vendor rebates alexa dhillon peoplesoft srm product strategy manager

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Vendor Rebates

Alexa DhillonPeopleSoft SRM Product Strategy Manager

Vendor Rebates

Allow customers to capture contractual rebate agreements with their suppliers, accrue rebate amounts

and receive rebate payments

• Introduced in Release 8.9• Included in Purchasing Product

$$$ Increases Customer Profits $$$

Vendor Rebates

• Accurately Record and Track Vendor Rebates• Proactively Manage Claiming Rebate Amounts from

Suppliers• Effectively Utilize Rebates and Maximize Rebate Potential

Don’t need to commit to volume, as customers do to get contract or discount pricing

• Popular in Wholesale and Healthcare industries

Vendor RebatesIntegrated into the Procure-to-Pay Process

Vendor Rebates Accurately Record and Track Vendor Rebates

Rebate Agreement Rebate Agreement

Backdate Rebate Agreement

Backdate Rebate Agreement

Accrued Rebate

Accrued Rebate

Purchase Order

Purchase Order

PO Receipt

PO Receipt Voucher Voucher RTV RTV

Vendor RebatesAutomatic Creation of Bill To Customer from Vendor

Use Bill To Customer for

Claiming Rebates through

Accounts Receivables

Vendor RebatesRebate Agreement

Vendor RebatesRebate Options

Vendor RebatesRebate Rule Types

• Standard (Stepped)• Rebate factor percentage based on defined purchase

threshold levels during the rebate agreement life

• Retrospective• Same as Standard, except Reaching Higher Threshold Level

Changes Rebate Percentage for all Purchases to Date

• Flat Amount• Growth Bonus

• Based on a Specified Increase in Item or Category Purchases

• Marketing Contribution• One-Time Rebate for the Life of the Rebate Agreement

Vendor RebatesRebate Rules

Vendor RebatesRebate Associated with PO

Rebate Automatically Defaults onto PO

Security controls whether buyer can view / edit Rebate ID

Vendor RebatesRebate Accruals and Backdating Rebate Agreements

• Rebate Accruals• Calculates accrued rebates for PO Receipts, Vouchers, and

RTVs against POs associated with the Rebate Agreement

• Backdate Rebate Agreements • Associate or Disassociate Rebate Agreement with purchase

order• Rebate accruals will be recalculated accordingly

Vendor RebatesProactively Manage Claiming Rebate Amounts from Suppliers

Incoming Payment

Incoming Payment

Rebate Claims

Rebate Claims

Rebate Manager

Notification

Rebate Manager

Notification

Claims Management Workbench

Claims Management Workbench

Formal Claim Formal Claim

Settlement Manager

Notification

Settlement Manager

Notification

AP Debit MemoAP Debit Memo

AP NotificationAP Notification

AR Pending Item

AR Pending Item

AR Payment Notification

AR Payment Notification

Vendor Rebates Rebate Accrual and Claims Generation Processes

• Allows Rebate Managers to be Proactive in Claiming Rebate Amounts

• Provides Accurate Picture of Accrued Rebates

• Realize Rebate Savings

Vendor Rebates Claims Management Workbench

• Manage all Claim activities

• View Paid and Past Due Rebates

• Ensures Rebate Claims Collection

Result: Increased Revenue!

Vendor RebatesClaims Generation

Be Proactive in Determining How Much Rebate Amount to Claim from Supplier

• Generate Claims based on Accrued Rebate Transactions• Claims generation date determined by Settlement

Frequency and the calculated Next Claims Generation Date defined on the Rebate Agreement

• Automatically runs Rebate Accrual process before generating claim to calculate most accurate claim amount

• Validates Rebate Agreement’s Maximum Rebate Amount

Vendor Rebates Claims Management Workbench

• Review, approve, and generate a formal claim to send to the supplier

• Settle a claim• Reconcile incoming payments• Defer a claim to the next payment cycle• Create deductions or reverse deductions to

accommodate overdue payments from the supplier

Track what rebates have been paid and what is due from suppliers

Vendor Rebates Effectively Utilize Rebates and Maximize Rebate Potential

Rebate Analysis Report

Rebate Analysis Report

Rebate Analysis

Workbench

Rebate Analysis

Workbench

Rebate Allocation Rebate Allocation

Rebate Analysis

Extraction

Rebate Analysis

Extraction

Vendor Rebates Rebate Allocation

Record accrued rebate allocations allocated to sales organizations

Vendor Rebates Rebate Analysis Workbench

Uncover cost savings opportunities

Vendor Rebates Rebate Analysis Workbench

• Analyze and inquire on Rebate Agreements• View or extract all accrued rebate details• View or print PO not Received inquiry• Determine additional purchases to achieve next

rebate threshold• Evaluate rebate transactions by Month, Quarter, or

Year