion Rounding Factorr U s
I n
The Conversion Rounding Factor rounds the To Currency list price after the conversion and
markup is applied. This rounding factor could be different for the same To Currency. You can

l e
enter this value in the Conversion Rounding Factor field in the currency conversion list.
Round To
c
r a
Round To rounds the selling price after applying the modifiers. This rounding factor will

O
always be the same for a Currency To.

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Price Lists
Chapter 3 - Page 88
Rounding Behavior During Currency Conversion Calculations:
Non-Service Items

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Rounding Behavior During Currency Conversion Calculations: Non-Service Items

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If the Conversion Rounding Factor and the Round To values in the Multi-Currency Lists

O ly
window are entered for a currency conversion, the Conversion Rounding Factor will be applied
first, followed by the Round To factor.

l & On
This is applicable for every item (except for the service item) in every pricing event.

CAD.
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The price displayed on the sales order is 120.2500 after applying the – 4 currency precision for

t e r U s
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Chapter 3 - Page 89
Rounding Behavior During Currency Conversion Calculations:
Service Items

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Rounding Behavior During Currency Conversion Calculations: Service Items

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In Service Pricing, the service item is rounded using the Round To, not the Conversion

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Rounding Factor. The price displayed on the sales order is 120.2470 after applying the – 4
currency precision for CAD.

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Chapter 3 - Page 90
QP: Selling Price Rounding Options = Individual

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Rounding Behavior for QP: Selling Price Rounding Options = Individual
The profile QP: Selling Price Rounding Options only affects the rounding factor. If the profile

r a
is set to Individual, then the rounding factor is applied. If it is set to No, the rounding factor is
not applied. The profile QP: Round Unit Selling Price does not affect the Conversion Rounding
O ly
Factor. The Conversion Rounding Factor is always applied to the list price.

CAD.
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The price displayed on the sales order is 120.2500 after applying the – 4 currency precision for

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Chapter 3 - Page 91
QP: Selling Price Rounding Options = N (No)

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Rounding Behavior for QP: Selling Price Rounding Options = N (No)
The price displayed on the sales order is 120.2470 after applying the – 4 currency precision for
CAD.
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Chapter 3 - Page 92
Profile: QP Multi-Currency Installed

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Profile: QP Multi-Currency Installed

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The Advanced Pricing profile QP: Multi-Currency Installed controls which type of price lists

r a
you will use. The System Administrator sets the profile. The default value for this profile is No
which enables you to create and maintain many price lists defined in different base currency
(non-multicurrency enabled).
O ly
l & On
You can enable multiple currency price lists by setting the value of the profile to Yes, which
allows you to set up base currency price list(s) with a multiple currency conversion list
a e
attached to each price list or agreement price list.
n
t e r U s
Setting the value of the profile to Yes enables all Price List and Agreement windows with some
window field and functionality changes. Once the profile is set, you must create at least one

price list.
I n
multiple currency conversion list. A currency conversion list is required when setting up a

l e
The steps to enabling multiple currency price lists are:

c
• Navigate to System Administrator responsibility > Profile > System > QP: Multi Currency

r a Installed > Select Yes.

O
• Navigate to Oracle Pricing Manager responsibility > Price Lists > Multi-Currency
Conversion setup to create a multicurrency conversion list for the base currency.

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Price Lists
Chapter 3 - Page 93
• Navigate to Oracle Pricing Manager responsibility > Price List Setup to create a master
price list for the base currency.
If single currency price lists were created prior to changing QP: Multi-Currency Installed to
Yes, then it is necessary to run the concurrent program Update Price Lists with Multi-Currency
Conversion Criteria. This will convert all existing price list and agreement forms as Multi-
Currency and activate the Multi-Currency Conversion Setup window.

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Chapter 3 - Page 94
Using Conversion Types

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Using Conversion Types

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Conversion types determine how the conversion rate is calculated. Some of these seeded

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conversion types are available only if Oracle General Ledger is installed; however, you can
still link to other non-Oracle stored conversion rate information by using formulas. The
O ly
following seeded conversion types are available:

l & On
• Fixed: Enter a fixed value that is used as the conversion rate. For example, if you enter a
value of 1.5, the list prices from the base price list is multiplied by 1.5 to get the converted
amount.
n a e
t e r U s
• Formula: Attach a pricing formula and the value returned from the formula is the
conversion rate. A formula with a component type of PLL (Price List Line) cannot be used

I n
as a conversion formula because the line may have a different base currency than the price
list to which this currency conversion criteria is attached.

l e
• Transaction: Passes the conversion rate or type from the Order Management (OM) Sales

c
Order.

r a
The following conversion types are available only if Oracle Financials (General Ledger) is
installed: General Ledger sourced (Corporate, Spot, EMU Fixed, User Defined). These
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Price Lists
Chapter 3 - Page 95
conversion types get the conversion rate between the Base Currency and Currency To from
Oracle General Ledger.

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Chapter 3 - Page 96
Creating a Multicurrency Conversion List

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Creating a Multicurrency Conversion List

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Order Management Super User Responsibility

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(N) Pricing > Price Lists > Multi-Currency List Setup

O ly
The following fields are described:
• Base Currency Code: Defines the currency that the price list is set up in. For example, if

& On
the price list has a base currency of US dollars, enter the code for US dollars such as USD.
l
n a e
• Base Round To: Enter a numeric Base Round To that rounds the selling prices to the
decimal place that is entered. For example, if you entered a rounding factor of -2, a price

t e r U s
calculated as $9874.343 would be rounded as $9874.34.
• Base Markup Operator: Enter a Percent (%) or Amount as a Base Markup Operator which

I n
can be applied against the base currency. This Operator determines how the Base Markup
Value should be applied. If the profile QP: Price Rounding is set to enforce currency

l e
precision, then the Base Round To value cannot be updated in the Multi-Currency

c
Conversion window. To make a change, you must first change the profile setting to

r a Enforce Rounding Factor or NULL, then change the Base Round To value.

O
• Base Markup Value: Enter a numeric Base Markup Value to be applied as either a percent
or amount (depending on the value selected in the Base Markup Operator field).

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Price Lists
Chapter 3 - Page 97
• Base Markup Formula: The value returned by this formula is applied as a markup to the
base currency. When entered, the Base Markup Value can be used within the Base
Markup Formula. [Component type as modifier value (MV).]

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Chapter 3 - Page 98
Example of Using Precedence in a Multicurrency Conversion List

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Example of Using Precedence in a Multicurrency Conversion List
You must enter a precedence value if you set up more than one conversion for the same To

r a
Currency Code, Start/End Date, and different attribute values. (You can enter the precedence
value in the Conversion Criteria Detail region of the Multi-Currency Conversion window.)
O ly
This is necessary because when more than one attribute is passed from the calling application,

l & On
the one with the lowest precedence value is selected by the pricing engine for conversion.
In this scenario, when two conversion types with different attribute codes (Country=India and
a e
Item Category=CD Pack) are passed from an OM sales order, the pricing engine selects the
n
r s
attribute with the lowest precedence. In this case, the attribute Country=India is selected by the

e
pricing engine because its precedence value (1) is lower than the precedence value of Item
t
Category=CD Pack which is 2.
U
I n
Note: Both a Markup Value and Markup Formula can be entered, provided the Markup Value

c l e
is used within the Markup Formula. In this case, the final value is the value returned after
computing the Markup Formula.

r a
If both a Conversion Rounding Factor and a Rounding Factor is entered for a currency
conversion, the Conversion Rounding Factor is applied first followed by the Rounding Factor.

O This will be applicable for every item (except for the service item) in every pricing event.

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Price Lists
Chapter 3 - Page 99
Attaching Multicurrency Conversion Lists to Price Lists and
Agreements

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Attaching Multicurrency Conversion Lists to Price Lists and Agreements

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When multicurrency is first set up, a default multicurrency list without conversion criteria is

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automatically generated by the system and attached to price lists and agreements. You can
replace the default list by selecting an alternate multicurrency conversion list.

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Attaching a Multicurrency Conversion List to a Price List

n a e
Order Management Super User Responsibility
(N) Pricing > Price Lists > Price List Setup

e r s
1. Navigate to the Advanced Pricing—Price Lists window.

t U
2. Select the multicurrency list from the Multi-Currency Conversion field. The field displays

I n
all currency conversion lists where conversion criteria base currency = currency of the

l e
price list. When multicurrency is enabled, the Round To field in the price list is grayed out
and can only be updated in the Multi-Currency Conversion window.
c
r a
Attaching a Multicurrency Conversion List to an Agreement
Order Management Super User Responsibility

O (N) Pricing > Pricing Agreements

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Price Lists
Chapter 3 - Page 100
1. Enter Agreement Type, Standard or Agreement. For Standard Agreements, you must
select a price list. The base currency, rounding factor, and multicurrency conversion list
attached to that price list will default to the window.
2. For Agreement price lists, in the Pricing tab, select a multicurrency conversion list. For
Agreement price lists, you can select lists where the base currency of the multicurrency
conversion list is the same as the base currency of the agreement. When multicurrency is
enabled, the Rounding Factor field in the agreement is grayed out and can only be updated
in the attached multicurrency conversion list.

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Chapter 3 - Page 101
How Multicurrency Changes Price Lists and Agreements

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How Multicurrency Changes Price Lists and Agreements
The following section summarizes the changes that occur when the multicurrency feature is
implemented:
r a
O ly
• Changes to pricing engine: The pricing engine matches the order currency to the
currencies attached to the price list at the time of selection. It then applies the conversion

l & On
type, markup, and rounding to the price.
• Changes to price list windows:

n a e
- Multi-Currency Conversion field: A Multi-Currency Conversion field is added to the

t e r U s
Advanced Pricing - Price Lists window where you can select a multicurrency list
which has the same base currency as the selected price list.

I n
- Round To procedure: The Round To field in the price list header is grayed out and
can no longer be changed directly in the Advanced Pricing - Price Lists window.

l e
Instead the Round To value must be changed in the Multi-Currency Conversion

c
window and will update the Round To in the price list header.

r a
• Changes to agreements:

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Chapter 3 - Page 102
- Multi-Currency Conversion field: A new field called Multi-Currency Conversion is
added to the Pricing tab in the Agreements window where you can select a
multicurrency list which has the same base currency as the selected price list.
- Round To procedure: The Round To field in the Pricing Tab is grayed out and can no
longer be changed directly. Instead the Round To value must be changed in the Multi-
Currency Conversion window and will update the Round To in the Pricing Tab. The
multicurrency list can be updated only for Agreement Price Lists, not for Standard
Price Lists.

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Chapter 3 - Page 103
Upgrading from Single Currency to Multicurrency Price Lists

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Upgrading from Single Currency to Multiple Currency Price Lists
If you are already using single currency price lists and want to upgrade to multiple currency

r a
price lists and agreements, the following steps are required:
Profile
O ly
The profile QP: Multi-Currency Installed controls which type of price lists you will use. Set

l & On
this profile to Yes. This enables you to run the Concurrent Request program that updates all
existing price lists and agreements to the multiple currency forms and functionality.
Concurrent Request
n a e
e r s
To start using the multicurrency feature, you have to run the concurrent program - Update

t U
Price Lists with Multi-Currency Conversion Criteria once. The program will create:

I n
• A currency conversion list for each combination of Price List currency and rounding
factor. This conversion will have the same Base Currency with the Base Round To from

l e
the Price list.
c
r a
• Attach a currency conversion list to each price list and agreement. This is a mandatory
step since without this the pricing engine will not be able to use the current price lists as

O multicurrency price lists.

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Chapter 3 - Page 104
After running the concurrent program, all price lists and agreement will be multicurrency
enabled. You can now begin to add additional to currencies and their conversions.

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Chapter 3 - Page 105
Using Multicurrency Price Lists with Other Oracle Products

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Using Multiple Currency Price List with other Oracle Products
The multiple currency price list feature is fully integrated with Oracle Order Management.

r a
Before using multicurrency, check that other Oracle products integrating with Advanced
Pricing support this feature (supported applications include Oracle iStore, Oracle Order
O ly
Capture, Oracle Quoting and Oracle Contracts).

l & On
If Advanced Pricing is multicurrency enabled and you use Oracle products that do not yet
support multiple currency price lists, when the calling application passes the price list, the
a e
pricing engine matches the base currency of the price list with the order currency. If no price
n
r s
list is passed, the pricing engine looks for price lists whose base currency matches the order

e
currency. The pricing engine does not look to the conversion currencies on the multi-
t U
conversion price lists. This means that price lists still need to be defined and maintained for

I n
every single base currency used.

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Chapter 3 - Page 106
Maintaining Price Lists

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Chapter 3 - Page 107
Copying Price Lists

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Copying Price Lists

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(N) Pricing > Price Lists > Copy Price List

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You can quickly create a new price list by copying an existing price list. Only active price list

O ly
lines (those with an effective end date later than the current date) can be copied.
You can also copy:

l & On
• Active discounts from the original price list

a e
• Effective dates from the original price list lines

n
e r
You can copy an existing standard price list type to a new standard price list, or an existing
s
agreement price list to a new agreement price list. After the price list is copied, you can create
t U
a new agreement and attach the new price list to the agreement.

I n
When you copy a price list, the new price list has the same currency as the original price list.

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Chapter 3 - Page 108
Practice - Copying a Price List
Overview
You can quickly create a new price list by copying an existing price list. Only active price list
lines (those with an effective end date later than the current date) can be copied. In this practice
you will copy your existing price list XX-Price List 1.

Assumptions
• Oracle Pricing Manager, Vision Operations responsibility

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Copying a Price List

1. Navigate to the Copy Price List window.

m y
2. Enter the following Copy From information:
− Price List = XX-Price List 1
d e
− Retain Effective Dates = Selected
− Global check box = Selected
c a
e A
l
3. Enter the following Copy To information:
− Price List = XX-Price List 2
− Description = Adjusted by 10%
a c
4. r
O ly
Submit the request and verify it completed normally.

5.
& On
Repeat the above steps to copy the following price lists from XX-Price List 1:
l
n a e
Copy To: Price List Name Description
XX-Price List 3

t e r U s Point and Range Price Breaks

n
XX-Price List 4 Cascading Discounts
XX-Price List 5

e I Manual Discount

c l
XX-Price List 6 Coupon Discount Modifier

r
6.
a Query your XX-Price Lists to confirm that the copy process was successful.

O
Copyright © Oracle, 2007. All rights reserved.

Price Lists
Chapter 3 - Page 109
Solution - Copying a Price List
Copying a Price List

Responsibility = Oracle Pricing Manager, Vision Operations

1. Navigate to the Copy Price List window.

• (N) Price Lists > Copy Price List

2. Enter the following Copy From information:


− Price List = XX-Price List 1
− Retain Effective Dates = Selected
− Global check box: Selected

3. Enter the following Copy To information:


− Price List = XX-Price List 2
− Description = Adjusted by 10%

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O4. Submit the request and note the request ID: ______________.

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Chapter 3 - Page 110
5. Verify the request completed normally.

• (M) View > Requests

6. Close the Requests window so you are back in the Copy Price List window.

7. (I) New

8. Repeat the above steps to copy the following price lists from XX-Price List 1:

Copy To: Price List Name Description


XX-Price List 3 Point and Range Price Breaks
XX-Price List 4 Cascading Discounts
XX-Price List 5 Manual Discount
XX-Price List 6 Coupon Discount Modifier

9. Close the Copy Price List window when you are done copying the additional price lists.

10. Query your XX-Price Lists to confirm that the copy process was successful.

• (N) Pricing > Price Lists > Price List Setup


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Chapter 3 - Page 111
Copying Price List Lines

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Copying Price List Lines

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Copying price list lines saves you time from manually re-entering a new pricing line. To copy a
price list line:
r a
O ly
1. Enter a new price list or query an existing price list.
2. Navigate to the line below the price list line to be copied.

l & On
3. Choose one of the following actions to duplicate the line:

a e
- Type the Shift+F6 keys.

n
t e r
- From the Edit menu, select Duplicate > Record Above to duplicate the price list line.
s
Note: You can change the values for the Product Value or Effective Date fields to avoid a
U
n
duplicate list line error from occurring in the same price list.

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Chapter 3 - Page 112
Adding Inventory Items to Price Lists

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Adding Inventory Items to Price Lists

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When you add inventory items to a price list, you can specify an item status, such as active or

r a
planned; an item category, such as hardware or software; or a range of items. You can request
the price to be either zero or the items’ costs in a specific inventory organization. Later, you
O ly
can adjust the prices to your selling price.

l & On
The process only adds items that exist in the item validation inventory organization and that are
not on the price list, even if they are inactive on the price list.

n a e
If you want to add items from an item category, you must first define the default inventory

t e r U s
category set for Order Management. When you add items from an item category, the process
adds all items of the item category to the price list; it does not add the item category.

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Chapter 3 - Page 113
Practice - Adding an Item Category to a Price List
Overview
In this practice, you will learn how to add an item category to a price list.

Assumptions
• Oracle Pricing Manager, Vision Operations responsibility

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Creating a Price List

1. Navigate to the Advanced Pricing – Price Lists window.

2. Enter the following information in the price list header using (all remaining information
defaults in):
m y
− Name = XX-Price List 7
− Description = Accessories Price List
d e
− Multi-Currency Conversion = QP-Conversion
− Round To = -2 (defaults from multicurrency list) ca
− Effective Date = Today’s Date

e A
3. Save your work.
c l
Adding an Item Category to a Price List
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4. O ly
Navigate to the Add Items to Price List window.

5. Complete the following entries:


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− Price List = XX-Price List 7
n
t e r
− Item Category Set = Inv.Items
s
− Item Category = MISC.ACCESSORY
U
n
− Item Status = Active
I
6.
e
Select the Set List Price Equal to Cost From check box.

c l
7.

r a Select Seattle Manufacturing in the Inventory Organization field.

O8. Click Submit and record the Request ID.

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Chapter 3 - Page 114
9. Review the status of the request you submitted. The concurrent request should read
“Completed, Normal.”

10. Navigate to your price list XX-Price List 7 to verify that many items have been added to
your price list, including the item cost from M1 inventory organization.

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Chapter 3 - Page 115
Solution - Adding an Item Category to a Price List
Creating a Price List

Responsibility = Oracle Pricing Manager, Vision Operations

1. Navigate to the Advanced Pricing – Price Lists window.

• (N) Price Lists > Price List Setup

2. Enter the following information in the price list header using (all remaining information
defaults in):
− Name = XX-Price List 7
− Description = Accessories Price List
− Multi-Currency Conversion = QP-Conversion
− Round To = -2 (defaults from multicurrency list)
− Effective Date = Today’s Date

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3.
l
(I) Save.

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Adding an Item Category to a Price List

O4. Navigate to the Add Items to Price List window.

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Chapter 3 - Page 116
• (N) Price Lists > Add Items to Price List

5. Enter the following data:


− Price List = XX-Price List 7
− Item Category Set = Inv.Items
− Item Category = MISC.ACCESSORY
− Item Status = Active
− Set List Price Equal to Cost From check box = Selected
− Inventory Organization = Seattle Manufacturing

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6. (B) Submit.

n a e
7.
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Record the Request ID number: __________.

t e U
8.
n
Review the request status to ensure the concurrent request completed successfully.

• I
9.
c e
(M) View > Requests
l
Find your price list XX-Price List 7.

r a • (N) Price Lists > Price List Setup


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Chapter 3 - Page 117
• (I) Find > XX-Price List 7

10. Verify that many items have been added to your price list, including the item cost from M1
inventory organization.

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Chapter 3 - Page 118
Adding Items to Price Lists

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Adding Items to Price Lists

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Order Management Super User, Vision Operations Responsibility

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(N) Pricing > Price Lists > Add Items to Price List

O ly
Use this process to add items from the item master file to price lists. You must first define a
price list header.

l & On
Pricing submits a concurrent process when you add inventory items. The concurrent process
only adds new items to a price list but does not replace existing items, even if the existing
items are ineffective.
n a e
t e r
To add items to a price list:

U s
1. Navigate to the Add Items to Price List window.

I n
2. Select the Price List to which you want to add items. Do one or more of the following
steps to select criteria of the items you want added to your price list:

c l e
3. Enter an item or range of Items to be added to the price list. You cannot use wild cards

r a when you specify the beginning and ending item numbers.


4. Select an Item Category Set. If you specify an Item Category Set only, then all the items

O belonging to the specified Item Category Set will be added to the specified price list.

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Chapter 3 - Page 119
5. To define selected items within an Item Category Set, select an Item Category.
6. Enter an Item Status to select items by their status.
7. Select the Set List Price Equal to Cost From check box if you have Oracle Inventory
installed and you want to set the list price of the inventory item equal to its cost. The list
price becomes zero if you deselect the List Price Equal to Cost From check box or the
Inventory Organization does not use the standard costing method.
8. Enter an Inventory Organization to limit the source of the items to add to those in the
organization. If you do not enter an organization, the process uses the organization
specified in the profile option QP_ORGANIZATION_ID.
9. Choose the Submit button. Use the Request ID to track your request status.

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Chapter 3 - Page 120
Updating Prices Manually for Price List Lines

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Updating Prices Manually for Price List Lines
You can always manually change the price on an existing price list line. If you enter a new

r a
price, the new price is effective for new orders as soon as you save your changes. However, a
historical record of the price change will not be stored.
O ly
Note: To maintain a historical record of your prices, you must use price list line effective dates
(as shown in the slide).

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Chapter 3 - Page 121
Adjusting Price Lists

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Adjusting Price Lists

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You can increase or decrease the list price of price list lines by an amount or percentage. You

r a
can apply the increase or decrease to all lines on the price list, lines that belong to an item
category, lines with items of a certain status, lines created on a specified date, or lines having a
O ly
range of items. Mass changes do not maintain price history.

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Chapter 3 - Page 122
Practice - Adjusting a Price List
Overview
You can quickly adjust list prices (such as a 10 percent increase) for selected items or all items
on a price list using the Adjust Price List window. In this practice, you will increase all prices on
XX-Price List 2 by 10 percent.

Assumptions
• Oracle Pricing Manager, Vision Operations responsibility

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Adjusting a Price List

1. Navigate to the Adjust Price List window.

m y
2. Enter the following information:
− Price List = XX-Price List 2
d e
− Adjust By = Percent
− Value = 10
ca
e A
l
4. Submit the request and verify that it completed normally. The status should read
“Completed, Normal.”

a c
5.
r
Find your price list (XX-Price List 2) and scroll to the Value field to view the 10 percent
increase.
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Chapter 3 - Page 123
Solution - Adjusting a Price List
Adjusting a Price List

Responsibility = Oracle Pricing Manager, Vision Operations

1. Navigate to the Adjust Price List window.

• (N) Price Lists > Adjust Price List

2. Enter the following information:


− Price List = XX-Price List 2
− Adjust By = Percent
− Value = 10

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3.
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(B) Submit. Note the Request ID: ______________.

4.
c l e
Verify that the request completed normally.

r a • (M) View > Requests

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Chapter 3 - Page 124
5. Query your XX-Price List 2 to confirm that the prices were adjusted successfully.

• (N) Pricing > Price Lists > Price List Setup

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Chapter 3 - Page 125
Adjusting Price Lists

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Adjusting Price Lists (continued)

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Order Management Super User Responsibilityl
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(N) Pricing > Price Lists > Adjust Price List

O ly
Use this process to adjust the prices for a price list. You can adjust prices for the entire price
list or adjust prices for selected items, item category sets, and item categories. You can define

l & On
your criteria further by selecting the item status or creation date of the items to adjust.
For example, if you specify a category, only those price list lines corresponding to the defined

n a e
Category are adjusted. If you leave any of the fields blank, Pricing adjusts the price list
regardless of that field.

t e r U s
You can select determine how the adjustment is made by selecting either:

I n
• Percent: Enter a value to adjust list prices by a certain percentage. For example, when
adjusting by a percentage, entering 10 raises list prices by 10 percent while -10 lowers list

l e
prices by 10 percent.

c
• Amount: Enter a value to adjust list prices by a fixed amount. For example, when

r a adjusting by an amount, entering 5 increases list prices by five whole units of currency.

O
Entering -5 decreases list prices by five whole units of currency.
While adjusting prices:

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Chapter 3 - Page 126
If the Item Category Set is specified only, then all the items which belong to the specified Item
Category Set and are present in the specified price list will get adjusted.
If both the Item Category Set and Item Category are specified, then all the items which belong
to the specified Item Category Set and Item Category and are present in the specified price list
will get adjusted.
To adjust a price list:
1. Navigate to the Adjust Price List window.
2. Select the name of the Price List you want to adjust. The default Currency and Description
of the price list displays. To adjust prices for the complete price list only, go to step 8. To
adjust the prices of specified items, item category sets, or item categories in a price list,
complete the following steps in the Item Prices to Adjust section. Select only the criteria
you want to adjust.
3. Enter an Item or range of Items whose prices you want to adjust. You cannot use wild
cards when you specify the beginning and ending item numbers.
4. Select an Item Category Set. When you select an Item Category Set only, all item prices in
that category set are adjusted.
5. To restrict items within a selected Item Category Set, select additional criteria in the Item
Category field.
6. Select the Item Status to include items of a specific status.
7. Enter a Creation Date to adjust the prices of items added to the price list on that date.
8. In the Adjust By field, select Percent or Amount. Percent - enter a value to adjust list
prices by a certain percentage. For example, when adjusting by a percentage, entering 10
m y
d e
raises list prices by 10 percent while -10 lowers list prices by 10 percent. Amount - enter a

ca
value to adjust list prices by a fixed amount. For example, when adjusting by an amount,
entering 5 increases list prices by five whole units of currency. Entering -5 decreases list
prices by five whole units of currency.

e
9. Enter a Value that you want to adjust the percent or amount by. A
c l
10. Choose Submit. The request ID is displayed in the Request ID field.

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Chapter 3 - Page 127
OM: Allow Negative Pricing

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OM: Allow Negative Pricing

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For example a trade-in item may be entered on an order with the trade-in value as a negative
value.
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Chapter 3 - Page 128
Querying Price List Lines

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Querying Price List Lines

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Order Management Super User Responsibility

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(N) Pricing > Price Lists > Price List Setup (T) List Lines (M) View > Find

O ly
When querying price list lines, use the Find Price List Lines query window (from the toolbar
Find icon) to find specific price list lines. You provide the product attribute context (for

example, Product A).


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example, Item), product attribute (for example, Item Number), and product attribute value (for

n a e
If you search using the Find Price List Lines window instead of using a query-by-example on

t e r U s
the Advanced Pricing - Price Lists window, you may reduce the search result time.

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Chapter 3 - Page 129
Deleting Price List Information

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Chapter 3 - Page 130
Bulk Uploading of Price Lists

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Bulk Uploading of Price Lists

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Advanced Pricing Bulk Loader for Price List enables you to import large volumes of price list
data into the pricing tables.
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O ly
Note: The following price lists are not imported by the Pricing Data Bulk Loader:
• Price lists that are specific to pricing agreements (List Type Code of AGR)

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• Price lists that are created from sales agreements (List Source Code of BSO)

a e
• Price lists that are created from service contracts (List Source Code OKS)

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Chapter 3 - Page 131
Bulk Loader for Price List Concurrent Program

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Bulk Loader for Price List Concurrent Program
Bulk loader enables users to import large volume price list data via interface tables and

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complete processing without interruption (even if an error occurs). The bulk loader provides an
efficient alternative to the business object API which only processes one record at a time.
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Chapter 3 - Page 132
Setting up Bulk Loader for Price List Step 1: Loading Data

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Setting up Bulk Loader for Price List

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This displays the processes involved in using the Bulk Loader feature.

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• QP_INTERFACE_LIST_HEADERS: This table captures the Price List header data.

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• QP_INTERFACE_LIST_LINES: Price list line data is captured in this interface table.

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• QP_INTERFACE_QUALIFIERS: This table contains the header qualifiers associated
with the price lists to be imported.

a e
• QP_INTERFACE_PRICING_ATTRIBS: The product and pricing attributes data is

n
Sample Scripts
t e r
captured in this table.

U s
I n
The following example scripts show how to set up the interface tables for the Pricing Data
Bulk Loader feature. The scripts are located in the $QP_TOP/patch/115/sql directory:

l e
• QPBLKEX1.sql: Script populates interface tables to insert price list header and price list

c
line.

r a
• QPBLKEX2.sql: Script populates interface tables to insert price list header and price list
line and pricing attributes.
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Chapter 3 - Page 133
• QPBLKEX3.sql: Script populates interface tables to insert price list header and price
break line.
• QPBLKEX4.sql: Script populates interface tables to update price list header with
qualifiers.
• QPBLKEX5.sql: Script populates interface tables to attach secondary price lists to the
primary price lists.

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Chapter 3 - Page 134
Setting up Bulk Loader for Price List Step 2: Pre-Processing
Steps

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Setting up Bulk Loader for Price List (continued)

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1. Prepare interface records with all information required.

O ly
2. When satisfied with data to be loaded from interface tables, navigate to: (N) Oracle
Pricing Manager > Reports > Submit Report > QP:Bulk Import of Price List.

l & On
3. Enter Report parameters for bulk upload of price list.

a e
4. Run report to load data into Advanced Pricing application tables.

n
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remaining interface data.
U s
5. Review Error log, address all errors and re-submit the concurrent request to load

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Chapter 3 - Page 135
Setting up Bulk Loader for Price List Step 3: Importing Data

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Chapter 3 - Page 136
Bulk Loader Processing

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Bulk Loader Processing

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The bulk loader automatically purges successfully processed records from the interface tables.

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List headers are purged from interface tables, but cannot be deleted or purged from base tables.

O ly
If pricing security is in use, validation is performed for users with Maintain privileges.

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Chapter 3 - Page 137
Bulk Loader: Profile Options

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Bulk Loader: Profile Options

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When preparing interface tables to update or delete price lists, you must ensure the values for

r a
the Pricing Transaction Entity (PTE) and Source System match the values of the target price
list (and not be null), to be selected by the loader.
O ly
New price lists are validated for PTE and Source System to match those of the user performing

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the bulk upload. If these fields are null, the bulk loader will populate them with values from the
existing profile settings defined in QP: Pricing Transaction Entity and QP: Source System
a e
Code. List source codes with a value = BSO cannot be imported by this program.
n
t e r U s
Sales agreement created price lists are not supported at this time. Price lists created from a
sales agreement can only be updated by access from the sales agreement to which it is
associated.

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Chapter 3 - Page 138
Bulk Loader: Profile Options

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Bulk Loader: Profile Options (continued)

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Profile QP: Batch Size for Bulk Import: Default value is 1000. This determines the number of

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records loaded into the memory for processing. It is very important to set an appropriate value
for this profile based on hardware configuration. A too high value in the profile may lead to
O ly
hanging of the system. Consult your System Administrator for value to use.
Note:

l & On
• Multithreading can impact the length of processing time required. A good guide is not to

n a e
exceed the number of CPUs available at the time of running the program. Ideally this

system.
t e r U s
should be scheduled for a slow processing period or when there are few users on the

I n
• Sales agreement-created price lists are not supported at this time. Price lists created from a
sales agreement can only be updated by access from the sales agreement to which it is

l e
associated.

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Chapter 3 - Page 139
Overview of Agreements

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Overview of Agreements
QP: Pricing Transaction Entity
c l
r a
You can only view or update a price list on an agreement in your pricing transaction entity.

O ly
The profile QP: Pricing Transaction Entity must match the pricing transaction entity of the
price list attached to the agreement.

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A Pricing Transaction Entity consists of a group of applications that point to the same setup
data and attributes, and includes Request Types and Source Systems. The Source System is the

n a e
application that captures the pricing setup data. The Request Type identifies the type of

t e r U s
transaction that is being priced.
Different applications may have different request types when they make requests to the pricing

I n
engine. For example, Istore and Order Management can be part of one Pricing Transaction
Entity because they are both Order Fulfillment systems and share the same setup data.

l e
Conversely, Oracle Transportation resides in a different Pricing Transaction Entity and has its

c
own attribute and setup information.

r a
The Pricing Transaction Entity narrows the data the search engine reviews. The search engine
examines only the setup data generated by the source systems defined for that Pricing
O Transaction Entity. All applications belonging to the same pricing transaction entity have the

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Price Lists
Chapter 3 - Page 140
same set of attributes available to them. A same PTE ensures that the applications sharing the
same data always give the same price for an item irrespective of the request type.
QP: Source System Code
You can only view or update a price list on an agreement in your source system. The profile
QP: Source System Code must match the source system of the price list attached to the
agreement. Otherwise, the price list on the agreement is view-only.

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Chapter 3 - Page 141
Overview of Agreements

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Overview of Agreements (continued)

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Oracle Advanced Pricing enables you to establish agreements with your customers that define

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the prices, payment terms, and freight terms that you negotiate.

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Chapter 3 - Page 142
Creating Agreements

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Creating Agreements

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Oracle Advanced Pricing enables you to establish agreements with your customers that define

r a
the prices, payment terms, and freight terms that you negotiate. You can:

O ly
• Define your agreements using customer part numbers and inventory item numbers.
• Make revisions to the original terms and maintain these changes and their reasons under
separate revision numbers.
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n a e
• Attach an already existing price list to the agreement or define new prices.
• Assign optional price breaks by quantity. Price lists are exclusive by agreement.

e r s
• Set effectivity dates for agreement terms.
t U
I n
• Set payment terms including invoice rule and accounting rule.
• Set freight terms including the freight carrier.

l e
• Apply agreement terms to sales orders by reference agreements.

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Chapter 3 - Page 143
Creating Agreements

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Creating Agreements (continued)

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If you do not select a customer when you create an agreement, you are creating a generic
agreement.
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O ly
The pricing engine uses effective dates to ensure that only agreements currently in effect are
evaluated. The effective dates are also used by the revision control logic. You cannot create a

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new revision unless the current revision has an effective end date.
If you select Agreement Price List as the Price List Type, then you can create a price list as

n a e
part of the Agreement setup. If you set the Price List Type to Standard Price List, then you

t e r U s
must enter the name of an existing price list.

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Chapter 3 - Page 144
Types of Agreements

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Types of Agreements
There are two types of agreements:
c l
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• Standard Price List: Used, for example, to have one price list for all customers but to

O ly
default special terms onto a sales order for a specific customer.
• Agreement Price List: Used to offer a negotiated price for an item to a customer.

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Chapter 3 - Page 145
Standard Price List

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Chapter 3 - Page 146
Agreement Price List

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Chapter 3 - Page 147
Merging Customers

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Merging Customers

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When you merge customers in Oracle Receivables, you can merge:

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• The information from one customer (the From customer) with the information from

O ly
another customer (the To customer).
• The information from one or more customer sites of that customer (the From sites) with

& On
the site information from the other customer (the To sites).
l
n a e
If the From customer is party to agreements, the Oracle Receivables merge process executes an
Oracle Advanced Pricing process to update the following agreements information:

e r s
• If you merge customer: The process changes the customer name on the agreement from

t U
the From customer to the To customer. Verify this change in the Pricing Agreements

I n
window, Agreement tabbed region, Customer and Cust Number fields.
• If you merge sites: The process changes the invoice address from the From customer site

l e
to the To customer site. Verify this change in the Pricing Agreements window, Payment
c
tab, Invoice To, and Address fields.

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Chapter 3 - Page 148
Creating Agreements

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Creating Agreements

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Note: Selected fields are displayed in the table.

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Order Management Super User, Vision Operations Responsibility
(N) Pricing > Pricing Agreements
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The Agreement field does not display by default on the Oracle Order Management order

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header. You must use the Folder icon to display it.
l
Payment Tab Information

n a e
Order Management Super User, Vision Operations Responsibility

e r s
(N) Pricing > Pricing Agreements (T) Payment
Accounting Rules
t U
I n
Rules that you can use for imported and manually entered transactions to specify revenue

c l e
recognition schedules. You can define an accounting rule in which revenue is recognized over
a fixed or variable period of time. For example, you can define a fixed duration accounting rule

a
with monthly revenue recognition for a period of 12 months.

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Chapter 3 - Page 149
Invoicing Rules
Rules that Accounts Receivables uses to determine when you will bill your customer and the
accounting period in which the receivable amount is recorded. You can bill In Advance or In
Arrears.
Override Flag
By selecting the Override Flag for either Accounting Rule and/or Invoicing Rule, you are
telling the system that you can override (change) the values for the rules when interfacing with
Accounts Receivables.

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Chapter 3 - Page 150
Creating Agreement Lines for Standard Price Lists

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Creating Agreement Lines for Standard Price Lists
These fields cannot be changed or additional lines cannot be entered from the Agreement
Lines.
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Chapter 3 - Page 151
Creating Agreement Lines for Agreement Price Lists

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Creating Agreement Lines for Agreement Price Lists
Any changes or additions that you make will be reflected on the other agreements that this
price list is attached to.
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Chapter 3 - Page 152
Creating Agreement Lines

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Creating Agreement Lines

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Order Management Super User, Vision Operations Responsibility
(N) Pricing > Pricing Agreements
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O ly
1. In the lowest region of the window, enter Product Value. If there is a customer item
associated, the customer item number will be defaulted to the Customer Item field.

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Customer item is a pricing attribute.
l
n a e
- The defaulted values for customer item, address and address category should not be
changed in this window. Changes to these should be made where the customer item

t
Receivables.
e r U s
relationship is maintained. Create the accounting and invoicing rules in Oracle

I n
- When you have created a customer item relationship with an internal inventory item
and you enter the inventory item product value, the customer item, address, and

c l e
address category will be defaulted.
2. Enter a unit of measure (UOM).

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3. Select Primary UOM if this price list line unit of measure is the primary pricing unit of

O measure for the item. The pricing engine uses the primary pricing unit of measure and the
Oracle Inventory unit of measure conversion information to price an order whose unit of

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Price Lists
Chapter 3 - Page 153
measure does not have a price list line. For example, a price list has two price list lines
for item A11111, one with unit of measure EA, the primary UOM, and one for boxes.
When the pricing engine receives an order in unit of measure CS, it accesses the unit of
measure conversion tables to convert CS to EA.
4. Select Price List Line in Line Type.
5. Select Unit Price for Application Method
6. Enter a base price in Value.
7. Enter the effectivity dates in Start Date and End Date. They should be within the
effectivity dates of the agreement.
8. Enter the Comments.
9. Enter a Revision number.
10. Enter a Revision Date.
You cannot enter an item category in Product Value.

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Chapter 3 - Page 154
Defining Pricing Attributes

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Defining Pricing Attributes

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Order Management Super User, Vision Operations Responsibility

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(N) Pricing > Pricing Agreements (B) Pricing Attributes

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The Product Context, Product Attribute, and Product Value default from the Agreement Line
that you are entering.

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The pricing attributes are joined as AND conditions since they apply to one price list line.
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Chapter 3 - Page 155
Defining Price Breaks for Agreements

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Defining Price Breaks for Agreements

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Order Management Super User, Vision Operations Responsibility

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(N) Pricing > Pricing Agreements (B) Price Breaks

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Entering an agreement line with price breaks:
1. Enter Price Break Header in Line Type.

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2. Enter Point or Range in Price Break Type

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3. Choose the Price Breaks button from the lowest region of the window. The Price Breaks

n
agreement line.
t e r
button is enabled only when you select the Price Break Header in Line Type on the

U s
I n
4. Do the remaining steps for each price break that you define. The Pricing Context defaults
to Volume; Pricing Attribute defaults to Item Quantity; Application Method value

c l e
defaults to unit price. The pricing context cannot be changed.
5. Enter the Value From/To.

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6. Enter the list price.

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Chapter 3 - Page 156
Revising Existing Agreements

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Revising Existing Agreements

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You must end the current revision before creating a new revision. An agreement can have

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multiple revisions but the effective dates cannot overlap. Only one revision can be effective for
a given range of effective dates.
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Chapter 3 - Page 157
Revising Existing Agreements

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Revising Existing Agreements (continued)

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If you need to make minor changes to an existing agreement such as changing the payment

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terms, you can simply change the agreement terms and save the changes. This simply updates
the existing agreement with your new changes.
O ly
However, if significant changes are required and you want to keep a record of previous

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agreements, you can create a new revision. This does not overwrite the existing agreement but
creates a new version of the original agreement. This is useful if you want to track and manage
a e
multiple versions of the same agreement.
n
t e r U s
You must determine when changes warrant a new agreement version, and then manually create
a new revision and revision number. For tracking purposes, a logical revision numbering

and so on.
I n
system will help you better manage your agreements such as numbering the revisions 2, 3, 4,

l e
Once the new agreement revision is created, you can update the agreement header information.

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Chapter 3 - Page 158
Revising Existing Agreements

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Revising Existing Agreements (continued)

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Order Management Super User, Vision Operations Responsibility

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(N) Pricing > Pricing Agreements (T) Agreement (B) Create Revision

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The original agreement must have an effective end date entered and saved before a new
revision can be created. The end date can be past, current, or future; however the date ranges

effective dates.
l & On
for any revisions cannot overlap. Only one revision can be in effect for a given range of

n a e
The Agreement Name defaults from the original agreement. Although you cannot change the

current date.
t e r U s
agreement name, you can change the revision number. The Revision Date defaults to the

I n
Revisions to the agreement header do not revise the pricing lines for the agreement. A change
to the price list lines affects all agreements that the price lines are attached to.

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Chapter 3 - Page 159
Deleting Agreements

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Deleting Agreements

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Pricing agreements can be deleted if they have not been used in any previous order
transactions.
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Once sales order lines have been attached to an agreement, the agreement cannot be deleted.
If you attempt to delete an agreement with sales order lines attached, a warning note notifies

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you that the agreement cannot be deleted.
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Chapter 3 - Page 160
Overview of General Services Administration (GSA) Pricing

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Overview of General Services Administration (GSA) Pricing
A General Services Administration (GSA) designation identifies a price list that belongs to a

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United States government customer. You can create a GSA price list for your GSA customers.
For products on the GSA price list, a fixed price must be used and defined on the GSA
O ly
contract. The GSA price list uses the Advanced Pricing - Define Modifier window to create a

l & On
discount that adjusts the base price of the item to the GSA price. The items on a GSA price list
cannot be sold to commercial customers for a price equal to or less than the government price.

a e
The price offered to the government must be the minimum in the market. A GSA violation

n
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occurs when a customer is offered a price equal to or less than the GSA Price.
s
You can set up multiple GSA price lists that are effective during the same time period.
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Chapter 3 - Page 161
What is GSA?

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Chapter 3 - Page 162
Creating GSA Price Lists

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Creating GSA Price Lists

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Order Management Super User, Vision Operations Responsibility

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(N) Pricing > Price Lists > GSA Pricing Setup > Define Modifier - Define GSA Price window

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The GSA price list and GSA prices are set up in the Advanced Pricing - Define Modifier
window.

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• Main tab: Type = Discount List
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• Modifiers Summary tab

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- Modifier Number: Enter a modifier number as an identifier for the GSA price list.

e r s
The Level defaults to Line, and the Modifier Type defaults to Discount.

t U
- Unit of Measure: Select the corresponding UOM for the item such as Each or Carton.

I n
• Discounts/Charges tab

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- Application Method: Defaults to Newprice.

c
- Value: The value is related to the selected Application Method. For example, if the

r a Application Method is New Price then the Value is expressed in currency units.

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Chapter 3 - Page 163
GSA Violations
GSA violations occur when the price of an item goes below the GSA price for the item for a
non-GSA customer. The pricing engine checks for GSA violations at the end of the pricing
engine call and sets the pricing_status_code on the request line to
QP_PREQ_GRP.G_STATUS_GSA_VIOLATION in case of a GSA violation. The calling
application may handle the GSA violation appropriately, which means that a warning or an
error message may be raised. In case of a GSA customer, the pricing engine gives the price on
the GSA price list. This request line can qualify for further discounts for the GSA customer.
The pricing engine does GSA violation checks only if the GSA_CHECK_FLAG on the control
record is passed as Y and if the GSA qualifier (Context = CUSTOMER, Attribute =
QUALIFIER_ATTRIBUTE15) is passed on the request line with a value N indicating that the
customer is a non-GSA customer. The attribute mapping API returns a GSA qualifier based on
the gsa_indicator flag checked on the customer in AR or the invoice location has the
gsa_indicator set to Y.
In OM, if the GSA violation profile is set to Warning, a warning message is raised. In case it is
set to Error, the application throws an error message.

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Chapter 3 - Page 164
Practice - Defining a GSA Price List and Entering a Sales Order
Overview
In this practice, you will learn how to create a GSA price list. The GSA price list process actually
creates a modifier with an application method of New Price.

Assumptions
• Oracle Pricing Manager, Vision Operations responsibility

• Order Management Super User, Vision Operations responsibility

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Creating a GSA Price List for Just Your XX-Palm Pilot

Responsibility = Oracle Pricing Manager, Vision Operations


m y
1. Navigate to the GSA Pricing Setup window.
d e
2. Select Discount List as the Type.
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− Number = XX-GSA (where XX are your initials)
− Name = XX-GSA Price List
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− Version = 1
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− Currency = USD (default).

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3.
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Complete the following entries in the Modifiers Summary tab:

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Modifier Level Modifier Type Proration Pricing Incompatibility

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No Type Phase Group
1 Line

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Discount None 10 (List Line
Adjustment)
Level 1

I n
Modifiers Summary tab (continued)
Bucket

c l e Product Attribute Product Attribute


Value

O ra
1 Item Number XX-Palm Pilot

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Price Lists
Chapter 3 - Page 165
4. Complete the following entries in the Discounts/Charges tab:
− Value = 640

5. Save your work.

Entering a Sales Order Using the GSA Price List

Responsibility = Order Management Super User, Vision Operations

6. Navigate to the Sales Orders window.

7. Enter the sales order header using the following information (all remaining information
defaults in):
− Customer = XX-Big City Electronics
− Price List = XX-Price List 1

8. Complete the following entries in the Line Items tab:

Ordered Item Quantity


XX-Palm Pilot 1

9. Save your work and note the order number: __________.

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10. Attempt to enter a price less than the GSA Pricelist price by entering $600.00 in the Unit
Selling Price field (and selecting the appropriate Manual Override modifier)
d e
11. Save your work
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You should receive a message that a GSA violation hold has been applied against this line.

12. Click OK.


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Enabling Your XX-Big City Electronics Customer for GSA Pricing
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Order Management Super User, Vision Operations responsibility

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13. (N) Trading Community > Trading Community > Customers > Standard

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t e r U s
14. In the Search region, enter XX-Big City Electronics in the Name field and click Go.

and click OK.


I n
15. Select your primary XX-Big City Electronics customer (the row with a customer number)

c l e
16. In the Order Management tab, select the GSA field.

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17. (I) Save and close all windows.

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Chapter 3 - Page 166
Entering another Sales Order Using the GSA Price List

Responsibility = Order Management Super User, Vision Operations

18. Navigate to the Sales Orders window.

19. Enter the sales order header using the following information (all remaining information
defaults in):
− Customer = XX-Big City Electronics
− Price List = XX-Price List 1

20. Complete the following entries in the Line Items tab:

Ordered Item Quantity


XX-Palm Pilot 1

21. Save your work and note the order number: __________.

22. Note your price changes from the XX-Price List 1 price to the XX-GSA Price List price. Try
to enter a price less than the GSA price list price entering $600.00 in the Unit Seeling Price
field (and selecting the appropriate Manual Override modifier).

23. Save you work.


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24. You can now make this change
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25. Save your work
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You should receive a message that A GSA violation hold has been applied against this line.

26. Click OK.


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Chapter 3 - Page 167
Solution - Defining a GSA Price List and Entering a Sales Order
Responsibility = Oracle Pricing Manager, Vision Operations

1. Navigate to the GSA Pricing Setup window.

• (N) Price Lists > GSA Pricing Setup

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2. (T) Main:
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− Type = Discount List (default)

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− Name = XX-GSA Price List& On
− Number = XX-GSA (where XX are your initials)

− Version = 1
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− Currency = USD (default)

U s
3.
n
(T) Modifiers Summary:

I
c l
Modifiere Level Modifier Type Proration Pricing Incompatibility

r a 1
No
Line Discount None
Type Phase
List Line
Group
Level 1

O Adjustment

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Price Lists
Chapter 3 - Page 168
Modifiers Summary tab (continued)
Bucket Product Attribute Product Attribute
Value
1 Item Number XX-Palm Pilot

4. (T) Discounts/Charges:
− Value = 640

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5. (I) Save.
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Entering a Sales Order Using the GSA Price List

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a e
Responsibility = Order Management Super User, Vision Operations

n
6.

• t e r U s
Navigate to the Sales Orders window.

n
Orders, Returns > Sales Orders

I
7. (T) Main:

c l e
− Customer = XX-Big City Electronics
− Price List = XX-Price List 1

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Chapter 3 - Page 169
8. (T) Line Items:

Ordered Item Quantity


XX-Palm Pilot 1

9. Save your work and note the order number: __________.

10. Attempt to enter a price less than the GSA Pricelist price by entering $600.00 in the Unit
Selling Price field (and selecting the appropriate Manual Override modifier)

11. (I) Save.

You should receive a message that a GSA violation hold has been applied against this line.

12. (B) OK.

Enabling Your XX-Big City Electronics Customer for GSA Pricing

Order Management Super User, Vision Operations responsibility

13. Navigate to the Customers page.

• (N) Trading Community > Trading Community > Customers > Standard
m y
14. In the Search region, enter XX-Big City Electronics in the Name field.
d e
15. (B) Go.
ca
16. Select your primary XX-Big City Electronics customer (the row with a customer number).
e A
17. (B) OK.
c l
18. (T) Order Management tab:
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− GSA field = Selected
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19. (I) Save. Close all windows.
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Entering another Sales Order Using the GSA Price List

t e r s
Order Management Super User, Vision Operations responsibility
U
I n
20. Navigate to the Sales Orders window.


l e
Orders, Returns > Sales Orders
c
r a
21. (T) Main:
− Customer = XX-Big City Electronics
O − Price List = XX-Price List 1

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Price Lists
Chapter 3 - Page 170
22. (T) Line Items:

Ordered Item Quantity


XX-Palm Pilot 1

23. (I) Save. Note the order number: __________.

24. Note your price changes from the XX-Price List 1 price to the XX-GSA Price List price. Try
to enter a price less than the GSA price list price by entering $600.00 in the Unit Selling
Price field (and selecting the appropriate Manual Override modifier).

25. (I) Save.

26. You can now make this change because the customer is now recognized as a GSA customer.

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Chapter 3 - Page 171
Creating GSA List Qualifiers

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Creating GSA List Qualifiers

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You may be unable to select existing groups from the Qualifiers tab because GSA price lists

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restrict the type of qualifiers that can be attached.

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Chapter 3 - Page 172
Creating GSA List Qualifiers

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Creating GSA List Qualifiers (continued)

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You can only attach customers at the list (header) level. You cannot assign line level qualifiers.

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Chapter 3 - Page 173
Sales Agreements

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Sales Agreements

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You can create a new price list without exiting the sales agreement in Oracle Order

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Management. Once you have accessed and closed the price list, you are returned to the sales
agreement. In the Sales Agreement window, you can access both the price list and modifier list
O ly
setups from the Actions button or by right-clicking your mouse. Alternatively, click the Price

l & On
List Setup button to display the price list setup. Once the price lists and modifiers are saved,
they can be updated only from the Sales Agreement window.

a e
Note: If you are using a sales agreement with a standard price list (and secondary price list)
n
for the sales agreement.
t e r U s
attached, the secondary price list is evaluated if the item is not found on the primary price list

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Chapter 3 - Page 174
Sales Agreements

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Sales Agreements (continued)

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• The Other tab in the Price List window displays List Source Document ID (of the sales

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agreement) and List Source Code of the sales agreement, populated automatically from the
related sales agreement. This is only displayed for lists created from a sales agreement.
O ly
• All price and modifiers lists display the Pricing Transaction Entity (PTE) and System

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Source Code of the application that created the list.
• Customer Name and Number will be populated for all lists generated from a sales
agreement.
n a e
t e r U s
• All price lists and modifier lists are automatically non-shareable with other sales
agreements and can only be updated from the sales agreement.

I n
• The following fields have been added to the price list lines for entering Customer Item,
Address, and Address Category. These fields can only be updated from a sales agreement

l e
and are reserved for sales agreements use.

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Chapter 3 - Page 175
Summary

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Chapter 3 - Page 176
Formulas

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Chapter 4

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Formulas
Chapter 4 - Page 1
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Chapter 4 - Page 2
Formulas

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Chapter 4 - Page 3
Objectives

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Chapter 4 - Page 4
Overview of Formulas

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Overview of Formulas

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A pricing formula consists of a formula expression such as 1*2 and formula lines, identified by

r a
step numbers, that define the formula expression. Each formula line can be associated with a
formula type to define how to derive the value for that line.
O ly
When you select a formula for a price list line, you typically do not enter a price for that line

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because the formula calculates the final list price of the product or service. One exception is the
formula type of List Price that requires the list price (base price) to be defined for the formula.

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Chapter 4 - Page 5
Pricing Formula Example

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Pricing Formula Example

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For each preceding step number, you need to create four formula lines since the formula has

r a
four step numbers. Oracle Advanced Pricing evaluates each formula line and calculates the
formula. It does not use the face value of the step number (for example, the value of 1 in this
O ly
formula expression corresponds to a formula line identified with the step number of 1).

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Chapter 4 - Page 6
Pricing Formula Example

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Pricing Formula Example (continued)

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Suppose the formula(1+2*SQRT(3))/4 has the following values (these are just random
values):
r a
• Step 1 value = 11
• Step 2 value = 5 O ly
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• Step 3 value = 5 (square root of 25)
• Step 4 value = 2

n a e
e r
Note: The numbers in the formula expression (such as 1 + 2) correspond to Step Numbers
s
defined in the formula setup rather than absolute numbers. Therefore, 1 + 2 means add the
t U
sums resulting from Step 1 and Step 2 as defined in the formula, not literally adding 1+2 for a

I n
sum of 3. The standard order of operations is used for calculations involving more than one

e
arithmetic operation.

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Chapter 4 - Page 7
Creating Pricing Formulas

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Creating Pricing Formulas

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Order Management Super User, Vision Operations Responsibility

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(N) Pricing > Pricing Formulas > Formulas Setup
To create a pricing formula:
O ly
1. Navigate to the Advanced Pricing - Pricing Formulas window.

l & On
2. Enter a Name for the pricing formula.

a e
3. Enter a pricing formula Description.

n
t e r
4. Enter the effective start and end dates for the pricing formula.
s
5. Enter the Formula which consists of step numbers (such as 1, 2, 3) in an arithmetic
U
n
equation such as 1*2. A step number such as 1 corresponds to the formula line with the

region.
e I
step number 1. You can assign a step number to a formula line in the Formula Lines

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Formulas
Chapter 4 - Page 8
Creating Pricing Formula Lines

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Creating Pricing Formula Lines

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Order Management Super User, Vision Operations Responsibility

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(N) Pricing > Pricing Formulas > Formulas Setup

O ly
In the Formula Lines region, you create formula lines (identified by a step number) that can be
used in a formula. Complete the following steps for each formula line you want to create.

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1. Select one of the following Formula Types:
l
- Function
- List Price
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- Factor List

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- Modifier Value - A formula which has a Modifier Value as a component cannot be

I
attached to a Price List line.

e
l
- Numeric Constant

a c
- Price List Line - A formula which has List Price as a component and is attached to a
Price List Line gets the list price from the Value entered in a Price List line.

O r - Pricing Attribute
2. Enter the following information depending on Formula Type:

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Formulas
Chapter 4 - Page 9
- Function: Component displays GET_CUSTOM_PRICE. You must write the function
in this PL/SQL package and it must return a number.
- 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.
- Numeric Constant: Enter the numeric constant in Component.
- Price List Line: In Component, select a price list and item number from the list of
values.
- Pricing attribute: Select the pricing context in Pricing Attribute Context. Select the
pricing attribute name in Pricing Attribute.
3. 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.
4. The Reqd Flag check box is currently not used by the pricing engine except if you are
using custom code for tracking formula line information. If you are using custom code for
this purpose, then enable the Reqd Flag check box to track.

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Chapter 4 - Page 10
Pricing Formulas

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Pricing Formulas

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In the Pricing Formulas window, you define a formula expression that can contain any of the
following:
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• Operands: Operands are step numbers about which you provide more detail. You can use
as many step numbers as you need, up to the limit of the field. You can repeat a step

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number in a formula, for example, 1+2*2.
• Parentheses: for example, (and)

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• Mathematical operators: for example, +, -, /, and *

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• Built-in functions: for example, NVL, SQRT, and MOD
- NVL: The NVL expression returns different results, depending on whether its first

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argument evaluates to NULL.

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- SQRT: Returns the square root of each element.
- MOD: The MOD numeric function returns the remainder when dividing two

r a numbers.

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Chapter 4 - Page 11
An operand is not a numeric constant. If you want to use a numeric constant in a formula,
you must create a step number in the formula expression and then assign the numeric
constant to the step number in a formula line.

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Chapter 4 - Page 12
Formula Line Types

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Formula Line Types

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When you set up a formula line, select from these available formula types:

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• Function: The function GET_CUSTOM_PRICE retrieves a price from an external system

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and uses it in the formula calculation. You create the program logic to map to the external
data source by developing PL/SQL program packages. The function

l & On
GET_CUSTOM_PRICE returns a numeric value.
• List price: The price of the item in a specific price list to which you have attached a
formula.
n a e
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• Factor list: A list of factors that you can link to multiple pricing attributes or a range of
these attributes. The pricing engine evaluates the formula, then chooses one of these

I n
factors depending into which range the actual pricing attribute of the item falls.
• Modifier Value: Uses the value that is entered in the Value field from the Advanced

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Pricing - Define Modifier window > Discounts/Charges tab.

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• Numeric constant: A numeric value.

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• Price list line: The price of the item in a specific line number of a specific price list.

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Formulas
Chapter 4 - Page 13
• Pricing attribute: The absolute value of a pricing attribute (such as thickness or height) of
an item.

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Chapter 4 - Page 14
Formula Line Types

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Formula Line Types (continued)

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Enter the following information depending on Formula Type:

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• Function (Explained as separate topic later in this module)

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• Component displays GET_CUSTOM_PRICE
• You must write the function in this PL/SQL package and it must return a number
• Factor List
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• In Component, select or enter the name of a factor list

n
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• 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

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Chapter 4 - Page 15
Formula Line Types

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Formula Line Types (continued)

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Enter the following information depending on Formula Type:

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• Numeric Constant: In Component, enter the numeric constant.

O ly
• Price List Line: In Component, select a price list and item number from the list of values.
• Pricing Attribute:

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• In Pricing Attribute Context, select the pricing context.

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• In Pricing Attribute, select the pricing attribute name.

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Chapter 4 - Page 16
Formula Type: Function

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Formula Type: Function
Examples:
c l
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• You coat integrated circuit pins with gold and you price the circuit depending on the price

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of gold. The formula uses the commodity price of gold posted on a specific web page.
• You price an item depending upon a replacement value. The formula uses the value that

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you maintain in a spreadsheet.
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Chapter 4 - Page 17
Formula Type: List Price

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Formula Type: List Price

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Uses the value that is entered in the Value field from the Advanced Pricing – Price Lists
window > List Lines tab.
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Chapter 4 - Page 18
Formula Type: Factor List

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Formula Type: Factor List

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Use Factor Lists to associate values and factors with a Pricing Attribute. The Pricing engine

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compares the Values entered on a Sales Order to the values in the Factor List to select the
correct Factor to use.
O ly
For example you may need to factor in the Skill level of your Consultants when calculating the
sales order price.
Base Price $100
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Skill Level Factor Results

n a e
Apprentice .85 Markdown 85

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Staff

U
Principal s 1.0
1.5
Regular Price 100
Markup 150

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The Formula’s Pricing Context must match the Pricing Context on the Price List Line that the

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formula is being attached to.
You can create OR logic by the way you define your factor list. Each value that a Pricing

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Attribute can have is entered as a Base Price Attribute line.
Example of OR logic:

O Base Price Attribute Thickness = Value: 0.1 mm Factor: 1

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Formulas
Chapter 4 - Page 19
Base Price Attribute Thickness = Value: 0.2 mm Factor: 2
The pricing engine will retrieve a Factor if the customer orders a thickness of 0.1 mm OR 0.2
mm.
You can create AND logic if you link an Associated Pricing Attribute line to the Base Price
Attribute line.
Example of AND logic:
Base Price Attribute Thickness = Value: 0.1 mm Factor: 7
Associate Pricing Attribute Length = Value: 0.5 mm.
The pricing engine will use the Factor 7 if the customer orders a thickness of 0.1 mm AND a
length of 0.5 mm.
You can assign a single value to the Pricing Attribute or a range of values by using the
Operator field. The Operator = (equal) is a single value. The Operator BETWEEN allows you a
range of values.
See Examples above to understand single value.
You can also use multiple values within factor lists.
Example of multiple values:
Base Price Attribute Thickness BETWEEN Value: 0.1 and .3 mm Factor: 3
Base Price Attribute Thickness BETWEEN Value: 0.4 and .6 mm Factor: 6
The Pricing Engine will use the Factor 6 if the customer orders a thickness of 0.5mm.

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Chapter 4 - Page 20
Formula Type: Factor List Example

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Formula Type: Factor List Example

c l
(N) Pricing > Pricing Formulas > Formulas Setup (B) Factors

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To define factor list details (the Formula Type must be Factor List), click Factors to display the
Factors window.
O ly
A factor list enables you to define your formula based on multiple pricing attributes or a range
of these attributes.
l & On
n a e
When the pricing engine evaluates the formula, it then chooses one of these factors depending
into which range the actual pricing attribute of the item falls.

t e r U s
For example, a step in the formula may have different factors defined for different ranges of
glass thickness: a glass with thickness between 0.1 and 0.3 mm has a factor of 3 and a glass

I n
with thickness between 0.4 and 0.8 mm has a factor of 5. The pricing engine determines which
factor qualifies when it evaluates an order and applies this factor in the formula calculation.

l e
You can also relate multiple factor conditions. For example, if the base pricing attribute for
c
glass thickness is between 0.1 and 0.3 mm AND the length of the glass is between 0.5 and 2 m,

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apply the factor of 3 OR if the base pricing attribute for glass thickness is between 0.4 and 0.8
mm AND the length of the glass is between 0.5 and 2 m, apply the factor of 5.
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Chapter 4 - Page 21
Finding Formula Factor Lines

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Finding Formula Factor Lines

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A factor list can consist of hundreds of factor lines and associated base pricing attributes. If

r a
your business requirements require you to change the values of certain pricing attributes, it is
time consuming to scroll through the entire factor list to find a required record. Instead use the
O ly
Find Formula Factor Lines window to selectively retrieve the records you want.

l & On
You can narrow your search by selecting search criteria that defines the factor line you want to
retrieve. You can query by Pricing Context, Pricing Attribute, Query Operator, and Pricing
Attribute Value.
n a e
t e r U s
The query returns all those factors in the factor list which has either a base or an associated
pricing attribute that meets the query criteria. The results are sorted by the Pricing Attribute

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Value From of the Base Pricing Attribute of the factor lines that are returned by the query.

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Formulas
Chapter 4 - Page 22
Formula Type: Modifier Value

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Chapter 4 - Page 23
Formula Type: Numeric Constant

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Formula Type: Numeric Constant

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Enter the numeric constant in the Component field.

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Chapter 4 - Page 24
Formula Type: Price List Line

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Formula Type: Price List Line

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In the Component field, select a price list and item number from the list of values.

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The price list line does not need to be the line where the formula is attached.

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Chapter 4 - Page 25
Formula Type: Pricing Attribute

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Formula Type: Pricing Attribute

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Pricing attributes are characteristics of products and services that you can use to determine the

r a
price of a product or service. Distance, age of a related product, customer class, product family
group, and level of service are examples of pricing attributes. You can specify one or a
O ly
combination of pricing attributes and assign them to a product or service. At order entry time,

the price.
l & On
the pricing engine evaluates the attributes you have specified during formula setup to calculate

a e
You can define as many attributes as you need to meet your pricing business needs. For
n
r s
example, you may use the formula 1*2 to calculate the price of a glass item. Step 1 is a pricing

e
attribute for thickness and step 2 is the list price to calculate the price of a glass item; if 100 is
t U
the base price of the glass item and 0.3 is the value of the thickness attribute of the glass, then

I n
the pricing engine evaluates the formula as 0.3*100 which is 30.

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Chapter 4 - Page 26
Advanced Pricing-Pricing Formulas window

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Advanced Pricing-Pricing Formulas window

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You can set up and update formulas and formula lines in the Advanced Pricing - Pricing

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Formulas window. The formula lines provide details about each part of the formula.

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Chapter 4 - Page 27
Build Formula Package

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Build Formula Package

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Every time a new formula expression is created or updated, a warning dialog box displays a

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message to run the concurrent program Build Formula Package. The generated package is
called from the main engine formula package at run time to calculate the formula value.
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Chapter 4 - Page 28
Practice - Creating a Simple Pricing Formula
Overview
In this practice you will create a simple pricing formula. The objective is to observe the formula
components.

Assumptions
• Oracle Pricing Manager, Vision Operations responsibility

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Creating a Simple Formula

1. To create a simple formula, navigate to the Advanced Pricing - Pricing Formulas window.

2. Create a formula using the following information:


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− Name = XX-Formula (XX is a unique identifier)
− Description = List Price * Constant of 1.5
d e
− Effective Dates = Use today’s date
− Formula = 1*2 ca
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3.
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Enter the formula lines using the following information:

c
Formula Type
Numeric Constant r a
1.5
Component
1
Step

List Price O ly 2

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Attaching the Simple Formula to a Price List Line

n
4.
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To attach a formula to a price list line, navigate to the Price Lists page (HTML UI).

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Formulas
Chapter 4 - Page 29
5. Attach formula XX-Formula to price list XX-Price List 1 using the following information:

Product Product Value Line Type Application Value Dynamic


Context Attribute Method Formula
Item Item AS92888 Price List Unit Price 2300 XX-Formula
Number Line

6. Click Apply.

7. Save your work.

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Formulas
Chapter 4 - Page 30
Solution - Creating a Simple Pricing Formula
Defining a Simple Formula

Responsibility = Oracle Pricing Manager, Vision Operations

1. To create a simple formula, navigate to the Formula Setup window.

• (N) Pricing > Pricing Formulas > Formulas Setup

2. Create a formula using the following information:


− Name = XX-Formula (XX is a unique identifier)
− Description = List Price * Constant of 1.5
− Effective Dates = Use today’s date
− Formula = 1*2

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Formulas
Chapter 4 - Page 31
3. Enter the formula lines using the following information:

Formula Type Component Step


Numeric Constant 1.5 1
List Price 2

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4. Save your work.
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Attaching the Simple Formula to a Price List Line

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Responsibility = Oracle Pricing User, Vision Operations

5.
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To attach a formula to a price list line, navigate to the Advanced Pricing Home page.


t e r U s
(N) Oracle Pricing User > Home > (T) Lists

6. Search:
I n
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− Price List Name = XX-Price List 1

c
7.
r a (B) Go.

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Formulas
Chapter 4 - Page 32
8. (I) Update.

9. (Link) Price List Lines.

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Chapter 4 - Page 33
10. Select item AS92888.

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11. (B) Update. Displays the Update Price List Line page.
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Chapter 4 - Page 34
12. Price Detail region: Ensure the amount in the Value field is 2300.

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13. Price Detail region:
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− Formula Type = Dynamic
− Formula = XX-Formula
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14. (B) Apply.
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15. Save your work.
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Formulas
Chapter 4 - Page 35
Practice - Creating a Sales Order Using a Simple Pricing Formula
Overview
In this practice you will create a sales order using the simple pricing formula created in the
previous practice.

Assumptions
• Order Management Super User, Vision Operations responsibility

• Prior practices are completed. Practices build on earlier exercises.

• You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.

Tasks
Creating a Sales Order

1. To create a sales order, navigate to the Sales Orders - New window.

2. Enter the following sales order header information under the Main tab:
m y
− Customer = XX-Big City Electronics
− Order Type = Mixed
d e
− Price List = XX-Price List 1
ca
3. Enter a sales order line using the following information:

e A
1.1
Line
AS92888
c l Ordered Item
1
Quantity

r a
4.
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Note the Unit Selling Price: ____________.

5.
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Save your sales order and note the sales order number: __________.

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Formulas
Chapter 4 - Page 36
Solution - Creating a Sales Order Using a Simple Pricing Formula
Creating a Sales Order

Responsibility = Order Management Super User, Vision Operations

1. To create a sales order, navigate to the Sales Orders window.

• (N) Orders, Returns > Sales Orders

2. Enter the following sales order header information under the Main tab. The required header
information defaults from the customer setup:

• (T) Main
− Customer = XX-Big City Electronics
− Order Type = Mixed
− Price List = XX-Price List 1

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Formulas
Chapter 4 - Page 37
3. Create a sales order line using the following information:

• (T) Line Items

Line Ordered Item Quantity


1.1 AS92888 1

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4.
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Note the Unit Selling Price: _________. The pricing engine calculates the price using the

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formula and the result is $3450 (1.5*2300).

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Chapter 4 - Page 38
5. Save your sales order and note the sales order number: __________.

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Chapter 4 - Page 39
Get_Custom_Price API

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Get_Custom_Price API

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Oracle Advanced Pricing provides a function called Get_Custom_Price with a standard set of

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input parameters. This API enables you to write a custom code in the function body and use the
input parameters supplied by the pricing engine. The value returned by the Get_Custom_Price
O ly
function can be used in a formula expression. To use the customized Get_Custom_Price

l & On
function’s return value in a formula, you must set up a formula with a line type of Function
(the formula may or may not have other formula lines).

a e
The technical information for setting up this API is documented in the Oracle Order
n
t e r U s
Management Open Interfaces, API, & Electronic Messaging Guide.

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Chapter 4 - Page 40
GET_CUSTOM_PRICE Example

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GET_CUSTOM_PRICE Example

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When the pricing engine evaluates a formula, it passes the formula, price list, and discount
information to GET_CUSTOM_PRICE.
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GET_CUSTOM_PRICE returns a value, the pricing engine uses that value to calculate the
formula and returns the formula value to the calling application.

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Formulas
Chapter 4 - Page 41
GET_CUSTOM_PRICE Example

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GET_CUSTOM_PRICE Example (continued)

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The Item or Item Category must be present in the price list/modifier list to call the
get_custom_price function.
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Chapter 4 - Page 42
Customizing GET_CUSTOM_PRICE

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Chapter 4 - Page 43
Using GET_CUSTOM_PRICE

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Using GET_CUSTOM_PRICE

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GET_CUSTOM_PRICE is in the package QP_CUSTOM and its specification is

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QPXCUSTS.pls. QP_FORMULA_PRICE_CALC_PVT calls

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QP_CUSTOM.Get_Custom_Price().

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Formulas
Chapter 4 - Page 44
GET_CUSTOM_PRICE Parameters

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GET_CUSTOM_PRICE Parameters

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The pricing engine passes the parameters to the function. You may not change the

r
GET_CUSTOM_PRICE parameters which are:
a
O ly
• p_price_formula_id: Primary key of the formula that uses the Get_Custom_Price
function.

l & On
• p_list_price: List price on the price list line to which the formula using

n a e
Get_Custom_Price is attached. May be null.
• p_price_effective_date: Pricing Effective Date, the date for which the pricing

e r s
engine is evaluating the formula.

t U
• p_req_line_attrs_tbl: PL/SQL table of records containing context, attribute, and

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attribute value records for product and pricing attributes and a column indicating the type

l e
(Product Attribute or Pricing Attribute). The engine passes only the pricing and product
Attributes of the price list line to which the formula is attached.
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Chapter 4 - Page 45
Implementing Get Custom Price

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Implementing Get Custom Price

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Step 1: Write extension code in qp_custom.get_custom_price

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If you use get_custom_price, then you must create the package body for qp_custom and create
a function get_custom_price.
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The pricing engine calls the API qp_custom.get_custom_price with the following set of
parameters:
l & On
• P_list_price: IN NUMBER
n a e
• P_price_formula_id: IN NUMBER

e r s
• P_price_effective_date: IN DATE

t
• P_req_line_attrs_tbl: IN
U
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QP_FORMULA_PRICE_CALC_PVT.REQ_LINE_ATTRS_TBL)

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The formula ID identifies the formula from which the API is called.
P_req_line_attrs_tbl provides information such as product, pricing attributes and

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qualifiers. P_req_line_attrs_tbl contains the following fields:
• Line_index: Line index of the price request line

O • Attribute_type: Qualifier, product, pricing

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Formulas
Chapter 4 - Page 46
• Context: Context name (for example, Item)
• Attribute: Attribute name (for example, Pricing_attribute1)
• Value_from: Attribute value (for example, 149)
A DML (Insert/Update/Delete) operation is not supported in the get_custom_price routine. The
pricing engine does not guarantee upgrade possibility if any engine variables are referred in the
get_custom_price function.
For example:
CREATE or REPLACE PACKAGE BODY QP_CUSTOM AS
FUNCTION Get_Custom_Price (p_price_formula_id IN NUMBER,
p_list_price IN NUMBER,
p_price_effective_date IN DATE,
p_req_line_attrs_tbl IN
QP_FORMULA_PRICE_CALC_PVT.REQ_LINE_ATTRS_TBL)
RETURN NUMBER
is
BEGIN
if p_price_formula_id = 7538 then
return 14.01;
end if;
end get_custom_price;
m y
END QP_CUSTOM;
Step 2: Set the value of profile QP: Get Custom Price Customized
d e
The engine calls the get_custom_price function only if profile QP: Get Custom Price
ca
Customized is set to Y. If you set up a formula but not a profile, a runtime error displays. Set
the profile at site level.

e A
c l
Step 3: Create a formula to use the get_custom_price function
Remember to note the formula_id by using Help, Examine. Use this formula ID in the

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get_custom_price function to identify the formula.

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Step 4: Attach this formula to the price list line

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Chapter 4 - Page 47
Linking Formulas To Modifier or Price List Lines

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Linking Formulas
Price List Lines
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In the Advanced Pricing - Price Lists window - List Lines tab, select either a Static Formula or
Dynamic Formula:
O ly
• If you enter a static formula, run a concurrent process to calculate the value. The result of

& On
the calculation changes the Value.
l
n a e
• If you enter a dynamic formula, you only need to enter Value if the formula includes list
price as one of the formula components. At pricing time, the pricing engine calculates the

t e r U s
price of the item using the formula. If the formula does not return a price, the engine uses
the value of Price as the price.
Modifier Lines
I n
A formula can only be used with the following Modifier types: Discount, Surcharge, or

l e
Freight/Special Charges.
c
r a
In the Advanced Pricing - Define Modifier window - Discounts/Charges tab:
Enter a formula name to use a formula to calculate the amount.

O
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Formulas
Chapter 4 - Page 48
If the formula equation includes Modifier Value (MV), the value for MV originates from the
Value field in the Discounts/Charges tab. Consider the following formula with the equation
(List Price * Modifier Value = Final Discount):
Example of Formula and Modifier Value
Formula List Price (LP) Modifier Value (MV) Final Discount
LP *MV=Final Discount 20 3 60
At Order Entry, when the modifier is selected and the formula LP *MV is applied, the list price
of the item on the order (LP) is multiplied by the value that is entered in the modifier’s Value
field. In this case, the value is 3. So the final discount is 20*3=60.
A formula without a Modifier Value component can be attached to a modifier even if a value is
entered on the modifier line. In this case, the formula takes precedence and the modifier value
is not used. Instead, the number returned by the formula is considered as a final discount.

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Chapter 4 - Page 49
Types of Formula Processing

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Types of Formula Processing

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Select a formula for a price list or modifier line from either the Static Formula or

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Dynamic Formula field. Your selection determines how the formula is processed:

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• Static Formula: Run a concurrent process which calculates absolute price values.

someone orders the product.


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• Dynamic formula: The pricing engine uses the formula in its calculations whenever

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Chapter 4 - Page 50
Static Formula Processing

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Chapter 4 - Page 51
Dynamic Formula Processing

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Chapter 4 - Page 52
Null Values in Formulas

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Chapter 4 - Page 53
Null Values Example

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Null Values Example

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The user should supply the volume at order entry time.

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Since the user may not provide a volume, use the NVL expression in the formula to point to a

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step that evaluates to a non-null value.

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Chapter 4 - Page 54
Null Values Example

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Null Values Example (continued)

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If the expression does not use NVL in the expression, and the step number evaluates to NULL,

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the entire expression evaluates to NULL, the formula calculation fails, and the calling
application processes the failure.
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Chapter 4 - Page 55
Formula Step Values Window

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Chapter 4 - Page 56
Formula Step Values Window

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Formula Step Values Window

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Click the Step Values button in the Pricing Engine Request Viewer window to display the

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Formula Step Values window. The cursor needs to be in the Pricing Engine Request Line
Details region.
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Chapter 4 - Page 57
Using the Formula Step Values Window

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Using the Formula Step Values Window

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Order Management Super User, Vision Operations Responsibility

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(N) Order, Returns > Sales Orders (M) Tools > Pricing Engine Request Viewer (B) Step
Values
Columns in this window include:
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• Step Number: Step number corresponding to a formula line.
l
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• Component Value: Evaluated value of a formula step.
• Formula Type: Type of the formula line. Possible values are:
- FUNC: Function

t e r U s
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- LP: List Price

I
- ML: Factor List

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- MV: Modifier Value
- NUM: Numeric Constant

r a - PLL: Price List Line

O - PRA: Pricing Attribute

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Formulas
Chapter 4 - Page 58
• Formula Name: Name of the Pricing Formula.
• Formula: Indicates the mathematical formula for a rule.

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Chapter 4 - Page 59
Updating Formula Prices Window

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Updating Formula Prices Window

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Use this process when you use static formulas to set list prices. When you attach a formula to a
price list line, you can choose:
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• Dynamic calculation: When you enter an order the pricing engine uses the formula to
calculate list price.

the list price.


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• Static calculation: Prior to order entry, you execute a concurrent process which calculates

To update formula prices:


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Order Management Super User, Vision Operations Responsibility
(N) Pricing > Pricing Formulas > Update Formula Prices

I n
Navigate to the Update Formula Prices window.

l e
1. To instruct the process to calculate formula-based prices for price list lines whose formulas
you have added or changed since the process last executed, select New and Modified Lines
c
r aOnly of Price Lists.
2. To instruct the process to calculate formula-based prices for all price list lines, deselect

O New and Modified Lines Only of Price Lists.

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Formulas
Chapter 4 - Page 60
3. To consider price list lines that have any formula, select Update All Pricing Formulas for
Price Lists.
To consider price list lines that have a certain formula:
- Select Update Individual Pricing Formula for Price Lists
- In Pricing Formula, select the pricing formula from the list of values.
The process applies this choice after it selects the price list lines according to the criteria
for Step 2.
4. Click Submit to display the Request ID.

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Chapter 4 - Page 61
Seeded Freight and Special Charge Formulas

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Seeded Freight and Special Charge Formulas

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Oracle Advance Pricing provides seeded formulas to help you easily define Freight and Special

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Charge modifiers. These formulas can be used for simple Cost to Charge Conversion and Cost
to Charge Conversion with Markup. The formula header and formula lines can be updated by
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the user for each of these seeded formulas. The Seeded check boxes in the Advanced Pricing –

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Pricing Formulas window help users identify the seeded formulas and formula lines.
Seeded Cost-to-Charge Conversion Formulas

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QP: Cost to charge conversion of Administration Cost

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QP: Cost to charge conversion of Duty Cost
QP: Cost to charge conversion of Export Cost

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QP: Cost to charge conversion of Freight Cost

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QP: Cost to charge conversion of Handling Cost
QP: Cost to charge conversion of Insurance Cost

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QP: Cost to charge conversion of Transportation Price
QP: Cost to charge conversion of Transportation Charge
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Formulas
Chapter 4 - Page 62
Seeded Markup Formulas
QP: Cost to charge markup of Administration Cost
QP: Cost to charge markup of Duty Cost
QP: Cost to charge markup of Export Cost
QP: Cost to charge markup of Freight Cost
QP: Cost to charge markup of Handling Cost
QP: Cost to charge markup of Insurance Cost
QP: Cost to charge markup of Transportation Price
QP: Cost to charge markup of Transportation Charge

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Chapter 4 - Page 63
Setting up Formula Profile Options

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Setting up Formula Profile Options

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During implementation, you set values for profile options at various levels to specify how

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Oracle Advanced Pricing controls access to and processes data. Typically, the system
administrator sets and updates profile option values.
QP: Debug O ly
Pricing Engine Request Viewer.
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Set the value of profile option QP: Debug to Request Viewer On when you want to start the

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The profile option, QP: Set Request Name, can be used in conjunction with the QP:

t e r U s
Debug profile option. When the QP: Set Request Name is set to Yes, the Request
Name field will be prefixed with the Order ID.
Values:
I n
• Request Viewer On

l e
• Request Viewer Off
c
r a
• Request Viewer On, but Debug Log is not Visible in Viewer

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Chapter 4 - Page 64
QP: Get Custom Price Customized
Indicates if, when processing formulas, the pricing engine should evaluate the line type of
Function. If your organization wants to use this formula line type, you must:
• Customize the GET_CUSTOM_PRICE function.
• Set this profile option to Yes.
Values:
• Yes: When processing formulas, the pricing engine evaluates the line type function. This
profile option must be set as Yes if the package body for QP_CUSTOM is coded.
• No: When processing formulas, the pricing engine does not evaluate the line type
function.
QP: Insert Formula Step Values into Temp Table
Determines if you want formula step values inserted into temporary pricing tables. If steps are
inserted into temporary pricing tables, then you can review pricing transactions in the Pricing
Engine Request Viewer window to see which lines were selected or rejected by the
pricing engine and determine which prices and adjustments were or were not applied.
Values:
• Yes: If set to Yes, the step values of each formula attached to a price list line is evaluated
by the Pricing Engine and inserted into the temporary table
QP_FORMULA_STEP_VALUES_TMP. This can be referenced by customized code.
y
• No: If set to No, the step values are not inserted into the temporary table described above.
m
QP: Set Request Name

d
This profile can be used in conjunction with the QP: Debug profile option so that the Reqe
Name field will be prefixed with the Order ID.
Values:
ca
A
• Yes: The value of the Request Name field in the Pricing Engine Request window will be

e
prefixed with the Order ID.

c l
• No: Only the Request ID is stored in Request ID field of the Pricing Engine Request
window.
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Chapter 4 - Page 65
Formula Scenario 1

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Formula Scenario 1

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Splinters Glass Company manufactures windshields for cars and trucks. It sells both to

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wholesale customers and to retail customers.

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Chapter 4 - Page 66
Formula Scenario 1

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Formula Scenario 1 (continued)
Step 1
c l
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1. In the Context Setup window (use attribute manager feature), query the pricing attributes.

O ly
2. Define three new pricing attributes:
- Width
- Height
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- Thickness

n a e
Step 2
t e r U s
3. Use the context Pricing Attributes

I n
1. Create a formula header
- Formula Name = Glass Pricing Formula

l e
- Formula = 1 * 2 * 3 * 4
c
r a
2. Create a formula line
- Formula Type = Numeric Constant

O - Component = 3

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Formulas
Chapter 4 - Page 67
- Step Number = 1
3. Create a second formula line
- Formula Type = Pricing Attributes
- Pricing Attribute Context = Pricing Attributes
- Pricing Attribute = Width
- Step Number = 2
4. Create a third formula line
- Formula Type = Pricing Attributes
- Pricing Attribute Context = Pricing Attributes
- Pricing Attribute = Height
- Step Number = 3
5. Create a fourth formula line
- Formula Type = Factor List
- Component = Thickness Factor
- Step Number = 4
6. Select Factors
7. In the base pricing attributes region, create a row:
- Base Pricing Attribute = Thickness
- Comparison Operator = Between
- Value From = 0
m y
- Value To = 5
d e
- Adjustment Factor = 0.10
8. Create a second row in the base pricing attributes region:
ca
- Base Pricing Attribute = Thickness

e A
- Comparison Operator = Between
- Value From = 5
c l
- Value To = 10
r a
- Adjustment Factor = 0.15
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9. Create a third row in the base pricing attributes region:
- Base Pricing Attribute = Thickness

a e
- Comparison Operator = Between
n
- Value From = 10

t e r U
- Adjustment Factor = 0.20s
Step 3
I n
c l e
1. Create a price list
- Name = Retail

r a
2. Add a qualifier
- Context = Customer
O - Attribute = Customer Class

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Formulas
Chapter 4 - Page 68
- Value = Retail
3. Create a new list line
- Item = Windshield
- UOM = Each
- Dynamic Formula = Glass Pricing Formula
- Method = Amount
- Line Type = PLL

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Chapter 4 - Page 69
Formula Scenario 2

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Formula Scenario 2

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Splinters Glass Company manufactures windshields for cars and trucks. It sells both to

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wholesale customers and to retail customers.

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Chapter 4 - Page 70
Formula Scenario 2

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Formula Scenario 2 (continued)
Step 1
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1. Create a formula header
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• Formula Name = Warranty Pricing Formula
• Formula = 1 * 2
2. Create a formula line
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• Formula Type = Numeric Constant

n
• Component = 0.10

t
• Step Number = 1
e r U s
I n
3. Create a second formula line
- Formula Type = Price List Line

l e
- Component = Windshield line of replacement price list
c
r a
Step 2
- Step Number = 2

O 4. Create a price list

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Formulas
Chapter 4 - Page 71
- Name = Warranties
5. Add a qualifier
• Context = Customer
• Attribute = Customer Class
• Value = Retail
6. Create a list line
- Item = Protection Plan
- UOM = Each
- Dynamic Formula = Warranty Pricing Formula
- Method = Amount
- Line Type = PLL

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Chapter 4 - Page 72
Summary

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Chapter 4 - Page 73
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Chapter 4 - Page 74
Qualifiers and Qualifier
Groups
Chapter 5

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Chapter 5 - Page 1
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Chapter 5 - Page 2
Qualifiers and Qualifier Groups

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Chapter 5 - Page 3
Objectives

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Chapter 5 - Page 4
Objectives

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Chapter 5 - Page 5
Overview of Qualifiers

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Overview of Qualifiers

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• Qualifier Contexts: Flattened hierarchies where similar qualifying attributes can be

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grouped into logical categories. The specificity is indicated by precedence.

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• Qualifiers: Specific attributes that assist Oracle Advanced Pricing with defining the who
for benefit or price eligibility.

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• Qualifier Value: Value you chose to associate with a qualifier attribute.
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Chapter 5 - Page 6
Overview of Qualifiers

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Chapter 5 - Page 7
Creating Qualifiers for Price Lists or Modifiers

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Qualifiers and Qualifier Groups


Chapter 5 - Page 8
Creating List Qualifiers in Creation Flow (HTML UI)

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Creating List Qualifiers in Creation Flow (HTML UI)
This diagram shows where you can add qualifiers in the guided steps for creating a price list or
modifier list in the HTML UI:
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1. In the first step, enter the general information for the list such as the name, currency, and
description.

creating new qualifiers.


l & On
2. In the second step, assign the list qualifiers by attaching an existing qualifier group, or

n a e
3. In the last step, review the list details before saving and creating the list lines. Using the

t e r U s
guided flow model, you can identify the stage you are in the creation flow.

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Qualifiers and Qualifier Groups


Chapter 5 - Page 9
Creating Line Qualifiers in Creation Flow (HTML UI)

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Creating Line Qualifiers in Creation Flow (HTML UI)
The modifier line create flow consists of the following guided steps:

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1. Controls page: On this page, you will define pricing parameters such as when the pricing

O ly
adjustment/benefit will be applied (pricing phase and incompatibility group), how to apply
the adjustment (automatic and override flag), and calculation parameters (pricing bucket).

l & On
2. The next step are the Product and Benefit pages. Depending on the modifier line type,
these pages may be on a single page or two separate pages. On the Product page, you can

n a e
define what product can receive the benefit. You can further specify any pricing attributes

t e r U s
or volume requirements (if applicable) for your product.
3. The next step is to define the benefit. This may be the discount or surcharge adjustment,

I n
free good products, or price break.
4. After defining the benefit, you can either add line qualifiers to the modifier by assigning

l e
existing qualifier groups or add qualifiers.

c
5. On the last page of the flow, review all your setup before saving the line.

r a
Note: You can also add, update, or delete qualifiers for an existing modifier line.

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Chapter 5 - Page 10
Typical Qualifier Setup (HTML UI)

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Typical Qualifier Setup (HTML UI)

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A qualifier consists of one or more qualifier conditions that are joined together by AND

r a
conditions. Multiple qualifiers created for the same modifier or price list are joined by OR
conditions. For example (see slide), a customer qualifies for the list or line, only if the
O ly
customer name is Business World, Order type is Standard, and the order amount is between

Common Qualifier
l & On
1,000-15,000 OR the customer name is Business World and the price list is Corporate.

n a e
A Common qualifier contains mandatory conditions that must be met first before the other

t e r U s
qualifier conditions are considered. You can define a common qualifier by selecting This is a
common qualifier check box on the Create or Update Qualifier pages.

n
Note: In the forms UI, the common qualifier is identified with a grouping number of -1.
I
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Chapter 5 - Page 11
Qualifier Terminology

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Qualifier Terminology

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• Attribute: Specific attributes that assist Oracle Advanced Pricing with limiting the who for
benefit or price eligibility.
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• Context: Flattened hierarchies where similar qualifying attributes can be grouped into
logical categories. The specificity is indicated by precedence.

& On
• Value: Value you chose to define for a qualifier attribute.
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Chapter 5 - Page 12
Example of Qualifier Hierarchy

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Example of Qualifier Hierarchy

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You can set up hierarchies using qualifier contexts and attributes. The following table

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illustrates a hierarchy with different levels of qualifier attributes. For example, you could create
a qualifier context of Geography and define additional attributes such as State and Territory.
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Chapter 5 - Page 13
Qualifiers (HTML UI)

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Qualifiers (HTML UI)

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If ALL the qualifier conditions are met within the qualifier, then the qualifier evaluates as true,

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and the modifier or price list can be applied.

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Chapter 5 - Page 14
Unique Qualifiers (HTML UI)

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Unique Qualifiers (HTML UI)

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Multiple conditions within the same qualifier (each unique qualifier) are joined to each other

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by AND. Multiple unique qualifiers are joined by OR conditions.

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Qualifiers and Qualifier Groups


Chapter 5 - Page 15
Common Qualifiers (HTML UI)

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Common Qualifiers (HTML UI)

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A Common qualifier enables you to make a qualifier a mandatory condition across all

r
qualifiers for a price list or modifier.
a
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For example, suppose you wanted to give a 10% discount with the following qualifying
conditions.

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• Qualifier 1: Customer is Preferred status or
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• Qualifier 2: Customers must order more than $150 from your web site.
So far the customer can receive the discount if their status is Preferred OR if they order more

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than $150 from your web site. However, suppose you wanted to make a mandatory condition
that the customer must pay by Credit Card.

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To do this, you must set up a Common Qualifier where the payment method = Credit Card.

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• Common Qualifier: Payment method is Credit Card
This makes it a mandatory condition across all qualifiers. This means that either Qualifier 1

a
OR Qualifier 2 could qualify but regardless, the payment method must be Credit Card.

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Chapter 5 - Page 16
Applies To Party Hierarchy check box

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Applies To Party Hierarchy check box

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The Applies To Party Hierarchy check box is enabled only for attributes that are based on

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Oracle TCA (Trading Community Architecture) Parties and if the Party Hierarchy Enabled
check box has been selected for this attribute on attribute management setups. See the Oracle
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Advanced Pricing Implementation Manual for more details.

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Hierarchies consist of tiered relationships where one party is ranked above another; for
example, a corporate hierarchy where different companies are related as parent, subsidiary,

a e
headquarters, division and so on. If Applies To Party is selected, then the modifier adjustment
n
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or price list (depending on what the qualifier is set up for) would be available to the parent

e
party specified in the Attribute Value field and its subsidiaries. This saves you time from
t U
creating multiple qualifiers, one for each subsidiary or division.

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Chapter 5 - Page 17
Creating Qualifier Groups

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Creating Qualifier Groups

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When a qualifier group is attached to a price list or modifier, all the qualifiers in the qualifier

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group are assigned to the modifier or price list.

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Note: You can create qualifier groups only in the Forms-based UI.

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Chapter 5 - Page 18
Forms UI: Qualifier Grouping Number

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Forms UI: Qualifiers Grouping Number
Order Management Super User Responsibility
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(N) Pricing > Price Lists > Price List Setup (T) Qualifiers (B) Copy Group

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When you attach qualifier groups, you are attaching all of the qualifiers in the qualifier group.
The qualifier grouping number is important when you attach multiple qualifiers because it

l & On
indicates to the pricing engine how to evaluate the qualifiers:
• Qualifiers with the same grouping number are evaluated as a boolean AND condition (an

n a e
entity must meet all of the conditions to qualify).

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• Qualifiers with different grouping numbers are evaluated as a boolean OR condition (an
entity must meet one of the conditions to qualify).

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Before you attach multiple qualifier groups, you must indicate how the process should
coordinate the grouping numbers. You select one of the following grouping number options:

l e
• Retain Grouping Numbers Across Qualifier Groups: The grouping numbers of each
c
attached qualifier remains as it appears in its qualifier group. In this case, the collection of

r a attached qualifiers does not mirror the AND and OR combinations within each of the
original qualifier groups.
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Qualifiers and Qualifier Groups


Chapter 5 - Page 19
• Generate Unique Grouping Numbers Across Qualifier Groups: The process maintains the
AND and OR combinations within each of the original qualifier groups and then create
OR conditions between the groups. It attaches the first qualifier group with grouping
numbers as is, then finds the highest grouping number used, increases it by one, and
increases all of the grouping numbers of the second group by this number. It attaches
subsequent groups in the same manner, using the highest grouping number used by the
just previously attached group.
• Both: If you attach qualifiers using one option and then re-access the window and attach
additional qualifiers using the other option, the second round qualifiers attach differently
depending on the option. If the second round option is Retain Grouping Numbers Across
Qualifier Groups, the process attaches those qualifiers among the already existing
qualifiers. If the second round option is Generate Unique Grouping Numbers Across
Qualifier Groups, the process begins attaching groups using grouping numbers
incremented from the highest existing grouping number.

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Chapter 5 - Page 20
Practice - Creating a Qualifier Group
Overview
In this practice, you will learn how to create a qualifier group that consists of one or more
qualifier conditions. When the qualifier group is appended to a modifier or a price list, all the
qualifier conditions within that group are applied. A qualifier group can only be created in the
Forms-based UI, but once created, it can be appended to a price list or modifier in either the
HTML or Forms-based UI.

It is important to use qualifier grouping numbers correctly because it indicates to the pricing
engine how to evaluate the qualifiers:

• Qualifiers assigned the same grouping number are evaluated as a boolean AND condition
(an entity must meet all of the conditions to qualify).

• Qualifiers assigned different grouping numbers are evaluated as a boolean OR condition (an
entity must meet one of the conditions to qualify).

• If -1 is used as a qualifier grouping number, the qualifier is ANDED to each qualifier group

y
so you do not have to manually add it to each qualifier group.

Assumptions
e m
• You can navigate standard Oracle Applications.
a d
• You have basic knowledge of Oracle Advanced Pricing.
A c

c l e
You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.


r a
You have access to the Oracle Pricing Manager Responsibility.

Tasks O ly
Creating a Qualifier Group
l & On
n a e
1.
t r U s
Responsibility = Oracle Pricing Manager

e
Navigate to the Qualifier Group window.

2. I n
Enter Name = XX-Qualifier Group 1

3.
c l e
Enter Description = XX-Big City Electronics

r
4. a Enter the following data for the qualifier lines (Line # represents a separate qualifier line

O within the qualifier group):

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Qualifiers and Qualifier Groups


Chapter 5 - Page 21
Grouping Context Attribute Operator Value From
Number
1 Customer Customer Name = XX-Big City Electronics
1 Modifier List Price List = XX-Price List 1

Note: When this qualifier group is appended to a modifier or price list, the following
conditions are enforced before the modifier or price list can be applied:

• Customer Name = XX-Big City Electronics AND

• Price List = XX-Price List 1

5. Save your results.

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Qualifiers and Qualifier Groups


Chapter 5 - Page 22
Solution - Creating a Qualifier Group
Creating a Qualifier Group

Responsibility = Oracle Pricing Manager, Vision Operations

1. Navigate to the Qualifier Group window.

• (N) Setup > Qualifier Setup

2. Enter the following data:


− Name = XX-Qualifier Group 1 (where XX is your unique identifier)
− Description = XX-Big City and XX-Price List 1.

Adding Qualifier Conditions

3. (T) Qualifiers:

Grouping Context Attribute Operator Value From


Number
1 Customer Customer Name = XX-Big City Electronics

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1 Modifier List Price List = XX-Price List 1

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Qualifiers and Qualifier Groups


Chapter 5 - Page 23
4. Save your work after each line.

5. Save your work.

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Chapter 5 - Page 24
Appending Qualifier Groups

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Appending Qualifier Groups

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When a qualifier group is appended to a modifier or price list, all the qualifiers in the qualifier

r a
group are attached to the modifier or price list. You can append but not create a qualifier group
in the HTML UI. You must use the Forms UI to create qualifier groups.
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Qualifiers and Qualifier Groups


Chapter 5 - Page 25
Qualifier Grouping Number (Forms UI)

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Qualifiers and Qualifier Groups


Chapter 5 - Page 26
Selected Qualifier Groups

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Selected Qualifier Groups

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The grouping numbers within group G1, for example, create the qualification that the entity

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qualifies if it meets condition Q1 OR (condition Q2 AND condition Q3) OR condition Q4.

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Qualifiers and Qualifier Groups


Chapter 5 - Page 27
Appending Qualifier Groups (Forms UI)

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Appending Qualifier Groups (Forms UI)

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Order Management Super User, Vision Operations Responsibility

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(N) Pricing > Price Lists > Price List Setup (T) Qualifiers (B) Copy Group

O ly
1. Select Copy Group to display the Qualifier Groups window.
2. Select the qualifier groups that you want to attach. All the qualifiers that are associated

& On
with the group will appear in the Qualifiers tabbed region.
l
n a e
3. Select one of the grouping options (Retain Grouping Numbers Across Qualifier Groups or
Generate Unique Grouping Numbers Across Qualifier Groups).

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4. After selecting the qualifier groups that you want, attend to the grouping numbers to verify
that the window displays the correct combination of AND and OR conditions.

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Qualifiers and Qualifier Groups


Chapter 5 - Page 28
Retaining Grouping Numbers Across Qualifier Groups

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Retaining Grouping Numbers Across Qualifier Groups
This table shows the results of combining the sample qualifier groups using the option Retain

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Grouping Numbers Across Qualifier Groups. The table emphasizes the combination of
qualifiers from different qualifier groups into the same qualifier grouping number.
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Qualifiers and Qualifier Groups


Chapter 5 - Page 29
Generating Unique Grouping Numbers Across Qualifier Groups

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Generating Unique Grouping Numbers Across Qualifier Groups
This table shows the results of combining the sample qualifier groups using the option

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Generate Unique Grouping Numbers Across Qualifier Groups. The table emphasizes the
preservation of each qualifier group with recalculation of qualifier grouping numbers.
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Qualifiers and Qualifier Groups


Chapter 5 - Page 30
Summary

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Qualifiers and Qualifier Groups


Chapter 5 - Page 31
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Chapter 5 - Page 32
Modifiers

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Chapter 6

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Modifiers
Chapter 6 - Page 1
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Modifiers
Chapter 6 - Page 2
Modifiers

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Modifiers
Chapter 6 - Page 3
Objectives

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