Sales Order Price Discount Logic - Overview

Overview

Pricing and Discounting can be established in a number of different ways. Most users will use a limited number of methodologies, but this document will describe all of the current possible options.

There are a couple of overriding principles that should be understood as well:
 

• When a Price Book is used for Product pricing (when referenced in the Sales Order Header), no other pricing lookups are performed.

• When 'Always Give Best Price' is set on the Customer Master, it will override any other pricing EXCEPT when using a Price Book.

• Regardless of the pricing and/or discount methods used and whatever the price is that is consequently derived, it can be overridden by the user on the Sales Order Line.

• The price derived through these various methods includes any “price modification” (aka “price calculation”) discounts found – all applicable “price modification” discounts are built into the price on the Sales Order Line.

• The Discount field on the Sales Order Line is a user input field and is a discount applied to the derived price (which may already include “price modification” discounts). In other words, it is an additional discount that can be established on various price/discount records or can be entered (or overridden) manually.

• As each Sales Order Line is added, after entering the Product number and the 'Qty Ordered', the system will walk through the various pricing and discount mechanisms to establish the price. Without saving, when a change is made to the 'Qty Ordered' field, the system will do another pass based on the new quantity entered.

  IMPORTANT  Once the Sales Order Line is saved, when the user changes the 'Qty Ordered', the system will not walk through the pricing and discount mechanisms to establish the new price. The user can update the price manually if needed.

Logic Hierarchy Overview

The "pricing library" is called through various record types for controlling pricing and discounting in a specific sequence. First, the price is derived (see Sales Order Price Discount Logic - SO Line Price Calculations / Logic Hierarchy), then derives applicable discounting to apply (see Sales Order Price Discount Logic - SO Line Discount Calculations / Logic Hierarchy). Once derived, the records used for both the derived price and derived discount are defined in the resulting 'Price Source' and 'Discount Source' values (see Sales Order Price Discount Logic - Price Source Codes and 'Audit' Records).

  NOTE  The Rootstock Price Discount logic will only apply to the Rootstock Sales Orders/Rootstock Quotes created directly (manually or via API or other ways).

Rootstock Pricing/Discount “Mechanism” Overview

1. Price Book (By Effectivity Date)
 

• Unit Price

• If the Price Book is inactive, the Sales Order Line(s) will not use the Price Book logic for calculating the price.

2. Customer Agreements (by Effectivity Date)
 

• Customer Agreement (agreement for specific Customer)

  • Unit Price by Product

  • Quantity Price by Product

  • Price-by-Date by Product

  • Volume Pricing

  • Discount Percent by Product

  • Quantity Discount by Product

  • Volume Discount

• Customer Agreement by Product Group

  • Unit Price by Product Group

  • Quantity Pricing by Product Group

  • Discount Percent by Product Group

  • Quantity Discount by Product Group

• Customer Class Agreement (agreement for specific Customer Class)

  • Unit Price by Product

  • Quantity Price by Product

  • Price-by-Date by Product

  • Volume Pricing

  • Discount Percent by Product

  • Quantity Discount by Product

  • Volume Discount

• Customer Class Agreement by Product Group

  • Unit Price by Product Group

  • Quantity Pricing by Product Group

  • Discount Percent by Product Group

  • Quantity Discount by Product Group

3. Customer Product  (for specific Customer and Product)
 

• Unit Price by Product

• Quantity Price by Product

• Quantity Price by Date and Product

• SO Line Discount

• “Price modification” Discount by Product

• Quantity “price modification” Discount by Product

4. Product Price
 

• Sales Price (aka Unit Price) by Product

• Quantity Pricing by Product

• Date Pricing by Product

5. Customer Product Group Discount (for specific Customer and Product Group)
 

• "Price modification" Discount by Product Group

• Quantity "price modification" Discount by Product Group

• SO Line Discount

6. Customer [Discount] (for specific Customer)
 

• “Price modification” Discount

• Sales Order Discount

• SO Line Discount

7. Customer Class Product Discount (for Customer Class and Product)
 

• “Price modification” Discount by Product

• SO Line Discount by Product

• Quantity “price modification” Discount by Product

8. Customer Class Product Group Discount (for Customer Class and Product Group)
 

• “Price modification” Discount by Product

• SO Line Discount by Product

• Quantity “price modification” Discount by Product

9. Customer Class (Discount)
 

• Sales Order Discount

• “Price modification” Discount by Product

• SO Line Discount by Product

SEE ALSO
 

Sales Order Price Discount Logic - SO Line Price Calculations / Logic Hierarchy
Sales Order Price Discount Logic - SO Line Discount Calculations / Logic Hierarchy
Sales Order Price Discount Logic - Price Source Codes and 'Audit' Records
Sales Orders Entry - Overview
Sales Order Control
Price Books
Customer Agreements
Customer Product
Rootstock Product Master
Product Master Price Tab
Customer Product Group Discounts
Customer Master
Customer Class Product Discounts
Customer Class Product Group Discounts
Customer Class