Oracle SCM Cloud Administering Pricing Release 13 (update 18A) Oracle SCM Cloud Administering Pricing Release 13 (update 18A) Part Number E91449-01 Copyright © 2011-2018, Oracle and/or its affiliates. All rights reserved. Author: carl casey This software and related documentation are provided under a license agreement containing restrictions on use and disclosure and are protected by intellectual property laws. Except as expressly permitted in your license agreement or allowed by law, you may not use, copy, reproduce, translate, broadcast, modify, license, transmit, distribute, exhibit, perform, publish, or display any part, in any form, or by any means. Reverse engineering, disassembly, or decompilation of this software, unless required by law for interoperability, is prohibited. The information contained herein is subject to change without notice and is not warranted to be error-free. If you find any errors, please report them to us in writing. 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Oracle SCM Cloud Administering Pricing Contents Preface i 1 Introduction 1 What's New in Administering Pricing: Explained ........................................................................................................ 1 Oracle Fusion Pricing: Overview ................................................................................................................................ 2 Pricing Sales Orders: How It Works .......................................................................................................................... 5 Managing Oracle Fusion Pricing: Roadmap .............................................................................................................. 8 2 Managing Profiles, Segments, and Strategies 13 Profiles, Segments, and Strategies: How They Work Together ................................................................................ 13 Managing Pricing Profiles: Procedure ...................................................................................................................... 16 Managing Pricing Segments: Procedure ................................................................................................................. 17 Managing Pricing Strategies .................................................................................................................................... 18 3 Managing Price Lists, Cost Lists, Discount Lists, Shipping Charge Lists, 25 and Currency Conversion Lists Pricing Rules: Explained .......................................................................................................................................... 25 Managing Price Lists: Procedure ............................................................................................................................ 28 Managing Cost Lists ............................................................................................................................................... 31 Managing Discount Lists: Procedure ....................................................................................................................... 34 Managing Shipping Charge Lists: Procedure .......................................................................................................... 37 Managing Currency Conversion Lists: Procedure .................................................................................................... 39 Adjusting Price ........................................................................................................................................................ 41 Troubleshooting Pricing Rules: Explained ................................................................................................................ 54 4 Managing Charges, Elements, Parameters, and Rounding 57 Managing Pricing Charge Definitions: Procedure ..................................................................................................... 57 Managing Price Elements: Procedure ..................................................................................................................... 58 Managing Pricing Bases: Procedure ....................................................................................................................... 59 Managing Pricing Parameters: Procedure ............................................................................................................... 62 Managing Rounding Rules ...................................................................................................................................... 63 Oracle SCM Cloud Administering Pricing 5 Performing Various Administrative Work 69 Importing Files and Using Spreadsheets to Manage Pricing .................................................................................... 69 Getting Details for Pricing from External Systems ................................................................................................... 87 Managing Pricing for Covered Items ..................................................................................................................... 103 Managing Multiple Currencies: Procedure ............................................................................................................. 110 Using the Cache to Improve Performance ............................................................................................................ 113 6 Managing User Interfaces 123 Managing Pricing Totals: Procedure ...................................................................................................................... 123 Managing Modifications Users Can Make to Prices .............................................................................................. 126 Managing Pricing Results Presentations: Procedure .............................................................................................. 133 Managing Pricing Messages ................................................................................................................................. 135 Managing Pricing Lookups: Procedure .................................................................................................................. 139 Managing Pricing Descriptive Flexfields: Procedure ............................................................................................... 141 7 Managing Pricing Algorithms, Service Mappings, and Matrix Classes 145 Pricing Architecture: How It Works ....................................................................................................................... 145 Managing Service Mappings ................................................................................................................................. 151 Managing Pricing Algorithms ................................................................................................................................. 158 Managing Matrix Classes ...................................................................................................................................... 182 8 Performing Advanced Set Ups for Pricing 191 Managing Pricing Algorithms: Worked Example .................................................................................................... 191 Using Extensible Flexfields with Pricing: Procedure ............................................................................................... 208 Setting Up Item Extensible Attributes in Pricing: Overview ..................................................................................... 221 Setting Up Item Extensible Attributes in Pricing: Procedure ................................................................................... 222 Oracle SCM Cloud Preface Administering Pricing Preface This preface introduces information sources that can help you use the application. Oracle Applications Help Use help icons to access help in the application. If you don't see any help icons on your page, click the Show Help icon in the global header. Not all pages have help icons. You can also access Oracle Applications Help at https:// fusionhelp.oracle.com. Using Applications Help Watch: This video tutorial shows you how to find help and use help features. You can also read Using Applications Help. Additional Resources • Community: Use Oracle Cloud Customer Connect to get information from experts at Oracle, the partner community, and other users. • Guides and Videos: Go to the Oracle Help Center to find guides and videos. • Training: Take courses on Oracle Cloud from Oracle University . Conventions The following table explains the text conventions used in this guide. Convention Meaning boldface Boldface type indicates user interface elements, navigation paths, or values you enter or select. monospace Monospace type indicates file, folder, and directory names, code examples, commands, and URLs. > Greater than symbol separates elements in a navigation path. Documentation Accessibility For information about Oracle's commitment to accessibility, visit the Oracle Accessibility Program website at Oracle Accessibility Program . Access to Oracle Support Oracle customers that have purchased support have access to electronic support through My Oracle Support. For information, visit http://www.oracle.com/pls/topic/lookup?ctx=acc&id=info or visit http://www.oracle.com/pls/topic/lookup? ctx=acc&id=trs if you are hearing impaired. i Oracle SCM Cloud Preface Administering Pricing Comments and Suggestions Please give us feedback about Oracle Applications Help and guides! You can send e-mail to: [email protected]. ii Oracle SCM Cloud Chapter 1 Administering Pricing Introduction 1 Introduction What's New in Administering Pricing: Explained This topic lists each help topic that is new or significantly revised for each release. Release 13 (update 18A) The following topics are new or significantly revised. This table lists the new topics first, and then the revised topics. Topic Description Managing Pricing Rules and Pricing New topic. You can use a Microsoft Excel workbook to modify more than one price list, discount Profiles in Spreadsheets: Explained list, or customer pricing profile to reflect changes to your pricing policies and profitability targets. You can apply these changes to multiple objects, such as all of your price lists, in Oracle Fusion Pricing. Managing Pricing Rules and Pricing Profiles in Spreadsheets: Procedure Managing Pricing for Configured Items: New topic. You can define pricing for a configured item in a price list or a discount list. Procedure Release 13 (update 17D) The following topics are new or significantly revised. This table lists the new topics first, and then the revised topics. Topic Description Managing Pricing Strategies: Procedure Revised topic. You can define a default currency and specify whether or not a user can override it when the user creates a sales order. You can use the Quantity Decimal Precision profile to control decimal precision for attributes that store numeric values. For example, to control decimal precision on the order line quantity that the Order Entry Specialist sets on the Create Order page, or to control decimal precision during order import. Note that you do not use decimal precision to allow only a whole number in the quantity. Instead, you can set the Indivisible attribute to Yes in the Product Information Management work area when you set up the item. For example, most companies sell a desktop computer as a whole item. The scale of the decimal precision defines the maximum number of digits to the right of the decimal point. The value you set for the profile controls the scale, and the profile will round the quantity according to the scale you specify. Release 13 (update 17C) The following topics are new or significantly revised. This table lists the new topics first, and then the revised topics. Topic Description Setting Up Item Extensible Attributes in In some situations, your business requirements might need to calculate or adjust a price according Pricing: Overview to the attributes of the item, but it might be too cumbersome to define these calculations for each 1 Oracle SCM Cloud Chapter 1 Administering Pricing Introduction Topic Description item. Instead, you can define item attributes on an item class to represent details about the item, Setting Up Item Extensible Attributes in and then reference these details in a pricing rule that determines the price or discount. Pricing: Procedure Setting the Domain of a Result Column Revised topic. You can now set Item Extensible Attribute as the Domain Type to get a value from an section in Managing Matrix Classes: attribute that you define on the Manage Item Attribute Groups and Attributes page. Procedure Release 13 (update 17B) The following topics are new or significantly revised. This table lists the new topics first, and then the revised topics. Topic Description Allowing Users to Adjust Price: Configure Oracle Fusion Pricing to allow an authorized person to adjust price and at the same time Procedure control the adjustment amount to prevent an unprofitable discount. Managing Pricing Guidelines: Described A pricing guideline is a rule that you define for an item, user role, customer details, or time period that controls modifications to price, net price, margin, and so on. You can create a pricing guideline Managing Pricing Guidelines: Procedure for each pricing component according to your business requirements. Managing Pricing for Covered Items: A coverage item is an item that adds value by providing coverage for a covered item. For example, Described a six month warranty is a coverage item for a laptop computer, and the laptop computer is the covered item. You can administer coverage pricing rules on a price list to manage the rules between Managing Pricing for Covered Items: each coverage item and each covered item. Procedure Getting Details for Pricing from External Configure a pricing algorithm to call a web service that resides outside of Oracle Fusion Pricing, get Systems: Explained data from an external system, and then leverage it as part of your pricing calculation. Getting Details for Pricing from External Systems: Procedure Managing Service Mappings: Explained A service mapping contains entities, sources, and services. Pricing uses it to map the input SDO to the output SDO. Managing Pricing Algorithms: Worked In this example, you define pricing algorithms so that they use an extensible flexfield to override the Example net price of a pricing charge on a fulfillment line. Using Extensible Flexfields with Pricing: Use an extensible flexfield to determine how to calculate pricing. In this example, you use the sales Procedure channel attribute of an extensible flexfield to determine the pricing strategy. Pricing Architecture: How It Works Revised topic. Includes new details that describe how pricing algorithms calculate price for sales orders. White Papers for Oracle Fusion Pricing Revised topics. Includes new details about set ups you can perform to modify your pricing implementation. search for Doc ID 2248583.1 (White Papers for Oracle Fusion Pricing) on My Oracle Support at https: //supportoracle.com and then download the attachments. 2 Oracle SCM Cloud Chapter 1 Administering Pricing Introduction Oracle Fusion Pricing: Overview Oracle Fusion Pricing is a pricing solution that you can use to manage pricing for items. You can use it to create pricing rules and pricing algorithms that support your corporate pricing practices. Pricing administration allows you to design pricing rules that meet your revenue and business objectives so that you can price items for each pricing segment. The pricing architecture allows you to modify predefined logic so that you can implement a pricing algorithm that runs the pricing rules that your deployment requires. 3 Oracle SCM Cloud Chapter 1 Administering Pricing Introduction This figure illustrates some of the components that you can set up in Pricing. 5 Pricing Algorithm Sales Order Priced Sales 1 Order Pricing Profile 2 Pricing Segments Revenue High Value Low Cost to Potential Accounts Serve 3 4 Pricing Strategy Price List Discount List Cost List Explanation of Callouts You can set up the following components in Pricing: 1. Pricing Profile. Categorize customers who exhibit similar characteristics. For example, categorize a customer as high customer size, high customer value, medium customer rating, and high revenue potential. 2. Pricing Segment. Assign customers who exhibit similar buying practices to a pricing segment, and then associate this segment with a pricing strategy that meets the business and revenue goals that you set for this segment. 3. Pricing Strategy. Implement and enforce corporate pricing strategies and pricing objectives so that they meet your business requirements and revenue requirements. You can group pricing rules in a pricing strategy to control pricing behavior. 4
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