pricing querry

[Former Member]

Greetings ,

Can some on epls tell me in Pricing /Pricing procedure ,

what exactl y this particulat field does From , to i undersatdn but MAN/RE/STAT

MAN is mandatory

whats RE AND STAT? PLS DO HELP

REGARDS

[Former Member]

Hi Sunaina Kumar,

PRICING IN SD:

PRICING:

Pricing is the combination of creating correct pricing procedure that map the business needs & processes, such as correct pricing & discounting, & keeping to the legal requirements placed on the business, such as adhering to the tax laws of the country.

SPRO- IMG- SD- Basic Functions- Pricing- Pricing Control—

Create Condition Table: V/03, V/04, V/05

Define Access Sequence: V/07

Define Condition Types: V/06

Define & Assign Pricing Procedure

Maintain Pricing Procedure: V/08

Define CuPP: OVKP

Define DoPP: OVKI. The DoPP indicator is used to determine pricing in conjunction with the sales area & CuPP.

Assign DoPP to Order Types & Billing Types: OVKJ & OVTP

Define Pricing Procedure Determination: OVKK

Create Condition Table: V/03, 04, 05

Put the most general field for e.g., Sales Orgn in the highest position & the most specific field in the lowest. After organizational fields, place fields from doc header before those that come from item level (customer comes before material).

Sales Orgn, Distbn Channel, Div, Cust, Mat: Customer Specific Price

Sales Orgn, Distbn Channel, Div, Price List Type, Mat: Price List

Sales Orgn, Distbn Channel, Div, Mat: Material Price.

Maintain Access Sequence: V/07

Go to new entries, define 4-digit acc seq. Select acc seq, go to Accesses and place the cond tables and check exclusive indicator (which determines that if a cond record is successfully found, the system will stop searching further). Select each cond table and go to Fields.

• There are some cond types for which you do not create cond records (header discounts that you can only enter manually). These cond types do not require an access sequence.

Define Condition Type: V/06

They are used in the pricing procedure to define how the cond is going to perform, such as either a %tage or a fixed amount. The cond type can be automatic or it can allow manual changes. Copy the required cond type and rename. Then assign acc seq to cond type.

If you use different calculation types for what are otherwise the same conditions (for e.g., %tage, as fixed amt, qty dependent), you do not have to define different cond types in customizing. You can set different calculation type when maintaining cond records.

Functionality of Condition Types:

Access Sequence

Condition Class: surcharge & discounts or prices

Plus/Minus: -ve, +ve or both

Calculation Type: fixed amt, %tage, qty, wt, voln

Rounding rule: commercial, round up and round down

Group Cond

Manual Entry: whether manual or automatic entry has priority

Header Cond: after entering the header cond type click on the button activate. The cond amt of the header conditon is copied as it is to all the line items in the doc.

Item Cond

Amount/ Percent: check & u can change the amount or % for the cond type during data processing

Delete: check & the cond record may be deleted from the doc.

Value: check & the value of the cond type can be changed during data processing

Calculation Type: check & the cal type can be changed during doc processing

Valid from & to

Scale Basis: determines how the system interprets a pricing scale in a cond, for e.g., the scale can be based on qty, wt, voln

Check Value: indicates whether the scale rates must be entered in ascending or descending order.

Define and Assign Pricing Procedure: V/08

A pricing proc consists of a lists of cond types in a defined order, such as price less discount plus tax. Go to new entries, define 6-digit pricing proc with descp. Select the 6-digit pricing proc and go to Control Data, you will be faced with an empty structure.

Step: the no that determines the sequence no of a cond type with in a procedure

Counter: second mini step with in an actual step

Conditon type: specify the cond type

From & To: if you specify the ref steps in these fields, the cond values of the 2 steps specified and steps in between are totaled

Manual:

Mandatory: whether a cond type is mandatory when system carries out pricing

Statistical: the value represented in this step will not alter the overall value

Print: which cond types should be printed on a doc (order confirmation, invoices)

Subtotal: controls whether & in which fields the cond amts or subtotals are stored

Requirement: for a cond type to be executed in the sales doc the requirement specified here must be satisfied. (It is a gateway)

Alternative Calculation Type: alternative formula to the formula in the std system that determines the cond. In the std SAP system for the cust expected price EDI1, the alt cal type is 9, which means it contains a routine with a logic which states that the difference between the customer expected price & the net value is zero.

Alternative Cond Base Value: alternative formula for determining the cond basis (amt to which the discount or surcharge in a scale refers)

Account Key: this field enables the system to post the sales value to different G/L accounts. ERL: sales revenues, ERS: sales deductions, ERF: freight revenue.

Accruals: this is exclusively for rebate cond types BO01 & BO02. Key, which identifies various types of G/L accounts for accrual postings.

TAX: MWST

Tax is calculated on the following parameters:

Plant

Ship to party region

Customer tax classification

Material tax classification

Pricing Procedure Determination: OVKK: Determination Rule

Before one can proceed with the determination rule, one needs to maintain the CuPP & DoPP. One needs to assign a single character alphanumeric key with a short descp. Then assign the DoPP to the sales doc types. This will ensure that for e.g., all sales orders created using order type OR, which has been assigned a DoPP of 1, will all use the same pricing proc if created in the same sales area & with the same CuPP. In some instances, you may not want to have the same pricing proc for a sales doc, as you may want in a billing doc. For this reason, you may allocate a different DoPP to a billing doc.

Do not forget to assign the CuPP indicator to your CMD in the Sales Screen

Sales Orgn + Distbn + Division + CuPP indicator + DoPP indicator = Pricing Procedure

To Create own Sales Doc Types:

SPRO- IMG- Sales Doc- Sales Doc Header-

Define sales doc types: VOV8. Copy std order type& rename

Assign Sales area to Sales Doc Types:

Combine sales orgn

Combine Distbn channel

Combine division

Assign sales order types to permitted sales area

To create Price List Types:

SPRO- IMG- SD- Basic Functions- Pricing- Maintain Price Relevant Master Data:

• Define price list category for customers: OVSI: assign to CMD sales area screen in price list type field, in sales tab page in pricing and statistics section.

• Define pricing group for customers: OVSL: assign to CMD sales area screen in price group field, in sales tab page in pricing and statistics section.

• Define material group: OVSJ: assign to sales orgn 2 view of MMR in Mat Pricing Group Field.

• 2 digits character key with description

Cond Type Description Cond Class Calculation Type

BO01 Group rebate Exp reimbursement Percentage

BO02 Mat rebate Exp reimbursement Qty (fixed)

BO03 Cust rebate Exp reimbursement Percentage

BO04 Hierarchy rebate Exp reimbursement Percentage

BO05 Hierarchy rebate / Mat Exp reimbursement Percentage

BO06 Sales Independent Rebate Exp reimbursement Fixed amount

EDI1 Cust Expected Price Prices Quantity

HB00 Discount (value) Discount / Surcharge Fixed amount

HD00 Freight Discount / Surcharge Gross weight

K004 Material Discount / Surcharge Qty / absolute

K005 Customer / Material Discount / Surcharge Qty / absolute

K007 Customer discount Discount / Surcharge Percentage

K020 Price group Discount / Surcharge Percentage

K029 Material Pricing Group Discount / Surcharge Absolute discount by wt

K030 Customer/ Mat Group Discount / Surcharge Percentage

K031 Price Grp/ Mat Pr Group Discount / Surcharge Percentage

K032 Price Grp/ Material Discount / Surcharge Quantity / absolute

KF00 Freight Discount / Surcharge Gross weight

NRAB Free Goods Discount / Surcharge Quantity

PI01 Inter company price Prices Quantity (fixed)

PI02 Inter company % Prices Percentage

RB00 Discount / value Discount / Surcharge Fixed amount

PR00 Price Prices Quantity

VPRS Cost Prices Quantity

RL00 Factoring Discount Discount / Surcharge Percentage

MW15 Factoring Discount Tax Taxes Percentage

SKT0 Cash discount

• Customer Specific Price: sales orgn, distbn, division, customer & material

• Price List Price: sales orgn, distbn, division, price list type & material

• Material Price: sales orgn, distbn, division & material

• Customer discount: sales orgn, distbn, division & customer

• Customer material discount: sales orgn, distbn, division, customer & material or sales orgn, distbn, customer & material.

• Material discount: sales orgn, distbn, division & material or sales orgn, distbn & mat.

Condition Records:

Condition records allow you to store & retrieve pricing data in the system. Pricing elements are generally managed at the sales orgn & distbn channel level. There fore you always have to specify organizational level when creating cond records. In the case of cond records for price groups, freight charges, & cust specific prices & discounts you must also enter the division. As a result, you can create conditions according to product groups with these price elements.

Pricing Elements in Sales Order:

• Price: the basis of pricing during sales order processing is the gross price of the mat. The system selects the most specific record- the cust specific price. If it does not exist, the system looks for price list type. If it also does not exist then system takes the basic material price. You can define price list types by customer groups (wholesale or retail) or by currency (price lists for each foreign country dealt with)

• Surcharge & Discounts:

• Freight Costs: you can create cond record either based on: the first part of the inco term (for e.g. FOB) or on the combination of part 1 & 2 (for e.g. FOB & Boston). There are 2 predefined freight conditions

o KF00: applies to each item in a sales doc.

o HD00: applies to entire document.

• Sales Taxes:

Prerequisites for Automatic Pricing:

Necessary data must be maintained in MMR & CMD:

Material Master Data: the price related fields can be found in sales orgn 1 & 2.

Tax Classification

Price Material: you can specify another material as ref for pricing info

Material Group: defines a group of materials for which you want to apply the same cond record.

Cash Discount: whether or not mat qualifies for cash discount

Customer Master Data: the price related fields appear on sales data screen.

CuPP: specify the pricing proc for a customer

Price List: Allow you to apply a mat price in a particular currency to a group of customer’s e.g. wholesale customers.

Price Group: price group lets you apply a discount to a particular group of customers.

Tax Classification: billing tab page.

HEADER & ITEM CONDITIONS:

The standard system includes cond types that you can apply at only the header level, the header conditions. Cond types that you can only use for items are called item conditions. There are some cond types that can be used at both header & item level:

• RA01: percent from gross

• RB00: absolute discount

• RD00: weight discount

Header Conditions: you cannot create cond records for it; it is entered manually in order processing. Automatic pricing does not take place for them.

• HA00: percent discount

• HB00: absolute discount

• HD00: freight

• HM00: order value

Item Conditions: in the std SAP most cond types are defined as item conditions:

• K004: mat discount

• K005: cust/ mat discount

• K007: cust discount

• PR01: mat price

• KF00: freight

Distribution between Header & Item:

Header conditions apply to all items in the doc & are automatically distributed to all the items. It can be either percentage or an absolute amount.

If you enter a header cond that is based on a percentage (e.g., a dis of 2% ) the system automatically applies this percentage to all the items in the doc.

If the header cond is an absolute amount, there are 2 ways in which the system can distribute the amount among the items in the doc:

Distributed proportionally among the items

Amount entered at header level is duplicated for each item.

You control the distribution of absolute header condition in the Group Price Field per cond type.

• HB00: header discount distributed as percentage because it is marked as a header cond & group condition. The system distributes the amt proportionally among the various items, in this case according to the value of the items. The distribution of an absolute header cond need not be based on value. For e.g. you can specify in customizing for sales that the distribution is based on weight & volume of the different items. You can specify the basis of distribution in the ‘Alternative Cond Base Value’ field in the pricing screen.

• RB00: assigns the header discount to each item identically, because it is only marked as header condition.

Pricing Procedure:

In SD, Pricing Procedure is determined based on Sales Area (Sales Organization + Distribution Centre + Division) + Customer Pricing Procedure + Document Pricing Procedure. Sales Area is determined in Sales Order Header Level. Customer Pricing Procedure is determined from Customer Master. Document Pricing Procedure is determined from Sales Document Type / Billing Type (if configured). Once the pricing procedure is determined, Condition records are fetched. If appropriate condition records are found, the price is determined. If Mandatory pricing condition is missing, system will through an error message.

In SD, the steps to configure Pricing procedure are as under:

Step 1:

Condition table: If existing condition table meets the requirement, we need not create a new condition table. Considering the requirement for new condition table, the configuration will be done in spro as follows: IMG --> Sales & Distribution --> Basic Function --> Pricing Control --> Condition Table (select the required fields combination, which will store condition record).

Step 2:

Access Sequence: If existing access sequence meets the requirement, we need not create a new access sequence. Considering the requirement for new sequence, the configuration will be done in spro as follows: IMG --> Sales & Distribution --> Basic Function --> Pricing Control --> Access Sequence (Access sequence is made up of Accesses (Tables) & the order of priority in which it is to be accessed. Here we assign the condition table to access sequence.

Step 3:

Condition Type: If existing condition type meets the requirement, we need not create a new condition type. Considering the requirement for new condition type, the configuration will be done in spro as follows: IMG --> Sales & Distribution --> Basic Function --> Pricing Control --> Condition Type. It is always recommended to copy an existing similar condition type & make the neccessary changes. Here we assign Access sequence to Condition type.

Step 4:

a. Pricing Procedure: It is recommended to copy a similar pricing procedure & make the neccesary changes in new pricing procedure. Pricing Procedure is a set of condition type & arranged in the sequence in which it has to perform the calculation. Considering the requirement for new Pricing Procedure, the configuration will be done in spro as follows: IMG --> Sales & Distribution --> Basic Function --> Pricing Control --> Pricing Procedure --> Maintain Pricing Procedure.

b. Pricing Procedure: After maintaining the pricing procedure the next step will be determination of pricing procedure. Configuration for determining pricing procedure in SPRO is as follows: IMG --> Sales & Distribution --> Basic Function --> Pricing Control --> Pricing Procedure --> Determine Pricing Procedure.

5. Condition record: Condition record is a master data, which is required to be maintained by Core team / person responsible from the client. During new implementation, the condition records can be uploaded using tools like SCAT, LSMW, etc.

Condition Table:

Condition records are always created using a specific key.

Use tables for help in defining the structure of condition record keys.

The most important fields used in pricing at header and item level are available in the standard system.

 The key fields of a condition table must appear at the start of the table, in other words, non-key fields must not appear between any two key fields.

Condition table: The definition of the key of the condition record.

Access Sequence:

The access sequence determines the sequence in which the condition records for a condition type are found and read.

 An access sequence (search strategy) is defined for each condition type (with the exception of header and manual only condition types) in the pricing procedure.

This search strategy defines the sequence in which the system reads the condition records for a condition type.

Each access performed during the access sequence is made using a condition table.

A condition table is a combination of fields, which form the key for a condition record.

You can make an access dependent on certain requirements.

You can define prices, discounts, and surcharges at various levels.

Each level is defined by a combination of fields or by a field in a condition table.

Using the access sequence, you can define the sequence of the different levels.

The system attempts to determine the condition records in the sequence specified.

 Within each access of an access sequence, you can specify the specific document field (source field) with which an access is carried out.

Examples:

> Material or pricing material?

> Document currency or local currency?

> Sold-to party or ship-to party?

Make accesses dependent on requirements to avoid unnecessary accesses. This reduces the system load.

Access sequence: A search strategy to locate the proper condition record.

Condition Types:

The condition type determines the category of a condition and how it is used.

The calculation type and the scale base type can be controlled for each condition type.

For Example: Scale for Condition Type PROO

1 pieces 800 uni

10 pieces 750 uni

100 pieces 700 uni

Possible scale base types Possible calculation types

Value Percentage from an initial value Fixed amount

Quantity Amount per unit of measure

Weight Amount per unit of weight

Volumes Amount per unit of volume

Time period Quantity per unit of time

Each condition type can be set as an automatic surcharge, discount or either.

Condition Type in Pricing Procedure can be set as Manual, Mandatory or Statistical, as per requirement.

Condition types: A calculation or formula used for a component of pricing.

A condition type is a representation in the system of some aspect of your daily pricing activities. For example, you can define a different condition type for each kind of price, discount or surcharge that occurs in your business transactions.

Example of a Condition Type price pr00, discountk007,frieght kf00

A condition table defines the combination of fields (the key) that identifies an individual condition record. A condition record is how the system stores the specific condition data that you enter in the system as condition records. For example, when you enter the price for a product or a special discount for a good customer, you create individual condition records.

An access sequence is a search strategy that the system uses to find valid data for a particular condition type. It determines the sequence in which the system searches for data. The access sequence consists of one or more accesses. The sequence of the accesses establishes which condition records have priority over others. The accesses tell the system where to look first, second, and so on, until it finds a valid condition record. You specify an access sequence for each condition type for which you create condition records.

The primary job of a pricing procedure is to define a group of condition types in a particular sequence. The pricing procedure also determines:

Which sub-totals appear during pricing

To what extent pricing can be processed manually

Which method the system uses to calculate percentage discounts and surcharges

Which requirements for a particular condition type must be fulfilled before the system takes the condition into account

pricing procedure dirctly link to fi through the acount keys link to gl accounts

Pricing Procedure:

Pricing procedure: A sequential list of condition types and subtotals.

All condition types permitted in pricing are contained in the pricing procedure.

You determine how the system is to use conditions by specifying requirements for each condition.

The sequence in which the system accesses conditions in the business document is also determined here.

 The reference level provides a method to specify a different basis for the condition type calculation and for grouping conditions for subtotals.

The pricing procedure can contain any number of subtotals between gross and net price.

You can mark a condition type in the pricing procedure as being:

--> a mandatory condition

--> a manually entered condition

--> for statistical purposes only

Pricing Procedure Determination & Overview:

In this example, an order for 120 pieces of a material is created. The system must determine the price automatically.

First, the relevant pricing procedure is determined based on the sales area, customer, and sales document type.

The system reads the condition type of the first step. It determines the assigned access sequence for this condition type.

 The system reads the access sequence. The sequence of condition tables represents the search strategy for finding the relevant condition record.

Each condition table represents one access which can be made for a condition record with the specified key.

The system searches for valid condition records with the key specified by the condition table (accesses).

 If the first access does not find a valid condition record, then the system searches for the next access using the next condition table.

 Once the system finds a valid condition record for an access, it reads the condition record and copies the value that corresponds to the scale into the sales document.

The whole process is repeated for each condition type until the system has finished the entire pricing procedure.

Pricing Configuration:

The condition table contains the keys that can be used for creating dependent condition records.

You can add your own condition tables using table numbers 501 through 999.

An access sequence is composed of one or more condition tables.

After creating the access sequence, it is assigned to a condition type.

 You can also create your own condition types. You determine the characteristics of each condition type, for example, whether it is for surcharges or discounts and whether it should be dependent on values or quantities.

The condition types are combined in the required sequence in the pricing procedure.

Finally, you need to maintain the procedure determination table for the pricing program.

The pricing procedure is determined according to:

>> Sales area

>> Customer pricing procedure field in the customer master

>> Document pricing procedure field in the sales document type.

Header Conditions and Item Conditions in Pricing:-

A1.The standard system includes condition types that you can only apply at the header level, the header conditions. Condition types that you can only use for items are called item conditions. The standard system also includes some condition types that can be used both at header and item level: Percent from gross (RA01) Absolute discount (RB00) Weight discount (RD00).

Header Conditions

Automatic pricing does not take header conditions into account; you can not create condition records for them in the standard system. Header conditions are entered manually in order processing. R/3 includes the following header conditions:

Percent discount (HA00)

Absolute discount (HB00)

Freight (HD00)

Order value (HM00)

Item Conditions

In the standard system, most condition types are defined as item conditions. Examples of item conditions are:

Material discount (K004)

Customer/Material (K005)

Customer discount (K007)

Material price (PR01)

A2. Header Condition:

The value of the header condition applies to whole items in the sales order.

Header condition will not have any access sequence and therefore no Condition tables.

They have to be entered manually during sales order processing.

Only Freights and Discounts condition types can be entered at the header level. Ex.: HA00, HB00, HD00 etc.

If one sees an access sequence in the condition type, it is automatically an item condition type.

Item Condition:

The values of the item condition apply to a particular line item in the sales order.

Item condition will have access sequence and condition records as well as condition tables.

They can be entered both manually and automatically in the sales order.

Ex.: PR00, K004, K005 etc.

Usually Prices and taxes are maintained at item level, they cannot be maintained header level. Discounts can be maintained at both header as well as item level.

A3. Header condition:

The value of header condition applies to whole items (whole document) in the sales order. Header condition doesn’t have any access sequence. The value should be entering manually in the sales order level. Ex: HA00, HB00, HD00

Configuration sittings:

Include condition type HA00, HB00 in v/08 in between the document condition types

Go to VA01 and raise the sale order, select line item and

Go to ‘Go to ‘button -- header condition & include condition types HA00, HB00 with values,

HA00 is a % discount – manually define in sales order

HB00 is a absolute discount – manually define in sales order

If HA00 is 1 %, then system applies 1% on base valued on all item in sale order.

If HB00 is Rs.100/- , then system applies Rs.100/- proportionately to all items in sale order.

Ex: (if line item has two items, then system applies Rs. 50/- for each item)

Click on activate button then go to item condition screen and check how system apply header condition for line item.

A4. Header Condition:

 Conditions can also be entered at the document header level. These are known as header conditions and are valid for all items.

 These header conditions are automatically distributed among the items based on net value. The basis for distributing the header conditions can be changed in the pricing procedure by selecting the appropriate routine (e.g. weight, volumes) in the AltCBV (alternative formula for condition base value) field.

Incase of Condition type RB00, the value is copied to all line items. For Example: Condition Type RB00 is maintained with value $ 50 & there are 4 line items, then all 4 line items each will be populated with the value $ 50.

Incase of Condition type HB00, the value is distributed to all line items. For Example: Condition Type HB00 is maintained with value $ 50 & there are 4 line items, then the value $ 50 is divided in all 4 line items proportionately.

 Header condition is valid for whole Document & will not have Access Sequence assigned to it.

Item Condition:

 Item Condition is valid for line item & will have Access sequence assigned to it, so as to enable to maintain condition record.

 Eg: PR00, K004 & so on.

Please Reward If Really Helpful,

Thanks and Regards,

Sateesh.Kandula

[nisha_sharma1]

Hello Sunaina,

MAN : Manual :

Conditions, that are given this indicator in the pricing procedure, are only included in determination (price determination, outputdetermination, batch determination) either if they are entered manually, for example, on the condition overview screen in Pricing or if they are transferred from an external process, such as costing.

RE : Requires

Indicates whether the condition is mandatory when the system carries out pricing using this pricing procedure.

STAT : Statistics

This indicator causes a surchage or discount to be set in the document statistically (that is, without altering the value).

Regards,

Nisha

@award pts, if solved.

[Former Member]

Hi

A. STEP

This indicates the number of step-in the procedure.

B. COUNTER

This is used to show a second ministep

C. CONDITION TYPE

This is the most important component in the pricing

procedure. The rates are picked up from this element, on

the basis of the properties described.

D. DESCRIPTION

This forms the description of the condition type.

E. FROM

This is used to define the progression of the calculation

and range of subtotals

F. TO

This is used to define the progression of the calculation

and range of subtotals

G. MANUAL

This function enables to allow the condition type to be

entered manually also apart from automatic pickup.

H. MANDATORY

This function identifies the conditions that are mandatory

in the pricing procedure. The sales price is a mandatory

condition type.

I. STATISTICS

This can be used to represent the cost price of the

material sold, generally used for study statistical impacts

of price

J. PRINT

The activation of this function will enable the printing of

the values and conditions to the document.

K. SUBTOTAL

A key is assigned from the drop down menu; this can be used

by the system in other area like Sis for reporting purpose

also

L. REQUIRMENT KEY

This function is used to assign a requirement to the

condition type. This requirement can be used to exclude the

system from accessing the condition type and trying to

determine the value. This can be used to specify that the

condition type should only be accessed if the customer has

a low risk credit.

M. ALTERNATE CALCULATION TYPE

This function allows you use a formula as an alternative in

finding the value of the condition type, instead of

standard condition technique. this can be used to calculate

complex tax structures.

N. ALTERNATE CONDITION BASE VALUE.

The alternative condition base value is a formula assigned

to a condition type in order to promote an alternative base

value for the calculation of a value.

O. ACCOUNTS KEY

The account keys form part of account determination. These

keys are used here to define the posting of the revenue

generated to respective account heads& to subsequent

assignment to GL accounts.

PR00- ERL

K007/KA00- ERS.

KF00- ERF………….& so On.

P. ACCRUAL KEY.

The accrual keys form part of account determination. These

keys are used here to define the posting of the revenue

generated to respective account heads& to subsequent

assignment to GL accounts and payment to respective

parties.