Sales Policy for consumer products

[former_member205946]

Dear Gurus,

we are electrical consumer products company and our sales department issue monthly sales policy for customer incentives which briefly is as follow

on purchase of 10 units within a month, PKr 500 perunit will be given

on purchase of 25 units within a month, PKR 600 peruint will be given etc etc

and this incentive will be given on clearance of invoice within due date,

please help me how can i configure this scenario in standard SAP

BR

Sajida

[former_member205946]

Dear Rohan,

thank you very much for this. let me discuss with my ABAPer as well and accordingly i will close the thread and assign you points

BR

sajida

[Former Member]

Hi Sajida,

Can you please give an update on the status of this requirement?

Were you able to meet the requirements using the above discussed logic or have you used any other logic to meet the requirement.

Thanks and Regards,

Rohan Gudavalli

[former_member205946]

Dear Rohan,

yes you are right. policy has validity for one month only i.e. purchasing of specific units within a month

second as you quoated if he purchase 10 units system automatically calculated Pkr 500 discount per unit. now as he purchased an other 20 units (cumulatively 30 units) its slab changed to pKr 600 so he will get as follow

30 units * 600 = 18000

less already given 10units * 500 = 5000

=======

13000

and PKr 13000 should be updated in open order for 20 units considering quntity of first order and change in slab

[Former Member]

Dear Sajida,

As far as i know, there is no straight configuration to do this. I can only think of one solution for this which is an enhancement and it will include a little extra work for the user without which it is practically not possible.

The way I am thinking of is as follows:

Create a Z table called Material discount table

Have the following columns in the table:

MATERIAL; QUANTITY; UoM; DISCOUNT AMT; VALID FROM; VALID TO

1 10 EA PKR 500 01.01.2011 31.12.2011

1 20 EA PKR 600 01.01.2011 31.12.2011

Now create a new screen using a module pool program (simple programs that an ABAPer can use) This would be a report.

Make the selection criteria as Customer Number, Material, From and To dates

Upon executing the values in the report that would come are as follows:

Sales Order No; Qty Purchased; UoM; Order Status Discount to be given

1 10 Closed EA

2 10 Open EA

3 05 Open EA

Sub total: 25 Open EA 600/EA and total price is 25*600 = 15000

This price has to be copied and manually pasted in the sales order. I cant think of any other better way to resolve this. Perhaps if the company is willing to have a .net front end instead of SAP front end, then this maybe possible to copy this price automatically into Sales order form the above report.

Regards,

Rohan Gudavalli

Edited by: Rohan Gudavalli on May 26, 2011 12:36 PM

Edited by: Rohan Gudavalli on May 26, 2011 12:36 PM

Edited by: Rohan Gudavalli on May 26, 2011 2:11 PM

Edited by: Rohan Gudavalli on May 26, 2011 2:12 PM

[Former Member]

Dear Sajida,

I have checked with my ABAPer and he confirmed that this coding can be done and willl work.

Regards,

Rohan Gudavalli

Edited by: Rohan Gudavalli on May 26, 2011 2:43 PM

[former_member205946]

Dear Rohan,

Whole hearted Thank you for reply.

kindly note that it is monthly policy and only quantity buyed by customer during a month will be considered. i have created a statisitcal condition for this lifting discount.

i write here policy once again for clarification i.e.

from buying 10 units, PKR 500 PU

from buying 25 units, PKR 600 PU

from buying 40 units and onward , PKR 700 PU

now scenario is

i created two order order for 5 unit each, system picked no lifiting discount on each order while according to my requirement it should consider first order of 5 unit and while creating second order it should update discount for PKr 500*10=5000

now end user created third order for 20 units. system updated the condition with following values

20units*500=PKr 10,000 but in reality customer has buyed 30 units in total and is eligible for second slab i.e.

30units*600=18000

10 units*500= 5000 (already updated in second order through routine as you recommended)

13000

hope you understand my point,

you are requested to please help me through technical writing of the requirement

BR

Sajida

[Former Member]

Dear Sajida,

I still have a small doubt. Assuming the customer has already been invoiced with a discount of PKR 500 for a qty of 10 in order 1.

The next order would be for 20 which takes it to 30. Should the system consider order 1 for discount since it has already been invoiced or should it only consider open orders.

Secondly, if the system has to consider already invoiced orders also then there has to be a horizon for it by which i mean to say that there ahas to be a particular time period between which the sales orders have to be considered. Else, orders keep coming for that same material even after 1year and if system keeps considering all the invoiced orders then it would be a loss for the business.

So can you please clarify this.

[former_member205946]

waiting for reply

[former_member205946]

plz help

[former_member205946]

Dear Amit and SAP Gurus,

As i discussed earlier i.e .upto purchase of 10 units Pkr 500 lifiting disocount will be given, i created statistical condition and maintained from scale. everythning seemed good and my developer was working on further solution.

but as i did detial testing i am stuck because Partial Ordering and invoicing is allowed and customer can buy 10 units in more than one orders, system is applying condition on current order qunatity only i.e. if i make order for 10 units it is automatically calculating value as desired but if more than orders are created say 5 each it is not updating conditon

My requirement is that as sales policy is monthly and partial ordering is allowed so if customer orders small qunatites say 5 in one order and 5 in other. in second order as total qunatity ordered during month is 10, system considering 5 previous units should create statistical value for 10 units i.e. 10*500= 5000 PKR, while at present it is Zero

please advice as lacking of this my policy through system is in vain

BR

sajida

[Former Member]

Dear Sajida,

My requirement is that as sales policy is monthly

The solution I have suggested earlier in this link would hold for this requirement with certain alterations. Let me know if my explanation was not clear.

customer can buy 10 units in more than one orders, system is applying condition on current order qunatity only i.e. if i make order for 10 units it is automatically calculating value as desired but if more than orders are created say 5 each it is not updating conditon

For this, a small clarification is required. Say a customer has placed an order for qty 10 and got a certain discount. Next month he places another order for 30 qty. So should the system consider the 1st order also in which he got a doscount for qty 10 and make the total discountable qty as 40?

Or should the system consider only till he gets one particular bracket of discount?

Either ways, I guess you need to define a requirement for that particular condition type and do the coding such that the system has to read the customer code (KUNNR), document type, condition type and validity periods and other criteria as required.

Regards,

Rohan Gudavalli

[former_member205946]

Dear Amit,

thnx for yuor reply, please note that i am certified in FI and SKTO condition is used for discount on payment i.e. at the time of application of payment on invoice, system automatically allow cash discount as % or fixed amount defined

our managemetn wants to give discount not at the time of clearance of invoice but it is wished to give all types of discounts i.e. cash, advance payment, credit days discounts periodically i.e. after immedite close of the month

so i maintained statistical condtion for advance payment with the scales as per policy. it is calculating discount amount but again it is on the basis of order value.

my question is that if i create a new payment term "100 %advance payment" and ask system to calculate statistical values if order carries this term and if end user create order with any other term no value should be calculted statistically for advance payment

can i solve my problmes with writng new routine and assigning this condition in Pricing procedure. what is interpretation of routine 84 Down payment proc.

how can sytem go in customer ledger in FI and check that Down payment has been booked before creating advance payment in sales order

please reply

BR

sajida

[Former Member]

Hi,

You may created a new Payment term 100% discount and maintain condition records for it. Write a routine to calculate the appropriate amount according to your logic. I havent used the routine '84', so no idea on that.

However, in order to verify if your customer has already paid while creation of the sales order doesnt have a std solution as per my knowledge. You may use user exit MV45AFZZ to verify the down payment in customer account.

Please discuss the same with your ABAPer to develop the logic for the same.

Alternately, you may activate credit mgmt and set customer's credit limit as 0 or 1 Pkr. Unless there is any advance payment made against the customer account, the system wont allow the sales order to be saved.

Regards,

Amit

[former_member205946]

Dear Amit,

Thnx for your reply. i discussed your proposed solution with my ABAPER. he is comfortable with the solution.

AS for as cash dicount policy is concerned you send me link for cash and advance payment policy

I have studied in detial for down payment configuration in SD and tried to configure the same but i am not finding desired result.

My requirement is (as informed earlier) "on advance payment of Rs 400,000 ,3% discount on buying goods and so on"

another point in SD down payment configuration is to change item category group for the material as 0005 while at present all my FInish good material have item category group as NORM. if i change material item category group what will be impacts on my info system or transactional data

i maintained condition AZWR as % and maintained slab i.e. 3% discount upto Rs 400,000 but as i make invoice, system is displaying 3% of VPRS however i need 3% of RS. 400,000

please advice step by step procedure to configure cash discount on advance payment

BR

sajida

[Former Member]

Hi Sajida,

Please check the following threads:

[Cash Discount on Adv Payment|;

[Cash Discount|;

Regards,

Amit

[former_member205946]

Dear Amit,

thnx for attachments, i have maintained Graduated scale for my condition type in v/06, but in VK11 i do not find sacel range rather scale type TO is in dispaly mode and othere fields are "scale qunatity" and "amount".

please tell me how i can maintain ranges i.e. 1-10,11-25 as you advised as an scale quantity i can not maintain range rather a numeric value

please help

BR

sajida

[Former Member]

Hi Sajida,

Scales basis in V/06 should be 'C' Quantity Scale.

In VK11, while maintaining condition records if you click on Scales(F2), you would see from quantity and the amount to be maintained.

For eg: IF you maintain from quantity 1 amount 500 kr and from quantity 11 amount 600 kr, from quantity 25 amount 700 kr

the system automatically considers it as 1-10 and 11-25.

I hope this makes sense, with the problem you are having.

Regards,

Amit

[former_member205946]

Dear Amit,

please help me to maintain condition record for my sample policy i.e.

upto purchase 1-10 units PKr 500 discount

upto purchase 1-25 units PKr 600 discount

so if purchases are less than 25 incentive will be autoamtic PKr 500 per unit , please help me where this slab can be maintianed in conditon record and what charecteristics should be selected while creating Condition

similarly in case of cash discount how can i map SD condition with advance received through FI with spl GL indicator

BR

sajida

[former_member205946]

Dear Gurus,

please help

BR

sajida

[Former Member]

Hi Sajida,

Please refer to the followng [document|http://www.sap-press.de/download/dateien/1174/sappress_effective_sap_sd.pdf] since the whole procedure of configuring and maintaing a condition record with scales is quite lengthy.

Also the scales should be graduated scales i.e 1-10 units then 11-25 units.

If you maintain 1-10 and 1-25 system wont know what to pick up !!

Check the following threads on advance/down payment configuration in SAP. However, I would also involve a FI consultant to test and verify the implications.

[Advance payment|;

[Down Payment|;

Regards,

Amit

[Former Member]

Hi Sajida,

Since this incentive would be given after the clearance of invoice within due date, it would be a Credit Memo with the incentive amount.

You could have a statistical condition type with scales defined, which would calculate the incentive amount, and once they invoice is cleared within due date (BSID and BSAD tables) would help you in that, you could develop a custom report extracting the list of invoices which are eligible and subsequently create Credit Memo for them.

In my solution , a small part of it is 'Z'

Regards,

Amit

[former_member205946]

Dear Amit,

i am really glad to see your reply, it would definitely be helpful, let me write my policy in detail and i expect same quick and helpful solution

monthly sales policy has different types of incentives which include cash and credit purchase discounts i.e. say

upto purchase of Rs 400,000 and payment in advance ,cash discount 2%

upto purchase of Rs 800,000 and payment in advance ,cash discount 2.5% and so on

similarly as i mentioned above

on purchase of 10 units Rs. 500 incentive per unit

on purchase of 100 units, foregin tour for two days and nights

please also note that our monthly policy vary month to month according to variation in market trends and consideration of competitors marekt policies

please elaborate your solution as it really appealed me

BR

Sajida

[Former Member]

Hi Sajida,

upto purchase of Rs 400,000 and payment in advance ,cash discount 2%
upto purchase of Rs 800,000 and payment in advance ,cash discount 2.5% and so on
 
on purchase of 10 units Rs. 500 incentive per unit
on purchase of 100 units, foregin tour for two days and nights

I am guessing both of the above discounts are given to customer only after invoice is cleared.

Case 1: In case of advance payment, you might have a cash discount on-invoice itself with a condition record maintained on the basis of payment terms, etc and a % condition type. I dont think you would need to wait till the invoice is cleared, since the customer has already paid.

Case 2: Create a statistical condition type in pricing with Calc type as Volume and Scale basis as Volume scale and you could maintain the ranges in condition records. Now, if it is going to change every month, its the responsibility of business to update the condition records with appropriate validity date range.

Finally, in Case 2 you would need to develop a custom program with the help of an ABAP person, who would extract all cleared invoices (from BSAD table), determine payment due date with respect to payment terms and also check if invoice cleared date is less than payment due date and Create Credit memo's for only those customer who are eligible, and the net value of the credit note would be the value of the statistical condition type you maintained.

Seems a bit challenging..but this is all I can think of !!

Regards,

Amit

[former_member205946]

Dear Amit,

Once again thnx to you and SDN community as well, let me think on the grounds you suggessted

BR

sajida

[former_member205946]

Dear Amit,

Once again thnx to you and SDN community as well, let me think on the grounds you suggessted

BR

sajida

[Former Member]

Hi Sajida,

Kindly close the thread if problem is resolved.

Regards,

Amit

[former_member205946]

Dear Rohan,

thanx for reply, can you elaborate it through step to step procedure

BR

sajida

[Former Member]

Hi,

If you are going by Rebates concept, then you need to define the Rebate agreement document type and condition type for Customer/Material Rebate as required.

Maintain the pricing procedure with the rebate condition types and do the G/L account determination.

Refer to this link for further details on rebate configuration in SAP

http://www.erpgenie.com/publications/saptips/052005.pdf

For the 2nd scenario, You need to develop 2 separate screens using module pooled programs(these are simple programs that an ABAPer can design)

In the 1st screen, give the customer Number and purchase units as 2 different fields. Also give 3 more fields as Date, Status (open/closed), and Amount to be given as Rebate. So here is where you maintain the details.

In the 2nd screen, it will be a report. Here the selection criteria will be date, status and customer number.

Upon entering the details and executing, it will compare the details and pull out the results. Also do the coding such that it will calculate the value in the report itself, if the customer has met the requirement. Else display amessage that customer not eligible.

This will definitely work.

Regards,

Rohan Gudavalli

[Former Member]

Hi,

You can map this through 2 ways.

1st is to use the SAP standard concept of Rebates. You can configure for Material Rebates.

2nd is to use module pool programs and maintain your requirement in the 1st module pooled program and them pull out a report based on that.

Regards,

Rohan Gudavalli