Difference between Pro-rata and Proportional Factor calculation.

[former_member316640]

What is the basic difference between Pro-rata Calculation and Proportional factor calculation ? In what conditions we select a keyfigure disagg. type either Pro-rata or based on Proportional factors ?

In our case, Sales history disagg. based on Pro-rata but the Baseforecast diagg. based on PF.

[Former Member]

Mayank,

I will assume you are talking about Calculation types, and you wish to compare "Pro-Rata" (S) with "Based on a Different Key Figure" (P).

Assume you have only two Characteristics in your MPOS:  Product and Customer.  Assume that for Product "A" you have 4 Customers.  Your CVCs then are are A/C1; A/C2,  A/C3, and A/C4.  You therefore have 4 detailed records associated with Product "A" in your planning area..

Assume you use a calculation type of Pro-Rata.  Assume further that you elect to enter a value of 100 at the highest level against Product A.  How will this 100 be distributed (disaggregated) amongst the 4 customers?  With Pro-Rata, it will be distributed equally.  25 for customer C1, 25 for Customer C2, 25 for customer C3, and 25 for customer C4..

Now assume you are instead using calculation type "Based on a different Key Figure", and the Key figure you have chosen is is APODPDANT.  Your crack forecasting team has previously populated APODPDANT detailed record with the following values: .A/C1=200; A/C2=400,  A/C3=100, and A/C4=300.

You elect to enter 100 against Product A again at the highest level.  How will the 100 be distributed amongst the 4 customers?  With "Based on a different KF", it will be according to the proportions implied by KF APODPDANT:  20 for customer C1, 40 for Customer C2, 10 for customer C3, and 30 for C4.

Best Regards,

DB49