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Order Management: Oracle Pricing

The document provides an overview of Oracle's pricing functionality within its Order Management module. It discusses key pricing concepts like qualifiers, attributes, price lists, formulas, and modifiers which determine prices, price adjustments, and customer eligibility. The pricing engine uses these components to calculate selling prices for products and answer questions about price eligibility and adjustments.

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0% found this document useful (0 votes)
90 views16 pages

Order Management: Oracle Pricing

The document provides an overview of Oracle's pricing functionality within its Order Management module. It discusses key pricing concepts like qualifiers, attributes, price lists, formulas, and modifiers which determine prices, price adjustments, and customer eligibility. The pricing engine uses these components to calculate selling prices for products and answer questions about price eligibility and adjustments.

Uploaded by

bommakanti.shiva
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPT, PDF, TXT or read online on Scribd
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Order Management

Oracle Pricing
Objectives:

 To Learn the
following: -
Concepts of Pricing. -
Components of Pricing Process -
Overview of Basic Pricing Process -
Details on Basic & Advanced Pricing.
Introduction To Pricing

 Executes Pricing and Promotional calculations


for OM & other Oracle Applications.
 Supports e-business.
 Can Perform the following functions; -
set a List Price for an item or item hierarchy.
Introduction To Pricing

 OM & Oracle CRM use the Pricing Engine.


 Oracle includes basic pricing functionality with
OM.
 To use advanced Pricing features,you must
purchase the advanced pricing
license.Advanced pricing includes all basic
pricing features.
Pricing Terminology

 Qualifiers:control who is eligible for certain prices(price list),price


adjustments,and benefits.
 Attributes:control what product or service is being priced or modified.
 Price lists: list of items with prices.
 Formulas:determine prices or modifiers based on a formula.
 Modifiers:determine how pricing requests and lines are
adjusted.Eg:Discounts reduce the price by a fixed amount or
percentage.
The Pricing Concept

 The pricing engine determines selling prices for


products.It answers the following
questions:
-Who qualifies for prices and
benefits? -What is the product or service
to be
priced? -
How should I adjust the order price or
order line price?
Qualifier Terms

 Qualifier
Context: Are a
way of grouping similar Qualifying Attributes in
the Qualifier Flexfield.
 Qualifiers:
Are specific attributes that assist pricing with
the “Who” for benefits or price eligibility.
 Qualifier
Value:
Is a value you choose to associate a Qualifier
Attribute.
Overview of Pricing Qualifiers

 Qualifier determine the ‘WHO’ part of eligibility.


 Qualifier&Qualifier groups can be associated
with Price List and Modifiers in the following
way: -Create Qualifier Group and attach it
to the price list,modifier list or modifier list line.
-Create Qualifiers and then attach
individual Qualifiers within the price list or
Modifier list. -A combination of method
1 and 2.
Overview of Pricing Qualifiers

 Can create,modify,query and delete Qualifier


Groups.
 There are predefined basic Qualifier Contexts
and associated Qualifier attributes that use
database tables as the data source wherever
applicable.
Qualifier Group
 Example;
Customer must be in territory WEST and
ORDER Amount is between $2000 and $5000 or
Order Quantity must be greater than 10000.
 Qualifier group could use seeded Qualifiers such
as Customer Name,Order Amount,Order Quantity
etc,.These qualifiers could come from one or
more Qualifier
context.
Qualifier Group

 Using Qualifier with Price Lists


Qualifiers or Qualifiers Groups can be
associated with a particular Price List or Price
List Line.
 Using Qualifiers with Modifiers
Qualifier or Qualifier groups can be
associated with a particular Modifier List or
Modifier List Line.
Modifier Concept

 Use Define Modifier Form to set up Price


Adjustment,Benefits,Freight and Special charges.
 Modifier Lists contain one or more
Modifiers.Modifiers have list level and line level
component. Each
list must have one or more lines associated with
it.
 By defining Qualifier at the list and line
levels,you define a customer’s eligibility for the
Modifier.
Modifier List Types

 AT the list level,you define criteria that is


common to all of the line level modifiers.Can use
the following list
types; -
Discounts -
Surcharge -
Freight/Special
charges -Promotion
 For each list type that you define,you associate
certain line
types.
Modifier Line Types

 Use Modifier Line Types to define type of Price


Adjustment,Benefits or Freight.
 Can associate Line Type with each List Type.
 Can Use the following Line Types; -
Discount -
Surcharge -
Freight Charge -Price
Breaks etc.,
Overview Of Formulas

 Formulas are mathematical Expression that the


Pricing Engine uses to determine the list prices of
items and the discount that apply to those items.
 Use Formulas to; -Create a
Price from a computation as an alternative to
entering prices in Price List. -Calculate
a price adjustment.
Overview of Price Lists

 Price List are essential to ordering products


because each item entered on an order must have
a price.
 Can record transaction in different currencies.
 Secondary Price List: -
The Pricing engine uses secondary price list when
it cannot determine the price for an item using the
price list assigned to an order. -
Primary&Secondary PL- same currency.

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