quote approval based on gross profit

[Former Member]

Hey all,

We have been asked by our customer to have a gross profit-based approval process for quotes.

We know there is an option to use profit margin as a condition to the approval process, however, we couldn't find how to add a cost to products, therefore, the margin is always 100.

Where can we tell C4C the cost for each product?

Thanks,

Dror.

[AnkushPashine · Accepted solution]

Hello Dror ,

I assume you need the 'Cost' to be included in the Sales Quote ->Item(product).I would suggest the following step to be perform:-

1.Open the Sales Quote ->Go to the Pricing facet->Expand line-Item (product)->Click on the 'Add' button .

=>Select the require 'Price Component' from drop-down option.

***Please See: Also would suggest you to check BC->Fine-Tune activity 'Configure Price Strategy'.

Regards,

Ankush.

[Former Member · Accepted solution]

Hey Ankush,

Thank you for your replay.

I don't want sales reps updating the cost manually, i'm looking for read-only cost for all products. furthermore, i can't allow sales reps to even know what the cost is. i just want it to be in the background for the approval process.

regarding the Configure Price Strategy-

I already found this activity, however, i can't remove the only manual indicator from cost as you can see in the screenshot below:

[AnkushPashine · Accepted solution]

Hello Dror,

Can you please check the Help Center Document : "Pricing for SAP Cloud for Customer", which have information about 'Cost and Profit Margin'.

Best Regards,

Ankush Pashine.

[Former Member · Accepted solution]

Hey Ankush,

I did, and didn't find anything new there.

"Cost and Profit Margin

Cost displays only if profit margin is included in your business configuration. A cost estimate can be manually entered and makes the calculation of the profit margin possible."

As you can see below, Calculation of Profit Margin is in scope. Also, i don't want to use the cost manually.

Thanks

Dror.

[AnkushPashine · Accepted solution]

Hey Dror,

I don't see Cost can be maintain in product master data , nor the reason for 'Cost' component greyed-out in the Fine-Tune activity .

I would suggest to wait for some other experts to reply/answer ,else can report issue/your concern

to SAP side.

Regards,

Ankush.

[guenter_wilmer · Accepted solution]

Hello,

Cost determination usually cannot be simply derived from product master. Cost can depend e.g. on selected vendors, plants, locations, distances etc. To add "internal" cost to a product in a sales quote/sales order you require implementation effort via SAP Cloud Applications Studio in order to fill the Cost condition in C4C automatically.

Alternatively you can use External Pricing that derives the Cost automatically from SAP OnPrem system. This approach also requires adjustments in SAP Cloud Applications Studio in order to use the external Profit Margin as approval condition.

Regards,

Günter

[Former Member · Accepted solution]

Hello Gunter,

could you please exlplain how we can use the extern profit margin as approval condition ? Could you please provide us an example ?

Best Regards,

Daniele

[guenter_wilmer · Accepted solution]

Hello Daniele, Add extension field on quote header that gets calculated by PDI logic from the overall profit margin of the quote. The extension field is automatically part of the approval condition. Note, that item extensions will consider a "contains patterns" condition selection in the approval. Value restrictions by amount are limited. Regards, Günter